Skip to the content

Procurement Market Intelligence Report

Commercial Condensing Units
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Commercial Condensing Units?

What is the average price of Commercial Condensing Units?

This procurement report includes pricing information to help you purchase Commercial Condensing Units. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Commercial Condensing Units been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Commercial Condensing Units yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Commercial Condensing Units?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Commercial Condensing Units with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

Market share concentration is low for suppliers of commercial condensing units. The market's four largest firms are Ingersoll-Rand, United Technologies, Johnson Controls and Watsco. In total, these firms generate about one-fifth of market sales. About 55,642 companies operate in this market, including manufacturers, wholesalers and contractors. The vast majority of... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?

Regulation

How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Quality & Selection

What standards do you use to measure the reliability and quality of your condensers?

What is the life expectancy of the condenser units that would suit my facility?

How often is maintenance required?

Have you ever delivered a product that did not meet the quality standards of the buyer? If so, how did you rectify the situation?

How do you select what brands to carry?

How do the SEER ratings of the units you carry compare to the market average?

Serviceability of Equipment

What is your availability for replacement parts for my condensing unit?

What processes will you use to guarantee that all equipment you provide and install is certified for maintenance during the warranty period by the manufacturer?

What part of equipment management is my responsibility, and what part is yours?

What brands of condensers do you have the most experience working with?

Warranty Coverage

What are the lengths of the manufacturer warranties for your condensing units?

Can the warranties be extended? If so, what are the costs for this?

Do warranties cover both parts and labor?

Do different components of my condenser have different warranty terms?

What documentation must be provided to make a repair under warranty?

Supply Chain

Do you have long-term purchasing arrangements with suppliers that provide inputs with volatile prices (e.g. steel or copper)?

How do you minimize risk in your supply chain (e.g. through diversifying your supplier base or arranging long-term agreements with suppliers)?

How do you select your suppliers of material inputs?

How does your sourcing strategy give you an advantage over your competitors and improve the quality of your products?

Preparedness for Emergency Repairs

Are technicians available 24/7?

What would your response time to my location be for an emergency service call?

Will your technicians be able to access any of my facilities within my desired time constraint (if buyer has multiple facilities)?

How will repairs at my facilities be prioritized in the case of an emergency?

How do your M&R rates change for emergency work?

Business Philosophy & Company Structure

How do you update your inventory of condensers to keep pace with a dynamic HVAC market?

What is your company's business philosophy, particularly with regard to providing quality customer service to a firm in my industry?

How do you track customer satisfaction, and how do you address dissatisfied customers?

What trade associations or industry groups do you belong to?

“Sending out RFPs used to be a nightmare”

Let’s chat about how procurement market intelligence can reduce 
the time you spend issuing RFPs.

Key elements for every RFP

What should my RFP include?

Project Budget

Vendors should provide details on the current pricing structure and available billing models.

Buyers should state the contract amount.

Buyers can consult the Benchmark Price section of this report to determine how much they should pay for commercial condensing units.

Selection Criteria

Buyers should take into account the production capabilities of a supplier and the range of products offered.

Buyers should evaluate the level of expertise of each supplier.

Buyers should take into account the energy efficiency of a supplier's available products to ensure a lower TCO and compliance with buyers' own regulatory requirements.

For a detailed list of key selection criteria, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers need to include the date when proposals are due, when award information will be available and when delivery dates should be.

Buyers should include any other benchmark dates relevant to the project that suppliers will need to be aware of.

Evaluate major factors to mitigate risk

How risky is the supply chain?

Supply chain risk is medium for commercial condensing units. Upstream suppliers are moderately risky because they use and resell material inputs that have volatile prices. These material inputs are mainly metal commodities, including steel, copper and aluminum. Steel forms the structure for commercial condenser units and is also used for... Subscribe to learn more.

HIGH

MEDIUM

LOW