Interview Transcript

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I've been studying the pool industry for a bit, and I'd like to understand it better. Could you spend a couple of minutes walking me through your background as it relates to the pool industry?

AquaStar operates a bit differently because they have the pump and the filter, but they don't have the automation or the heater. So, they've partnered with Raypak and Pool Attendant, which is a third-party controller. This third-party controller can work with Pentair, Zodiac, or Hayward, and they're making significant inroads as well. I've thought about this long and hard. You've got the big three (Pentair, Zodiac/Fluidra, Hayward), and there's another one trying to make its way in, each with a different business proposition. Pentair, Zodiac, and Hayward are kind of pricing themselves out of the market. After Covid, there are two different levels; those that want to be in the $40,000 range and those that have the resources to spend $300,000 plus - they're doing outdoor kitchens, patios, the pool - the whole thing, but they're paying cash. For somebody wanting a $40,000, it's a race to the bottom because Covid was just unheard of.

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