Like many companies, Snap One brands are the subject of several discussion Groups on Facebook, some run by the company and others run by third parties. In the days following their recent announcement of existing program changes, new program mandates, and new optional programs, many dealers took to Control4-related groups on Facebook to protest the changes immediately, vociferously, and even (in a few cases) profanely. It was an outpouring of emotion that group admins and participating Snap One executives like G Paul Hess and others struggled to stay on top of.
Snap One executives told the dealers in the group of an upcoming webinar in which the company plans to explain everything regarding the program changes to their dealers.
See more on the fury on Facebook directed at Snap One
There was a surprising outpouring of emotion – a firehose of fury, if you will – on at least one Facebook Group – the unofficial Control4 Programmers Group – a group of around 4,000 members that is managed by the folks at Blackwire Designs. Control4 dealers unabashedly unleashed their anger over the major program changes the company announced last month. While the admins scrambled to correct misconceptions and further explain options – and a few Snap One dealers sought to stick up for the company – there were a lot of unhappy dealers represented there and they weren’t afraid to let anybody know how they really felt…even in a Facebook group monitored by an important vendor partner.
A Short Recap for Those Unfamiliar with This Situation
To recap, in an article I posted on January 18th, I reported that Snap One had launched an initiative to change the integration industry model. As such, they launched a software-as-a-service (SaaS) software subscription model with three levels: Control4 Connect (mandatory on all systems), the optional Control4 Assist, and Control4 Assist Premium. Below is the Strata-Smart Synopsis of the article Snap One Seeks to Change the Integration Industry Model with Subscription SaaS Program (which you can read in full by following this link…)
STRATA-SMART SYNOPSIS Snap One introduces a Software-as-a-Service (SaaS) subscription program, including Control4 Connect, Assist, and Assist Premium, aiming to revolutionize the Custom Integration industry. The program enhances customer support, requires mandatory Control4 Connect for installations, and offers revenue sharing for dealers. The multi-layered approach addresses the evolving needs of sophisticated systems, transitioning from a traditional break-fix model to an ongoing, proactive support model. Integrators can benefit from improved customer relationships, profitability, and simplified business operations. The article questions the transparency of Snap One’s advisory panel involvement.
A Very Active Control4 Facebook Group
I was able to view several screens worth of the very active Control4 Programmers Facebook Group discussion. While some of it was just harmless griping, there was some seriously nasty stuff there as well. A few of these comments were the result of a dealer not fully understanding how the programs work. For example, some were under the impression that all of the newly announced programs were mandatory…which is not true. The announcement by Snap One only identifies the Control4 Connect program as mandatory.
Other dealers feared that all of a sudden, existing clients would be forced to buy a subscription or risk losing the functionality of their existing system. However, Snap One’s announcement says existing systems are grandfathered in, the program only applies to new customers starting April 23, 2024. Others suggest that eventually these grandfathered existing systems would be forced by Snap One to pay a subscription.
“…is Snap going to pay for a lawyer for me when all my clients sue me for adding a subscription to be able to turn on their TV?” asked John McDermott.
Snap One Copying Savant?
Several Control4 dealers accused Snap One of copying Savant who instituted a similar program back in 2021. For example, Ethan Barnes said, “…what I disagree with is forcing [clients’] hand and pulling a savant [sic] and charging a yearly subscription. Just raise the price of the controller and build it into the cost of the platform…”
Yet others drew a comparison to Sonos, which is famous for successfully encouraging clients who had been brought to it by integrators to purchase follow-up items directly from Sonos, cutting the integrator out of future sales and profits. Of this new Snap One program, Corey Bane said, “…this is the announcement I feared for a while. They are using the network of customers you created to directly target your customers. Starting to feel like Sonos but also going after service revenue is wild.”
Blurting Out in Frustration; Shots Fired
Some C4 dealers just blurted out in frustration…from the mild – “Seems like a big mistake…,” wrote Jeff Podolsky – to the evocative, “I think it is total bullshit to push this on us,” posted Sean Northmore. Added Brendon Walters, “This is a lesson on how not to run a business. This is going to push so many sales away from them.”
Others got quite snarky, saying things like, “…does this mean intercom anywhere is actually going to start working? I doubt it, but it’s wishful thinking,” (name obscured). To which Christopher Glenn replied, “Yes and 4sight and OVRc will have 100% uptime with the new 4redunancy that was also announced,” [smiling/winking emoji].
“Shots fired shots fired,” Mathew Meeuwen joked about this message thread.
Pricing Will Hurt Smaller 1-2 Room Installations
Several dealers expressed genuine concern that while this plan may work well for large systems in big budget installations where the fee can be easily deemphasized in the quote – for many mostly smaller scale projects, they feel the numbers don’t work. This was perhaps best, and most respectfully, stated by one dealer who said:
“I know a lot of the smaller dealers (that weren’t part of your market research and advisory boards), survive off of smaller 1-2 room AV only systems. And $250/year will eliminate these from contention,” wrote Jesse Smith. “Also, some of our biggest upgrades are from systems that start small and grow from there. This pricing structure will [hurt] smaller dealers and installs, just like Savant has done with their new [licensing] structure. [On] big jobs[,] it won’t matter, and is perfectly fine.”
AV Control is a Gateway…
Even in the case of the lower $100 fee (pricing is based on the controller and sophistication of the system), one dealer pointed out that even in a smaller system based on an $800 controller, a $100/year ongoing fee is going to be a point of contention for many of his clients. In a comment on the Strata-gee post on the Snap One dealer advisory panel press Q&A (scroll below the story to read the whole comment), one dealer posted this:
“AV control is a gateway seller. Control4 made a $800 product to service that client, and now wants $100 a year on top,” said Jimmy Powers. “For your living room remote? Would LOVE to hear the compan[y’s] value prop[position] here for the client.”
Who ARE These Guys Anyway?
A few dealers wondered just who the Control4 dealers were who participated in the “Partner Advisory Panel” that helped to put this program together. One dealer put out a call in the group for those panel members who “participated in this discussion with [Snap] please share your feedback,” said Jason Loveless. He went on to add that he was never contacted on this, “…but who has and what did you say[?]” I saw no response from anyone who identified themselves as an advisory panel member.
Yet another issue is an apparent loss of trust between dealer and supplier. Some of these dealers have been with Snap One or its predecessor SnapAV or one of its many brands for years. The company has always portrayed the image of an integrator-focused company. Now, some are questioning if that remains the case.
Forgetting Who Their Customer Is
For example, one dealer was willing to accept the program changes from the company, even the mandatory requirements, but had one major bone of contention.
“I’m ok with them offering it; honestly even with them requiring it,” said Christina Stroh. “But billing the client directly. That’s a no go for me… And them continuing to force the home owner as their customer instead of the integrator being their customer. Gtf out of here. Theyre [sic] blatantly telling us who and where their priority is and it’s not us.”
Group Admins and Snap One Executives Kept a Cool Head
Lastly, many dealers were conjecturing that this move was most likely taken to satisfy Control4 investors, rather than to satisfy dealers. This was a common theme of several of the posts.
To the credit of the Snap One executives and group admins, they did not overreact to the flow of negative comments. Although it must have been more than they anticipated, their responses remained professional as they tried to clear up misconceptions and – to the best of their ability – allay fears.
A Different Tale
At the end of the day, I could not help but be struck by the level of dissatisfaction expressed by these Control4 dealers on the Control4 Programmers Facebook Group. When I spoke with John Heyman during the media presentation, he claimed all of the 23 dealers on the Partner Advisory Panel were extremely pleased about this change in the program (that they helped design). Not a single one complained.
It was a dramatically different tale online.
Learn more about Snap One by visiting snapone.com.
Not a “single complaint”? – that is simply impossible. There are so many other questionable aspects of this plan than noted above that if 23 integrators of high caliber were in immediate lock-step, everyone else better watch out for shipments of complementary Kool-Aid from Snap…
Hi Ric,
Yes, I found that hard to believe as well. Certainly the five board members they arranged for the media to question had no qualms, but I was unable to get the entire list of 23 advisory board members to reach out and independently confirm.
Ted