IBA Unlimited Wash Packages

[magicmistyuma]

So I have a 4 ss bays and a IBA and their is word that a new car wash is coming to town that does the Unlimited Wash Monthly plan. So we are trying to figure out how to compete with that. We offer a great wash with are Autec and pricing is very reasonable at 5,7,9,11. But we are having are hard time thinking we will have to do Unlimited also. So what has anyone been doing to combat these chain washes that do Unlimited should we do the same or just slash prices. Like going to a $5 any wash anytime pricing. Any advice would be greatly appreciated.

 

[BBE]

You can't. And you shouldn't try. Focus on being different. Chances are you are touchless, there is a market for that. Sure, some of your customers don't care and may go over to the new EE, but there is definitely a certain percentage of them that are in it specifically for the touchless aspect.

Aside from that, focus on the quality you are giving them for the price point. Make sure that the 5-11 dollars they are spending at your wash is worth their money. Use good chemicals, produce a good clean car, don't try and increase wash pass speeds and produce a car in 3 minutes flat to keep up. Embrace that your business model is different than theirs, accentuate those differences and make the most out of them. You can still be successful with an IBA in the presence of an EE, but it won't be by trying to directly compete with them.

 

[robert roman]

Before deciding on what to do, I would consider potential impact of competitive threat.

For example, how close is the new wash?

Experience has shown express has high customer attraction rate and is capable of pulling substantial amount of business away from nearby in-bays, wands, and full-service operations.

Unlimited is part of the reason but so is no waiting in line, hand finish quality in 3 to 4 minutes, free use of vacuums and average total guest visit of 8 minutes. Moreover, these operations are often marketed aggressively with customer loyalty program, satisfaction guarantee, website, smart phone app, and public relations program. Also, there are attendants and management on site every day to provide customer service, rain or shine.

So, you might want to consider how effective a great wash and slashing prices is going to be.

However, it is great that you are beginning to ponder what to do before new wash is built. Generally speaking, it takes six or nine months to plan and implement counter strategy and tactics.

 

[loewem]

I agree with the advise that bbe provided. Continue to offer a good service and set yourself apart. I was where you are a couple of years ago......knowing that new washes were opening and thinking about what to do. In the past 18 months two new EE washes have opened and a full service converted to an EE. All are within 10 miles of my 5/1. Some customers have left for the unlimited wash packages and have not returned. Some customers have left and returned. The customers that have returned haven’t been happy with the EE. Two returning customers showed me damage to their car. The rear wiper was ripped off of one guys car and the rear splash guards were busted up on a ladies mini van. A couple customers that returned were not satisfied with the quality of the wash they were receiving. I’ve tried all three of the washes. The full service that converted wasn’t good. The other two were good, but not better than my laserwash. The only feature that made me envious was the tire shine. That feature is cool, but it didn’t last very long on my tires. The vacs were great at the converted wash, okay at one of the new washes and not very good at one.

I know that the quality and value of my wash is as good or better than the EE’s that have opened, but there are some things that I am working towards or planning to improve my wash. I am renting space to someone that is doing hand wash/detail. I’m talking with the hand wash person about offering tire shine to IBA customers (no charge to the customer) and possibly other services (for a fee). I am planning on offering towels in the future. I am adding a second automatic to minimize wait time for customers. I am also installing a new credit card system that will allow me to offer customer loyalty incentives. Buy five automatic washes, get the sixth free or 10% credit on purchases.

I think Self Serve customers are unique and I don’t imagine many of your Self Serve customers leaving for an EE. They like to wash their car and they appreciate a good Self Serve wash. I don’t know of any Self Serve customers that have left for an EE. If they left and liked the EE I will never know, but I’m thankful that my business has increased even though other options have come along.

 

[robert roman]

I’d be wary of those who attempt to create a false sense of security.

“All are within 10 miles of my 5/1”

First of all, ten miles is well beyond the threshold distance and range of most washes except in very rural areas.

Have an express plunk down one, two or three miles away from a self-service and see how many customers leave and come back.

I’ve had clients place an express on their existing property and significant numbers of their own wand and in-bay customers switched over to express.

“I’m thankful that my business has increased….”

How did that happen because none of the improvements you mentioned have been implemented?

 

[copperglobe]

Robert Roman, how many car washes do you personally own?

 

[robert roman]

Robert Roman, how many car washes do you personally own?

If you are going to ask loaded question, then I have to answer with question. Why do you want to know?

 

[loewem]

I’d be wary of those who attempt to create a false sense of security.

“All are within 10 miles of my 5/1”

First of all, ten miles is well beyond the threshold distance and range of most washes except in very rural areas.

Have an express plunk down one, two or three miles away from a self-service and see how many customers leave and come back.

I’ve had clients place an express on their existing property and significant numbers of their own wand and in-bay customers switched over to express.

“I’m thankful that my business has increased….”

How did that happen because none of the improvements you mentioned have been implemented?

I have no intention of creating a false sense of security. I read the post by Magicmistyuma and it reminded me of the worries that I had a couple of years ago when I was trying to get my wash moving in the right direction. Looking back I think those worries helped me to get my wash moving in the right direction. I was trying to share my experience in an objective and productive manner.

"That" happened because I listened to the advice of experienced "operators" on this forum. I've taken the advice, worked hard and continue to work hard at making my wash as good as it can possibly be. Randy, 2Biz, getnbusy and TDLConcepts have all picked up the phone countless times when I've called and have always helped me out. I've learned from all of the "operators" on this forum that take the time to thoughtfully respond to posts with helpful advice and ideas. I'm at the end of my 4th year as an owner/operator and while I have learned a lot about the car wash industry, I know that I've got a lot more learning ahead of me. Whenever I start thinking that I've got it all figured out I quickly remind myself that I've got a lot to learn. I do that because NOBODY likes a "know it all".

 

[robert roman]

“….reminded me of the worries that I had a couple of years ago when I was trying to get my wash moving in the right direction….”

So four years ago, your carwash wasn’t doing very well.

“I listened to the advice of experienced "operators" on this forum….” blab, blab,

Now, “I'm at the end of my 4th year as an owner/operator….”

And you commented earlier “I’m thankful that my business has increased….”

I can say the sun is shining too except for 90 percent clouds. For example, all of the “actual” improvements you described in your comments are planned.

Also, an express located ten miles away isn’t much of a threat to any wash.

So, I don’t find that you have offered up anything of substance to help this guy – the guy that wanted to know about unlimited or slashing prices could combat a new express, part of network or chain.

I offered up some useful advice whereas some suggest sticking one’s head in the sand.

By the way, operators I work with usually see positive results right away. Why wait four years.