My "Value Token" Idea- Input?

[Greg Pack]

Hey Guys,

I believe there is a fundamental shift in consumer behavior that will last quite a while, five years or longer. I believe people are being more careful about their purchases and more willing to look for coupons or "deals". I'm trying to come up with an idea that will make them feel like they're getting a better value.

I'm purchasing another wash next week. It's a decent deal and works for my situation. The current pricing out there is high for what the customer gets. His IBA's are currently $10 for a their top wash & blower. Four pass wet wash is $6. I initially thought I wanted to reduce pricing, but he's already gone through that painful process so I think I will leave it alone and try instead to raise perceived value. I plan on adding a rain-x product to the top wash, but want to really make the customer feel like he's getting a better deal, so I am thinking of trying this.

With the purchase of any auto wash the customer will receive a token. This token will be good for one of three things:

• A four-six minute vacuum
  
• A four minute cycle in the self service bay
  
• $1 off thir next automatic wash.

By offering more than a free vac, it gives the customer more flexibility. They can touch up their car in the SS after use of the auto, or they can save the token and prep before entering the auto the next time. Regardless, it should reduce prepping delays that I currently experience by IBA customers in line. Or, if they just aren't going to fool with either of those options, they can simply use the token for a discount off the next wash. They can "save up" tokens for a free wash if they desire.

I don't anticipate any problems or downside with this. SS bays on that site are underutilized as it is so i welcome any increased activity there.

I need some devil's advocates out there to tell me what I'm missing or what's wrong with this approach. Any input appreciated......

 

[Jim L.]

Before shooting my mouth off, could you answer a couple of questions? Will you be dispensing $1 tokens from your changers? What will be your start up price in the SS bays?

 

[Greg Pack]

no tokens and no immediate plans to convert to tokens.

SS will be moved from 2.50 5 minutes to 2.00/4 minutes. Vac is 1.00/ 4 minutes So this token will have a different value depending on what service the customer uses it for.

 

[Jim L.]

I came up with a few potential problems if you planned to use 2 different tokens at the wash…but since you will only be using 1 token, those ideas are moot.

Is this the dispenser you have in mind?

http://www.hamiltonmfg.com/newsletter_web/Bonus Token Vendor.pdf

The only downside I can see is the initial cost of the equipment, sorting coins and another piece of electronic equipment to maintain. Also, once you start giving things away customers will expect it to always be that way. All in all, I like your idea.

 

[I.B. Washincars]

I came up with a few potential problems if you planned to use 2 different tokens at the wash…

What problems did you come up with? I like the idea, but if I put it into place I would use a different token than I dispense from the changer.

 

[Greg Pack]

Actually I have two Coleman token dispensers. I've had them three years and decided not to install them at my current wash. They're sitting in my basement. They retail a little bit less than the Hamilton model by a few hundred dollars. I bet Hamilton makes a better unit. If this works well I will have to look at the Hamilton units for the other wash.

Sorting coins will be a bit of a pain, but I'll have to get used to it. Gotta take the wow factor out of the free vacs.

 

[Jim L.]

What problems did you come up with?

I looked at it as to how 2 different tokens would affect my wash.
Coin acceptors would have to take 3 different coins. All my Slugbuster II’s would need to be changed.
The token slot in my Hamilton ACW has a Slugbuster single coin acceptor. I don’t know if they make a multi-coin acceptor that will fit into that slot.
My customers get confused by my $1 tokens even though $1 is stamped on both sides of the coin. Multiple tokens with variable values would just add to their confusion.

 

[MEP001]

The token slot in my Hamilton ACW has a Slugbuster single coin acceptor. I don’t know if they make a multi-coin acceptor that will fit into that slot.

An IDX MA-800 will fit right in place of the SB-I in the Hamilton and takes up to six coins.

 

[Ric]

What type of dispenser could be used with a Unitec WSII to vend a token with a specifically selected wash?

 

[Greg Pack]

The Coleman is tied into your auto outputs. Any time it sees a wash purchased it dispenses a token. I have seen one connected to a WSII. I don't know how the Hamilton works.

I kinda like the idea and think it will work. I think it will increase perceived value and make for a happier customer. Even if they don't normally stop to prep or vac perhaps the discount will bring them back to my site. Still looking for input....

Heading to the SECWA roadshow in Savannah, guys. Forecast says it will rain. We're all used to that around here Catch you guys later.

 

[Tom Thumb]

American changer makes a Model AC8009 ( $1699).
Don't know how good they are but have been looking into using them for dispensing tokens for vac.

 

[Waxman]

Tell me again why you need multiple tokens?

Take it from someone who's learned the hard way; you need to make it as easy as possible for the customer to use the wash, even if it is a giveaway/value added item.

Make it any more complicated than absolutely necessary and you negate the benefit of 'value added'.

So, find the way to implement the free token in the way that makes it easiest/most convenient and most valuable for the customer and Bingo; there's your answer right there.

 

[I.B. Washincars]

Tell me again why you need multiple tokens?/QUOTE]

I have four washes, all of which use the same token. The largest and busiest is not far from the smallest and slowest wash. I am trying to get more customers in the habit of using the small wash. If I use the same token that I am dispensing from the changer they could carry it to the other wash and use it there. I know, that's not a big problem since I'm getting their money regardless of which pocket it goes in, but I want to spread the business more evenly between these washes. The large wash is much busier and everyone in this region seems to use it for the measuring stick when comtemplating their new wash. Our town of 10K already has 5 SS washes, a full serve, and an IBA at a c-store. I don't need another Einstein to come in and think he can get yet another piece of my pie. I want their money, but I don't want that wash to look as busy. I know that it has caused two washes to be built in this small town that should never have been built.

 

[Waxman]

So you think you can greatly influence customer habits by dispensing a different token?

All due respect; that idea is nonsense. They use the other wash cause it must be awesome; good, convenient, hi pressure etc.

A token that they cannot use in a certain wash is like me trying to get customers used to tokens only; I beat my head against that wall for 4 years then Randy Nix convinced me to go tokens and quarters. He was right!

 

[I.B. Washincars]

So you think you can greatly influence customer habits by dispensing a different token?

All due respect; that idea is nonsense. They use the other wash cause it must be awesome; good, convenient, hi pressure etc.

A token that they cannot use in a certain wash is like me trying to get customers used to tokens only; I beat my head against that wall for 4 years then Randy Nix convinced me to go tokens and quarters. He was right!

I guess I have already influenced them enough if they are at the small wash. I use the same chemicals, have the same equipment, actually give 30 seconds more in the SS bays, only the location is different. The washes don't look alike and have different names. Many people don't know I own them both. The token will work at the wash where they received it. I'm not trying to make them go somewhre else and use it, just trying to get them to keep using the small wash. I don't really think I'm going that far out on a limb with the idea. Anyone else see this as a crazy idea?

 

[rph9168]

Do you advertise that the tokens can be used at all your locations?

 

[I.B. Washincars]

Do you advertise that the tokens can be used at all your locations?

No, I don't. The four washes are in three different small towns spread over 30 miles so I didn't see much need or benefit.

 

[Jim L.]

Tell me again why you need multiple tokens?QUOTE]

Go back and reread CFCW’s original post and you will answer your own question.
CFCW wants the bonus token to be worth $1 in the vacs, $1 in the ACW and $2 in the SS bays. If he was already dispensing $1 tokens from his changers there would be a need for a seperate token with variable values.

 

[Waxman]

Well if I am confused imagine how the customers will feel.

 

[I.B. Washincars]

Well if I am confused imagine how the customers will feel.

I'm not sure what confuses you so much? If I dispense the value token from my HTK they can use it for $1 in the SS bays, $1 in the vacs, or $1 toward the next wash. What's confusing about that? Why does it need to look like the ones that come out of the changer?