Lowered time by 30 seconds.

[Waxman]

Today I reduced the time per cycle from 3 min 30 sec. to 3 min. zero seconds.

Hoping to improve the bottom line and not pi$$ too many people off.

 

[rph9168]

You might have to lower your dilution rates to compensate for the reduced dwell time.

 

[MEP001]

You might have to lower your dilution rates to compensate for the reduced dwell time.

Dwell time in self-serve bays?

 

[rzeavy]

I would not reduce the cycle time to 3 min. - it is too short and customers will notice that.
I would not reduce any quality period.
It is always easier to keep customers happy than to get new ones, especially in hard time.

 

[Whale of a Wash]

That should get you some gamblin money for ICA. When the first really muddy guy comes in you'll be glad you raise the price. Only the scottsmen will notice.

 

[Randy]

We just went to $5 for 10 minutes at a couple of washes, seems to be working out well.

 

[bigleo48]

Waxman,

I believe its always a good idea to set your time at uneven number. Then reduce the time gradually, typically nobody will even notice.

My 2 cents....

 

[rph9168]

Dwell time in self-serve bays?

Sorry, I had a brain fart. Thought this was about an automatic.

 

[Waxman]

My main goal is to maximize revenue, but not if I anger customers.

Since most SS customers spend more than the minimum I can't see it angering too many folks.

I was thinking I'd raise startup price to $3 but I wanted to try the lower time strategy first.

I'll keep everyone posted as to what happens.

 

[madscientist]

I did the exact same thing 4 months ago, which is after a year of seeing every other business in the country/world do it as well. The fact is, prices of everything have gone up considerably in the past 2 or 3 years. When you set your old prices, they were correct from a business standpoint, but they need to be adjusted. Operating costs have increased and we must raise our prices accordingly. The last time I set my prices gas was $1.35 a gallon, and the cost of everything else in the world corresponded to that.

I have not had one single negative comment about the time change. I'm at the wash every single day, 7 days a week, talking to customers while I work. Everybody understands that prices in general are going up. I think you did the right thing and I wouldn't be discouraged even if a customer or two complained.

 

[Reds]

In Feb. I went from $2 for 3m15s to $3 for 4min. No complaints. Volume seems to be the same as before but I am sure that there are a couple of cheapskates who are not happy. Just after raising the prices I did watch one guy drive away and then pull into the IBA. I put up a sign in the bays for 1 month prior to price increase noting that prices and time would go up. My costs are way up. Everything seems to be up - food costs, utilities, fuel, etc. I am at the wash every day cleaning up and doing p.m. and have not had any complaints.

 

[washme1]

I did the exact same thing 4 months ago, which is after a year of seeing every other business in the country/world do it as well. The fact is, prices of everything have gone up considerably in the past 2 or 3 years. When you set your old prices, they were correct from a business standpoint, but they need to be adjusted. Operating costs have increased and we must raise our prices accordingly. The last time I set my prices gas was $1.35 a gallon, and the cost of everything else in the world corresponded to that.

I have not had one single negative comment about the time change. I'm at the wash every single day, 7 days a week, talking to customers while I work. Everybody understands that prices in general are going up. I think you did the right thing and I wouldn't be discouraged even if a customer or two complained.

How did your change affect revenue? How do your prices compare with the closest competitors?

 

[madscientist]

I honestly don't pay too much attention to my competitors, but from talking to a couple of them and from seeing banners at other washes I know this much:

Some of them are as high as $1.75 for 3 min, and $1.50 for 3 min. some are as low as 50 cents. Some offer double time during certain times of the week. We have a good spread of washes in the area.

For the 2 years preceding my time cut, my credit card per car sale in the self serve was roughly $5.60 (start up was $1.50 for 3 min 30 sec.). From this past December until now my CC per car sale in the self serve is roughly $6.25 (start up is now $1.50 for 3 min). This increase may be skewed a little because there isn't much data for the new price and it has been during our busy season. The average may go down during the second half of the year.

Since you mentioned your automatic in another thread, I'll also mention that I raised my auto prices from $5, $7 & $10, to $6, $8 & $10. I have picked up .60 per car. There are several express washes and box store washes in the area that start at $5.

The sad part is that even though the price increase has helped my profit margin significantly, it only brings it back to where it was a few years ago. We are fighting to tread water.

 

[Ghetto Wash]

Waxman,

I believe its always a good idea to set your time at uneven number. Then reduce the time gradually, typically nobody will even notice.

My 2 cents....

Thats what I do. Every Jan I look up what was the inflation rate for the year and then I increase my price, (or more commonly lower my time) to match inflation. Works out to an oddball number of minutes and seconds, but no one ever complains or notices and having a methodology keeps me from keeping my prices too low for too long.

 

[Randy]

Thats what I do. Every Jan I look up what was the inflation rate for the year and then I increase my price, (or more commonly lower my time) to match inflation. Works out to an oddball number of minutes and seconds, but no one ever complains or notices and having a methodology keeps me from keeping my prices too low for too long.

So Ghetto Wash how much do you charge for your services now?

 

[Ghetto Wash]

So Ghetto Wash how much do you charge for your services now?

I'd have to visit the washes to get exact numbers, but approx:
location 1: $1 for 3 mins
location 2: $.75 for 2 1/4 mins (I think its 10 seconds)
location 3: $1.25 for 3 1/2 mins (I'm pretty sure its 25 seconds)
location 4: $.75 for 2 1/4 mins (I'm pretty sure its 10 seconds also)

I try to increase the vac price the same way, but not as diligent about it. To my best recollection the vac prices are:
location 1: $.75 for 3 mins
location 2: $.75 for 3 mins rear vacs; $1.oo for 3 1/2 mins front vacs
location 3: $.75 for 3 1/2 mins
location 4: $.75 for 2 mins 10 secs (same start up price and time as bays)

BTW, my vacs produce approx 18%-20% of income at locations 1,2, and 3. Runs about 25%-27% at location 4. I get away with a much higher vac price at this location.

 

[readydave8]

That cutting time thing always seemed sneaky to me, I'd rather raise my price per minute, either way if you have competition nearby you're gonna make some of your customers mad, I try to stress reliable equipment and good chemicals, clean and neat lot, try for the customers willing to pay more for a good value.

And I don't always do a great job and haven't made much money on carwash so then again it might be better not to listen to me.

 

[Waxman]

I'd have to visit the washes to get exact numbers, but approx:
location 1: $1 for 3 mins
location 2: $.75 for 2 1/4 mins (I think its 10 seconds)
location 3: $1.25 for 3 1/2 mins (I'm pretty sure its 25 seconds)
location 4: $.75 for 2 1/4 mins (I'm pretty sure its 10 seconds also)

I try to increase the vac price the same way, but not as diligent about it. To my best recollection the vac prices are:
location 1: $.75 for 3 mins
location 2: $.75 for 3 mins rear vacs; $1.oo for 3 1/2 mins front vacs
location 3: $.75 for 3 1/2 mins
location 4: $.75 for 2 mins 10 secs (same start up price and time as bays)

BTW, my vacs produce approx 18%-20% of income at locations 1,2, and 3. Runs about 25%-27% at location 4. I get away with a much higher vac price at this location.

Those prices look wicked low to my rookie eye.

 

[madscientist]

Everybody is doing it:

 

[rapidsseller]

what size cities are you all in? We are in a town of about 15000 and our wash is currently at 2.00 for 4 1/2 minutes and then you can add a quarter to extend time by 30 seconds per quarter. Im wondering if we should cahrge more or are about right? We are in the midwest.