$18/$20 Outside Only Wash Percentage

[hkim310]

With all the craze surrounding the Lava/Hot Wax washes that have pushed exterior only washes as high as $18-$20, we took the leap and installed the Simoniz Lava System. I'm trying to get an idea of what would be a good percentage for a top exterior package in that price range.

 

[robert roman]

I’ve given clues about importance of price sensitivity, its relative.

Assume average price charged for hot wax as up-sell is $4.00 and sold ratio is around 20 percent.

$4.00 X 0.2 = $0.80

If average revenue for express exterior is $9.00 before hot wax, it would increase to $9.80 after adding it.

In my area, express exterior is $4 to $12 and full-serve is $14 to $20. In-bays are $5 to $10. Most conveyors charge $4.00 for hot wax.

I have a friend in Mass. who charges $30 for full-serve and top express exterior wash is $24. His in-bay starts at $10 and tops at $18. He gets $6.00 for hot wax.

This is why it’s unwise to use information provided in product advertisements to analyze a market.

Best practice is to analyze the trade area to determine appropriate pricing strategy.

 

[Earl Weiss]

I hope I don't shock anyone by saying I agree with RR. Locations vary by geography and demographics. Geographicaly the coasts have higher prices for everything than the flyover states. Areas that are more rural may be cheaper than more urban locations. Similarly a large commercial vehicle customer base may lead to lower average prices. I think I remember an article about the NS flagship wash in Ca lamenting that the average ticket was lower than expected but their volume was huge . (I forget if it was reportedly 300k or 400K a year) . They attributed to lower average to the large number of commercial vehicles like Taxis and limos since they were near an airport who washed frequently but did not opt for bells and whistles.

Energetic sales people my or may not have an impact.

Similarly there was a forum poster years ago who boasted about his EE average ticket and was shocked how much lower mine was. He did a great job of selling which I realized he had the time to do since sometime in March I had already surpased what his annual volume was. I think he was about of business in a year or so.

 

[hkim310]

Hey Earl,
Based in your area, what percentage of top washes are you capturing? Do you have customer service advisors outside or are you using auto terminal pay stations? We are currently using pay terminals but have noticed that it is worth it to have people outside to not only help customers with the pay stations but actually promote new services/top packages. I totally understand that answers may vary based on location and demographic but I'm trying to just get an average idea of what is considered a good percentage for top packages sold at a wash. I think I may have read on the Internet that a good "general" percentage is 10-15%?

 

[Earl Weiss]

Hey Earl,
Based in your area, what percentage of top washes are you capturing? Do you have customer service advisors outside or are you using auto terminal pay stations? ?

I do not have pay stations. The loader is the cashier. 5% for the top would be on the high end and the busier we get the lower the %.

We do a fairly large # of Taxis. They get the basic was but may come several times a week.