Had the opportunity to go to the SECWA trade show in Orlando, and decided to drive down Hwy 27 in central FL on the way home. Naturally I stopped by most of the washes to see what business I could stir up. I can guarantee you that these places were not on the official show tour. Most of the places just looked worn out. Dirty lots, weeds growing all over, badly worn signage, electronic displays so faded you were not sure they were even on. Some washes closed, one even a newer express wash with self serve bays. There were only two out of maybe eight that looked normal, and of those only one whose automatic was actually washing cars. (It was an Istobal by the way.) Seems the owners are falling into two classes. The first just doesn't give a hoot. The others, the minority, still care and seem to be making a profit. I was just somewhat involved with the potential sale of a local wash, an automatic with 6 ss bays. The automatic hasn't worked in at least 6 months, and it wasn't doing a good job when it was. Out of 10 vacs, maybe 4 were working. Then the owner accused the buyer of being a bottom feeder for offering a fair value based on the actual numbers. Man, the glory days are gone.
A snapshot of our industry. It ain't pretty.
- Thread starter mac
- Start date
Mac, I couldn’t agree more. There are a lot of car washes up here that in the same situation and it’s really sad. There are a number of operators who would like to retire and have made rumblings that there car washes are for sale or have listed there properties, none of them have sold. I think the problem is a lot of the operators have gotten to the point that they are just going through the motions and not reinvesting in the businesses and they have slowly deteriorated to the point that business falls off. The glory days of the car wash business are long gone.
Overachiever
Active member
I bought one of these car washes that looks like the owner hasn't reinvested in the business in a long time. I'm not located in the greatest neighborhood and the competitors around me are at least as run down looking as I am.
That being said where would you start with the renovations to bring it back? Equipment upgrades or building / lot appearance?
That being said where would you start with the renovations to bring it back? Equipment upgrades or building / lot appearance?
Waxman
Super Moderator
Waxman
Super Moderator
Then there are the snapshots that you love.
Example: Jimmy Jaffa's Carbux in FLA.
What an amazing, awesome and inspiring wash to be at and experience.
He's at the wash, cares deeply, has a great way with the employees and customers and is a top notch operation in motion.
Example: Jimmy Jaffa's Carbux in FLA.
What an amazing, awesome and inspiring wash to be at and experience.
He's at the wash, cares deeply, has a great way with the employees and customers and is a top notch operation in motion.
Eric H
Well-known member
This is what I see over and over. The washes that are doing well have been updated consistently over the years. All (or most) have Credit card, inbay bill acceptors, and plenty of functions (air dryers, premium waxes, etc).
For myself, I have a rule that nothing is allowed to be broken. This means having enough spare parts to have 100% of the equipment working 100% of the time. While it is a standard that cannot always be met it is what I aim for.
slamdvw
New member
Breaking the reputation of "a crappy, low powered car wash" is tough to break.
The wash I work at, the previous owners let it go to the dumps. Hardly any power from the pumps, building looked like it should have been condemed, lights that either didn't work or were so dim you couldn't see. Of the 6 bays, if three were up and running, it was a good day.
The new owners changed all that, new pumps, new siding and trim for the building, we've put in new lights in the bays and parking lot. We try to get on problems as soon as they come up. Our business is slowly coming up, but it's been tough.
There is also a LOT of competition in this town. Ten washes total, including a couple of tunnels, and SS washes with IBA.
The wash I work at, the previous owners let it go to the dumps. Hardly any power from the pumps, building looked like it should have been condemed, lights that either didn't work or were so dim you couldn't see. Of the 6 bays, if three were up and running, it was a good day.
The new owners changed all that, new pumps, new siding and trim for the building, we've put in new lights in the bays and parking lot. We try to get on problems as soon as they come up. Our business is slowly coming up, but it's been tough.
There is also a LOT of competition in this town. Ten washes total, including a couple of tunnels, and SS washes with IBA.
Thank you guys for the response.(I have often lamented that it is always guys we talk to here.) Anyway, you guys do not fall into the category of those operators who have gone home. This site has attracted a good following of competent business operators. That seems unique. Go to any Craigs List in the rant section and see the dismal mentalacquity that you need to not only run a business, but to be a good citizen. Overachiever, send me a PM or whatever those things are called so that we can talk. I can help you with your decisions. I'v done several and made a happy profit doing so. Have also helped some of my customers do it, and they are happy. It can be done, but there are a LOT of specific questions that need to be answered. Once we know your exact equipment and building status, and demographics, we can show you where you will get the most bang for your buck. And by the way, I do charge for this. But the best part is we both make some money.
Earl Weiss
Well-known member
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1. Get everything working well.
2. Clean up, paint where needed. New decals for Vacs if you have them.
3. Give away a bunch of free washes to get people in. Visit every Library, School, Fire Department, Post office, and other government facility and business in the area with large Parking lots and give out free wash coupons / tokens for use after everything is fixed up.
4. If there is a local Chamber of commerce get their mailing list and send members a bunch of free tickets for their employees and customers.
Greg Pack
Wash Weenie
Yes there are still some good operators out there but there are few good operators in SS/IBA in my area. I'm one of the better ones and admittedly I have gotten complacent over the years. My places need a bit of polish to bring them up to the standards I set for myself long ago. It looks ike those left standing in this market will continue to operate and hopefully thrive again one day. We have survived through attrition of others. Many of my former competitors are gone.
Kevin James
Active member
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The car wash business is like the Laundromat business, slowly dying. Look at the number of manufacturers that have gone out of business in the last few years, same with the distributors. The only way the distributors can make it is to keep suckering more investors into building new car washes, there not going to make it doing service work only. Look at the number of car washes that have gone under and gone back to the bank. Could it be that they don’t make enough profit to pay all the operating expenses and keep the place open. We’ve looked at number of car washes and most are only worth land value, less the cost demolition of the car wash. The last 2 we looked and past on some guy bought of them and so far he’s dropped $175,000 into them above what he paid for them, he’s got one reopened and I very seldom ever see anyone there. The other one is going to break him, it needs a lot more than the first one did. I have a question for the car wash professionals, If you didn’t own a car wash would use the services of one? I know we would use the services of a car wash.
Greg Pack
Wash Weenie
Definitely- most likely an express tunnel
Waxman
Super Moderator
YES. I have used carwashes since i got my learners permit.
Whale of a Wash
5 Washes 36Bays 2Vectors
The positive and negative posts are close together on the ACF. These posts say it is all over with and they are all run down. A couple posts back. Bigleo put his place up for sale and said how quick it sold. He didn't say he had to pay to tear it down and got a poor price.
He said he was surprised how quick it sold! A car wash sale can be high or low- Just like houses some put money into the house and take care of it and it has a higher value, and some neglect it and it will have a lower value.
He said he was surprised how quick it sold! A car wash sale can be high or low- Just like houses some put money into the house and take care of it and it has a higher value, and some neglect it and it will have a lower value.
The washes that I see that are professionally ran, do seem to make money. I think they are just in the minority. Sooo many people got into this after talking to the wrong salesman. For those who think a distributor can survive on service, I have a nice bridge in New York that I'll make you a good deal on. The only new construction I'm seeing is with express/short tunnels. We are replacing a lot of older automatics that have been rode hard and put up wet. The only good thing I see about the badly ran washes is that someone will get a good deal from a bank.
robert roman
Bob Roman
Industry suffered several whammies starting in late 90’s early 20’s.
OEM’s brought in a lot of non-carwash people like new car salespersons, merchandisers, telemarketers and other people with “sales talent” to peddle equipment.
End result, many markets were over sold to “investors” many of which never became actual carwash “operators.”
Gasoline hit tipping point in 2006/2007 which caused big drop in vehicle miles traveled as well as downward trend in gasoline consumption which remains today. Less VMT, fewer traffic counts.
Then we learned carwash industry is not as recession proof as it was sold to investors over a decade ago.
My opinion is the industry is slowly recovering and growth is occuring mostly at the expense of self-serve which has been gutted and continues to be assimilated.
OEM’s brought in a lot of non-carwash people like new car salespersons, merchandisers, telemarketers and other people with “sales talent” to peddle equipment.
End result, many markets were over sold to “investors” many of which never became actual carwash “operators.”
Gasoline hit tipping point in 2006/2007 which caused big drop in vehicle miles traveled as well as downward trend in gasoline consumption which remains today. Less VMT, fewer traffic counts.
Then we learned carwash industry is not as recession proof as it was sold to investors over a decade ago.
My opinion is the industry is slowly recovering and growth is occuring mostly at the expense of self-serve which has been gutted and continues to be assimilated.
mjwalsh
6 bay SS w/laundromat
Another factor
One of the whammies on the self serve side of our industry is when our USA government & media did not eliminate the paper one dollar bill. That can still be corrected ... but a lot of damage has already been done based on "hopefully not just my observations" !!!
mike walsh http://kingkoin.com/USA_Deficit_Reduction.html
Robert & others,
One of the whammies on the self serve side of our industry is when our USA government & media did not eliminate the paper one dollar bill. That can still be corrected ... but a lot of damage has already been done based on "hopefully not just my observations" !!!
mike walsh http://kingkoin.com/USA_Deficit_Reduction.html
robert roman
Bob Roman
I stopped at Gillette twice while careening through SD on vacation.
Nice town but isolated meaning it’s the only large market between Buffalo and Spearfish.
Bad thing about isolation it caps market range for retail stores.
This means you can’t expect more than average profit (same store sales) without intense competition.
However, I saw lots of carwash opportunities while in big sky country.
Mike,
I going out on a limb here - paper one dollar bill will not be eliminated.
Even if it was, it would not make a material difference to self-serve.
Nice town but isolated meaning it’s the only large market between Buffalo and Spearfish.
Bad thing about isolation it caps market range for retail stores.
This means you can’t expect more than average profit (same store sales) without intense competition.
However, I saw lots of carwash opportunities while in big sky country.
Mike,
I going out on a limb here - paper one dollar bill will not be eliminated.
Even if it was, it would not make a material difference to self-serve.
mjwalsh
6 bay SS w/laundromat
Robert Roman & others,
Below should be given its proper weight in terms of consideration since it most certainly still applies & in some ways even more so!
http://www.autocareforum.com/Aussie Trip/cw-australia14.html
When JJJ & Bill Pitzer were in Australia they saw first hand an example showing most certainly that it would be a positive factor based on our fellow self service operators first hand experience in Australia. A fair example ally country ... where the water challenges are even greater than in our country.
Again, what tips the scale ... is the more than proven savings in costs for our USA fiscal situation.
I hope the CAGW & others are successful in their honest efforts to correct the situation without forcing us to put "all our eggs" in the credit card basket.
mike walsh www.kingkoin.com