Bug Prep!

[TEEBOX]

All,

Out of curiosity, as an operator I was told that prepping for bugs was a value added service that should be free for all customers.

I do not charge now but I do inform the customer that I will not apply the bug gel on express washes!

Your thoughts since bug season is around the corner!

 

[robert roman]

Value added is difference between price and production cost or unit profit.

So, giving away the cost to prep for bugs would reduce margin and profitability.

If bugs happened all year round, removing them would be a standard practice and production cost would embed in price.

For example, in my area of Florida, love bugs occur in spring and fall and last for several weeks.

If car is really blasted, removing love bugs takes time. It also leaves a real mess and stinks.

No one in my market is hand prepping bugs at in-bays, so why give it away for free.

I have clients charging $2.50 to prep high impact areas and wheels.

 

[JMMUSTANG]

Another argument could be by using bug prep on all the cars that need it, by pleasing all the customers, your wash volume could rise exponentially therefore far exceeding your cost of goods, labor, the added $2.50 charge you might get, etc.
Leading to even more happy customers and profits.
We in this industry (express wash) seem to give a lot of services away free to promote business, such as free vacs, towel use, window cleaner, mat machines, etc.
Or instead of charging an additional $2.00-$2.50 as an option I would include it into the next package up from the base wash. This is what I do and it seems to work great.

 

[MEP001]

Have you considered a "Free bug prep during bug season" promotion?

 

[robert roman]

“We in this industry (express wash) seem to give a lot of services away free to promote business, such as free vacs, towel use, window cleaner, mat machines, etc.”

Let’s see, my express operator makes $60K from prep less investment equal $50K NOI.

“Free” investment is vacuum system ($90K), mat machine ($5K) plus cost for towels (and laundry if not disposable), solution, spray bottles, trigger guns and shrinkage.

Income generated directly is zero.

If average sales are $7.50, 13,333 cars would be needed to generate $50K NOI less the cost of the “free” investment.

This means even more cars would need to be washed to match return of charging for service.

 

[hkim310]

We are a flex serve car wash and we currently do bug prep for free during bug season. Our bug prep consists of our loader using a hand held sprayer to spray bug remover on the front bumper and windshield before he sends the car through the tunnel. What exactly are you all doing for bug prep.....just spraying solution or actually scrubbing down vehicles?

 

[JMMUSTANG]

We all know the express wash concept of giving away FREE certain services helps wash volume.
I find it funny though you preach the express wash concept with this comment.

“Free” investment is vacuum system ($90K), mat machine ($5K) plus cost for towels (and laundry if not disposable), solution, spray bottles, trigger guns and shrinkage.

"Income generated directly is zero."

My point exactly.

"If average sales are $7.50, 13,333 cars would be needed to generate $50K NOI less the cost of the “free” investment.

This means even more cars would need to be washed to match return of charging for service."


More customers purchase the next wash package up by adding the bug prep to the next price point above my lowest price point (thereby suggesting to customers a higher value in the next tier option(s)).
No additional cars necessary to recoup the cost. Any additional cars are a plus.
My total averages far exceed the $7.50 mark.

All I'm saying is that there are many ways to peel an apple.

 

[robert roman]

“All I'm saying is that there are many ways to peel an apple.”

Absolutely!

However, by bundling bug prep service into package wash, it becomes mandatory rather than something the customer chooses based on their needs.

For example, bugs are only an issue in my area for about two months out of the year.

$7.50 is ICA 2012 census number. Benchmark is around $8.50. Most of my clients average over $10.

Like express, unlimited is basically an equipment solution.

Self-pay terminal, central vacuum, RFID and software is a lot of investment to give stuff away and discount core product.

Next up, license plate recognition and so what happens to RFID, etc. Buy new equipment is answer.

So, charging $2.50 for assisted-service is marketing tactic to grow average per car revenue and give customers more choice.

I guess you could call this is making money the old fashioned way.