Exterior wash/towel dry adding express exterior

[wood]

we presently have 2 wash and towel dry locations in the midwest. volume like everybody else in the market has dipped 10%.

i know it has become quite popular and relatively successful for a $12 full serve to add a $4 express exterior.

my question is: would it make sense for our exterior wash and towel dry to also offer this option? presently we charge $6.75/$8.75/$10.75. i was thinking $4 might make sense and has enough seperation in pricing to merit consideration. the gas stations are $5 on average and do a weak job.

i would also consider throwing in free vacuums. was also contemplating only offering this mon-thurs. we probably do 65% - 70% of our volume friday-sunday.

any thoughts?

wood

 

[buda]

Exterior Wash

Offer a straight exterior wash, NO DRY for $5.00 and the other items sell ala carte to not compete with your full service packages and confuse the customer.

Put a large sign on the street saying Summer Special EXTERIOR CAR WASH

$5.00

We did this recently for an operator in the Caribbean and his volume doubled.


Don't give away anything you can charge for, the $5.00 wash will draw them in as you have been perceived as a high priced full service wash I would bet and by putting the $5.00 wash out on the street you will attract those who have never come in before.

Just a few well intentioned thoughts on the subject.

Bud Abraham

 

[wood]

just to clarify, I don't offer a full serve. we are an exterior wash and towel dry facility.

my reference to the full serve was just to illustrate how that market offered a full serve and then went to offering an express exterior. my dilemma is would it also be beneficial to us in offering an express exterior along with our present exterior wash and towel dry.

thanks,
wood

 

[buda]

What kind of volume do you do at the exterior and towel dry per month?

With that I could give you an opinion of an exterior wash only.

Bud Abraham

 

[Earl Weiss]

FWIW, we are in Chicago. EE is $3.50 25 cents extra Fri-Sun., Holidays and day before holidays. (Still may locations in Chicago area that are $3.00) Been 25 cents extra for at least 40+ years at 1st location. No Free self serve vacs, only pay vacs.

No towel dry included but available as an after care option for $1.00 as are all services where a human touches the car.

 

[Chiefs]

Your paying the guys to wipe down aren't you. You know the cars that are dried are cleaner and drier than ones that don't get dried. Dont' go below $5.00, keep up the quality, and don't give them anything else that's included in your higher priced options.
Above all, call it a summer special and remove it this fall.

 

[wood]

volume was 53,000 in '06 and 47,000 last year. this year the weekend business has been the same or slightly better, but the monday-thursday volume is off about 10%

once again my basic wash and towel dry is $6.75. so with some of the input, maybe i will stick to a weekday special of $5. or go $5.95 and include tire shine or rainx, both of which are $2 a la carte items. my tire shine sales are 15-20% presently, so i think it will go over well. since we are at 100 cars a day on these days, the extra labor won't hurt production and such. meaning, i won't add any labor, but existing staff will work a little harder.

I agree only to offer this during the next 3 summer months.

thanks guys.

wood

 

[smokun]

ALWAYS Avoid Devaluing Your Primary Service

You're gambling on a slippery slope when you devalue your primary service (the carwash). Instead, I suggest offering a value-added special summertime service... such as a double-dose of a push-button sealer product that inhibits bugs sticking... or touts easy bug removal. Clearly identify it as a summertime special.

Offering a value-added bonus is much more prudent than attacking the base price of your carwash. Customers always resent getting a discounted offer for a limited time... when they see the regular price reappear for the same thing. "If you could do it then, why not now" mentality can cause quiet damage to their loyalty and previously established purchasing patterns.

Please heed my caution.

-Steve

 

[Earl Weiss]

You're gambling on a slippery slope when you devalue your primary service (the carwash).
Please heed my caution.

-Steve

Agreed about a slippery slope. But, how come no one asked what his competition is like and what they are charging.

Yes I know you can always try to seperate yourself from the competition by stressing service and quality. But to a certain extent we area commodity business. Just ask any Gasoline retailer what happens if his price is 2 cents (Which at todays prices is les than half a %) higher than the competition.

 

[robert roman]

I have to agree with Okun.

Here is an excerpt from my book that expands on his point.

"The value proposition describes the customer problem, the solution that addresses the problem and the value of this solution from the customer?s perspective. In the carwash industry, it is important to understand why customers choose to do business with you. That is the value proposition in your market. It is why customers come to you, not what you are doing to try to get them to come to you. The successful carwash operator does not attempt to create value in a vacuum. They listen to the customer and are responsive to their needs. This is the only way to create true value that will translate into increased profits.

Customer problems may include dirty exterior.... road tar, etc. The solutions that address these problems include customers taking the care of the problem themselves or using a professional carwash.... charity carwash, etc. The value of the solution from the customer?s perspective is the need to receive an economic benefit (I?m getting my money?s worth) and special recognition (they know I?m important)."

Based on my experience, most exterior washes that are not realizing their true market potential "do not" have problems with equipment, quality, process speed or customer service. Usually, the culprit is a disconnect with the marketing function.

For example, every carwash sells soap. People use soap at home to clean and they understand what soap does and its benefit. Most washes sell triple foam. Usually, triple foam is included in a laundry list of "things" that are included in a packaged wash. However, the benefit of triple foam is not self-evident to many consumers. What is it; pretty looking foam, scented soap, a secret substance, etc? In other words, you can improve the value proposition by conveying how triple foam or any other product/service you offer solves the customer's problem.

Bob Roman
www.carwashplan.com

 

[Earl Weiss]

>>>For example, every carwash sells soap. People use soap at home to clean and they understand what soap does and its benefit. Most washes sell triple foam. Usually, triple foam is included in a laundry list of "things" that are included in a packaged wash. However, the benefit of triple foam is not self-evident to many consumers<<<

Heck, it's not even apparent to me. I have it at 3 places and not at one. I have customers that frequent many of them. No on ever mentioned the difference.

I think the biggest benefit is for the solution salesman who sells you 3x as much stuff.

 

[smokun]

The Value Equation Revisited

Earl, et al...

The comparison of using gasoline (a true commodity) as compared to a carwash (predominantly a site-specific purchase), you may be comparing apples and oranges in your analogy.

Instead of focusing on the power of the penny, which I respect and agree with, if there was a choice of octane (a perceived value) for a premium fuel product with one offering 92, and the other 93; that might be a distinguishing feature or benefit to a certain niche.

The lines have all but blurred in the gasoline arena. Brand loyalty has all but evaporated in gasoline marketing, especially with the proliferation of universal credit card acceptance replacing oil company plastic. Now, the only distinguishing advantage in the gasoline commodity is octane, alcohol content and individual reputation. If a station was cited for marketing gasoline with a lower octane... or water in their fuel, that selection perception driven by "confidence" would be the exception to the commodity factor.

I do not subscribe to the conflicted premise that carwash purchasing is driven by impulse, so if the impulse strikes, the consumer will be motivated to pull into the first carwash they see.

Nay, I say; although the motivation to wash the car is often impulse-driven, the decision on where to wash is not. Most consumers have predetermined carwash operations called destination locations where they have established a consumer comfort-zone of confidence. And, yes, when there is no destination location, either a word-of-mouth recommendation or a drive-by decision most frequently made relates to curb-appeal (as it relates to confidence).

So, in your search for a closer analogy, I suppose carwashing might prove a much better specialized-commodity match if compared to a pharmacy where the dispensed drugs are universal... and the individual perception of trust is the prime mover.

-Steve

 

[wood]

thanks for all the feedback. first off earl the gas competition charges $6 for a wash and go exterior compared to my wash and towel dry exterior of $6.75. no doubt i do a better job, as well as i have to. they offer 10 cents or 20 cents off a gallon, so a sense of comparison is a little different. i do offer a $1.00 of coupon.

smokun: i agree about that the devaluation of my everyday pricing and services. that was why i first proposed a discounted wash and go without my traditional towel drying included. there would be hurdles to clear as far as communicating to the staff and towel dryers as to who gets dried and who doesn't. i know it can be done, but it opens up some can of worms also.

i think i have settled on your idea (and bill's) of a summer special. make a package that is different then the others. once again the tire shine represents 15% + so maybe i will include that and rain x.

thanks to all again,
wood

 

[Earl Weiss]

>>>thanks for all the feedback. first off earl the gas competition charges $6 for a wash and go exterior compared to my wash and towel dry exterior of $6.75. no doubt i do a better job, as well as i have to. they offer 10 cents or 20 cents off a gallon, so a sense of comparison is a little different. i do offer a $1.00 of coupon.<<

Lets assumefor the moment you only have this one competitor or others who price the same way.

If he offers an exterior with no towel dry for $6.00 but gives 10-20 cents a gallon off, then according to some distributers I talk to the average gas purchase is 10 gallons. So a reasonably astute consumer now gets the wash for $4.00 0 $5.00 compared to your $6.75.

Your advantage is better quality. Their advantage is the gasoline draw. I will tell you that my 2 locations with gas out draw my others by about 20% in volume. On the marginal days no one comes to the places without wash, but the others still get volume from the gas customers.

Like it or not you are still competing on price as well as quality, and the towel dry will remove certain equipment shortcomings.

Since you have the people on site any way you may figure , heck, let them dry every car. What is you employment cost for this? Is it $40,000.00 per year?
If you cut the price a $1.00 a car and eliminate the towel dry for every car, and eliminate the labor, your revenue loss will about equal your employment cost.

Now, will the lower more competitive price increase your volume? One way to find out. Drop the price and the towel dry and add it as an option. See if the number of people buying the option warrant the continued employment cost.

Maybe a summer special of no towel drying?

 

[Chiefs]

Question.

What automatic car wash takes tar off of vehicles? I keep seeing people mention that a clean car includes tar removal or that customer complaints often involve tar left on the car. So far, I have not found anything other than tar remover or mineral spirits applied by hand to remove tar. So what is being used that can remove tar automatically without totally screwing up ones reclaim system.

As for devaluing the base price? Aren't operators who sell book washes or monthly club plans devaluing the base price of their wash? Why don't programs like this adversely affect customer perception. Ever heard of "early bird specials" for restaurants? It doesn't seem to adversely affect them. The whole purpose of that idea is to get patrons during slow times of the day, isn't it?

 

[smokun]

Sunset Specials...From Ground Zero!

Bill...

South Florida is probably the birthplace for early-bird specials, given our very, very, very large population of 65+year-olds. It's likely the "pre-final resting place" for America's seniors.

Maybe it's still that way in Ohio, but your concept of early-bird specials was replaced quite some time ago... when the conflict of value-incentive had a collision with that same frugal-minded crowd when they showed up too late for the early-bird... and asked why the same thing was being served for a higher price!

So, the sunset special is now very carefully crafted to offer a less expensive price, but for a smaller portion of the same entre... and maybe a little more whipped cream on the Jello.

So, no devaluation occurs here... due to a few tardy minutes difference. Hell hath no fury like an outraged senior being told to pay more for the same thing!!!!

 

[Earl Weiss]

When we were full serve we closed at 6:00. Then an enterprising employee approached us for a night owl exterior special. From 6:00 to 9:00 he would stay by himself, load the cars, sometimes 2 or 3 and run down to theother end to dry them off. Sometimes he would hire someone to stay with him. We worked on a split. After a while people were lining up waiting 6:00. This lasted a couple fo years and then we became exterior , shortly adding after care options.

 

[TEEBOX]

When we were full serve we closed at 6:00. Then an enterprising employee approached us for a night owl exterior special. From 6:00 to 9:00 he would stay by himself, load the cars, sometimes 2 or 3 and run down to theother end to dry them off. Sometimes he would hire someone to stay with him. We worked on a split. After a while people were lining up waiting 6:00. This lasted a couple fo years and then we became exterior , shortly adding after care options.

Hi Earl, After reading this post I was curious, do you still offer towel drying as a after care option. Detroit wants towel drying with the cheap wash. I'm really thinking of bucking the trend. ie. tips being stolen, no reliable help at towel dry end, stealing hand applied tire shine, etc. I know I'll probably lose volume but I believe by saving on labor, I will make be more profitable.

I could always slow the line down for the equipment to efficiently preform. Add another set of wraps as well as better drying techniques.