IBA pricing percentages

[slash007]

I focus on profit as well, but if I'm charging $8 for a wash, you get a dryer at that price everywhere else in town, so I don't think it would be a wise move. Demographics and competition play a major role in pricing and will vary by area. I wish I could dictate the market.

I have been thinking about it and think that I will go in one of 2 directions:

Option 1 - 3 wash packages set at $8, $13 and $18

$8 wash is basic.
$13 wash adds side blasters, underbody, TF and Rain-X
$18 wash ads Lava and Tire Shine

Option 2 - 4 wash packages set at $8, $11(maybe $12) $15 and $18

$8 wash is basic
$11 (maybe $12) wash adds side blasters, under car and TF
$15 wash adds Rain-X and Lava
$18 wash adds Tire Shine

Thoughts on those two options? Also, for option to, would it be better to go to $11 or $12 for second wash package?

 

[I.B. Washincars]

I definitely would not offer dry on the cheap wash. McDonald's doesn't put cheese on every burger because most people want it. They charge extra for it. You want it, you pay for it.

Another thing is the time. Drying takes longer and some people are in a rush. Heck, I don't even have to pay and I often get the cheapy to get on the road quicker. As long as I can see out the windshield and my truck doesn't have globs of mud hanging off it, I can deal with it. I'm sure I'm not the only one with this attitude.

 

[washnshine]

Here is what I am competing with: https://www.timetoshinecarwash.com/locations/kentucky/richmond-road/
and

Unlimited Car Washing and Free Vacs - Rainstorm Car Wash - Lexington Meijer East

The Lexington Meijer East location is located at 1821 Alysheba Way Lexington, KY 40509. This locations offers Unlimited Wash packages, free vacuums, and much more.

rainstormcarwash.com

I looked at the wash packages at these two washes - - there is so much redundancy with all those options - rain repellent, thunder foam, rainbow wax, lava , etc.
Layering all of those products on top of each other doesn’t make much of a difference, if any - but that is what drives those prices up. A high quality carnauba and/or TVP will shine and repel as much as a car can be shined in an automatic wash. Anything else on top of that is for show and to drive package prices up.

 

[slash007]

I definitely would not offer dry on the cheap wash. McDonald's doesn't put cheese on every burger because most people want it. They charge extra for it. You want it, you pay for it.

Another thing is the time. Drying takes longer and some people are in a rush. Heck, I don't even have to pay and I often get the cheapy to get on the road quicker. As long as I can see out the windshield and my truck doesn't have globs of mud hanging off it, I can deal with it. I'm sure I'm not the only one with this attitude.

I see your point, but my dryers are not on board, so many people just speed through them anyway.

 

[Roz]

We offer 4 wash packages from $7 to $16. Initially did not include the dryer on the lowest package 1 ($7) wash and we have standalone dryers with elephant trunks. People complained to me in person or called to say the dryer was not working. We added dryers to the the lowest package. Looking at our usage data people usually select package 2 for $11 since that adds the wheel blasters and under carriage, or package 4 for $16 which adds the Carnauba Wax. Package 3 with lava flow is at $14. 50%+ of our washes are package 4 so we might consider raising the price to $17 but will wait for that change.

I would go with option 2 but make Tire Shine the $15 package and Rainx & Lava the $18 as Rainx is something people would seek. Nice thing about not being a franchise is that you can make your own mistakes without someone else making them for you!

 

[DiamondWash]

This is our menu for the Touchfree that we are in the process of redesigning to a 3 wash package menu and most of our customers are choosing the $10 because as they say "it has all I need".

 

[slash007]

Appreciate the advice. I remember getting so many calls about the dryer and so many arguments with stupid customers that it wasn't worth leaving it off the bottom wash. For $8 I feel I need to add it in my market anyway. Not only did they not read, some would insist that they bought a wash with the dryer and that the dryer just didn't come on. I know they are wrong, but I still have to check then call them back etc.

Regarding packaging, I have considered making tire shine on the $15 like some of the competition, but I actually have people that get the cheaper wash so that they don't get the tire shine. Since mine are in an IBA setting, they go towards the bay when they activate and several people are scared to drive through them. They don't believe that the tire shiners will spread apart as they drive through and think they will run over them. Others insist their car is too low or too high. I actually have at least one customer a month that sees them for the first time then backs up and leaves. Happened in the winter once and I didn't catch it for 3 hours. The soft gloss froze as both doors stayed open since the customer never exited properly and opened the entrance door after the wash to back out.

Would you go $11 or $12 if doing 4 packages?

Diamond, what is your 3 package pricing/features going to look like?

 

[soonermajic]

That should be fine as long as you price accordingly. You might want to check with your power company and see if they do a demand charge. For a while we were getting dinged about a dollar every time the dryer motors started up even with them staggered across 14 seconds.

Myles, i certainly may be mistaken, but im thinking Tx is the only State that really jacks up your rates, based on a 'demand" charge.
I had a small low volume wash, & was charged at the EXACT same rate as Dallas Cowboys stadium!!! In other words the highest rate allowed by Tx law. I even spoke to my State rep about how unfair it was. It had something to do with our "power to choose"
What a crock of $hit

 

[MEP001]

i certainly may be mistaken

That's the only part you got right.

 

[OurTown]

We checked out a wash that was near where we were buying some used equipment last week. The menu pricing for the friction wash was $11, $12, $13, $14 and the bottom two did not have a dryer. Seemed a little strange to us.

 

[jubalr]

Interesting reading about the dryer feedback. On my 2 IBAs the bottom wash does not include the dryer, just PS, wash, rinse, RO. I have yet to have a single customer mention that they didn't get the dryer.

 

[soonermajic]

That's the only part you got right.

Hmmm, well I also own washes in Okla, & there's no "demand" charge. Guy I bought them off of has 4 washes in Arkansas & 1 in Louisiana & he says there aren't tiered demand charges there either.
So looks like I got some of it correct. But thanks for taking Robert Roman's place on here & being a smart A$$ know it all.

 

[MEP001]

Hmmm, well I also own washes in Okla, & there's no "demand" charge. Guy I bought them off of has 4 washes in Arkansas & 1 in Louisiana & he says there aren't tiered demand charges there either.

You were paying the highest rate allowed by law because of a demand charge.

 

[soonermajic]

You were paying the highest rate allowed by law because of a demand charge.

The people who are on this site are not just from Texas. State Corporation Commissions, governed by their legislators, are who sets electricity rates. "Demand" charge is liken to a scam, in Texas, placed on us because we have the freedom to choose our electric providers. This scam is not perpetrated onto customers in other States. But Im sure you knew all that, just like you always have a better idea than anybody else does on here.

 

[mac]

Just put in a new auto but kept the old WS2 with 4 options. I offer two friction and two touch less washes, a basic and a top for each. $10 for basic and $15 for top.

 

[DiamondWash]

I found this story interesting may or may not pertain to the carwash industry BUT their so-called comeback strategy seemed to be the last nail in the coffin.

MoviePass will shut down for good on Sept. 14

The company informed subscribers that it was ending the service because its "efforts to recapitalize MoviePass have not been successful to date."

www.cnbc.com