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Lobby Profit Center

hkim310

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Does anyone currently have or know of a wash that utilizes their lobby as a profit center other than just as a waiting area that sells impulse items? Has anyone or do you know of a wash that uses a franchise in their lobby (Krispy Kreme Donuts, Aunti Ann's Pretzels, Chick Filet?) We're looking to add a profit center to our lobby that can almost stand alone apart from the car wash.
 

rph9168

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I would only do it if it can be watched carefully. It is almost an open invitation for shoplifting if you can't keep a good eye on it. When we had it we sold a lot of greeting cards and snack items as well as beverages. Stay away from soda fountain drinks. Stick to bottles and cans. Unless you can get those food items you mentioned on consignment stick to prepackaged items that can also be on consignment. Profit is lower but fewer headaches. We also had a coffee machine that sold well but was a nightmare to take care of. I think in some states you need a food license for selling anything that is not prepackaged.
 

MEP001

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I'm sure most states require a food licence and health department inspections if any food is prepared on site.

IMO it would make the most sense to serve something people can sit down and have for lunch while their car is being washed/detailed, especially if you have enough parking for people to come in just to eat.
 

rph9168

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I have known several washes that have tried but to my knowledge no washes that tried to serve sit down food have been successful with it. That doesn't mean there are none but in all my travels I haven't seen one that was successful. In addition to the headache of needing more employees and the hassle of preparing and serving food the last thing a conveyorized wash wants is customers tying up the wash while they eat.
 

robert roman

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“We're looking to add a profit center to our lobby that can almost stand alone apart from the car wash.”

In Mississippi, $250K fried-food concession makes twice the money of $500K carwash investment.

Reason selling fried “fat” works is because over “35 percent” of adults in Mississippi are obese.

Another reason it works is food services is a good fit with the organizational culture of the firm, convenience store and gas.

Another reason it works is most c-store/gas might see 1,000 customers a day.

Another reason it works is taste. Fried okra is “big” in Mississippi, Tofu croquettes (soy bean), not so much.

Physical design also has bearing on profit center size, layout and implemented products.

For example, donut mini-kiosk (self-serve) only takes couple square feet of floor space and is filled every morning by route driver.

However, most franchise require concession stand (hundred’s SF) to get numbers.

Of course, if you want to sell donuts, coffee service is a must.

So, there is quite a lot that goes into determining what might work best.
 

hkim310

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robert, what is the name of that car wash in Mississippi?
 

robert roman

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“….name of that car wash in Mississippi”

Not carwash but convenience store chain, Dodge’s Stores.

I hesitated naming because it may be relatively easy to copy-cat what someone else does but it’s often difficult to duplicate their success.

For example, I operated a carwash in Roswell, Georgia where the lobby did over $100K in greeting cards alone whereas a sister site further south would barely sell $25K.

A carwash located near strip center or shopping mall might sell zilch.

Plus, there is now the internet with DIY greeting cards, apps, etc.

Additional profit center is no different than wash. It begins by solving location problem.

What is public need and is there unmet demand?

People need tires so their cars can move. So, how many tire stores are there, how many people buy tires online to save money. And so forth.

So, maybe the unmet demand is not tire store but rather service to mount and balance tires because new car dealerships and tire stores tend to soak people who buy tires online.

People like to eat.

So a safe bet for most carwash with lobby is gourmet coffee service and warm cinnamon buns.

You don’t need a license to sell coffee or pre-prepared pastry from a bakery.
 

Uncle Sam

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I do have a little knowledge of a remodel and conversion of a full serve lobby from an attended lobby/store to a non-attended facility here in California. For many years I have known and worked with the operator who conceived and built this conversion of his full serve lobby into what one might call a separate profit center. He is a second generation washer who operates a number of self serve sites as well as the full serve wash.

This conversion took place during the first quarter of 2015 and I visited the finished remodel in May when I delivered two big ShurVend vending machines as part of the new lobby equipment. One was a Visi-Combo refrigerated machine with three special drink trays and the other one was a 51-selection machine just for car wash products. The vending machines were equipped with Mars bill validators with bill recyclers to return $5 bills in making change, Mars changers, and a credit card system so the customer can use any form of payment.

The old lobby had been converted into a beautiful facility offering wash customers more of a “lounge” atmosphere. The furniture is beautiful, overstuffed couches and chairs that are very much “like home”, 4-5 big TV monitors, free coffee, free Wi-Fi, and, of course, the two vendors to provide drinks, some pre-packaged food, and many car wash products to the customers in the “lounge”. The operator recently sent a text to me stating that the two vendors had just passed the $15000 mark in sales. I looked up the date that these vendors were put into service and texted the operator that the $15000 mark was achieved in 39 weeks. The operator was very happy with these sales figures since it was done with out any store staff and he eliminated the problem with car wash products “walking off” without payment. He also mentioned that the “old Store” was a constant source of aggravation to keep it staffed and consumed considerable management time. As a consequence of these problems, he didn’t feel that the old lobby made much of any contribution to car wash profits.
Cont'd
 

Uncle Sam

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The operator has received many compliments from customers about the changes he made and his management efficiency has increased greatly. I would have to say that the concept and operation of the “lounge”/lobby described above would satisfy the proposition that a full serve lobby or store can be turned into a stand alone profit center on the wash site as well as creating very good customer amenities that are great P.R. for the business.

Uncle Sam :):)
 

rph9168

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I know that Auto Bell only uses vending in their walk ways and they have no cashier. Money is collected at the beginning of the tunnel. They have been doing that for years and it seems to work well for them. I am sure they save money with no cashier and the problem of shoplifting is eliminated.
 

Bob C.

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hkim310,
It's South City Car Wash in South San Francisco, Ca. Please come and visit or give me a call, it has worked out very well for us, the customers love the lobby, and free specialty coffees, we sell car fresheners, snacks, candy cold drinks,ect. we have 5 55" HD T.V.s
and free Wi-Fi Customer response has been very positive.
 

parsonii

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we sold 480 dollars today in cards and candles and soap. stationary is getting to be huge.
 
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