Middle eastern operators

[mac]

Well this should either get people to hate me again, or resonate with many of the service people who visit here. At least this time I'm not bad mouthing Muslims. In Florida many of the C-stores and gas stations have been taken over by middle easterners. I have yet only met one that I considered a decent businessman. Let me list some of the things that they do that I find irritating:
1. No matter what price I quote them, it's too high.
2. They can't seem to understand why I charge for travel time.
3. Many have to be chased down to collect.
4. Most don't seem to care if something on the wash isn't working.
5. They have absolutely no loyalty. If someone comes along with a $5 better price on soap or service, they take it.
6. And the best one, many seem to mop the floors with those smelly urinal cakes.
Call me prejudiced if you like, but travel down central Florida and see what I mean. And God forbid you need a motel room in one of these small towns.

 

[Mitch]

Yes Mac, it is impossible to do business with them but an absolute pleasure to compete with them. I wish they would buy all of my competetors' washes!

 

[bigleo48]

Same thing up here in Canada. I think you'll find that it is the way they do business back home.

 

[rph9168]

My grandfather owned his own business and I always remember that he used to say if someone is worried that you are cheating them they are probably out to cheat you. The majority of the middle eastern operators are very difficult to deal with and I suspect as someone already mentioned that in their homeland the standard business practice is to cheat each other as much as you can get away with.

I know several distributors that will only service and sell these types of customers on a COD basis. If they refuse he lets his competitors have the headaches. Most of them feel that any potential loss of business is worth the lack of needing to hassle with those who are always complaining about almost everything you do then never paying on time.

 

[Waxman]

I heard the Lithuanian operators can be trouble, as well.

 

[rph9168]

At the risk of sounding xenophobic, most people coming from foreign countries have a different outlook on how to conduct business in our country which often makes things difficult.

 

[Whale of a Wash]

Mac - you are right. I have renters from the middle east and they think every one is out to screw them--Mainly because thats what they all do-- try to screw each other. They are tighter than birch bark. I was just down to florida, as due to the economy, picked up a place at a bargain. Every gas station is owned by people from india.

 

[pitzerwm]

I think that I have finally figured out why a lot of people from other cultures don't do a lot of or any maintainance. In most of those countries the political situation is such that every 4-6 years everything changes and you could be put out of business, go to jail or be killed. So why invest in the future. They never seem to figure out that it isn't that way here, or at least it wasn't until now.

 

[mac]

A couple of months ago a guy named "Ray" called my office and wanted to discuss his wash operations. He sounded like a reasonable businessman, and the locations he just bought were ones I knew needed a LOT of attention. Great I thought, let's get together, go through each, and come up with a plan to make them into decent washes. Turns out he wanted me to do all the investing and upgrades, and, here's the best part (a little drum roll), I could share in all of the revenue! I sat there in almost stunned disbelief. He was asking me to invest around one million into his poorly run, smelly, dirty locations so I could share in the revenue. Some of these locations are soo bad that you could put in the most expensive new automatic, sell the wash for a buck, and give them a cup of coffee or a free beer, and they still would not have the volumn that could lead to a profitable operation. I feel better after seeing your responses in that it's just me seeing this. The real shame is the public now has a pretty lousy view of our industry.

 

[MikeV]

Thank God I will be retiring next year, but as far as dealing with mid-easterners, When they call for a quote or service or to buy equipment, I highball the price by at least 10%, stand firm on the price and if they but it, fine, if not...no problem, I won't have to deal with the hassles. Even of they do buy, its always a problem getting paid...ruber checks, tracking them down to get paid, haggling over the price etc. My brother who has a very good insurance/investment business in Pittsburgh refuses to deal with them...at all...ever.

 

[robert roman]

Mac,

I wouldn’t know if you are prejudiced or not, but you certainly have drawn a stereotype.

The gasoline and convenience store industry in Florida is proliferated with small, independent operators as one-store business or franchise. Virtually all of them lease their facilities.

Most of these folks come from a culture of selling goods, bartering and haggling.

Are they good businessmen? Depends on how you define good? The major gas/c-store chains seem to be good businessmen but are they good car washers? No.

In my dealings with this crowd, I would say maybe half have a genuine interest in the car wash business.

Unfortunately, many of the car wash facilities at gas sites in these markets reflect the general state of the industry here, about 10 to 20 years behind the times. For example, in-bays that don’t accept cash or credit card payments at the entrance of the wash-bay.

Many of these washes have had the life sucked out of them and need a lot more than a fresh coat of paint and a smile. Most need re-loaded, upgraded POS, signage and bay panels as well as adopting modern car wash retailing strategies.

I just don’t see many of these operators biting the bullet to do this given the economy and difficulty in obtaining financing.

If you can overcome this, there is money to be made.

 

[mac]

Well put Robert. It seems evident that the sterotype I've described operates all over the place. These particular operators generally lease the locations and have the entire family running the places. I've reached the age in life where I don't really care if I offend strangers. I just call them as I see them. I just can't understand why some small portion of them don't realize that if they implement some or all of the things you suggest, they will amke more money, and gain some respect.