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New price sign, the good, the bad, and the ugly

Pricing

Kicking this around has been valuable, and I'm building an awareness that my previous approaches were giving away too much time for the $$$. And that I need to re-look and re-price adding CC acceptance at my wash.

My closest competitor is still $1.75 for 4 minutes, and considering that I think the highest rates I am comfortable with posting might be:

$5- 10 mins
$4- 6 mins
$3- 4.5 mins

This would be a 33% price increase at rates below $5, and a 25% increase at a rate of $5.

I re-did the proposed price sign to show these rates, promote the "Insert $5 now" message, and include a "Minimum $2 to start" message.

You can see the sign by scrolling to the bottom of the following site:

http://www.sequoiacarwash.com

Comments?
 
Dear Sequoia:
Your sign needs to be inverted e.g. first show the lowest price start, this may mean more to the customer than your best deal:
in large letters:
$2 for a value 3 minute wash, add coins for more time (consider a red color)
Special Value Deals:
Insert $5 at start for 10 minutes, our highest value rate.
Insert $4 at start for 6 minutes

The 4 dollar deal rate is really the same as the 2 dollar rate. I'd include that as it is and it is good value. People don't sit and calculate but your highest value rate is easy to understand.
You have to market your product in a way that impresses your customer but at the same time you meet your goals.

Do you use quarters or dollar tokens. If you use quarters now, convert to $1 tokens only as soon as you can. Customers like less coins and it makes your life a lot better.
 
Why not do the $4 for 7-8 minutes, most people will see that $4 at 6 min isn't a bargain and perceive being "tricked".
 
blurdgman said:
Your sign needs to be inverted e.g. first show the lowest price start
Click to expand...
I disagree completely with this. With in-bay automatics and tunnels, the whole idea for posting the most expensive wash at the top is for people to see it first and pick that without bothering to read the rest. Sequoia is trying to increase the minimum amount that customers spend. You keep telling him that he needs to present customers a better deal, which is not what he's after.
 
OK then include this:
Insert $4 at start for 6.5 minutes
But dilute any further than that.
I really don't think you should include anything other than the $2 for 3 minutes and the big value deal of $5 for 8 minutes written as I've suggested in my previous post. You don't need anything more. It's all covered well.
Good Luck
 
MEP001
No one is going to spend just two dollars but having a sign "$2"
invokes a good deal. That's the eye catcher. and then under it an even better deal $5 for 8 minutes.
This isn't an automatic or tunnel wash that always has lofty pricing. This is a wash that people want to feel they're getting a bargain for washing the car themselves. That's why it's important to strees a figure of $2 first. That defines a bargain.
 
Again, he's not trying to offer his customers a bargain. He's trying to increase the amount they spend.
 
MEP001:
He's already increased his price at $2 for 3 minutes. He's got competition. The $2 will get him more local business aside from servicing transients. Hardly anyone will actually spend only $2, it's a psychological number that appeals and thereby sets the tone that his wash is very competitive. People know what $2 means but most don't have perception of how much time should be associated with it. When they compare the $2 deal, a basis for their thought, to the $5 deal they'll likely go for the $5 one.
I've said all I'm going to say and I know Sequoia will do what his gut feels.
 
Pricing

This is starting to crystallize and THANK YOU for everyone contributing.

I'm increasing prices more than I otherwise would have, am presenting most expensive options first, but also showing that startup is only $2, and suggesting in large type that BEST VALUE is $5 for 10 minutes.

I agree with Bill regarding the mid-level pricing, and moved the $4 price to 7 minutes from 6.

The cost result is 67 cents/min below $5, which is a 50% price increase. At $5 spent, it is 50 cents/min which is a 25% price increase.

I think it's really close now, and I believe I used something of value from virtually everyone who contributed. You can view the latest iteration of the sign by scrolling to the bottom at:

http://www.sequoiacarwash.com
 
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