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Rewarding Top Customers

rph9168

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I am working on an article for one of our trade magazines about rewarding top customers. Do any of you have and ideas or existing programs to identify and reward customers that frequent your wash on a regular basis? Could you get information from credit card information to help identify them? If you would agree I would identify your name and wash in the article.
 

BBE

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Well, for us self serve guys it's a bit more difficult. But we installed a system similar to wash carda few years ago called wash remote that lets us do a loyalty program exactly as you said, tied to the customers credit card.

They sign up on our website and register their name, phone number, birth date, and the last 4 digits of their credit card. Once they sign up, they immediately get an email/text message telling them that their next carwash is free for signing up. They can then take the credit card that they registered the last 4 digits of and swipe it in any of our bays or our IBA's, and they their wash is free. From there, we have many options. Our system will email/text them and remind them on their birthday their wash is free as well when they use the credit card they registered. We can set up a discount day for members who have registered their card as well. For instance every wednesday if you use your registered credit card you get 20 percent off. Also, every time they use their card normally, it starts a count of how many times they have used it. On the 10th time they use their card, their carwash is free. The text messages tell them when they are getting close to the 10th one so they know when they are getting their free wash. Basically it's a way to do a punch card for a place that isn't always staffed.

It's probably one of the best systems I've seen that offers something for the self serve operators. I'm sure guys with fully attended washes/tunnels will have plenty of great answers as well.
 
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Earl Weiss

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Being Low tech, they can get a discount by being a good customer which requires purchase in Bulk. For the Tunnel they buy wash ticlets and for the SS I sell Coinco accepter coupons.
 

Overachiever

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There is a service called Belly (https://www.bellycard.com/) that I've seen used in some 7-elevens and restaurants. Seems like it would probably work for full service, since it's an iPad you'd put near your checkout.

It's similar to like the qdoba card or panera bread card that gives you specified rewards after you've earned X number of points.
 

MudMoney

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Also being an attended ss,I know my regulars and reward wash tokens as the mood strikes me.I sell tokens in bulk with a $75 minimum less 10%.Last thing I will do is reward a muddy pick-up customer,just give him the shovel.I give several washes away to customers with new vehicals by way of tokens.
 

Earl Weiss

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Loyalty programs are all the rage. At the end of the day is there a ROI? Particularly for the best customers. Best customers are coming anyway. That's why they are the best. So, why give up some $ for them. I know it's always great to get something for nothing or whatever. But, still, will it increase frequency of those that are already the best?
Seems more logical to try to encourage frequency from those that are not the best.
 

Waxman

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i admit i am too giving with extra tokens and discounts on washes. i am curbing my behavior in an effort to earn more with the wash bays.

we have a discount every tuesday; our $12 touchfree wash is $8 (sold by tokenote). i am beginning a policy of 'limit 1 per customer' which seems like it should be obvious but folks come in wanting 3 at a time etc on the discount day. i had been inclined to take their money and think of it as rewarding loyalty; what it really is is people trying to game the system.

on ss side, i offer bulk discounts on tokens. i recently raised the price to $3 to start (up from $2). the only person to seriously complain was the customer i give the best deal to on tokens (he has a small dealership). i told him :' you know... you get the BEST price of anyone on tokens...' that ended that complaint session.

what i am getting at is; you can be the nice guy in business but not a pushover. your loyalty/rewards should be good but not great because people will try and scam you if you leave a loophole. sad but true. i cut all my discounts back for 2015 and raised prices across the board because i need to to stay ahead of expenses.
 

rph9168

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Anybody else find this thread to be an example of “stealth marketing”?
I don't own a car wash and do not work for a marketing firm. I have been asked to write and article and wanted input from operators on successful programs to reward their top customers. Unlike many that write articles I do not want to deal with theories or wild ideas. I want to include concrete examples for operators that read the article to use.
 

rph9168

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Since you don't own a wash , what is your connection to the industry?
I have been involved in the industry for over 35 years as a distributor, executive with several very successful chemical companies and owner of a detail and car wash company as well as have written numerous articles for the trade magazines and participated in many seminars for the ICA. I am pretty much retired now but stay in touch with people I know in the industry. I have always loved this industry and have started many of the people in it out in their career. I still do some occasional consulting usually at no charge since I feel that I owe the industry a lot. My only ulterior motive is to help operators become more profitable and share what I have learned with them. I feel pretty confident if you talked to people that know me or I have worked with would agree. I started this thread because I was asked to write an article on this topic and want to do the best job on it to help operators or at least throw out some successful programs and ideas.
 

MEP001

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Loyalty programs are all the rage. At the end of the day is there a ROI? Particularly for the best customers. Best customers are coming anyway. That's why they are the best. So, why give up some $ for them. I know it's always great to get something for nothing or whatever. But, still, will it increase frequency of those that are already the best?
Seems more logical to try to encourage frequency from those that are not the best.
I've always felt that car washes, particularly self-serve, get the most advertisement from word-of-mouth. Those best customers will notice and appreciate over the top extras, and they'll be telling their friends and family.
 

Waxman

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I have been involved in the industry for over 35 years as a distributor, executive with several very successful chemical companies and owner of a detail and car wash company as well as have written numerous articles for the trade magazines and participated in many seminars for the ICA. I am pretty much retired now but stay in touch with people I know in the industry. I have always loved this industry and have started many of the people in it out in their career. I still do some occasional consulting usually at no charge since I feel that I owe the industry a lot. My only ulterior motive is to help operators become more profitable and share what I have learned with them. I feel pretty confident if you talked to people that know me or I have worked with would agree. I started this thread because I was asked to write an article on this topic and want to do the best job on it to help operators or at least throw out some successful programs and ideas.
Ron Holub is a very kind man who has always been generous with his time and knowledge.
 

Ghetto Wash

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I have been involved in the industry for over 35 years as a distributor, executive with several very successful chemical companies and owner of a detail and car wash company as well as have written numerous articles for the trade magazines and participated in many seminars for the ICA. I am pretty much retired now but stay in touch with people I know in the industry. I have always loved this industry and have started many of the people in it out in their career. I still do some occasional consulting usually at no charge since I feel that I owe the industry a lot. My only ulterior motive is to help operators become more profitable and share what I have learned with them. I feel pretty confident if you talked to people that know me or I have worked with would agree. I started this thread because I was asked to write an article on this topic and want to do the best job on it to help operators or at least throw out some successful programs and ideas.
If I was in the market to hire a consultant, I would definitely give you a crack at it. I appreciate your contributions to this forum.

There are other consultants on this forum that just throw out jargon that I would never hire.

As far as promotions or rewards, I don't do anything. My customers (SS) are rewarded with a wash that they can rely on and everything always works.
 

Washmee

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Thanks Ron. I didn't realize who you where Based on your user name. If you jog your memory banks, I think you will remember me from meeting you at the ICA convention.. I was the President of the Ohio Car Wash Association at that time. As far as loyalty programs go, I offer a 10th wash free program and most of my best customers take advantage of one of our monthly wash programs.
 
Etowah

rph9168

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I do remember you from the Show. I enjoy going to the show and meeting operators and discussing how they are doing. I learn a lot from them. I have always been an operator at heart and admire those that are successful in the business. I found the best ones to be jack-of -all trades around their wash and willing to work hard to achieve success. My first experience with car washing was many years ago at my uncle's wash when I was a teenager. He overpaid for an under performing wash and he refused to give up. His wife and him worked 7 days a week for the first three or four years and eventually the wash was profitable. I learned a lot about perseverance in this business and what it takes to be successful from him. I was also fortunate to learn from people like Harry Mathews, Sonny Fazio, John Jurkens, Leon Marx, Red Lewis, Ron Peterson, Jack Flapan, the Belangers and many others that have made significant contributions to this industry.

In today's market I think we are seeing a "thinning of the herd" which happens from time to time. Usually operators fail because they really shouldn't have even entered the car wash business and aren't often willing to do what it takes to be successful. That is why I am always willing to help operators that ask my advice or write articles that may prove helpful for an operator that wants to continue to improve and succeed. I think I owe it to car washing to help an industry if I can that has been a part of my life for a long time.
 

cantbreak80

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Ron,
I spent many hours on several business-related occasions with you. Please accept my apology for my conspiracy-theorist post.

It just seemed funny to me that after the forum had been quiet for 4 days…and within 7 minutes, your post was responded to with a fairly descriptive low-down on a “perfect fit” system. A “Hey Ron, ask a question so I can tout my product on the forum” kind of thing. Especially since it would have taken me at least 25 minutes to write that response!
 

robert roman

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“Anybody else find this thread to be an example of “stealth marketing”?”

Yes, I do because I do the same thing in other fashions except I don’t believe I throw stones in the process.

“In today's market I think we are seeing a "thinning of the herd" which happens from time to time.”

More than a thinning out I’d say. IBISWorld described carwash industry as wrecked. Others including me have written about the magnitude of it. I haven’t seen any of it disputed. And no one really likes to talk about it because industry is growing slightly.

“Usually operators fail because they really shouldn't have even entered the car wash business and aren't often willing to do what it takes to be successful.”

Who sold them the equipment and lent them the money?

I like helping people too even if means telling them what they don’t want to hear.
 

rph9168

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Robert, there have been many occasions when I found myself trying to talk someone out of building or buying a wash. There are just some times people are bound and determined to do it. While I have seen some distributors oversell equipment ultimately if the customer says they are going to do it and if they don't want to sell them the equipment someone else will not many distributors would walk away and I can't fault them for that.

As far as lending the money I have found that for almost the last decade or so banks are not too anxious to lend on any wash unless there is a lot of collateral and a very sizable down payment. Even with those factors I have seen banks that will not lend money on a wash or restaurant under any circumstances.

I am not sure that the industry is wrecked. I think it is more like settling in after a boom. The problem seems to be that while the pie has not grown significantly the pieces have gotten a lot smaller. We all know that there was over building in many areas. Here in Atlanta some relatively new sites have been knocked down while others sit vacant. The thing I find strange about that is that there are actually still some pretty good sites in places out there that could succeed.

I think part of the problem is a combination of panic and a lack of understanding of the market on the behalf of the manufacturers and a disconnect between them and their distributors that has caused some of the issues. In today's car wash world there is almost no loyalty between manufacturers and distributors. There are very few exclusive distributors out there. Manufacturers in many cases have begun either selling direct or offer their products to anyone that wants to carry them. If has forced many distributors to carry multiple lines and has negatively affected their ability to install and maintain what they sell. In addition many manufacturers have cut back or eliminated field support and even some technical support which not only affects distributors but operators as well. Hopefully things will eventually settle down but for now I see a lot of disconnect between manufacturers and distributors that is having a negative effect in our industry.

I don't think anyone expects the boom to return. We are now in a transition period that seems to be never ending at this point. When it will end or settle down who knows but I think we all hope it is sooner rather than later.
 

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I still use the old wash card system that is self contained. If people pay $300 they $450 worth of washes. Everyday token prices are buy 4 get the 5th free. I run xmas gift paks of tokens that give 40% free. In the SS bays if a person uses a $5 bill they get 10% extra time and if they use a $10 they get 20% more time. As far as new washes being built around me it is all with inherited money and the owners have done no due diligents or pro formas as far as I can tell.
 
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