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Survey results for Start-Up-Time-Price Across the Country

UGA

6 Bay SS in Ga
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Sep 7, 2007
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Atlanta suburbs,
1.25 for 3:30. I am about a quarter low on start up but pretty much the same for time per coin.
 

robert roman

Bob Roman
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Clearwater, Florida
I believe that you may be barking up the wrong tree by focusing on the start-up price. First of all, if the changes you have made have not produced an increase in sales volume, average revenue or profit or a decrease in operating expense, then you haven't really improved anything.

You may want to first consider marketing and promoting the wash and then consider what is necessary in terms of production and technology.

In today's economy, most consumers make purchasing decisions on the basis of convenience, time and value. For example, where is the closest store from where I live or work, how much time is involved with making the purchase, how much will it cost and can I buy it right now?

How does your store's value proposition answer these questions in relation to what the competition is offering in your region of influence and retail trade area?

You charge $1.50 for 3 minutes. If your average customer uses 2.3 cycles per wash, purchases a vacuum for $1.00 and one vending item for $1.00, the total cost to wash their vehicle would be $5.00 plus the cost of their time to complete the work which usually takes at least 20 minutes without any waiting time.

How do you improve this business model? Internal cost controls can help but how do you increase profits once costs are minimized? In order to improve the model, you need to identify the things that you can do to reduce the total time and total (not incremental) cost of the wash or increase the customer's perceived value of your products and services. This involves marketing and promoting the wash.
 

Axxlrod

Car Washer
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CA
California Central Coast
$3 = 3.5 minutes
Vacs $2 = 4 minutes
 

diycarwash

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Houston
Increase price or decrease time? That is the question!!!

Fellow Self Service Operators.
I have 3 self service car washes in the Houston area. My washes are $1 for 3 minutes, but I am getting the itch for a price increase. Which do you guys feel is a better option?
$2 for 5 minutes or $1 for 2:30? I use dollar tokens, so I feel I should keep it at dollar increments.

Thanks for your replies.
 

JMMUSTANG

car wash owner
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You might have a problem with customers putting in $1.00 since this has been your starting time for a while not $2.00 to start and nothing happens.
I was 1.50 for 4 minutes.
I lowered to 1.00 for 2 minutes.
Most of my complaints were from customers not putting enough money in the machine.
After lowering the time/price point I bet 80% of my complaints went away.
 

Kidwash

Detroit Muscle
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Have you noticed an increase in revenue by lowering the start-up cost to a $1 for 2 mins? Also, is it better for the customer?
 

MEP001

Well-known member
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diycarwash, the reception of a price increase will depend on your client?le. Obviously the "high rent" ones will be less phased.

In my experience, income is helped more by a price increase than the lowering of time. You may not see it, but a lot of people are there to spend as little money as they can. Some just rinse and leave, some will bucket wash and only start up once or twice, some will bring an item to wash. If you lower time, they won't always spend more, but if you raise price nearly all will.

If you do go so far as to double your start-up time, a good idea will to have signage to promote that they're getting more time.
 

JMMUSTANG

car wash owner
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Have you noticed an increase in revenue by lowering the start-up cost to a $1 for 2 mins? Also, is it better for the customer?
Customers like it. If they run out of time they only have to put in a $1 to finish.
Bucket washing has been no different at a $1 vs. 1.50 startup.
I do have customers that told me they came in just to wash their wheels a day or two after washing their car.
As far as an increase in income it's hard to tell, business has not been great with all the rain.
But I can tell you that the complaints (because they didn't put enough money in) has gone down big time.
I've been in the self serv business since 1977 and I can tell you I've never seen such a bad business climate for what ever reasons. To increase prices right now just doesn't seem to me to be a prudent business decision at this time.
 

MikeV

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I get $1.00 for 4 minutes in Seabrook, TX. Been that way for 10 years. I did raise the price on my auto a couple of years ago. Went from $3,4,5,6 to $4,5,6,7. What a deal!!!
 

Red Baron

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Idalou Texas

$1.50 = 3-1/2 minutes
$1.50 = 4 minutes on outside bay (being underused [59% of most popular bay] trying to boost usage with signage calling attention to discounted bay)
 

blurdgman

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After 24 years in the business I've come to the conclusion that coins and warning buzzers have been a detriment to the SS business. Yes we offer $1 tokens from our bill changers and from our American Changer Credit Card Token machines and require a startup of 2 tokens for 190 seconds, recently down from 210 seconds. Yes and the buzzer goes off one minute before the cycle ends causing stress to our customer's well being as he/she hurries to keep from putting the next coin in.
After operating Washgear credit card terminals in all our bays for the past three year we found that 25% of our customers have used the Washgear with average spending from $4.60 to $6.70 per wash depending on location. They take their time and wash their cars without buzzers, without stress and consequently spend more time and money.
After our recent decrease in time per coin we are offering a 10% bonus time if the customer uses the in bay terminal e.g. 210 seconds for the $2 startup. As soon as this catches on we expect leisurely washes via in bay CC use to increase beyond the 29% that we've already achieved. Some day we hopefully will eliminate coin use altogether.
 
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