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Pricing Structure for after care
I am adding an after care area to my exterior wash, I have the central vac and all equipment ordered and expect it mid July. I have several pricing structures I have been working with, but want to see what everyone thinks. Should I have a "Exterior" and "Full Serve" side of my menu offering several packages. Or Keep my existing menu and have an option to add after care to any package... I am looking at doing high volume after care as the closest full serve wash is more then 20 miles away...
Replies
I'm curious about how you intend to lay out the aftercare area. Might you explain in detail?
As for a full-service reference, I recommend against any mention of it... because it is self-limiting in your pricing. Consumers have a frame of reference regarding full-service, and as you will find, those frames of reference vary as to the specifics... as well as established pricing values.
When flex-serve separated the automated washing process from the hands-on aftercare, it was a meaningful segregation of the two components that served an important purpose in value perception. Instead of embracing the old full-service standard, it made much more sense to create a new reference... called TOTAL-SERVICE. By doing that, we created a fresh new format with no old baggage to foul it up.
I recommend that you adopt the flex-serve model for aftercare, whereby all hands-on care is considered a DETAIL service. By doing so, your hands-on services will take on a new definition of acceptance by the consumer, and their value equation will be yours to structure effectively with true costs covered and a fair profit included. The reason to abandon the old full-service model was it was FUBAR. Full-service operators could seldom determine and truly control their costs due to the model's very inefficient use of labor, resulting in the operator "constantly stealing from Peter to pay Paul". Extra-service profits were gobbled up to pay for wasteful labor overhead... instead of remaining true profit. The lines were constantly blurred, and inefficiency seriously eroded the needed profits. In many cases, what looked like very profitable high volume full-service operations that generated huge profits... were actually only marginally profitable, due tothe increasingly larger hole in their bucket of profits. That hole was extremely inefficient labor utilization. The important adjective adjoining profit is NET, not gross!
When I developed flex-serve, it was designed to provide a clear picture of costs, and every cost-effective efficiency was built-in to the new flex-serve paradigm. Finally, by segregating activity components, pricing could be reflective of true costs and a fair profit margin.
Which is why I initially asked how you planned to layout your aftercare component. I am interested in how you address production efficiency while remaining performance-effective. In the typical carwash operation, there are significant areas of wasted time and energy. Those resources must be safeguarded without compromise... because that efficacy relates directly to NET profitability.
Fair enough?
-Steve
Customers will remain in their vehicle through the wash like always, however when they come out if they have selected an after care option they will pull around to a vacuum spot located perpendicular to the wash tunnel (I have a narrow lot, it's the only way possible) I have 6 stalls for vehicles. Where a minimum of two attendants will be to provide the services. I am removing the existing SS vacs and their islands, the customer will pull into the spot straight and not angled.
-Mike
So your suggesting a menu like
Mini Detail -
Exterior Wash
Windows Cleaned
Dash, door panels & console cleaned
door jams dried
$19.95
Mini Detail Plus-
Exterior Wash
Mini Detail
Triple Coat Wax
Rims Cleaned
Tire Dressing
Air Fragrance
$26.95
ADD THE FINISHING TOUCH WAX TO ANY WASH $12...
I already have express detail established so I will continue to offer that as well...
With regard to your aftercare area, drive-through production cells are much, much more effective. I urge you to find a better way. One drive-through production cell can do more than 3 dead-end bays!
If you wish to offer an interior cleaning service, I suggest calling the process something else besides "full-service" or vacuum & windows.
However, I think calling it a mini-detail is vague and misleading.
As well, simply listing the products... doesn't say enough.
Instead, I name it Interior EXTREME-CLEAN, and explain it as including "a complete air-purging of the carpeting & upholstery that dislodges dirt from every nook & cranny, followed by a thorough high-suction vacuuming. Then, mirrors & windows are cleaned to a streak-free finish, and the dash, console, door & kick panels are wiped clean and conditioned with a light UV-protectant. Air-vent outlets are dusted and door jambs are cleaned and dried."
When introducing menu-merchandising in 1969, I knew that part of any successful sales presentation was an explanation of what was included, which was best told in a little story; a snippet. Using a few more descriptive words and shaping the package to be perceived as having MORE value, I found customer acceptance to be responsive and positive. By explaining (and embellishing with the right words), I could set a standard worthy of a higher price with true "value".
Simply put, customers seem to get more with my package, and are happy to buy it because the presentation created more money's worth. VALUE!
I recommend that you craft your presentations (verbal or in print) carefully and for easy understanding. Paint a picture, and use all the colors that are needed.
-Steve

