Another Pricing question

I think Josh nailed it on the head with hourly pricing. There is no way to promise people perfection with a set price and not lose money on it - I run into those two-steps that turn into four-steps all the time.



A hard to finish out paint, poorly resprayed panels, marring that is deeper than it looks, etc will add hours to the job, and there's no way to know that sort of thing until you do some test panels.



Edit: for example, last night I did a 2002 VW Golf for a show. It had no bumpers and the hood had just been painted this week, so I planned on 4-5 hours and a bill in the 150 range. Come to find out that SIP didn't even touch the marring on the sides, and the hood had some serious holograms after it was washed. I ended up spending over 8 hours on just the hatch, roof and sides of a tiny car. But, since I didn't quote the owner an overall quote, he was very pleased with the final appearance, and the bill didn't come as an unpleasant surprise.
 
yea... have you ever had an owner get a bill that was a surprise? Ide feel sooo bad about it!



But you are right.



Should i just charge like 230 to start it out and then tack on 30 every hour i correct?
 
baseballlover1 said:
yea... have you ever had an owner get a bill that was a surprise? Ide feel sooo bad about it!



But you are right.



Should i just charge like 230 to start it out and then tack on 30 every hour i correct?



Nah, if you're gonna bill correction hourly it makes sense to charge the same way for interior, lsp app, etc. Being good with a rotary is key here - anything else is too slow at that kind of price.



It generally works out best for both of us (me and the customer) to just figure straight hours times 35. Big goal here is raising the hourly rate to 45-60 without turning people off.
 
In South Orange County, California people don't blink at those prices because the cost of living is high here. For example 20 ounces of blueberries are $12.50 at Costco.
 
jetset4me said:
In South Orange County, California people don't blink at those prices because the cost of living is high here. For example 20 ounces of blueberries are $12.50 at Costco.



Yeah, but blueberries are out of season! Plus they don't grow any blueberries in CA, even if they were in season. NJ is one of the main blueberry producers, so we get them for about a buck a pint, I think, in season...but before ours are ready, they come here from the Carolinas, and after our season, from Michigan. This time of year they all come from South America or New Zealand.
 
jetset4me said:
In South Orange County, California people don't blink at those prices because the cost of living is high here. For example 20 ounces of blueberries are $12.50 at Costco.



Exactly. The price of living is quite a lot lower here then there.
 
quality of work and how much pride customers take in their vehicles. With people spending more more than ever on vehicles, 500,600,700,800 hundred dollars a month doesn't seem to be out of the norm even where i live! if your charging prices like that, people expect great work period. If you can provide outstanding results and make them satisfied, you will stay in business. The typical full detail in my area is 100 dollars for a car. My full detail starts out at 160, and people never questioned me because they new the difference between their typical quantity detailer s and quality detailer. In essence i typically pull in the much nicer cars which i get much more enjoyment out of it anyway. Who wants to deal with beat up cars, that have dents, paint problems that cant be correct and horrible interiors? Not me!! I want a customer to look at the car and realize it looks just like new. People know my reputation and quality of work and never really balk at the price.
 
baseballlover1 said:
yepp! I have a feeling NJ isnt the best place for a high quality detailer to be. My grandmother lives in Wachung NJ near plainfeild.





i live in pa, but you are very wrong on this. NJ has some great detail shops, some of the very best. Northern Jersey is one of the most expensive places to live, and many people have very high end rides. I used to work for a detail shop and jersey, and prices are very high compared to the area i live in. Many places just to clean your 4 mats in a car, can cost over 50 dollars. Typical deluxe car wash is about 30 plus dollars, and a GOOD Quality detail starts at 300 dollars in many places.
 
baseballlover1 said:
yepp! I have a feeling NJ isnt the best place for a high quality detailer to be. My grandmother lives in Wachung NJ near plainfeild.

Dean and Frank both operate high quality detail business in NJ. NJ is like anywhere else; some areas are well off and others are not. I have never understood the logic behind asking others what 'your' prices should be. The prices you set should be determined by your own unique business situation. Things to factor include your costs, the prices of your competition, and the type/quality of the service you offer. Pricing your services too high means that you will have less demand for them. Pricing your services too low will limit your profits and may even prevent you from getting the 'high end' business. Setting prices at the 'high side of the middle', is usually smart. This allows for sufficient demand for your services and also allows you to make a profit.
 
brwill2005 said:
Dean and Frank both operate high quality detail business in NJ. NJ is like anywhere else; some areas are well off and others are not. I have never understood the logic behind asking others what 'your' prices should be. The prices you set should be determined by your own unique business situation. Things to factor include your costs, the prices of your competition, and the type/quality of the service you offer. Pricing your services too high means that you will have less demand for them. Pricing your services too low will limit your profits and may even prevent you from getting the 'high end' business. Setting prices at the 'high side of the middle', is usually smart. This allows for sufficient demand for your services and also allows you to make a profit.



Very well said.
 
baseballlover1 said:
yepp! I have a feeling NJ isnt the best place for a high quality detailer to be. My grandmother lives in Wachung NJ near plainfeild.



Daniel, if you really intend to become an entrepreneur someday, you will need to stay up to date with current information. For starters, here is a link to some valuable reading material that was released about a month ago.



New Jersey Has Highest Percentage of Millionaire Residents | Reuters
 
I always thought Jersey was super expensive. Not only that, you are close to NY and the New England area. All of these areas are super expensive.





It sounds to me that someone is only interested in making a large amount of money. This is a common tone with previsous threads asking - Where can I make the most money/get the best cars? It seems that no other factors are considered, even the cost of living in these areas. What do you think, just because you can detail a Porsche for someone in Orange County, that you can afford to live there?

I would recommend taking smaller bites, rather than thinking you can just dive in the deep end. It takes time. Pricing is a relative subject. It can vary from town to town, even within locations 50 miles apart. There's more to detailing as a career than just polishing a car and collecting the money.
 
Way underpriced. I have helped several pro's on this site to charge much higher prices, and all have reported the same experience. It's always good :D



Our prices are very simple...



One step, starts at 350

Perfection, starts at 600

Interior 50-200

Engine 50-100

Undercarriage 150-300
 
touché! You got me there! I always considered NJ not a good place because my dad lived there from when he was 0-18 then went to temple university then worked for Porsche... he passed up a job that payed twice as much as his other one did and didnt take it because he would have to live in NJ... dad always made NJ out to be a nasty place. My grandma still has a house there and i go up to see her a lot. People talk about her neighborhood as really nice and granted there are a few (really!) nice cars in it, the houses arent THAT nice. I dont know... dad always made it out to seem pretty bad.



Maybe someday ile add to the percentage of millionaires somewhere :)... probably not though. I think that the only reason i may think that detailing proffesionally is only detailing cars and collecting money is because everything else seems pretty easy (ive been brought up around it). The business end of it i mean, the marketing and everything else because my father has owned his own business. This may not be what you are talking about however we are going to find out if i have what it takes to run my own businesses (yes plural). I think this week i am approaching the owner of a property to buy it from them to build a detailing shop and also car storage behind. (knock on wood)
 
baseballlover1 said:
touché! You got me there! I always considered NJ not a good place because my dad lived there from when he was 0-18 then went to temple university then worked for Porsche... he passed up a job that payed twice as much as his other one did and didnt take it because he would have to live in NJ... dad always made NJ out to be a nasty place. My grandma still has a house there and i go up to see her a lot. People talk about her neighborhood as really nice and granted there are a few (really!) nice cars in it, the houses arent THAT nice. I dont know... dad always made it out to seem pretty bad.



Maybe someday ile add to the percentage of millionaires somewhere :)... probably not though. I think that the only reason i may think that detailing proffesionally is only detailing cars and collecting money is because everything else seems pretty easy (ive been brought up around it). The business end of it i mean, the marketing and everything else because my father has owned his own business. This may not be what you are talking about however we are going to find out if i have what it takes to run my own businesses (yes plural). I think this week i am approaching the owner of a property to buy it from them to build a detailing shop and also car storage behind. (knock on wood)



Wait, if you don't mind my asking, how are you coming up with the capital for a detailing shop and car storage in Jersey?! It sounds to me like you are already part of the percentage of millionaires LOL. Anyways, as long as your in some podunk town somewhere, just do some research and find out what type of clientele (sp?) you have. For example, I have been detailing my neighbor's cars for years. I only charge like $50 for a car for them, but my first ones were FAR from perfect and I have been learning a lot from the work I do. At first, they also had a mobile pro that would come and do their cars, so I was able to see what was done differently, what I missed, what it should look like, etc. Also, take it from a college student, appreciate the input your parents give you. They support you far more than you realize.
 
azenthusiast said:
Wait, if you don't mind my asking, how are you coming up with the capital for a detailing shop and car storage in Jersey?! It sounds to me like you are already part of the percentage of millionaires LOL. Anyways, as long as your in some podunk town somewhere, just do some research and find out what type of clientele (sp?) you have. For example, I have been detailing my neighbor's cars for years. I only charge like $50 for a car for them, but my first ones were FAR from perfect and I have been learning a lot from the work I do. At first, they also had a mobile pro that would come and do their cars, so I was able to see what was done differently, what I missed, what it should look like, etc. Also, take it from a college student, appreciate the input your parents give you. They support you far more than you realize.

I live in Roanoke VA. My father used to live in NJ... sorry if i was unclear. O yes! I know my dad supports me!!!! I am lucky to have a father and mother that do support me as much as they do.



The money i would take out 240,000. I would borrow 40 from my grandmother or uncle and then come up with 8 on my own (sell one of my cars) and then pay them back with the extra 40 on the 200,000. I would buy the land for 80,000 and with the rest i would get both businesses started.



50 spaces being rented out at 80 dollars a space thats 4,000 a month. with a 1,000 dolar morgage and then 750 for insurance and then 500 for utilities i would come out on top with 1750 profit every month. This money would be reinvested for the fist few months maybe even years... I have big plans for this business!
 
baseballlover1 said:
I live in Roanoke VA. My father used to live in NJ... sorry if i was unclear. O yes! I know my dad supports me!!!! I am lucky to have a father and mother that do support me as much as they do.



The money i would take out 240,000. I would borrow 40 from my grandmother or uncle and then come up with 8 on my own (sell one of my cars) and then pay them back with the extra 40 on the 200,000. I would buy the land for 80,000 and with the rest i would get both businesses started.



50 spaces being rented out at 80 dollars a space thats 4,000 a month. with a 1,000 dolar morgage and then 750 for insurance and then 500 for utilities i would come out on top with 1750 profit every month. This money would be reinvested for the fist few months maybe even years... I have big plans for this business!



That is a great start, and great ideas, but not to bring age into the picture, im assuming your parents are co-signing for all of this?? Just remember, always have a back up plan "in case" things dont go as planned...but then again, you live and you learn and you have a alot more living and learning left that most of us...then again, im not all that old either!:2thumbs:
 
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