pricing

T

tooklean

New member
There is another detail shop in my area that is exactley 1 street over from my location. he is offering quick washes cars 5.00 trucks 10.00. he seems to be getting a few customers to stop in for this service. I would normally offer this service but for a bit more money cars $10.00 trucks $15.00. Should I attempt to duplicate his pricing to steal a bit of his thunder and if so do you think people will expect this cheap pricing all the time ? Please give your opinion
 
tooklean said:
There is another detail shop in my area that is exactley 1 street over from my location. he is offering quick washes cars 5.00 trucks 10.00. he seems to be getting a few customers to stop in for this service. I would normally offer this service but for a bit more money cars $10.00 trucks $15.00. Should I attempt to duplicate his pricing to steal a bit of his thunder and if so do you think people will expect this cheap pricing all the time ? Please give your opinion
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Run a special for a month or something. Like $4.95 and $9.95.
 
What exactly does your competitor do for a "quick wash?" Is it worth your time to wash these cars for $5? Is the quality of the other detailer's work better, worse, or the same as yours?
 
Sell by price and die by price. This guy is pulling a cheap shot on your pricing. Let him go he will get to the end of his chain soon. Its the old you get what you pay for. If 10 & 15 are fair prices for your area then stay the course, and try to do a better job than the guy around the corner.
 
Its just more or less a blast with the pressure washer a quick once over with a wash mitt and rinse. While he's over there washing I'm sittin around praying for customers.
 
In terms of quality I feel that my finished product is better. Because I take my time. I'm just not gettin any work.
 
tooklean said:
Its just more or less a blast with the pressure washer a quick once over with a wash mitt and rinse. While he's over there washing I'm sittin around praying for customers.
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Was your business better before your competitor lowered his prices?
 
Pricing can be very dificult. most people depending on the area you work in want a fixed price. I myself have tried to negotiate a price by an hourly rate & most of the time i end up losing customer. ( even if its my weekend detail hobby) But i have found that a fixed price is what most people & especially frugal people want. it is tough washing cars for 5$ or even 10$. You must have some type of local supplier to break even. :online2lo
 
tooklean said:
In terms of quality I feel that my finished product is better. Because I take my time. I'm just not gettin any work.
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I know how this feels. You could run a special on a sandwich board, but don't actually drop your prices forever. When I'm busy, I can't do a wash & dry for less that $11.99 & $14.99. When I'm slow and would like work, I'd do it for less.
 
tooklean said:
No not at all.
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If your busines wasn't any better before your competitor lowered his prices then I don't think that your pricing was the problem. Do you do any marketing? Do you maybe give your business cards out to people or advertise at all? Are you registered with any local business groups? Do you visit car shows to talk with car enthusiasts to push your services? There are lots of threads about marketing your business both here and on Autopia.org.

I'm also curious what area of the country your located in. Some areas (like the south and west) which are more feasible areas for having a detailing business. What are the demographics of your area like? Urban or suburban? Wealthy or poor population? Etc., etc.
 
Beemerboy said:
Sell by price and die by price. This guy is pulling a cheap shot on your pricing. Let him go he will get to the end of his chain soon. Its the old you get what you pay for. If 10 & 15 are fair prices for your area then stay the course, and try to do a better job than the guy around the corner.
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Couldn't have said it any better. I totally agree.
 
You also have to figure out what it costs you to go to work. Getting more customers at a rate that doesn't pay the bills is not good business.

Like was said before: Live by a price, Die by a price.

You would be better off with some advertising to "counter" his quickie ways.
 
tooklean said:
I live in the east Pittsburgh PA SW pennsylvania It is very much a working class area.
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Well, IMO the Northeast is a tough place to be a detailer. The winter really tends to slow down business. I think there's two things you have to consider here:

1. What price levels will the customers in your area support?
2. Can you make a profit/feed your family at these prices?

I think your prices seem extremely reasonable. So, I doubt that's the problem. In fact, I believe most tunnel washes in my area charge more than you. In the end I think you either have one of two problems:

1. Your marketing techniques are deficient and no one knows about your business or knows that they need your services.
2. There is no one in your area who is interested in your services.

If the problem is the first it's a simple fix. If the problem is the second then you either need to find a new business or a new location. Chances are there are car dealerships in your area so I really doubt the second problem is the case here. You likely won't be able to sell a dealership a wash, but you should be able to sell them some polishing/waxing.
 
I Think that my marketing in a big part of the problem. I think that I have tried just about everything Flyers, letters, post cards etc... and I have been able to get a few jobs from these various approaches but nothing consistant I'm still trying to hit a home run in other words I would love to have 5-10 calls a day from prospects some degree of walkup customers etc.. but I have to remember I do this only part time wishing I could do it full time because I enjoy working for myself. Its just not fast enough for me. My problem is that I want everything now and I know that small business takes time to gain a following but when will they come ?
 
Since I'm mobile I don't have experience in a fixed location. Waiting out your competition is fine is you can afford to wait. He or she may be trying to force you out of business. Once your gone they can raise the prices back up. I believe in first being busy then being selective. I'd want to cut prices in such a way that it's not a perceived as a permanent price in customers mind or a predictable thing. Maybe a special for certain vehicle color or make. Maybe just during a 1 or 2 hour period that changes from day to day. Other day a lube shop did something that I thought was brillant. I'm sure it done often but it's first time I've ever seen it around here. An employee stood outside by the road with a sign. Something like Oil Change Right Now No Waiting. I was driving by so only seen him for a second but I bet someone pulled in pretty quickly. Maybe do a $X off sign no waiting. If I know I can get something done and am sure not to have to wait I will often bite. Maybe no waiting next car done in so many minutes or it's free. Just some ideas, good luck.
 
tooklean said:
I live in the east Pittsburgh PA SW pennsylvania It is very much a working class area.
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Question is can he continue giving car washes for $5.00 and stay in bus? You are in a tough area MOST people only care that there car is clean at the end they do not care if the same water cleaned 25 cars until maybe spring. How long have you been in bus. and do you have any regulars? You need to maybe give your cards out to them offering them a couple bucks off for any new customers .
 
one thing i can suggest is to have a friend or family member take their car to them. offer to pay for it and look it over when they come back. see how it compares to your work. if it is not as good than leave your prices the way they are. people will soon find out that you offer better work. i believe most people will pay more for better service. stick it out. do better work and the rest will fall into place.
 
I think you're fighting for the wrong clients. Let him have the $5-10 deals and you go after the higher end clients. Besides the $5-10 clients won't be that loyal. You'll steal them until someone beats your prices. That's not the best type of clients to shoot for.

I know its tough to see him washing cars and your not. Been there. Think about how hard they'll be working in the summer heat for 5 bucks. Not worth it to me. Heck if you're looking for extra work and have some spare time, call a few regulars and offer a free wash as a customer appreciation day.

The best advertising I had was with a brag book of my work. I would show that off to potential ups (clients). They would see the before and after pics and schedule a service. You have to talk to people. Make them interested/excited about taking care of their vehicle. More often then not, when I tell someone I detail cars, they ask about how to fix a specific problem on their car or say "yeah I've been meaning to get my car detailed". There's an up right there. Find their hot button.


If the joker across the street offers a wash for 5 bucks, offer a wash and vac for 7 bucks. Don't just match his services and prices. Add more value and service to a higher priced package. People will pay more if they're getting more. I'm not saying to set sky high prices. Not yet at least. You have to grow a business. My first summer I was giving details and time away. That winter my prices went up. I had made more in sales by the end of the next spring, than the entire previous year in sales. I had a growing network and word of mouth advertising. I hooked up with a few local business and worked out deals with them too. All that's over now since I moved to NC. Although I've already generated interest locally by planting seeds.

Good luck. Drop me an email sometime, I'd like to find out more info about your business plan and model. For example... Are you a car wash or detail shop? Do you offer any other add on services (PDR, leather repair...)? Who is your target market? What kind of time can you give to a detail shop now (in school full time or full time job)? Stuff like that. My apologies for the filibuster.
 
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