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Automatic price increase

Damoni88

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At the first of the year we raised our prices. We were at 12,10,8,7. We do buy some pretty expensive chemical so we changed prices on the first and Im seeing mixed results. Right now 28 days into January We are 18,14,12,10. There are no other touchless automatics in our area. We do have express washes but they don't concern me cause they touch the vehicle. What I'm curious about is ALOT of people still seem to go for the$12 wash. Right now the $14 is the best then the $18 then the $12. All pretty close in the same numbers for the month. Anyone have any ideas to drive the customer more towards the top watch? The $18 is basically double everything from the $14 the $18 is not even on the menu but is on the Goldline selection area. Any advice greatly appreciated.
 

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washnshine

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At the first of the year we raised our prices. We were at 12,10,8,7. We do buy some pretty expensive chemical so we changed prices on the first and Im seeing mixed results. Right now 28 days into January We are 18,14,12,10. There are no other touchless automatics in our area. We do have express washes but they don't concern me cause they touch the vehicle. What I'm curious about is ALOT of people still seem to go for the$12 wash. Right now the $14 is the best then the $18 then the $12. All pretty close in the same numbers for the month. Anyone have any ideas to drive the customer more towards the top watch? The $18 is basically double everything from the $14 the $18 is not even on the menu but is on the Goldline selection area. Any advice greatly appreciated.
Very nice menu sign. If you want people get to your $18 Wash, I’d make sure it’s on the menu in full display, highlighting all it gives you.

Another thing that helps to drive top package sales is by putting a disproportionate amount of extra services compared to the second from the top package. That will allow customers to see it is the Best Value for their dollar. It doesn’t hurt to have that on the sign too - Best Value.

For instance:

Bottom package A
Second package A+B
Third package A+B+C
Top package A+B+C+D+E and maybe even F

It also helps if that top package is not a bigger jump above the next one down - so it would be: 12,14,16,18. That really shows the Value of the top wash.

If you really want to start at $10, go 10,13,16,18. You’re still at what you want for the top.
 

Roz

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Highlighting the best value helps however we find that offering bug off / desalt on the top package and highlighting that option drives a lot of our customers to select the top package.
 

Dan kamsickas

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At the first of the year we raised our prices. We were at 12,10,8,7. We do buy some pretty expensive chemical so we changed prices on the first and Im seeing mixed results. Right now 28 days into January We are 18,14,12,10. There are no other touchless automatics in our area. We do have express washes but they don't concern me cause they touch the vehicle. What I'm curious about is ALOT of people still seem to go for the$12 wash. Right now the $14 is the best then the $18 then the $12. All pretty close in the same numbers for the month. Anyone have any ideas to drive the customer more towards the top watch? The $18 is basically double everything from the $14 the $18 is not even on the menu but is on the Goldline selection area. Any advice greatly appreciated.
I've had a bunch of customers dump the cheapest wash and just go with three options with pretty good success.

*and*

Stop letting your Dad hang around the wash so much. He's probably annoying the customers.....again.
 

Waxman

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there is too much space between your top and bottom wash pricewise. I would've just bit the bullet and gone to $20 for the top wash. Psychologically, it's not a big jump for the customer between $18 and $20. $18 already feels like $20 to the customer so why not make the extra two bucks?

Make the bottom wash $14. You have to put the best package at the top of the menu board. Put more descriptive language in the top package and put zero descriptive language in the lowest package. For example my Bottom package says "wash". It also offers blow dry but I don't say that. You want to steer the customer toward the top package.
 

soonermajic

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I would not jump from $12 ---->$20! That's a huge jump!!
Take Dan's advice & dump the bottom pkg
 

soonermajic

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You know you can't because your market won't support it.
Correct. But show me a market that will allow for an over 70%permanent increase, all at once
Does NOT exist. Can he do it & be ok? Yeh, but I bet ok isn't what he wants. Hence why he is on here.
 

chaz

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Yeah I was gonna suggest drop the bottom wash. Top wash (that is a huge jump) should be most prominent on your sign and clearly emphasize everything it offers. U can also be more generic with descriptions on lower washes
 

Damoni88

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Yeah I was gonna suggest drop the bottom wash. Top wash (that is a huge jump) should be most prominent on your sign and clearly emphasize everything it offers. U can also be more generic with descriptions on lower washes
That's exactly what I'm doing getting more graphics to put on top wash.
 

washnshine

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Some operators keep the bottom wash, but don’t have it on the menu board - just the auto cashier. I’d remove it altogether.
 

Waxman

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in a business decision like pricing you have to consider a lot more than the customer perception. Yes the customer is an important part of the equation but it's not all you have to consider. You should also think about the cost of the improvements you made as well as the customer experience/service offered. In my case, I went from $15 to $22. I totally remodeled the car wash interior, added in my opinion the best new touch free on the market, improved my cashier with a better credit card acceptor and tap to pay.

You have to look at what your market will bear and where your competitors are at for pricing. I see operators too many times keeping prices low for a long time and they don't need to. Yes I have gotten a little push back on my increased pricing. But when the customers see the quality of the wash which in my opinion is very high they don't have too much to complain about.
 

soonermajic

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What IBA did ypu install, & why do u think it's the best?
 

Damoni88

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A couple things. First off I am not afraid of raising prices one bit. My dad was and when I took over and made changes man did the money really started rolling. I am always available to the customers they always see me there, I'm always trying to think of something new to add or what to refurbish to make things nicer. The second thing is I have 0 competition. The 3 expresses around me are not my competition. One lady today came through bought the $18 wash said she was a member of the express .25 of the mile down the road. It tore here windshield wiper off.
We are not a huge town but we are not small either only 4 self service washes left in city and I own 2 of them. Remember a ceramic coated vehicle's can not use expresses. Thank you to everyone for there input and insight it helped a lot dropping the bottom wash. I posted a picture of the sand blasting job that brick was black. I will post a pic of new menu layout this evening about to go pick up.
 

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Waxman

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What IBA did ypu install, & why do u think it's the best?
WashWorld razor. Because of its speed, wash quality, reliability, value, build quality, computer interface, remote accessibility, ease of Maintenance, ease of programmability, options, corporate culture, responsiveness of tech-support, accessibility to company management by end users… Am I forgetting anything?
 

MEP001

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I am not afraid of raising prices one bit. My dad was and when I took over and made changes man did the money really started rolling.
I learned this early on, I was managing a wash for someone and he told me not to raise the price above the 50¢ start. I did it anyway, and income jumped about 20% overnight. He ended up being happy about it.
 
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