New Self service option
- Thread starter soapy
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Earl Weiss
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I assume CPY = Cars per year, although most SS track cycles and not cars, what is the aveerage CPY for conveyors?
Another issue with SS as we know people like to play "Beat the clock" They plan to spend $X and get the job done. So, adding more functions or different functions may not equate to higer receipts as easily as the package system in Tunnels.
robert roman
Bob Roman
T is price - cost of material. If in-bay price is $7 and 8% cost ($0.56), T = $6.44 (7 – 0.56)
Add hot wax (cost $1.25) for extra $3. T = ($10) - ($0.56 + $1.25) = $8.19
$8.19 - $6.44 = $1.75 (opportunity of not selling). Apply to system and 20% of buy wax (typical).
T w/o wax = (15,000 * 7) – (15,000 * 0.56) = $96,600
T with = (12,000 * 7 + 3,000 * 10) – [(12,000 * 0.56) + (3,000 * 1.81)] = $101,850
$114,000 / 15,000 = $7.60 average with wax versus $7 without or extra $0.60/car. If you charged $4 extra, increase is $0.80/car.
Wand disadvantage is selling minutes (applesauce) versus in-bay selling discrete units (apples).
A wash is designed to handle peak so it can achieve potential. Reason is most money comes during busiest days of week and hour of day.
If average wand use = 10-min (8-min wand, 2-min other) = 6 cars/hour (CPH) or 5 wands = 30 CPH.
25,000 cars/year (CPY) = peak-hour 4 CPH/bay times 10-min = 40-min or availability of 20-min/bay.
Wand can make more money via higher price, more discrete visitors (attraction) and/or existing customers buying more (loyalty). Latter two consume available time remaining/wand.
It’s difficult for seasoned wash to increase counts without lowering price significantly or offering greater value added than other washes.
If you sell wash for $0.45, cost is $0.02, profit = $0.43; add $0.03 wax and don’t raise price, profit = $0.40
Since wand does not bill discretely, you hope for very high percent of customers to use wax and constraint = available time in bay.
Arguably, workable approaches are JBN concept (bill separately at higher rate), pay-one-price (discrete billing) or add wax and raise price/minute (across the board).
Add hot wax (cost $1.25) for extra $3. T = ($10) - ($0.56 + $1.25) = $8.19
$8.19 - $6.44 = $1.75 (opportunity of not selling). Apply to system and 20% of buy wax (typical).
T w/o wax = (15,000 * 7) – (15,000 * 0.56) = $96,600
T with = (12,000 * 7 + 3,000 * 10) – [(12,000 * 0.56) + (3,000 * 1.81)] = $101,850
$114,000 / 15,000 = $7.60 average with wax versus $7 without or extra $0.60/car. If you charged $4 extra, increase is $0.80/car.
Wand disadvantage is selling minutes (applesauce) versus in-bay selling discrete units (apples).
A wash is designed to handle peak so it can achieve potential. Reason is most money comes during busiest days of week and hour of day.
If average wand use = 10-min (8-min wand, 2-min other) = 6 cars/hour (CPH) or 5 wands = 30 CPH.
25,000 cars/year (CPY) = peak-hour 4 CPH/bay times 10-min = 40-min or availability of 20-min/bay.
Wand can make more money via higher price, more discrete visitors (attraction) and/or existing customers buying more (loyalty). Latter two consume available time remaining/wand.
It’s difficult for seasoned wash to increase counts without lowering price significantly or offering greater value added than other washes.
If you sell wash for $0.45, cost is $0.02, profit = $0.43; add $0.03 wax and don’t raise price, profit = $0.40
Since wand does not bill discretely, you hope for very high percent of customers to use wax and constraint = available time in bay.
Arguably, workable approaches are JBN concept (bill separately at higher rate), pay-one-price (discrete billing) or add wax and raise price/minute (across the board).
MEP001
Well-known member
I'm seeing where some of your thought process lies now. Your math is based on peak usage of bays and COGS vs maximum income. The vast majority of the time, there are empty self-serve bays, so in that case the more time a customer spends washing the more profit is made as long as the service they're using is profitable bottom-line.
The hardest part of operating a successful self-serve car wash isn't maximizing the profit per hour by upselling services (or not offering the ones that cost the most to deliver), it's filling the idle time with repeat customers. Otherwise, we'd all just have soap and rinse.
The hardest part of operating a successful self-serve car wash isn't maximizing the profit per hour by upselling services (or not offering the ones that cost the most to deliver), it's filling the idle time with repeat customers. Otherwise, we'd all just have soap and rinse.
Earl Weiss
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robert roman; If you sell wash for $0.45 said:
robert roman
Bob Roman
“Your math is based on peak usage of bays and COGS vs maximum income.”
The math in last example and spreadsheet considers these factors as well as available time to model and simulate conditions (static not dynamic) rather than analysis based on “one” carwash service.
True, many wands are underutilized except for busiest times. However, when wash attracts more business, it typically occurs around these times. Exceptions - something like early bird special; $2.00 off between 8am and 10am.
“The hardest part of operating a successful self-serve car wash.…(is) filling the idle time with repeat customers.”
Absolutely, however, it’s nice work only if you can get it.
So, I mentioned approaches like JNB concept, POP or creating value added and raising price.
Consider a SS with plain building with minimal bay lighting, industrial grade vacuums, drop shelf vendors, push button POS, no bill or credit acceptance, minimal advertising, low-tech in-bay and no amenities.
Compare this to one with contemporary building, bright lights and signs, premium vacuums, multi-vend, air-dryers, rug beater, touch-screen POS, high-tech in-bay, swipe card, loyalty program, plenty of wand functions, great products, etc.
Of these two washes, which one do you believe would have higher customer attraction and customer loyalty rate and, therefore, the greatest share of a market?
Similarly, which one would have the potential to command higher price points?
The math in last example and spreadsheet considers these factors as well as available time to model and simulate conditions (static not dynamic) rather than analysis based on “one” carwash service.
True, many wands are underutilized except for busiest times. However, when wash attracts more business, it typically occurs around these times. Exceptions - something like early bird special; $2.00 off between 8am and 10am.
“The hardest part of operating a successful self-serve car wash.…(is) filling the idle time with repeat customers.”
Absolutely, however, it’s nice work only if you can get it.
So, I mentioned approaches like JNB concept, POP or creating value added and raising price.
Consider a SS with plain building with minimal bay lighting, industrial grade vacuums, drop shelf vendors, push button POS, no bill or credit acceptance, minimal advertising, low-tech in-bay and no amenities.
Compare this to one with contemporary building, bright lights and signs, premium vacuums, multi-vend, air-dryers, rug beater, touch-screen POS, high-tech in-bay, swipe card, loyalty program, plenty of wand functions, great products, etc.
Of these two washes, which one do you believe would have higher customer attraction and customer loyalty rate and, therefore, the greatest share of a market?
Similarly, which one would have the potential to command higher price points?
robert roman
Bob Roman
Earl, I understand the metrics. However, my estimates indicate hot wax is three times more expensive than SS soap based on application rate.
So, it would be great for SS if it attracts new customers and/or convinces a high percent of existing customers to use it.
“I have the same dispute with…..cost studies….cost per car (inclusive)…..of all extra services on an annualized basis.”
I don’t because the results have use for benchmarking peers as well as trend analysis.
Are they good for establishing cause and effect? I agree, no.
There are other tools for this purpose. One example is the partial throughput accounting shown in attached spreadsheet. Another is benefit/cost.
For example, there are online Javascript programs that allow for what-if analysis. Inputs include total fixed cost, variable unit cost (must be derived) based on expected price and unit sales.
So, it would be great for SS if it attracts new customers and/or convinces a high percent of existing customers to use it.
“I have the same dispute with…..cost studies….cost per car (inclusive)…..of all extra services on an annualized basis.”
I don’t because the results have use for benchmarking peers as well as trend analysis.
Are they good for establishing cause and effect? I agree, no.
There are other tools for this purpose. One example is the partial throughput accounting shown in attached spreadsheet. Another is benefit/cost.
For example, there are online Javascript programs that allow for what-if analysis. Inputs include total fixed cost, variable unit cost (must be derived) based on expected price and unit sales.
JustClean
Active member
You can do all theoretical mathematics in the world to figure out, if or how much a product in the self serve bay might or might not cost. In the end nothing beats a trial.
Can't wait for Soapy's results. In the meantime has anyone tried to "bubble-up" Rain-Ex or similar and use it through the brush?
I like the idea of applying "wax" with the brush and then rinsing it off. It feels more "valuable" than through the gun (plus it takes longer to rinse it off).
Can't wait for Soapy's results. In the meantime has anyone tried to "bubble-up" Rain-Ex or similar and use it through the brush?
I like the idea of applying "wax" with the brush and then rinsing it off. It feels more "valuable" than through the gun (plus it takes longer to rinse it off).
Earl Weiss
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robert roman
Bob Roman
“Everything needs to be judged in context.”
Earl, absolutely.
“You can do all theoretical mathematics in the world to figure out, if or how much a product in the self serve bay might or might not cost. In the end nothing beats a trial.”
Absolutely, so try it yourself, all carwashes are not created equal.
Although you may shake a stick at math all you want, I would sooner trust it more than divining rod, lucky horseshoe, rabbit’s foot or four-leaf clover.
For example, it is suggested God helps those who help themselves.
So, I would trust in driving 300 miles to safe zone rather than standing under a tree holding a bible during a hurricane.
Earl, absolutely.
“You can do all theoretical mathematics in the world to figure out, if or how much a product in the self serve bay might or might not cost. In the end nothing beats a trial.”
Absolutely, so try it yourself, all carwashes are not created equal.
Although you may shake a stick at math all you want, I would sooner trust it more than divining rod, lucky horseshoe, rabbit’s foot or four-leaf clover.
For example, it is suggested God helps those who help themselves.
So, I would trust in driving 300 miles to safe zone rather than standing under a tree holding a bible during a hurricane.
JustClean
Active member
FYI today I put a bit of my Blendco Durashield that normally gets diluted on a rag and rubbed it on my car. Fantastic! Absolutely like a hand wax. If we had somehow an applicator for the SS bays that would be a fantastic new option. I'm going to do my whole car with it.
MEP001
Well-known member
Just before this thread began I ordered an Erie cloth "brush" to try out - I'm not too impressed with the fact that it's assembled with a single, white nylon zip tie, but otherwise it seems like it would be an ideal choice for applying such a product in a self-serve bay since it's the same material that follows the application of the product in a tunnel.JustClean said:
I didn't order the "gentle" version:
http://www.kleen-ritecorp.com/p-36584-erie-brush-gentle-foam-master-blue.aspx
soapy;good idea
anybody have any ideas for anything new for ss.
no matter how far off the wall they are.
sometimes pieces from one thing added to another work out.
exp,how about a led light in a f/b handle at the brush head
[in a tough short plastic tube]
it will not help clean a car but will look cool when water and soap are going through it
anybody have any ideas for anything new for ss.
no matter how far off the wall they are.
sometimes pieces from one thing added to another work out.
exp,how about a led light in a f/b handle at the brush head
[in a tough short plastic tube]
it will not help clean a car but will look cool when water and soap are going through it
Earl Weiss
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- Joined
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- 6,208
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- 788
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Tire inflator air in the bay.
Mr. Hoffman added a compressed air boom for blowing out nooks and crannies. There is a post on the forum about it. I thing it's regulated to 60psi with a standard air trigger blower.
Seperate boom with a seperate tire / wheel foam brush. (I think Mr. Hoffman has this as well. )
Mr. Hoffman added a compressed air boom for blowing out nooks and crannies. There is a post on the forum about it. I thing it's regulated to 60psi with a standard air trigger blower.
Seperate boom with a seperate tire / wheel foam brush. (I think Mr. Hoffman has this as well. )
soapy
Senior Member
I finally found some donated product to test. Blue Coral came through with some. Now I just have to get some time to switch things around to give it a try.
