HOW TO SELL DETAILING

I have long been convinced, from my own experience as an operator, that the marketing, advertising, promotion, pricing, and selling of auto detail services to the motorist were essential for success in the business.

Marketing, advertising and selling professional detail services is not really difficult, and you don't have to be an expert to do it. With a little effort and some thought, you can actually do it yourself.

To help you get started you need to consider three essential elements:

• A Marketing Plan
  
• A Promotion and Ad Program
  
• Merchandising and Sales Approach

This article will provide you some direction and information for developing your own plan and programs.

Focus on "Your" Business

Even if you don't know what a marketing plan is you must have one in you plan to succeed in this business. Because without one, you really won't know what to do.

Why? Because you won't know what to sell, who to sell it to, how to sell it - and at what price.

A marketing plan will give you the information you need to attract the right customers and then sell them your detail services. Instead of guessing who you should sell to, and what to sell them, you will know exactly who your customers are and what they want to buy before you start.

The plan doesn't have to be elaborate; one or two written pages will suffice. But it needs to be focused on your business, your location and your potential customers. The key word here is "your". Too often many operators do what their competition is doing. But unless you know their business, their location and their customers, you can't say if what they are doing is correct for your business.

To get started you must answer these important marketing questions:

Who are my target customers? What detailing services do they want? How do I know this? How should I present or merchandise these detailing services? What price do I charge? What promotion or advertising will I need? How do I motivate the customer to buy?

If you can clearly and completely answer all of these questions, then you're well on you way to successfully marketing your business. If you can't, then you need to find the answers. If you don't know, your business will flounder.

Some simple market research will help you build your market plan. What you need to do first is identify all your potential markets. Next, determine which markets will provide the most potential business with the least amount of effort and money. Then prioritize the markets by their business potential.

Once you have this information, you will have a road map that will tell you where you are going and why. Of course, "saying" and "doing" are two different things. So I will give you some information that will help in developing your marketing plan.

Your Best Customers

First, let's look at potential markets for detailing. Who are the best customers?

The marketing pyramid depicts the general motoring public which is divided into three categories based on how much they know about auto detailing. At the bottom of the pyramid, and the largest numerical group, is what I will call Level 3, which represents about 80% to 85% of motorists. This group is not typically familiar with the term detailing, doesn't know what the services are, and, in general, sees no need for detailing services so they are the least likely to purchase detail services.

In the middle is Level 2, which represents 10% to 15% of the motoring public. They may not be familiar with the term detailing but if you advertise the basic services such as waxing and polishing, or carpet shampooing, they will respond. Why? In shot, they recognize a need for the services, but don't know what they are called or that there are places to purchase them. With this group, identify who you are and what you do. This should be sufficient to get them to call or stop by for more information.

At the top of the marketing pyramid is the prime market for auto detailing services which represents about 10% of the market. These people are familiar with the term detailing, why it's needed, and may even have purchased detail services before. With this market you don't have to spend time educating them, all you have to do is identify who you are and what you do and this should motivate them to patronize your business.

As you can see, Levels 1 and 2 are your best potential markets. To reach Level 3 will cost you too much money because you've got to educate them. And for the small operator (except to a detail shop operated in conjunction with another business such as a car wash) this is too expensive.

Consumers Want Detailing

As you build your marketing plan, keep in mind some general facts about detailing and the detailing business.

Although detailing has been around probably as long as the automobile, nearly 90% of motorists are not familiar with the service and less than 10% have probably ever purchased the services. Why? Because until recently detailing has been primarily a wholesale service done by and four auto dealers and not promoted to the general public. For the motorist, what we call detailing was done with off-the-shelf, do-it-yourself products in the driveway on a weekend.

However, since the late 1970s, there has been an increasing consumer demand for more cosmetic car care services - what we call detailing. Why? For these reasons.

Cost of vehicles has increased.

According to the NADA, the average price of a new car will be more than $20,000 by the turn of the century. Used cars almost $10,000

Financing terms have increased.

Terms have lengthened to an average of 48-60 months, and even up to 84 months.

Length of ownership has increased.

Motorists are keeping their cars longer. More than 8 years as of 1991, compared to 3.2 years in 1978.

Greater asset value.

The auto continues to represent as high asset value. For many, it is their most expensive purchase.

Protection of leisure time.

With husbands and wives both working, people are more possessive of (and have more disposable income to protect) their leisure time.

Can't do it themselves.

With sophisticated paint finishes and leather and velour upholsteries, people think they can't, or shouldn't, do it themselves.

America's "love affair" with the automobile.

Americans see their cars as an extension of themselves and a reflection of their personality and status and they want them to be as well groomed as they keep themselves.

Emphasize Need, Not Price

In addition to the above reasons, there are several other factors that will impact how you are going to market, advertise and sell your detail services:

The majority of motorists don't recognize the need for detail services. Very few know about the effects of oxidation, industrial pollution, acid rain, or road tar on their paint finish. And often they are given a great deal of misinformation by auto dealers.

Price is usually not a major factor in the purchasing decision. Why? Because motorists who have never purchased detailing services before don't know what is involved or how to determine the value. You are the expert; you must show them what needs their vehicle has and the value of your service.

The reason most customers buy detail services is to protect their leisure time. The bottom line is they don't want to do it themselves.
Getting a vehicle detailed is usually a planned decision, not an impulse. Therefore the physical location is not as critical a factor - that is, you don't have to be located in a highly visible place paying a high rent. Demographic location, on the other hand, is critically important. You want to be located close to your best markets.
There are probably other factors that can affect a specific marketing plan. However, this information should help you to get focused on your market. It should be evident from these facts that you must emphasize need and value to the customer and not price.

How to Reach Customers

Now that we've identified your most likely customers and why they would buy your detail services, you need to know how to reach them and what to say to motivate them to buy - that it, advertising and promotion.

Consumers are motivated to come into a business through advertising and promotion. So both are a vital part of a marketing plan. And they require thought, analysis, and money.

Before making any advertising and promotional decisions, you need to clearly know who your market is and what you need to say to them.

We've already looked at the who; we want to reach those Level 1 and Level 2 people we discussed earlier. But exactly who are they and what do you say to them? Remember, the advertising message is as important as where it appears. Refer back to the Marketing Pyramid a moment.

Level 1

As discussed, this group is familiar with detailing. They are generally the wealthy, upper-middle class, the professionals and business people. They can be reached by target advertising. Use such media as cable TV, business publications or direct mailing by vehicle make or residence.

The message should emphasize what you do: your professionalism, quality and especially, service. For example; "We offer pickup and delivery or a shuttle service." People in this category are typically busy and protective of their time. They want convenience.

Level 2 Message

This market will include some of Level I and also the up-and-coming yuppie group that might drive a Honda Accord. Toyota Camry, Ford Aerostar. Dodge Caravan, or Jeep Cherokee. The message here needs to identify the basic detail service; such as polishing and waxing and interior shampooing. To some extent you can address why they are needed. This group may not know the term detailing but by identifying the basic services you should get their attention. Protection of investment is often a consideration for this group, and like Level 1. they don't want to do it themselves.

Level 3 Message

This group is the largest. To reach them, you would have to use mass media: TV and radio or large direct mailings to zip codes. Your message has to explain what detailing is and why it is needed and what you do. This market is usually too expensive for the small detail operator to attract.

Six Steps To Effective Advertising

Advertising involves the use of a media such as radio, TV, or a newspaper. It can be very expensive, so you must know what you are doing. You need to know your market, what is the best way to reach it, and what to say.

Many detail operators consider advertising unimportant or an unnecessary expense. Think of it rather as an investment. If business drops off, don't make the mistake of cutting back on advertising. That is wrong. If anything, you need to advertise more to build your business back.

1. Profile Your Business and Your Customer

The first step in finding the best way to tell your advertising story is to know who you are and who your customers are. Answer these questions:

What is the quality of your service? Are your prices high? Competitive? How do you compare with competition in terms of quality and price?

Do you offer a satisfaction guarantee? Open at night? Pickup and delivery? Is your business accessible? Is it located on a highly visible street? Is your location hard to reach?

How aware are people of your existence? Your services? Your location? Who are your target customers? Do you sell to the elderly, young, middle aged? Do they have different tastes? What are their income levels? What types of cars do they drive? The make? The year? Where do they live?

Do you know why they would use your service? Have you asked them? Do they like the detailing service for reasons that can be presented in advertising? Do you ever ask customers why they stopped using your service? Have you asked around the community? Can you take a truly objective look at your business? Your employees? Your services?

Study these ques1ions and get answers. When you do, you will be on the right track to success.

2. Set a Sales Goal

You need a goal to measure your advertising efforts. The best approach is to set a sales goal. Then keep track of sales to see if the advertising is helping achieve your sales goal or not.

3. Decide How Much Advertising

How much advertising should you do? You'll need to match your advertising to your sales goals. Follow a suggested percentage of sales guideline to determine if your advertising cost is high or low for your facility. Normally about 5% of gross sales. However, there can be several factors that will require you to use more or less advertising dollars to achieve your sales goals. A detail center in a car wash should require less advertising. The following situations usually require more advertising: a free-standing detail center; strong competition; stressing value and quality over price; customeI5 who don't know what detailing is. (They need educating.)

4. Set Aside an Advertising Reserve

Always set aside a small reserve from your overall advertising budget (five percent) for contingencies and to take advantage of unexpected advertising and promotional opportunities.

5. Make a Schedule

Set out an advertising program to achieve your sales goals on a weekly or monthly basis. Use a calendar to jot down your advertising activities. Schedule advertising to follow the highest public demand times. That is, advertise when people are most likely to use your service. Don't try to get them to use the service when they don't want it.

6. Create Ads For Specific Markets

You want your advertisements to be read or heard by your target market. Before advertising set your sales goals, then outline an advertising program and stick to it. The key to growing your business is to plan, implement, review and correct. If your advertising doesn't seem to be working, give it some time, review and correct. But don't give up.

Where To Advertise

Now that you have an idea about how to develop the message, the next question is where should advertise? There are basically two types of advertising media: major media and minor media.

Major Media

This includes larger daily newspapers, metro radio and television. Normally, you won't want to use this media because of their cost and the fact that you'll be paying for market coverage you don't need.

For example, a metro newspaper with a circulation of 500,000 may charge more than $3,000 for a page of advertising, run once. At first glance, this may seem cost effective, only .006 cents per reader. But simply reaching people is not the answer. In Portland, Oregon, for example, the daily newspaper is distributed allover the state. Why should one pay for this circulation?

Remember, more than 70% of your customers will live within one to three miles of your facility!

Advertising on radio and television can also be very expensive, largely because they both require repetition to be effective. Again, you'll be paying for the audience that will never use your services. For these reasons, it is recommend that you do not use major media for your advertising unless you are located in a small town or community, or have multiple detail centers in the area.

Minor Media

This category includes media such as weekly newspapers or shoppers, direct mailing, handbills, and Cable TV .With its limited geographic coverage, minor media lets you target your advertising to specific demographic or geographic markets. Again, here's where your market plan, with its detailed information about your customers, comes in. You have defined and located your target markets, now you just need to select the media that best reaches those markets. Usually, that means minor media.

Keep in mind that the foremost aim of your advertising and promotion is to deliver the specific market a message that will motivate them to come to you.

Promotions That Work

Depending on how you define it, promotion could be considered advertising. However, it can be differentiated from advertising in that advertising is expensive and promotion can be relatively inexpensive.

An example of a promotion would be to print 500 flyers-which might cost $50-and distribute them on the windshields of cars at a local shopping center. Promotional ideas are only limited by your creativity. Here are a few pro- motional ideas you can try.

Off-site promotion: Even before you open, get out and personally spread the word about your detail business in the community to other local business. Use business cards, explanatory brochures, etc.

Cross promotion: When talking with other business, present the idea of cross promotion, where you hand out flyers for them and they do the same for you.

Wholesale sales: Contact other auto-related businesses: body shops, glass shops, gas stations, upholstery stores, tire stores and repair shops. Offer a 25% discount off list price on all detail ser- vices they sell to their customers.

Group discounts: Print a small Group Discount card that you give to the larger employers in the area. This would be good for a special employee discount, say 10%orI5%.

Senior Citizen Discount: This is a rapidly growing market. Print a card and distribute it to senior citizen centers or adult living communities. Good for a 10% or 15% discount on services.

Charitable Organizations: Print a fund-raising ticket for the group offering certain packages at a special rate and give the group 30% to 50% of the revenue. (Remember. there could be second and third vehicles in a family to generate even more business.)

Clean Windshield Flyer: Get permission from a local shopping center to have your employees clean windows on cars in the parking lot and leave a flyer that invites them to your center.

For a promotion to work, it should be targeted to a specific market. So you must identify your objectives. For your detail business it might be:

To increase awareness of and need for detail services.
To increase awareness of your particular detail business.
To develop anew market.
To just increase overall sales.

Remember, promotions spring from creative thought.

Sub-Markets

Within the three levels already described there are also a number of submarkets that can be potential customers for your business. However it is not recommended to pursue these until you have penetrated the two main markets for your business.
Those submarkets might include:

People Selling Their Cars - Run a small, two line ad in Mercedes, BMW, or Porsche sections of Classified Ads. Message is "Sell your care for more money. Call xxx- xxxx." Call all the ads in these sections and talk to seIIers. Run an ad in the Auto Trader, Trailer Trader, BoatTrader. Put a big sign in your waiting room for your current customers.

Fleets - Join or speak at Fleet Manager's Association meetings. Contact local companies or government agencies about their fleet vehicle maintenance.

Boats - Run an ad in Boat Trader. Get mailing lists by boat registration or license.

What Are You Selling?

After you have customers on the premises, then you must sell them your services-which brings us to the final topic of this article: Merchandising and Sales.

By merchandising I mean the services you offer and the price you charge for them. Sounds simple, but it's not. You have to offer the right service at the right price. And how will you know what is right? A solid merchandising program requires marketing information to tell you what to sell and to whom.

What are you selling? "Easy." you say. "I sell detailing." But are you really? Remember, 90% of motorists don't know what detailing is and see no value for it as part of regular car maintenance.

Think about it! In the professional detail business, you are really selling several things-the most important is leisure time. The wealthy will buy, but not just because they have money. It's because they value their leisure time and can afford to protect it.

There are also many people in the middle and upper middle classes who will use the detailing service, because they also value their leisure time. Having time to spend with the family is more important to them than spending a weekend detailing their car. Besides leisure time, you are also selling good feelings, the "ride with pride in a clean car" syndrome, and protection of investment. But while you are selling all these intangibles, you are also selling specific services for the vehicle. Typically a detail center offers:

• Exterior Washing
  
• Wheel Cleaning
  
• Carpet Shampooing
  
• Engine Cleaning
  
• Tar Removal
  
• Exterior Buff & Wax
  
• Vinyl Top Cleaning
  
• Trunk Clean & Shampoo

Extra services may include:

• Pin Striping
  
• Window Tinting
  
• Vinyl Top Repair or Dyeing
  
• Paint Touch Up
  
• Door Edge Guard
  
• Body Side Molding
  
• Windshield Repair or Replacement
  
• Upholstery Repair
  
• Body Work & Painting
  
• Accessories

The success you have in selling any of these services relates directly to how you merchandise them-or how you present them to the consumer. A big part of that presentation involves a menu of services and the pricing.

"Pseudo-Estimate" Pricing

Most detail centers use a posted pricing system. Some attempt estimate pricing. I recommend a different approach. "Pseudo-Estimate Pricing."

Our merchandising strategy is simple. We offer five basic packages designed around the most requested services.

We've calculated the average time required to do the work-taking into account small and large vehicles, good and poor condition-and come up with the following basic price schedule.

Package 1-$ 79.95 Package 2-$125.95 Package 3-$149.95 - $175.95 Package 4-$175.00 - $199.95 Package 5-$299.95

$20 is added for any exterior work on a van, suburban or larger truck. And $20 more is added for interior work on vans, suburbans, station wagons or any vehicle with an open trunk area.

We don't post or publish these prices. Only the manager, assistant, and reception know the prices. Not posting prices forces the customer to talk to you so you can sell. In my experience, if the prices are posted or printed on a menu, the customer will look and walk away without giving you a chance to show them what their vehicle needs. They will have made a decision on price with- out really knowing the need or seeing the value.

I believe the motorist who will purchase detail services is not looking for price. Therefore, you must sell the value and need for the services. If you do, price will not be a factor in the buying decision, as long as it is reasonable.

You Are The Expert

As mentioned, advertising or promotion will bring customers in. How well you are prepared to sell them will have a major impact on your gross revenues.

It goes without saying that professionalism is number one in the business. From the first impression of your facility to the unveiling of their detailed car, your customers will be looking for professionalism. (Why else would they leave a $ 60,000 vehicle with you?)

Having stated that, let's talk about the three keys to selling detail services:

To give an example, your car is running poorly so you take it to the mechanic for a tune-up. The mechanic puts it on the analysis machine, and, yes, you need a tune-up but you also need a distributor cap, new spark plugs, and a rebuilt carburetor. You don't want to spend the money, but what do you do? The mechanic is the expert, so you spend the $300 or $500 instead of $100.

This applies to detailing as well. You are thee expert. Your customers will have a perceived need when they come in, but it's up to you to tell them what the vehicle really needs-and to convince them of the value of the services they are getting.

After determining what they want you must see the vehicle. Never quote prices without seeing the vehicle first. You have to see it in order to correctly estimate the job. Plus, it gives you an opportunity to talk with the customer to determine how price conscious they may be.

This is not cynical, high pressure selling. It's simply recognizing the fact that 98% of cars on the road over two years old probably need a complete detail to help maintain their appearance and value.
After getting an idea of what the customer wants, what the car needs, and if the customer is price conscious, you can sell. Typically customers will fall into these categories.

Put It To Use

In this article I have covered a great deal of information on how to put together a marketing plan, advertising and promotion, and how to merchandise and sell detail services.

For it to be of value, you must put it to use. If you do you will find your sales will increase and-more importantly-your attitude about your business will be more confident because you have a solid marketing plan in hand.