A very important factor to the success of your detail business
is Merchandising.
Yet, most detailers don't even know the definition
of the word, let alone how to implement a merchandising program.
Defined simply, Merchandising is: "All
the activities involved in the promotion of a product or service".
In order to develop such a program requires
a thorough knowledge and understanding of all these activities.
Before you can organize the activities needed
to merchandise the detailing service you must understand what
it is you are selling. What a stupid statement! We're selling
detailing, aren't we?
If you are selling detailing what does that
mean? Remember, over 80% of the motoring public doesn't know
what the detailing is; most never been to a detail shop; and
see no value for the service as a part of regular vehicle maintenance.
Please take the time to consider this. Your
ability to deal with the lack of consumer awareness will have
a large part in your success or failure in the business.
"OK, so we are selling a service that
nobody knows, understands, or values! Why should I even be in
the business? It would seem I'm destined for failure before
I start."
That may be true if you try to sell only detailing.
Selling Leisure Time
What you are really selling are several things,
the most important of which is LEISURE TIME.
Think about it! Who will buy the detailing
services? The rich? Sure! But not just because they have money.
It is because they value their leisure time and can afford to
protect it.
But there are also many people in the middle
and upper middle class that will use the detailing service because
they too value their leisure time and will pay to protect it.
For playing golf, skiing, camping or watching
a football game, etc. These are more important to them than
saving a few dollars detailing their own vehicle on the weekend.
With more active senior citizens, yuppies,
and double-income families the leisure industry is growing by
leaps and bounds and this means that any service dedicated to
increasing leisure time has a great future.
What Else Are You Selling?
Besides leisure time you are selling GOOD FEELINGS.
You know, "the ride with pride in a clean
car" syndrome. "America's love affair with the automobile."
The detailer who misses this sales approach
in their marketing is missing a very critical selling factor.
What About Protecting
Your Investment?
This has been a favorite selling slogan for
the automatic car wash industry for years. If it is true, with
car washing, then it is even more applicable for the detail
business because you are literally protecting their investment
by periodic exterior and interior detailing.
Considering all the environmental factors that
work to destroy the paint finish from the first day it is driven
on the street, it is critical that a car be waxed at least every
six months, and more in severe climates.
The interior should also be cleaned and shampooed
at least every six months, more often depending on the soil
conditions in an area. This regular cleaning will maintain the
showroom condition of the vehicle, thereby maintaining its value.
Summary
You may be selling other intangible aspects
than those mentioned however it should be evident you are not
just in selling detailing.
If you can understand this fact you will have a great deal of
success in the business.
What About Detailing?
"What you say makes sense, but let's be
realistic, we are still in the detail business and we are selling
detail services, what about that?"
Now we are getting somewhere. We've established
the ground rules for merchandising the services so it will be
easy to sell.
The Services
Auto detailing has traditionally included these
main services:
- Exterior Washing
- Engine Cleaning
- Vinyl Top Cleaning
- Wheel Cleaning
- Tar Removal
- Trunk Clean & Shampoo
- Carpet Shampoo
- Upholstery Shampoo
- Paint Buff; Polish & Wax
Additionally, some shops will offer additional
cosmetic car care services including:
- Pin Stripping
- Body Side Molding
- Door Edge Guard
- Window Tinting
- Windshield Chip Repair
- Upholstery Repair & Dyeing
- Paint Touch Up
- Carpet Recoloring and Dyeing
- Gold Plating
- Paintless Dent Repair
The success you have in selling these services relates directly
to how you merchandise them to the consumer.
Menu Marketing
Years ago the car washing industry discovered the restaurant-style
menu merchandising was an excellent approach to use in selling
car wash services to their customers.
Taking a page out of a "Chinese menu", they developed
combinations or packages that made the buying decisions easier
for the motorist.
Borrowing from this successful page, many detailers have
applied this same approach to their services presenting them
as packages to the motorist. Studying the buying habits of detail
customers across the nation it appears they tend to initially
want one of these services:
- Wash & Wax
- Complete Exterior Detail
- Complete Interior Clean & Shampoo
- Complete Interior/Exterior Detail
- Complete Detail including Engine & Trunk
Experience has shown that when a customer comes into your
center, they will be thinking in terms of having a specific
service done. Therefore we have found the best approach is to
look at the vehicle and then recommend the appropriate package
from your service menu. But do not put prices on the menu.
On the front side of the menu list your Packages (see sample).
We recommend 4 to 5 packages which will cover over 90% of the
customers that come into your center.
On the back side list individual services on ala carte basis,
grouping them by Exterior; Interior; Extra Services, with individual
prices in this case.
In addition to handout menus it is good to have these packages
on posters or signs in the waiting room.
The selling of the detail services is the difficult part
of the program. It requires one thing - a well-trained, knowledgeable
sales person. You are only kidding yourself if you think you'll
be successful without a person well-versed and trained to sell
detailing services whether it is you or an employee.
Remember over 80% of your potential customers don't even
know what the services are or why they need them so you need
to sell the needed services.
Pricing
Most detailers in most areas of the country literally shoot
in the dark on pricing.
They don't know their cost of operation so they respond
solely by what the competition charges or what the dealer will
pay.
Remember there is no competition for a professionally operated
detail business.
The typical bucket and sponge shop is not your competition.
They generally cater to the dealer who pays anywhere from $45-
$75 dollars per car for a complete detail. Far to low to operate
a business and make a profit.
Some will raise this price to $75.00 - $100.00 for a retail
customer, but again with no knowledge of their cots of operate.
Just shooting from the hip.
The best approach to pricing detail services is simple Calculate
your investment and operational expenses of the business to
determine an hourly shop rate. This rate times the estimated
hours to do the work determines the price your MUST charge.
Then consider the market and competition you may find you can
charge more. But never charge less.
A final point on price. If the customer doesn't really understand
the detail service how can they know.
In short, pricing is not as an important a consideration
in a person's buying decision as VALUE. If you can justify to
the consumer they need the service they will buy it at any reasonable
price.
To prove this we have on several occasions lowered prices
with no change in business.
For example, reducing the price of a complete detail from
$199.95 to $149.95. Or, an exterior detail from $125.00 to $99.95.
The lack of any measurable change in business reflects that
that when the consumer does not see a perceived value in a service
it is not worth anything at any price.
Conclusion
Hopefully this article has raised substantially more questions
than it has answered. If it has, then you are on your way. You
now "know what you don't know about the business".
This makes it possible for you to ask questions and learn what
there is to know. |
