Opinion: Full-service Operators Need to Get 'Flexible'

Elite Car Wash in Clermont, Fla.

Change is constant and you must expect it or get knocked directly between the eyeballs. I’m talking to full-service carwash owners who are looking for ways to get through these tough times. As I tell our management team, “I would much rather be pitching than catching, so be proactive with our customers and get their input.”

Our economy grew so much this past decade that life was rather easy for most business sectors, including full-service carwash locations that rode a wave of prosperity. Going forward, however, businesses that are unable to evolve quickly will be at risk of extinction.

Until recently, many carwash owners expanded and opened multiple locations because a majority of customers wouldn’t hesitate to buy higher-end wash packages and detail services. It seemed everyone had money to burn for everything. I know because I was one of those customers — a young professional with a busy schedule who didn’t have the time or desire to wash my own car. I was a full-service guy who wanted a quality job.

As a customer, I rarely looked at price and was accustomed to waiting 15-25 minutes for a top wash package. I just wanted one of my largest investments to be taken care of properly. I stayed away from “express” locations because I did not believe they were in the same ballpark as full service when it came to equipment and technology. However, they did have the advantage of speed and leaving the customer in control of the vehicle, creating a perception of faster service.

This is something full-service carwashes need to learn. As long as customers are in control, vacuuming their own vehicles or waiting to go through the tunnel, their perception of time is shorter, even though it could take 15 minutes. When you weigh the factors of control, speed and price, it becomes easy to see why many customers choose express exteriors.

This was less of an issue before the economic collapse because express carwashes couldn’t match the full-service experience or quality. Over time, though, the booming economy led to full-service complacency, which is now hitting this business model upside the head with a 2x4.

Full-service operators who choose to sit idle (with heavy labor) as they wait out this financial drought might not make it. It seems that, all at once, labor costs shot up and most new investors ran to build express exteriors. Many new investors teamed up with carwash veterans tired of dealing with all the goodies that come with full-service labor and decided to let new technology work for them to offer speedier service and greater convenience.

In today’s atmosphere, if you put good money into a tunnel and offer free vacuums, most customers will choose the “express” speed over full service as long as the equipment and technology are comparable, and why not? The volume rolls in due to low pricing; there are fewer headaches due to less labor; and it’s much easier to manage multiple locations.

So why not run out and open an express exterior tomorrow? Because I think you will put yourself at a disadvantage long term if you can’t offer a full array of carwashing services. Take the best attributes of both express exterior and full service to combine them into a flex-service model. This gives the customer the speed and control they want, along with a full-service option. With more flex-service models available, express exteriors could become outdated because they don’t have the same ability to adapt due to small lot sizes.

As the owner of Elite Car Wash, a full-service wash in Clermont, Fla., I am taking the proactive route and changing my business model. I am adding an express lane and tripling my vacuum capacity, all for the love of speed.

Although Elite has continued to get triple-digit new customers every month since we opened in 2006, our customers tell us they want more speed. In order to adapt, I am morphing into flex service. That’s not easy when your layout was designed as traditional full service. It has taken a little imagination, an irreplaceable management team, Zen-like patience with our local municipality, and an injection of some capital.

However, when the project is complete, Elite will be able to offer everything an express exterior can offer, plus all of the luxury full-service customers expect and “a la carte” offerings to fill the gaps. By having detail and full-service options to increase our ticket average, we will be able to lower our exterior-only prices and be very competitive against any exterior-only location.

Now is the time for full-service owners to seize the opportunity and swing the pendulum back in favor of the full-service/flex-service business model. You already have the labor and dedicated customer base. While it requires an investment to change, evolving your location can regain market share you are losing to locations that offer better speed and customer control. Updating your business model is not only realistic, it is necessary to thrive.

Philip Toppino is the owner of Elite Car Wash in Clermont, Fla. He also owns Elite Lube and offers consulting services for the professional carwash market. He can be reached at ptoppino@gmail.com. For more information, visit www.toppino.com or www.elitecarwash.com.

Related Article:

• A Wash of the Future