PC&D MAGAZINE
Operator Finds Success in the Off-Season
From Volume 21, Issue 3 - March 1997
Feature
With an accessory market, even rainy days are busy.
by: Ken Prange
The carwash business is great when the sun is shining, but when the weather's bad, you do maintenance, clean the shop or even close.

I don't have to do that anymore. I recently added a new product line under a familiar name in my market. It relates directly to every one of my existing customers at the Ultra Shine Auto Wash in Shelby Township, MI.

I put an accessory franchise under my roof. In the beginning, I looked into yogurt, pizza, even video rental. Like most operators, I was looking for impulse items -- things the customer would pick up while waiting.

But there was something missing in those things. It seemed like if I was going to add business, I could do better by focusing on what my customers have in common -- cars.

I dug deeper and researched oil changes and other auto-related businesses until I narrowed it in my mind to the perfect fit -- auto glass replacement and auto accessories.

In the Beginning

I first looked into adding an accessories business around 1993. I knew a couple of franchise owners and I'd visited their locations.

When I saw the diversity of the product line -- auto glass repair and replacement, auto security systems, cellular phones and the latest in car and truck accessories -- something clicked. I could see my customers wanting those products and getting them from me.

Roughly 35 percent of my customers sit in my showroom for at least 15 minutes while they wait for full-service detailing in my six-bay garage.

Sure, I have floor mats and air fresheners, but why not sunroofs, running boards and luggage racks, too? Why not vehicle security systems and cellular phones?

With these products, I could do more business with the same customers, and I would have a reason to stay open on a rainy day.

The carwash's best months are from December to March; the accessory and glass business is strong from April to December. With the wash, accessories and glass replacement under one roof, the seasons are covered.

One-Stop Convenience

I opened the accessories and glass business in March of last year. Aside from my initial franchise fee, royalty and additional payroll, I incurred no new costs. The wash covered what it always covered, and my glass, accessory, security and cellular business became a viable source of profit.

I wash about 90,000 cars annually. Every one of them is now a potential accessory or auto glass sale.

With the help of my sales manager, Paul Kanneth, I approach each waiting customer with a products and services brochure, pointing out what we can add to that customer's car.

A natural lead-in is auto glass. When I spot a chipped or cracked windshield going through my wash I ask the customer directly if they want it taken care of. I quote the job while the customer waits, and I contact the insurance company to assist with the claim.

It's hard for customers to refuse a windshield replacement that happens that painlessly. We can usually take care of the problem immediately because we have the space to stock a reasonable amount of glass, we're open longer hours than most glass shops, and we have one-stop convenience.

Typical of my experience has been the customer who comes in for a wash Wednesday, has his windshield replaced Thursday and orders nerf bars to be installed on their truck Friday.

Taking the Cake

I average close to $50,000 a month in auto glass and accessory sales, which has significantly raised my dollar-per-car average. Like many full-service washes, I averaged between $8 and $9 a car. Today, I am closer to $17 a car.

Much of this increase is due to an aggressive cross-selling approach and the sheer number of cars I see every day. I reach the 65 percent who just go through the tunnel by listing the new products and services at the bottom of each wash receipt, and I've held contests that require filling out entry blanks for drawings.

Customers going through the wash received mini-clipboards and were asked to fill in their name, address and phone number to be entered in a drawing for a free accessory product. After drawing a winner, I direct-mailed the other entrants with future special offers.

The marketing opportunities with wash traffic alone are tremendous. Whether customers are just in the tunnel for two minutes or in our showroom for 10, we have their attention and they are interested in knowing more.

There are many advantages to adding a glass and accessory business to an existing full-service carwash, not the least of which is better cash flow.

Most people can get into this business by utilizing existing space available (showroom, bays) and dramatically increase overall revenue without adding overhead. After a year in the business, I expect to ultimately average $75,000 in sales a month.

My best product so far has been glass, and those customers have a tendency to return for other items.

The typical windshield customer doesn't have a lot of time and doesn't know where to go, so they show up at my place for a wash and I can help them solve a problem. People come back for that kind of service.

Ken Prange owns Ultra Shine Auto Wash, Shelby Township, MI.

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