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Finding the right price for lube services

LUBBOCK, Texas — It can be difficult to find a price that isn’t so high that it turns customers away, or so low that it doesn’t generate enough revenue, according to National Oil & Lube News.

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LUBBOCK, Texas — There are many ways lube shops can provide great services and attract customers, according to National Oil & Lube News.

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The Lube Operations Director of Fabulous Freddy’s in Las Vegas, Darren Elliott, advertises special packages depending on the season. “Right now, we’re offering a free power steering or a gearbox service with transmission service,” he said. “Next month, we’ll do a free tire rotation or nitrogen service with the purchase of a fuel saver package where we do an oil change, fuel injection cleaning, tire rotation and a wash for $99.99.” Elliot said his employees often come up with creative specials that work well for customers.

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Coupons can be an effective way to promote services, the article notes. They can be valuable for creating new customers or advertising an additional service that existing customers haven’t previously used. The owners of Castrol Premium Lube Express in Millsboro, Delaware, Jean and Gary Marsiglia, use a different service to attract customers. “After you purchase your fifth oil change, the sixth is free. If you do the math, it’s 17 percent off every oil change. I don’t care if you’re a synthetic customer, diesel customer, or who you are, you’re going to get a free oil change,” said Gary Marsiglia.

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Oil changes can sometimes be used as a loss leader to bring customers in, and then sell them on additional services. Gary Marsiglia said he no longer does this because it made customers always expect to get an oil change at a low price, which wasn't generating much revenue.

Elliot said educating customers on the value of a more costly service can combat the lost revenue that comes from basic packages. “We have people who come in for that but go ahead for our Fabulous Full Service for $37.99.”

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