Local prices...sad

shotime

shotime

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I found two ads in the paper today for $75 complete!!!! That's what I'm charging this year, but I'm just doing it out of my driveway on the side, these were legitimate businesses. How can someone make any money charging that little as a business? I've looked into ad prices and the size of one was $500...that's 7 details just to pay for the ad!! Is it worth trying to compete with these people or should they just be left to choke on thier low income until they give up?
 
It's probably bordering on the bait and switch that the carpet cleaners do and isn't much more than a wash, wax and light shampoo of the carpet. All the other things are extra...
 
$75 a full detail !!! I bet its a cleaner wax and a vac and dress. They should not be around long. Is there a demand for low-end cheap detailing ???
 
Clean Dean said:
Is there a demand for low-end cheap detailing ???
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The problem is that 99% of the motoring public thinks a wash/cleaner wax/vacuum IS a complete detail. The idea of using different levels of polises and cleaners is beyond their comprehension. I try to simplify it by saying that the finish needed to be buffed X number of times to bring it back to like new condition...
 
Take a look at Clean Dean's work and his general prices on his web site - : - ) you get what you pay for (and I think his prices are cheap for the results I have seen! - no idea what Nick0844 charges but his results are great too!) -
 
It's a pretty poor area. Most are middle class so I don't think you could charge above $150 and be busy, even with quality work. Around here most shops charge between $120-$150. There's one that's $200. Quality from all is sub par from my stand point. I'm going to call the bottom feeders sometime this week and find out what they're doing.
 
I love the "competition" in my area that charges $50 - $75 for a complete detail....... I send people to them that want to negotiate my prices with me...

I would be more intimidated if someone were to move into my area and charge as much (or more) than me... That may mean actual competition...

Bill D. - great analogy! If people want a quick hamburger - they go to McDonalds... For a delicious juicy filet mignon, which takes longer to cook and costs considerably more, they go to Morton's, The Steakhouse... (Savor the good life!)

:onthespot
 
Justify your work. I started taking pics of every car I've done and like the old adage says "a pic is worth a thousand words". If they still want the sub $100 detail, I dont want them as clients. But, I guess it really depends on the area you live in. Plenty of wealth here in NJ so I dont care for the cheapos. I generally charge $200 and regret it everytime. They always tell me they expected it to be more....
 
All I have to say here is, YOU GET WHAT YOU PAY FOR
I can do a car for $75 or $150, Two completely different details though
 
Here on the southside of Atlanta most detailers charge $75 and $100, and this is what you get.......

Wash with a filthy dirty mitt with soap/water that has washed probally 4 or 5 cars before they change it.
Dry it with a terry towel
Pressure wash and degrease engine and spray the "blue dressing" on it
Scrub carpet with the same degreaser that was used on the engine and tires. Shop vac up.
Spray and overly amount of tire dressing on tires, so it slings on sides, windows and roof.
Spray fender wells with tire dressing
Hand wax with Midnight Special if it is a dark color and Cherry wax if it light
Clean windows with windex and newspaper


I won't get out of bed on the weekend for less than $100, nor will I do $75 worth of work. I say this because if someone asks that person who did the work, I don't want them thinking "what a crap job".
 
I've got a couple of shops here that charge 100 for a detail, but then if you want carpets cleaned that's extra, and the list can go on from there. I'm at 200 to 225 depending on the car and condition.
I always tell my customers, who would you rather have work on your car, a guy that has no experience uses a check list and has no product knowledge, or me with over 30 years experience and understands the products that I use, and only works on one or two car a day. I pride myself in quality and my cars show that, so when I deliver mine back I don't have to justify my asking price.

I also think alot of people think a wash/wax and vac wipe down is a detail...........WRONG:lmfao
 
Maybe they're just dirty cheap college students like myself. :) When you don't have a family, mortgage, or even a car payment, 80 bucks for a full detail ain't all that bad. Of course, that's not claying or DACP, I'd just use Klasse AIO and SG on the exterior for that much.
 
The term 'full detail' is very subjective too. They could consider using a one step surface product, tire foam on the wheels, armor all the dash, and vacuum the interior their version of a 'full detail'. If they can bust that out in an hour (which is possible to do) then they are raking it in.

Its actually not a such bad concept.... bait them with a low price for a job and then upsell them on everything they really want. Maybe its a little unethical, but if you do it right then its not so bad. I don't mean advertise something that is too good to be true and then switch them when they get there. I just mean maybe offer a service for way below what it really costs you and then upsell them on other things. Offer a wax for $10 off but tell them they have to get the $35 wash before you can wax it. Something like that. Its just good advertising and marketing I think.
 
Here are a few thoughts about how to determine your hourly detailing rate.

Your hourly detailing rate should be based on your actual operating expenses. That is the true rate that you will 'need' to make in order to remain in business and make a profit. Among other costs, your actual operating expenses should include the following:

1- Salaries, Wages, Commissions, Payroll Taxes
2- Marketing, Advertising and Promotion
3- Office Administration, Legal and Accounting
4- Operating Supplies, Equipment, Vehicle Expenses, Rent, Repairs and Maintenance
5- Utilities, Insurance, Taxes and Licenses, Depreciation, Interest

The price you charge should not be based solely on what the competition charges. It is good to know what they charge, but not a good idea to base your price on that fact alone. In order to cover expenses and stay in business you should consider pricing your detailing services somewhere between what you 'want' to make and what you actually 'need' to make.

How much do you 'want' to make on an hourly basis? $60 per hr

How much do you 'need' to make on an hourly basis? $40 per hr

On average it takes about 4 hours to do a complete mid-size car detail.

To make $60 per hr you would 'want' to charge $240 per mid-size car.
4 hrs x $60 = $240

To make $40 per hr you would 'need' to charge $160 per mid-size car.
4 hrs x $40 = $160

In summary, it is always a good idea to fully identify your actual operating expenses. That is the only clear way to determine your hourly detailing rate.
_________________
 
i think you have a great opportunity here. i would take what you can get and learn while you earn . take your skills to a new level and when you have mastered this trade on filthy nasty cars then go across town and sock it to them . find out which products you like and how to get max results from them. people with high end cars expect top notch work and will pay for it .you will end up getting all of there work because you can deliver the goods .. as a consumer when you want things done right you have to go to the best shop and you expect a big bill ..you also expect perfection .. if you treat every customer like they are your most valuable client you will go far ...dont mean to preach ..this is what i remind myself of every time i do a car and greet a customer..its working for me
 
Jngrbrdman said:
The term 'full detail' is very subjective too. They could consider using a one step surface product, tire foam on the wheels, armor all the dash, and vacuum the interior their version of a 'full detail'. If they can bust that out in an hour (which is possible to do) then they are raking it in.

Its actually not a such bad concept.... bait them with a low price for a job and then upsell them on everything they really want. Maybe its a little unethical, but if you do it right then its not so bad. I don't mean advertise something that is too good to be true and then switch them when they get there. I just mean maybe offer a service for way below what it really costs you and then upsell them on other things. Offer a wax for $10 off but tell them they have to get the $35 wash before you can wax it. Something like that. Its just good advertising and marketing I think.
Click to expand...

Good ideas and yes, I think it is all about marketing.

I've been thinking about this for awhile and almost have myself convinced that making a "menu" similar to what a couple of high end shops I've seen have. Breakdown the prices to specific services performed and embellish the hell out of it. When you really think about it, you're doing the same thing (usually verbally) for a fixed price on a full detail.

I don't think any of us like the feeling that we're breaking our butts at times on jobs that we KNOW we could have gotten more for.

I've gotten to the point in this biz where I want to do less for more. :)
 
mirrorfinishman said:
Here are a few thoughts about how to determine your hourly detailing rate.

Your hourly detailing rate should be based on your actual operating expenses. That is the true rate that you will 'need' to make in order to remain in business and make a profit. Among other costs, your actual operating expenses should include the following:

1- Salaries, Wages, Commissions, Payroll Taxes
2- Marketing, Advertising and Promotion
3- Office Administration, Legal and Accounting
4- Operating Supplies, Equipment, Vehicle Expenses, Rent, Repairs and Maintenance
5- Utilities, Insurance, Taxes and Licenses, Depreciation, Interest

The price you charge should not be based solely on what the competition charges. It is good to know what they charge, but not a good idea to base your price on that fact alone. In order to cover expenses and stay in business you should consider pricing your detailing services somewhere between what you 'want' to make and what you actually 'need' to make.

How much do you 'want' to make on an hourly basis? $60 per hr

How much do you 'need' to make on an hourly basis? $40 per hr

On average it takes about 4 hours to do a complete mid-size car detail.

To make $60 per hr you would 'want' to charge $240 per mid-size car.
4 hrs x $60 = $240

To make $40 per hr you would 'need' to charge $160 per mid-size car.
4 hrs x $40 = $160

In summary, it is always a good idea to fully identify your actual operating expenses. That is the only clear way to determine your hourly detailing rate.
_________________
Click to expand...

Very well said. :)
 
shotime said:

How can someone make any money charging that little as a business? I've looked into ad prices and the size of one was $500...that's 7 details just to pay for the ad!!

Is it worth trying to compete with these people or should they just be left to choke on thier low income until they give up?
Click to expand...

Many start-up detailing businesses can usually figure on spending as much as 10% of their monthly income on advertising. However, once a business becomes established, advertising costs should come down to less than 5%.

Think about it. In order to spend $500 for just one ad per month the business should be generating somewhere between $2,500 (5%) and $5,000 (10%) total monthly income. At $75 per car, they would need detail between 33 and 66 cars per month. That's only about 8 to 16 cars per week. With enough market share, that's very possible. However with only one ad, it is also very unlikely. Remember, higher market share leads to lower costs. Also, there are a lot more people out there who are willing to spend $75 than there are who are willing to spend $150. If they can continue to keep the activity level going they may be able to stay in business.

Just one last thought. As a detailing business owner, it is not a good idea to waste too much time focusing on the competition. It is much better to offer and deliver to your customers the kind of high quality service that they simply cannot get anywhere else. That is really all that matters.
 
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