Prices

[jahazii]

Hey guys I am quickly learning a lot about detailing in the 4 months I've been doing it. I am thinking about starting a business within the next 1-2 months with a friend of mine whose more than experienced in the field. We just have one discrepancy the prices. Most of the competitors around my town charge 149.95 for a 4dr Honda accord and its a half-*** job they return the carpet soaking wet and don't polish they just wax and some other stuff I'm not going to get into. I think that our service is a lot better I'm going to be taking some before and after pics soon enough. Ok well I am thinking about offering 2 packages, Basic and Deluxe (original I know The basic is going to include

Upholstery & carpet spot remover

Steam cleaned carpet

Leather cleaned & conditioned

Odor removal & refresher

Streak free glass cleaning

Door jam cleaning

Complete hand wash

Paint contamination remover ( restores original glass like finish)

Superior wax/sealant (6 month protection)

Tire cleaning & dressing

Complete wheel cleaning and degreasing

Window cleaning and polishing





And the Deluxe is going to include all that plus

Removal of swirl marks and light to moderate scratches and surface imperfections (NOTE: some heavier scratches require repainting)

Chrome Polishing (molding, grills, wheels)

Headlight & taillight de-hazing





I have no idea what I should charge any help would be appreciated.



PS On a honda accord 4door it takes around 2 hours for the basic and 2:45 -3:15 for the Deluxe

 

[vwlover]

Hey guys I am quickly learning a lot about detailing in the 4 months I've been doing it. I am thinking about starting a business within the next 1-2 months with a friend of mine whose more than experienced in the field. We just have one discrepancy the prices. Most of the competitors around my town charge 149.95 for a 4dr Honda accord and its a half-*** job they return the carpet soaking wet and don't polish they just wax and some other stuff I'm not going to get into. I think that our service is a lot better I'm going to be taking some before and after pics soon enough. Ok well I am thinking about offering 2 packages, Basic and Deluxe (original I know The basic is going to include

Upholstery & carpet spot remover

Steam cleaned carpet

Leather cleaned & conditioned

Odor removal & refresher

Streak free glass cleaning

Door jam cleaning

Complete hand wash

Paint contamination remover ( restores original glass like finish)

Superior wax/sealant (6 month protection)

Tire cleaning & dressing

Complete wheel cleaning and degreasing

Window cleaning and polishing





And the Deluxe is going to include all that plus

Removal of swirl marks and light to moderate scratches and surface imperfections (NOTE: some heavier scratches require repainting)

Chrome Polishing (molding, grills, wheels)

Headlight & taillight de-hazing





I have no idea what I should charge any help would be appreciated.



PS On a honda accord 4door it takes around 2 hours for the basic and 2:45 -3:15 for the Deluxe

2 of you will be working on it together or will you be doing it by yourself? For me to do the deluxe it would take me a full day easy.

 

[jahazii]

2 working togther we worked it out he going to be helping me wash and clay the car and dry then he moving inside to the interior while I buff and what not.

 

[imported_mirrorfinishman]

4 Hours @ $50.00 per hr = $200 Basic



6 Hours @ $50.00 per hr = $300 Deluxe



The above example is based on making $50.00 per hour. Your price really depends on how much money you need to make per hour in order to make a profit and remain in business.

 

[jahazii]

Thanks alot. My initaial start up cost was around $400 and it costs around 10-15 in supplies a car. The only thing im worries about is people looking at the $200 price tah and going NO WAY i can get it at ACME for 79.95 for a "detail" in other words lots of swirls with 3 year old rags and dish soap :0



Any tips on what should I due to lure custumers to make them notice mine way better.

 

[derek37]

you need to educate the consumer of why your service is superior.

Products, process, etc.

It's all about education.

 

[David Fermani]

Charge $5 less than your competitiors, offer more things included(high speed polishing) and do a better job. What other reasons would a potential customer shopping prices need?

 

[derek37]

Charge $5 less than your competitiors, offer more things included(high speed polishing) and do a better job. What other reasons would a potential customer shopping prices need?

I somewhat disagree with this post. Sorry. If you can do a better job than your competition you need to charge more. By pricing too low you hurt not only yourself but the industry as well. You have a skill; you need to charge for it. It all goes back to educating your customers. Charge a little more and explain why you're worth it.

Remember, cheap works not good; good works not cheap.

If fokls are just shopping for the lowest price, those are customers you do not need.

Make sure to market yourself not only to the people that have the money but to the people who truly care about having quality work performed.

 

[David Fermani]

I somewhat disagree with this post. Sorry. If you can do a better job than your competition you need to charge more. By pricing too low you hurt not only yourself but the industry as well. You have a skill; you need to charge for it. It all goes back to educating your customers. Charge a little more and explain why you're worth it.

Remember, cheap works not good; good works not cheap.

If fokls are just shopping for the lowest price, those are customers you do not need.

Make sure to market yourself not only to the people that have the money but to the people who truly care about having quality work performed.

During a business start up phase, you need to capture as many custumers as possible. There's always room to upsell at the end if needed for minor things like fabric protection, glass treatments and/or engine cleaning. The low price brings them in and your great salses ability captures them. How is a $145 Interior/Exterior detail hurting the detail industry?

 

[doged]

4 Hours @ $50.00 per hr = $200 Basic



6 Hours @ $50.00 per hr = $300 Deluxe



The above example is based on making $50.00 per hour. Your price really depends on how much money you need to make per hour in order to make a profit and remain in business.

This is on the mark. :clap: $50 a hour is a win for us and a win for the customer. Would a seasoned business person rather do 4 cars at $13 / hr or 1 car at $50 / hr ???



Depends on the condition of the vehicle and one’s definition of a full detail.

1 person ( fast & efficient ) 3 to 4 hours and 5 for SUV. Anything over 5 hours in IMO is “reconditioning.� Our definition of reconditioning is bringing the vehicle back from the dead.

 

[imported_mirrorfinishman]

During a business start up phase, you need to capture as many customers as possible. There's always room to upsell at the end if needed for minor things like fabric protection, glass treatments and/or engine cleaning. The low price brings them in and your great sales ability captures them. How is a $145 Interior/Exterior detail hurting the detail industry?

It's true that during the start-up phase of your business you'll need to go out there and get as many customers as possible. However, it is very important that you go out there and get good customers. Customers who understand what detailing is all about and have a need for the high quality service that you are offering. By starting out with low prices you may begin to attract penny pinching price shoppers who really wouldn't know the different between a high priced car wash and a low priced detailing.



Trying to up-sell your detailing customers on additional services probably went out of favor a long long time ago. It's usually a lot better to stay with offering one complete package at a price that the customer can easily understand.



Today's automobile industry is a good example of the advantages of offering one complete package at a price the customer can easily understand. You may not remember, but a few decades ago when you purchased a new car they didn't always come with power windows, air conditioning and all of the other goodies that are now considered standard equipment. Hey, if you go back far enough, cars didn't come with radios and heaters. Now that's way before my time. Anywho, somewhere along the line the car manufacturers realized that if they included many of the options as standard items (and charged a higher price) then customers might just begin to feel like they're getting more for their money. And let's not forget about those items that are now included as standard that some customers may not have ordered in the first place. The way the auto makers figured it out, they are basically getting you to buy the vehicle at a complete package price, even if there's something in the package that you may not have really wanted. So the car makers are basically up-selling but no one really looks at it that way. Of course, it's all built into the higher price, however, most customers never really think too much about that. So when it comes to detailing, why not include those additional services into one complete package and get the higher price up-front just like the car companies.

 

[David Fermani]

It's true that during the start-up phase of your business you'll need to go out there and get as many customers as possible. However, it is very important that you go out there and get good customers. Customers who understand what detailing is all about and have a need for the high quality service that you are offering. By starting out with low prices you may begin to attract penny pinching price shoppers who really wouldn't know the different between a high priced car wash and a low priced detailing.

I disagree in this person's case. We're talking about undercutting the guy down the street by $5 to attract potential customers into the shop. This a a key strategy for business. Most people shop around for everything now a days. There not penny pinchers. People shop price for products and services in most cases, it's the nature of the beast. Even if your business is established in the area, be competive in price and quality. Know you competition better than they know you. That's how I ran a sucessful detail shop for over 10 years.

Trying to up-sell your detailing customers on additional services probably went out of favor a long long time ago. It's usually a lot better to stay with offering one complete package at a price that the customer can easily understand.

I also disagree. This way of marketing your business and yourself is very bland. Yes, you do want a simple sales portfolio, but some people want and need the works when it comes to maintaining their vehicle. If you have the skills to sell, the skys the limit with detailing. In Yahazii's(above) example, there is nothing mentioned about engine cleaning? Do you throw it in for free if the customer is ready to sign a work order, or do you upsell it for maybe an additional $25-30? This is updelling and it is a very useful tool in todays detail environment. If you don't take advantage of it, the next guy will, believe me. I've seen my competition's estimates that customer's have showed me. These people advertised $100 detail specials on their huge billboard, but their work order was for $250. It's all what the customer perceives as value. Offer them value, do a great job and they will sure to return. I know from experience.

Car dealers typically advertise a lower than competition price to bring you in. You possible buy that peticular vehicle for that advertised price, but then they upsell you on paint and fabric protection, alarms/Lo-Jack, entended warranty, disability insurance and even rental car coverage. The same concept can apply in the detail world if used correctly and tactfully.



Today's automobile industry is a good example of the advantages of offering one complete package at a price the customer can easily understand. You may not remember, but a few decades ago when you purchased a new car they didn't always come with power windows, air conditioning and all of the other goodies that are now considered standard equipment. Hey, if you go back far enough, cars didn't come with radios and heaters. Now that's way before my time. Anywho, somewhere along the line the car manufacturers realized that if they included many of the options as standard items (and charged a higher price) then customers might just begin to feel like they're getting more for their money. And let's not forget about those items that are now included as standard that some customers may not have ordered in the first place. The way the auto makers figured it out, they are basically getting you to buy the vehicle at a complete package price, even if there's something in the package that you may not have really wanted. So the car makers are basically up-selling but no one really looks at it that way. Of course, it's all built into the higher price, however, most customers never really think too much about that. So when it comes to detailing, why not include those additional services into one complete package and get the higher price up-front just like the car companies.

I think as technology advances that we'll be seeing alot for optional items become standard on all vehicles like side airbags and anti-lock brakes. As time evolves, detailers are being introduced to new ideas/ways and products to detail a car also. We also need to become creative in the way we pitch these things to our customers. .[/QUOTE]

 

[doged]

David Fermani wrote: Even if your business is established in the area, be competive in price and quality. Know you competition better than they know you. That's how I ran a sucessful detail shop for over 10 years.





I am going to have to disagree. The key to business today is, setting yourself apart from others and not being the same. We don’t want to be competitive in price or quality because the greater percentage of detailing business have cheap prices and poor quality.. Remember we are in the “service industry� and not “auto sales�. You spelled competitive and successful incorrectly.

 

[David Fermani]

David Fermani wrote: Even if your business is established in the area, be competive in price and quality. Know you competition better than they know you. That's how I ran a sucessful detail shop for over 10 years.





I am going to have to disagree. The key to business today is, setting yourself apart from others and not being the same. We don’t want to be competitive in price or quality because the greater percentage of detailing business have cheap prices and poor quality.. Remember we are in the “service industry� and not “auto sales�. You spelled competitive and successful incorrectly.

You have a valid point. Sorry for going off on a tangent with this discussion. I guess I should have spell checked my post as well. :up

 

[machboy]

Trying to up-sell your detailing customers on additional services probably went out of favor a long long time ago. It's usually a lot better to stay with offering one complete package at a price that the customer can easily understand.



So when it comes to detailing, why not include those additional services into one complete package and get the higher price up-front just like the car companies.

How can you charge one set price if the level of detail is different for each car? Like for example you charge $175 which includes everything but you get a car that is allready in good condition...why would he pay that extra money for things he doesn't need? And say he does need paint correction or whatever would you charge him that same price every time he brings it to you?

 

[imported_mirrorfinishman]

How can you charge one set price if the level of detail is different for each car? Like for example you charge $175 which includes everything but you get a car that is allready in good condition...why would he pay that extra money for things he doesn't need? And say he does need paint correction or whatever would you charge him that same price every time he brings it to you?

Your questions are easily answered.



You can charge one set price by simply offering one level of detailing, such as a complete package. Think about it. Most detailing customers really don't know what they need. They usually figure that you are the professional and you're the person that they should be able to trust to know what's best for their vehicle.



Your last question is the best of all. Imagine getting a customer used to paying a high price for a complete package and then having the same customer begin getting their vehicle detailed at more and more frequent intervals. Yes, the job gets easier and easier for you while the customer is still paying the high price.



In summary, by offering one complete package, you allow yourself the time necessary to do whatever is necessary to get the job done right. Hey, there is nothing worse than under estimating a detailing job and then realizing that it's taking much longer than you expected. By charging a higher price and including everything in that price, you've basically elimated that possibility.

 

[David Fermani]

Frank - How much do you charge for your services?

 

[imported_mirrorfinishman]

Frank - How much do you charge for your services?

We are talking about a pricing strategy. Some people believe in undercutting the guy down the street by $5 to attract potential customers and I don't. It's not about what I charge for my service. It's about creating a successful pricing strategy.



It's all about positioning. Positioning refers to the way a consumer perceives a service or company. When you're first starting out it’s important to understand where your detailing business fits into the marketplace. Are you going to focus only on high priced automobiles? Do wholesale work? Be mobile or open a shop? Are you going to provide a service that’s unique and in some way different? These are all question you must ask yourself in order to successfully position your business. You have to know where you want to go before you can get there.



By undercutting the guy down the street you are basically telling your potential customers that your work is not good enough to charge a higher price. You are focused on positioning your business as the low price leader. If that's what you want your business to become, then it's perfectly fine. Hey, it works for lot's of businesses. However, if you see your business as a leader in offering un-matched high quality services, then it's not going to be easy changing your position in the marketplace once you've become a low price leader.



Let's face it, you can't have it both ways.

 

[imported_mirrorfinishman]

Frank - How much do you charge for your services?

What we are talking about is creating a successful pricing strategy. Some people believe in undercutting the guy down the street by $5 to attract potential customers and some people don't.



What you charge for your services help to determine how your detailing business becomes positioned in the marketplace. Positioning refers to the way a consumer perceives a service or company. When you're first starting out it’s important to understand where your detailing business fits into the marketplace. Are you going to focus only on high priced automobiles? Do wholesale work? Be mobile or open a shop? Are you going to provide a service that’s unique and in some way different? These are all question you must ask yourself in order to successfully position your business. You have to know where you want to go before you can get there.



By undercutting the guy down the street you are basically telling your potential customers that your work is not good enough to charge a higher price. You are focused on positioning your business as the low price leader. If that's what you want your business to become, then it's perfectly fine. Hey, it works for a lot of businesses. However, if you see your business as a leader in offering un-matched high quality services, then it's not going to be easy changing your position in the marketplace once you've become a low price leader.



Let's face it, you can't have it both ways.

 

[derek37]

What we are talking about is creating a successful pricing strategy. Some people believe in undercutting the guy down the street by $5 to attract potential customers and some people don't.



What you charge for your services help to determine how your detailing business becomes positioned in the marketplace. Positioning refers to the way a consumer perceives a service or company. When you're first starting out it’s important to understand where your detailing business fits into the marketplace. Are you going to focus only on high priced automobiles? Do wholesale work? Be mobile or open a shop? Are you going to provide a service that’s unique and in some way different? These are all question you must ask yourself in order to successfully position your business. You have to know where you want to go before you can get there.



By undercutting the guy down the street you are basically telling your potential customers that your work is not good enough to charge a higher price. You are focused on positioning your business as the low price leader. If that's what you want your business to become, then it's perfectly fine. Hey, it works for a lot of businesses. However, if you see your business as a leader in offering un-matched high quality services, then it's not going to be easy changing your position in the marketplace once you've become a low price leader.



Let's face it, you can't have it both ways.

Nicely said, I agree :2thumbs: