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The future of the Detailing Industry
Posted by Jim Hammill
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The future of the Detailing Industry October 31, 2003 04:14AM |
Registered: 17 years ago Posts: 751 |
<HTML>Having spent the day at home sick, I got to thinking about detailing, the industry itself, not the methods or chemicals.
I can’t believe the detailing industry has remained so static for so long. Look at the suppliers, most of who have been around for decades, CarBrite, established in 1947, Meguiars, established in 1901, Malco established in the 60’s. The suppliers constantly update and improve their products, and look for new markets. How does the industry grow, and what does the future hold for it? Will it remain a "small business", and if it does how it will it compete with the dealers as they begin to move in on the profits that can be made. What if someone started a chain of detail shops, and grew in to something equivalent to Jiffy Lube? One on every street corner? Detailing as a service has been around for many years but has it grown at all? I don’t think so, but I think it will, and sooner rather than later.
I think that the independent operator faces two big challenges to his market share over the next few years. From auto dealers and existing car wash operators. Let's drop our perceptions of these types of operations for a moment and look at the very real threat they pose to the independents.
Auto Dealers are already moving in to this area, many manufacturers are already making their own approved branded chemicals to be used in dealerships. Ford is, or was, considering offering a Detailers certification program for its dealerships. In the city I live in there are now three dealerships offering detailing services for retail customers, including the one I work at, and two others have detail centers planned in the not too distant future. . I drove around the lots of these dealerships the other night and checked out some of the vehicles. Honestly, they were good, as good as anything else I have seen. They have seen the potential for growth and profits, and they are moving in.
We have all seen the growth of Express Detailing, particularly in the car wash industry; car wash owners see this as another profit center. They already have the staff, and the costs to set up an Express Detail service for them are not that high, and it's going to take work away from the full time detailers too. The car washes already have the customer in their location, they don’t have to go out and advertise this service to the extent that we do, it’s easier for them to sell an Express Detail to someone who's already in the shop than it is for us to sell a full detail to someone on the phone.
What would happen, and these figures are just for conversations sake, if you suddenly lost 20% of your business? Say 10 % to the dealers, and 10 % to the car washes, how are you going to get it back? Do the independents have the financial resources to fight back, to take on the dealers and the car washes?
I am curious as to how people see the future of the industry? Will the industry remain as static as it has, or will the next few years bring drastic changes to the industry.
Jim.</HTML>
I can’t believe the detailing industry has remained so static for so long. Look at the suppliers, most of who have been around for decades, CarBrite, established in 1947, Meguiars, established in 1901, Malco established in the 60’s. The suppliers constantly update and improve their products, and look for new markets. How does the industry grow, and what does the future hold for it? Will it remain a "small business", and if it does how it will it compete with the dealers as they begin to move in on the profits that can be made. What if someone started a chain of detail shops, and grew in to something equivalent to Jiffy Lube? One on every street corner? Detailing as a service has been around for many years but has it grown at all? I don’t think so, but I think it will, and sooner rather than later.
I think that the independent operator faces two big challenges to his market share over the next few years. From auto dealers and existing car wash operators. Let's drop our perceptions of these types of operations for a moment and look at the very real threat they pose to the independents.
Auto Dealers are already moving in to this area, many manufacturers are already making their own approved branded chemicals to be used in dealerships. Ford is, or was, considering offering a Detailers certification program for its dealerships. In the city I live in there are now three dealerships offering detailing services for retail customers, including the one I work at, and two others have detail centers planned in the not too distant future. . I drove around the lots of these dealerships the other night and checked out some of the vehicles. Honestly, they were good, as good as anything else I have seen. They have seen the potential for growth and profits, and they are moving in.
We have all seen the growth of Express Detailing, particularly in the car wash industry; car wash owners see this as another profit center. They already have the staff, and the costs to set up an Express Detail service for them are not that high, and it's going to take work away from the full time detailers too. The car washes already have the customer in their location, they don’t have to go out and advertise this service to the extent that we do, it’s easier for them to sell an Express Detail to someone who's already in the shop than it is for us to sell a full detail to someone on the phone.
What would happen, and these figures are just for conversations sake, if you suddenly lost 20% of your business? Say 10 % to the dealers, and 10 % to the car washes, how are you going to get it back? Do the independents have the financial resources to fight back, to take on the dealers and the car washes?
I am curious as to how people see the future of the industry? Will the industry remain as static as it has, or will the next few years bring drastic changes to the industry.
Jim.</HTML>
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Re: The future of the Detailing Industry October 31, 2003 04:43AM |
Registered: 17 years ago Posts: 1,838 |
<HTML>I see the detailing industry changing for the better in the next decade or so. America loves there cars and the looks of them. With detailers like us, I believe we will eliminate the back alley detailers eventually with our strategic approach to the customers and offering better quality.
I do not fear losing business to the dealerships because they are always over-priced and will never lessen their prices to match ours. While we aren't cheap, we aren't as expensive as dealers charge. Dealer have way too much overhead and need to raise prices to draw a profit. Like I stated before, why would a dealer charge $250-$500 for a protection package?? It's the same process and applying wax and spraying chemicals. Yeah, sealant is a little more expensive but to charge $250-$500? That's crazy. Plus, people already know dealers are rip offs when it comes to service so they're going to go to the reputible detailer and spend an affordable amount of money. To get an oil change at our local Ford dealership is about $30. I can go to Jiffy Lube and get it done for $19.99 for say.
As far as chain detail shops, watch out because that's my future plan! But it'll be more like a total car care chain than just detailing. Perfect for the girl who is driving her car and talking on the cell phone, smoking a cigarette and drinking coffee at the same time. She loses control, hits a median and scrapes her bumper, spills her coffe making a lot of stains, and drops her cigarette on her leather seat. Where will she come for service? Me!</HTML>
Take care,
Brian
Precision Auto & Marine
Learn to detail boats! Visit www.detailtheboat.com
I do not fear losing business to the dealerships because they are always over-priced and will never lessen their prices to match ours. While we aren't cheap, we aren't as expensive as dealers charge. Dealer have way too much overhead and need to raise prices to draw a profit. Like I stated before, why would a dealer charge $250-$500 for a protection package?? It's the same process and applying wax and spraying chemicals. Yeah, sealant is a little more expensive but to charge $250-$500? That's crazy. Plus, people already know dealers are rip offs when it comes to service so they're going to go to the reputible detailer and spend an affordable amount of money. To get an oil change at our local Ford dealership is about $30. I can go to Jiffy Lube and get it done for $19.99 for say.
As far as chain detail shops, watch out because that's my future plan! But it'll be more like a total car care chain than just detailing. Perfect for the girl who is driving her car and talking on the cell phone, smoking a cigarette and drinking coffee at the same time. She loses control, hits a median and scrapes her bumper, spills her coffe making a lot of stains, and drops her cigarette on her leather seat. Where will she come for service? Me!</HTML>
Take care,
Brian
Precision Auto & Marine
Learn to detail boats! Visit www.detailtheboat.com
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Re: The future of the Detailing Industry October 31, 2003 05:45AM |
Registered: 17 years ago Posts: 382 |
<HTML>I think Brian's right on the money with this. Specialization is the key. And the more specialties that can be offerred under one roof, the more viable you remain in the marketplace. If you can get detailing, pdr, paint repairs, interior repairs, etc. all the small stuff that adds up, done at one place in one stop, you'll do well. The more you offer, the more time you save the customer. And if you can do it at a reasonable price, make it easy for the customer to say yes, then you will do a tremendous volume of business.
The key is to stay one step ahead of the dealers. If they start going in-house with detailing, then we, as car care professionals must diversify to stay afloat...add services like w/s repair, graphics, airbrush paint repair, etc. We have the flexibility to do it better and much cheaper than the dealers can, so the key will be leveraging that flexibility to our maximum advantage.
In the paint repair biz (bumper scuffs, key scratches, touch-ups) dealers get turned on to doing this stuff in-house every so often, usually when the economy's in a downward trend and they're trying to save more money than usual. They assign one of their techs or hire a kid and purchase a paint repair kit and tell him to go at it for $8-$10/hour. The guy gets frustrated because he hasn't been properly trained or figures it's so easy, he can do this as an independent and off he goes. The dealership in turn has a hard time keeping someone employed at this position and eventually gives up figuring they'll go back to using indies to avoid the headaches. This usually happens when the economy starts moving up and they start selling cars again. And so it goes with detailing, many of us who are now indies were no doubt former dealership or detail shop employees who decided to try it on our own. This is a trend that will continue and a dilemma that in-house operations will be faced with. Which gives us the advantage as long as we control our growth, develop good employees and don't get greedy in the marketplace. Our size, mobility and flexibility are our greatest assets.</HTML>
The key is to stay one step ahead of the dealers. If they start going in-house with detailing, then we, as car care professionals must diversify to stay afloat...add services like w/s repair, graphics, airbrush paint repair, etc. We have the flexibility to do it better and much cheaper than the dealers can, so the key will be leveraging that flexibility to our maximum advantage.
In the paint repair biz (bumper scuffs, key scratches, touch-ups) dealers get turned on to doing this stuff in-house every so often, usually when the economy's in a downward trend and they're trying to save more money than usual. They assign one of their techs or hire a kid and purchase a paint repair kit and tell him to go at it for $8-$10/hour. The guy gets frustrated because he hasn't been properly trained or figures it's so easy, he can do this as an independent and off he goes. The dealership in turn has a hard time keeping someone employed at this position and eventually gives up figuring they'll go back to using indies to avoid the headaches. This usually happens when the economy starts moving up and they start selling cars again. And so it goes with detailing, many of us who are now indies were no doubt former dealership or detail shop employees who decided to try it on our own. This is a trend that will continue and a dilemma that in-house operations will be faced with. Which gives us the advantage as long as we control our growth, develop good employees and don't get greedy in the marketplace. Our size, mobility and flexibility are our greatest assets.</HTML>
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Re: The future of the Detailing Industry October 31, 2003 06:23AM |
Registered: 17 years ago Posts: 466 |
<HTML>I have no fear of dealer detail shops or the super chain shops because the enthusiast, the guy or gal who owns the Porsche, BMW, Mercedes and Ferrari is seeking individualized care.
In this high tech whiz bang world of ours, where everything is either wanted or coming at two speeds, fast and faster, people admire craftsmanship and the rich are willing to pay for it as long as it sets them apart from others.
Arnold Schwarzenegger has a private detailer who gets paid $100,000 a year!</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
In this high tech whiz bang world of ours, where everything is either wanted or coming at two speeds, fast and faster, people admire craftsmanship and the rich are willing to pay for it as long as it sets them apart from others.
Arnold Schwarzenegger has a private detailer who gets paid $100,000 a year!</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
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Re: The future of the Detailing Industry October 31, 2003 01:22PM |
Registered: 17 years ago Posts: 333 |
<HTML>Our future is in consumer education, a market I tapped into already with huge success. The more informaiton you can get to the end user, the more they will be inclined to pay for our services. (opposed to getting it done quick) Jim, well thought and well written post by the way, we will have much to talk about at the seminar we will be attending together. I look forward to it. Gary</HTML>
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Re: The future of the Detailing Industry October 31, 2003 03:39PM |
Registered: 17 years ago Posts: 751 |
<HTML>Some well thought out replies everyone!
I have a few follow up points though.
Brian, Our dealership currently charges $19.99 for an oil and filter change, and the customers also get a free wash and vacuum, and 32 point vehicle inspection. We have been thinking about offering an Express Detail service to these customers as well. Our detail prices are actually cheaper than many of the local independent detailers, both fixed operation and mobile. Our dealership owner sees an opportunity to grow his business here, like many others. If they can’t match the price of competitor they offer extra services to attract those customers to us.
We also sell the protection packages on new and used vehicles. Why is it so expensive? It isn’t because the overheads are high; it’s because this is what customers will pay. It cost our dealership no more to provide a protection package than it does to provide a full detail service.
Our service bay is incredibly busy, yet the hourly rate that we charge is high. People are prepared to pay it, because they know that the technicians are Ford trained and certified. If they know the Detailers are certified too, then what is to stop them from going back to the dealer for a detail rather than going to an independent detailer? They also have existing facilities that many independents don’t have. They have modern waiting areas with play areas for children, shuttle services and loaner vehicles. I am willing to bet that people would pay extra to have their vehicle detailed by a dealer if they get a loaner vehicle for the day. These are all things that the dealer offers that many independents simply cannot afford to have or offer. Therefore they wont be able to compete.
I think Rod has an excellent answer. A one-stop shop for all vehicle appearance needs. PDR, Paint touch up etc, and that’s the way I see the business going. Modern well built premises with waiting areas, loaner vehicles. The only way to compete with the dealers and the car washes is to step in to the ring with them. As small one-man operations we simply wouldn’t have the resources to compete.
There are exceptions though, Anthony is right. He obviously has a very well defined niche. How many Ferraris do we see going through the local car wash, how many Lamborghini’s do we see parked on the hoist at Jiffy Lube? People who spend hundreds of thousands of dollars on a car will always look for a specialist to maintain their investment. This is one area where the dealers and car washes are unable to compete. However, and no disrespect here Anthony, those types of cars are not the typical bread and butter work for most detailers. The size of the market is limited, and while we might be envious of the type of work you do, there simply aren’t enough Ferraris and Lamborghini’s for all of us. (Sadly!)
Gary also made an excellent point; we have to educate the customer. But while we educate them we have to grow our business and develop an image that will give our customers the same comfort they feel going to a dealer, or a car wash, or Jiffy Lube. At the moment I just don’t see that happening among the independents. Yet.
Many years ago the convenience store business went through a similar change. They started building new well-lit modern facilities; the days of someone walking across to your vehicle and pumping your gas are long gone for the most part. A lot of the independent gas stations simply went out of business or sold up and moved on. They simply didn’t have the finances to compete, to build brand new stores like the chains did. Will the same thing happen to the detail industry?
Thank you all for your educated responses, this is an interesting topic for me, as someone who is starting up on his own next year.
Jim.</HTML>
I have a few follow up points though.
Brian, Our dealership currently charges $19.99 for an oil and filter change, and the customers also get a free wash and vacuum, and 32 point vehicle inspection. We have been thinking about offering an Express Detail service to these customers as well. Our detail prices are actually cheaper than many of the local independent detailers, both fixed operation and mobile. Our dealership owner sees an opportunity to grow his business here, like many others. If they can’t match the price of competitor they offer extra services to attract those customers to us.
We also sell the protection packages on new and used vehicles. Why is it so expensive? It isn’t because the overheads are high; it’s because this is what customers will pay. It cost our dealership no more to provide a protection package than it does to provide a full detail service.
Our service bay is incredibly busy, yet the hourly rate that we charge is high. People are prepared to pay it, because they know that the technicians are Ford trained and certified. If they know the Detailers are certified too, then what is to stop them from going back to the dealer for a detail rather than going to an independent detailer? They also have existing facilities that many independents don’t have. They have modern waiting areas with play areas for children, shuttle services and loaner vehicles. I am willing to bet that people would pay extra to have their vehicle detailed by a dealer if they get a loaner vehicle for the day. These are all things that the dealer offers that many independents simply cannot afford to have or offer. Therefore they wont be able to compete.
I think Rod has an excellent answer. A one-stop shop for all vehicle appearance needs. PDR, Paint touch up etc, and that’s the way I see the business going. Modern well built premises with waiting areas, loaner vehicles. The only way to compete with the dealers and the car washes is to step in to the ring with them. As small one-man operations we simply wouldn’t have the resources to compete.
There are exceptions though, Anthony is right. He obviously has a very well defined niche. How many Ferraris do we see going through the local car wash, how many Lamborghini’s do we see parked on the hoist at Jiffy Lube? People who spend hundreds of thousands of dollars on a car will always look for a specialist to maintain their investment. This is one area where the dealers and car washes are unable to compete. However, and no disrespect here Anthony, those types of cars are not the typical bread and butter work for most detailers. The size of the market is limited, and while we might be envious of the type of work you do, there simply aren’t enough Ferraris and Lamborghini’s for all of us. (Sadly!)
Gary also made an excellent point; we have to educate the customer. But while we educate them we have to grow our business and develop an image that will give our customers the same comfort they feel going to a dealer, or a car wash, or Jiffy Lube. At the moment I just don’t see that happening among the independents. Yet.
Many years ago the convenience store business went through a similar change. They started building new well-lit modern facilities; the days of someone walking across to your vehicle and pumping your gas are long gone for the most part. A lot of the independent gas stations simply went out of business or sold up and moved on. They simply didn’t have the finances to compete, to build brand new stores like the chains did. Will the same thing happen to the detail industry?
Thank you all for your educated responses, this is an interesting topic for me, as someone who is starting up on his own next year.
Jim.</HTML>
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Re: The future of the Detailing Industry October 31, 2003 09:58PM |
Registered: 17 years ago Posts: 3,550 |
<HTML>THE FUTURE OF DETAILING
A very interesting question. To predict the future of the industry is to know where it came from.
Detailing started as a service done by and for the auto dealer to get their used cars ready for resale. For years this was all that detailing was, a complete reconditioning of the vehicle front to back; top to bottom; in and out.
There was really no retail market because up until the late 1970's the average USA motorist owned their car only 3.2 years.
However, as the price of cars began to increase in the early 80's the financing terms increased from the typical 12 ro 24 months to the 48 and even 84 months of today. This meant that car ownership would increase and it did. Today the average USA motorist owns their car almost 9 years.
Couple this with the social changes in the country where husbands and wives are both working; people are more possessive of their leisure time and simply do not want to even wash their cars in the driveway anymore.
So with people keeping their cars longer; paying more for them; having the disposable income and wanting to protect their leisure time a NEW MARKET IS/WAS BORN.
However, the detail business from the early 80's even up to the present time was/is still a primitive, wholesale oriented service and not a business.
Most operators are "technicians" and not business people. They have not been formally educated in the art of detailing and most learning is obtained by trial and error.
There is no prime mover in the industry other than the chemical companies and they have done nothing to adjust to this new move from wholesale to retail. They still offer chemicals, but no real help in any other area of the detail industry.
The cost to be in the business while a positive for anyone wanting to be in the business is also a negative because any can, and does, get into detailing. Many of these people are not educated and learn by trial and error, experimenting on their customer's cars.
So today there is no standard for the detail business. When we say Quick Lube we all know what a quick lube looks like. When we say, full service carwash we know what that is; when we say fast food hamburger operation we know what that means. So too does the motorist.
When, however a standard is set, whatever it may be, you will find a major revolution in our industry. Those detail operations who cannot afford to meet the standard will fall by the way side. It is really the natural law, "survival of the fittest."
Let me give you an example of another industry:
"In 1975 there were 128,000 body shops listed in the Yellow Pages today that number is less than 55,000 and they predict that the number will drop below 50,000 in the next few years. Yet the industry has quadrupled in dollar volume.
There were numerous reasons why this happened. OSHA; EPA; and insurance companies affecting the industry.
Someday companies with money will step forward and establish a standard for a retail detail business. Once that happens those detail operations that cannot meet that standard will fall by the wayside just like the almost 75,000 body shops that have gone out of business from 1975 up to 2003. And, you can bet it will happen.
Carwashes are not really competitors for a Full Service Detailing operations because they really do not want to be in that business. They prefer to sell a quick maintenance wax or light carpet shampoo on a vehicle in good condition while they are at the wash to maintain the car.
The dealer, while they have a phenomenal opportutnity to be the leaders in estbalishing a standard for the retail detialing industry are not really goint to do much either. I have spent the last 15 years trying to educate the dealer on this opporutnity but they simply talk the talk, but do not walk the walk. Some even spend $50,000 with our company but do not follow thru with the proper management and even up with equipment that is not used.
They will not be the movers or shakers either. They will wait until the standard is established, like they did with the quick lube industry. They allowed this industry to "steal" their customers and now they are rapidly establishing fast service centers in dealerships all over the country. Ford, for example, has an entire program called FAST LANE that is designed to compete with all of the fast auto service businesses.
No, it will be some smart company that has money that establishes a standard for the retail detail business. Then watch out.
For those of you in the business now, you will have to insure you are able to take care of your current customers and give them convenience; quality; price and service and you will be OK in light of the competition to come.
Of course, the mobile detailers will be forced out of business because there will be no question that they will have to meet all the EPA requirements for water discharge; insurance and other costs of doing business that they now "skirt." In the days to come you will not be able to "skirt" these requirements. Why? Because you will be taking money out of the pockets of the "big boys."
What I suggest detailers today must do is to establish a legimate detail business that is generating a minimum of $25,000 to $30,000 a month. Then when the big competition comes into your market you will be protected if you are doing things right. Or, better yet, the big boys will buy you out and give you a good paying job or hire you as a consultant.
"Keep doing what you always have done and you will get what you have always got."
Last comment and question:
"100 years ago who "owned" the transportation in the USA?"
"100 years ago who were the top retailers in the USA?"
Think about that and how it relates to CHANGE.
BUD ABRAHAM</HTML>
buda
A very interesting question. To predict the future of the industry is to know where it came from.
Detailing started as a service done by and for the auto dealer to get their used cars ready for resale. For years this was all that detailing was, a complete reconditioning of the vehicle front to back; top to bottom; in and out.
There was really no retail market because up until the late 1970's the average USA motorist owned their car only 3.2 years.
However, as the price of cars began to increase in the early 80's the financing terms increased from the typical 12 ro 24 months to the 48 and even 84 months of today. This meant that car ownership would increase and it did. Today the average USA motorist owns their car almost 9 years.
Couple this with the social changes in the country where husbands and wives are both working; people are more possessive of their leisure time and simply do not want to even wash their cars in the driveway anymore.
So with people keeping their cars longer; paying more for them; having the disposable income and wanting to protect their leisure time a NEW MARKET IS/WAS BORN.
However, the detail business from the early 80's even up to the present time was/is still a primitive, wholesale oriented service and not a business.
Most operators are "technicians" and not business people. They have not been formally educated in the art of detailing and most learning is obtained by trial and error.
There is no prime mover in the industry other than the chemical companies and they have done nothing to adjust to this new move from wholesale to retail. They still offer chemicals, but no real help in any other area of the detail industry.
The cost to be in the business while a positive for anyone wanting to be in the business is also a negative because any can, and does, get into detailing. Many of these people are not educated and learn by trial and error, experimenting on their customer's cars.
So today there is no standard for the detail business. When we say Quick Lube we all know what a quick lube looks like. When we say, full service carwash we know what that is; when we say fast food hamburger operation we know what that means. So too does the motorist.
When, however a standard is set, whatever it may be, you will find a major revolution in our industry. Those detail operations who cannot afford to meet the standard will fall by the way side. It is really the natural law, "survival of the fittest."
Let me give you an example of another industry:
"In 1975 there were 128,000 body shops listed in the Yellow Pages today that number is less than 55,000 and they predict that the number will drop below 50,000 in the next few years. Yet the industry has quadrupled in dollar volume.
There were numerous reasons why this happened. OSHA; EPA; and insurance companies affecting the industry.
Someday companies with money will step forward and establish a standard for a retail detail business. Once that happens those detail operations that cannot meet that standard will fall by the wayside just like the almost 75,000 body shops that have gone out of business from 1975 up to 2003. And, you can bet it will happen.
Carwashes are not really competitors for a Full Service Detailing operations because they really do not want to be in that business. They prefer to sell a quick maintenance wax or light carpet shampoo on a vehicle in good condition while they are at the wash to maintain the car.
The dealer, while they have a phenomenal opportutnity to be the leaders in estbalishing a standard for the retail detialing industry are not really goint to do much either. I have spent the last 15 years trying to educate the dealer on this opporutnity but they simply talk the talk, but do not walk the walk. Some even spend $50,000 with our company but do not follow thru with the proper management and even up with equipment that is not used.
They will not be the movers or shakers either. They will wait until the standard is established, like they did with the quick lube industry. They allowed this industry to "steal" their customers and now they are rapidly establishing fast service centers in dealerships all over the country. Ford, for example, has an entire program called FAST LANE that is designed to compete with all of the fast auto service businesses.
No, it will be some smart company that has money that establishes a standard for the retail detail business. Then watch out.
For those of you in the business now, you will have to insure you are able to take care of your current customers and give them convenience; quality; price and service and you will be OK in light of the competition to come.
Of course, the mobile detailers will be forced out of business because there will be no question that they will have to meet all the EPA requirements for water discharge; insurance and other costs of doing business that they now "skirt." In the days to come you will not be able to "skirt" these requirements. Why? Because you will be taking money out of the pockets of the "big boys."
What I suggest detailers today must do is to establish a legimate detail business that is generating a minimum of $25,000 to $30,000 a month. Then when the big competition comes into your market you will be protected if you are doing things right. Or, better yet, the big boys will buy you out and give you a good paying job or hire you as a consultant.
"Keep doing what you always have done and you will get what you have always got."
Last comment and question:
"100 years ago who "owned" the transportation in the USA?"
"100 years ago who were the top retailers in the USA?"
Think about that and how it relates to CHANGE.
BUD ABRAHAM</HTML>
buda
|
Re: The future of the Detailing Industry October 31, 2003 09:58PM |
Registered: 17 years ago Posts: 3,550 |
<HTML>THE FUTURE OF DETAILING
A very interesting question. To predict the future of the industry is to know where it came from.
Detailing started as a service done by and for the auto dealer to get their used cars ready for resale. For years this was all that detailing was, a complete reconditioning of the vehicle front to back; top to bottom; in and out.
There was really no retail market because up until the late 1970's the average USA motorist owned their car only 3.2 years.
However, as the price of cars began to increase in the early 80's the financing terms increased from the typical 12 ro 24 months to the 48 and even 84 months of today. This meant that car ownership would increase and it did. Today the average USA motorist owns their car almost 9 years.
Couple this with the social changes in the country where husbands and wives are both working; people are more possessive of their leisure time and simply do not want to even wash their cars in the driveway anymore.
So with people keeping their cars longer; paying more for them; having the disposable income and wanting to protect their leisure time a NEW MARKET IS/WAS BORN.
However, the detail business from the early 80's even up to the present time was/is still a primitive, wholesale oriented service and not a business.
Most operators are "technicians" and not business people. They have not been formally educated in the art of detailing and most learning is obtained by trial and error.
There is no prime mover in the industry other than the chemical companies and they have done nothing to adjust to this new move from wholesale to retail. They still offer chemicals, but no real help in any other area of the detail industry.
The cost to be in the business while a positive for anyone wanting to be in the business is also a negative because any can, and does, get into detailing. Many of these people are not educated and learn by trial and error, experimenting on their customer's cars.
So today there is no standard for the detail business. When we say Quick Lube we all know what a quick lube looks like. When we say, full service carwash we know what that is; when we say fast food hamburger operation we know what that means. So too does the motorist.
When, however a standard is set, whatever it may be, you will find a major revolution in our industry. Those detail operations who cannot afford to meet the standard will fall by the way side. It is really the natural law, "survival of the fittest."
Let me give you an example of another industry:
"In 1975 there were 128,000 body shops listed in the Yellow Pages today that number is less than 55,000 and they predict that the number will drop below 50,000 in the next few years. Yet the industry has quadrupled in dollar volume.
There were numerous reasons why this happened. OSHA; EPA; and insurance companies affecting the industry.
Someday companies with money will step forward and establish a standard for a retail detail business. Once that happens those detail operations that cannot meet that standard will fall by the wayside just like the almost 75,000 body shops that have gone out of business from 1975 up to 2003. And, you can bet it will happen.
Carwashes are not really competitors for a Full Service Detailing operations because they really do not want to be in that business. They prefer to sell a quick maintenance wax or light carpet shampoo on a vehicle in good condition while they are at the wash to maintain the car.
The dealer, while they have a phenomenal opportutnity to be the leaders in estbalishing a standard for the retail detialing industry are not really goint to do much either. I have spent the last 15 years trying to educate the dealer on this opporutnity but they simply talk the talk, but do not walk the walk. Some even spend $50,000 with our company but do not follow thru with the proper management and even up with equipment that is not used.
They will not be the movers or shakers either. They will wait until the standard is established, like they did with the quick lube industry. They allowed this industry to "steal" their customers and now they are rapidly establishing fast service centers in dealerships all over the country. Ford, for example, has an entire program called FAST LANE that is designed to compete with all of the fast auto service businesses.
No, it will be some smart company that has money that establishes a standard for the retail detail business. Then watch out.
For those of you in the business now, you will have to insure you are able to take care of your current customers and give them convenience; quality; price and service and you will be OK in light of the competition to come.
Of course, the mobile detailers will be forced out of business because there will be no question that they will have to meet all the EPA requirements for water discharge; insurance and other costs of doing business that they now "skirt." In the days to come you will not be able to "skirt" these requirements. Why? Because you will be taking money out of the pockets of the "big boys."
What I suggest detailers today must do is to establish a legimate detail business that is generating a minimum of $25,000 to $30,000 a month. Then when the big competition comes into your market you will be protected if you are doing things right. Or, better yet, the big boys will buy you out and give you a good paying job or hire you as a consultant.
"Keep doing what you always have done and you will get what you have always got."
Last comment and question:
"100 years ago who "owned" the transportation in the USA?"
"100 years ago who were the top retailers in the USA?"
Think about that and how it relates to CHANGE.
BUD ABRAHAM</HTML>
buda
A very interesting question. To predict the future of the industry is to know where it came from.
Detailing started as a service done by and for the auto dealer to get their used cars ready for resale. For years this was all that detailing was, a complete reconditioning of the vehicle front to back; top to bottom; in and out.
There was really no retail market because up until the late 1970's the average USA motorist owned their car only 3.2 years.
However, as the price of cars began to increase in the early 80's the financing terms increased from the typical 12 ro 24 months to the 48 and even 84 months of today. This meant that car ownership would increase and it did. Today the average USA motorist owns their car almost 9 years.
Couple this with the social changes in the country where husbands and wives are both working; people are more possessive of their leisure time and simply do not want to even wash their cars in the driveway anymore.
So with people keeping their cars longer; paying more for them; having the disposable income and wanting to protect their leisure time a NEW MARKET IS/WAS BORN.
However, the detail business from the early 80's even up to the present time was/is still a primitive, wholesale oriented service and not a business.
Most operators are "technicians" and not business people. They have not been formally educated in the art of detailing and most learning is obtained by trial and error.
There is no prime mover in the industry other than the chemical companies and they have done nothing to adjust to this new move from wholesale to retail. They still offer chemicals, but no real help in any other area of the detail industry.
The cost to be in the business while a positive for anyone wanting to be in the business is also a negative because any can, and does, get into detailing. Many of these people are not educated and learn by trial and error, experimenting on their customer's cars.
So today there is no standard for the detail business. When we say Quick Lube we all know what a quick lube looks like. When we say, full service carwash we know what that is; when we say fast food hamburger operation we know what that means. So too does the motorist.
When, however a standard is set, whatever it may be, you will find a major revolution in our industry. Those detail operations who cannot afford to meet the standard will fall by the way side. It is really the natural law, "survival of the fittest."
Let me give you an example of another industry:
"In 1975 there were 128,000 body shops listed in the Yellow Pages today that number is less than 55,000 and they predict that the number will drop below 50,000 in the next few years. Yet the industry has quadrupled in dollar volume.
There were numerous reasons why this happened. OSHA; EPA; and insurance companies affecting the industry.
Someday companies with money will step forward and establish a standard for a retail detail business. Once that happens those detail operations that cannot meet that standard will fall by the wayside just like the almost 75,000 body shops that have gone out of business from 1975 up to 2003. And, you can bet it will happen.
Carwashes are not really competitors for a Full Service Detailing operations because they really do not want to be in that business. They prefer to sell a quick maintenance wax or light carpet shampoo on a vehicle in good condition while they are at the wash to maintain the car.
The dealer, while they have a phenomenal opportutnity to be the leaders in estbalishing a standard for the retail detialing industry are not really goint to do much either. I have spent the last 15 years trying to educate the dealer on this opporutnity but they simply talk the talk, but do not walk the walk. Some even spend $50,000 with our company but do not follow thru with the proper management and even up with equipment that is not used.
They will not be the movers or shakers either. They will wait until the standard is established, like they did with the quick lube industry. They allowed this industry to "steal" their customers and now they are rapidly establishing fast service centers in dealerships all over the country. Ford, for example, has an entire program called FAST LANE that is designed to compete with all of the fast auto service businesses.
No, it will be some smart company that has money that establishes a standard for the retail detail business. Then watch out.
For those of you in the business now, you will have to insure you are able to take care of your current customers and give them convenience; quality; price and service and you will be OK in light of the competition to come.
Of course, the mobile detailers will be forced out of business because there will be no question that they will have to meet all the EPA requirements for water discharge; insurance and other costs of doing business that they now "skirt." In the days to come you will not be able to "skirt" these requirements. Why? Because you will be taking money out of the pockets of the "big boys."
What I suggest detailers today must do is to establish a legimate detail business that is generating a minimum of $25,000 to $30,000 a month. Then when the big competition comes into your market you will be protected if you are doing things right. Or, better yet, the big boys will buy you out and give you a good paying job or hire you as a consultant.
"Keep doing what you always have done and you will get what you have always got."
Last comment and question:
"100 years ago who "owned" the transportation in the USA?"
"100 years ago who were the top retailers in the USA?"
Think about that and how it relates to CHANGE.
BUD ABRAHAM</HTML>
buda
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Re: The future of the Detailing Industry November 01, 2003 12:51AM |
Registered: 17 years ago Posts: 73 |
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Re: The future of the Detailing Industry November 01, 2003 02:18AM |
Registered: 17 years ago Posts: 121 |
<HTML>I feel that with all of the new technology, tools, tools of information, the detailer and business owners desire to make forward progress, that we will be asked to be held even more accountable for our actions than we already are.
The principles that guide our actions are very much present and here to stay. Whether it is one individual or a large group of people working together towards one common goal, the only difference is the number of people involved. One persons actions can make the difference and set a standard.
So I think the question becomes; what thoughts, decisions, and actions are you taking to achieve a standard that will have others well being in mind, fullfill the purpose in which it was intended, and achieve positive results? What have you done to set the ball rolling?</HTML>
The problems of yesterday have produced the blessings of today.
Lot-A-Details, In Seattle
The principles that guide our actions are very much present and here to stay. Whether it is one individual or a large group of people working together towards one common goal, the only difference is the number of people involved. One persons actions can make the difference and set a standard.
So I think the question becomes; what thoughts, decisions, and actions are you taking to achieve a standard that will have others well being in mind, fullfill the purpose in which it was intended, and achieve positive results? What have you done to set the ball rolling?</HTML>
The problems of yesterday have produced the blessings of today.
Lot-A-Details, In Seattle
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Re: The future of the Detailing Industry November 01, 2003 03:20AM |
Registered: 17 years ago Posts: 751 |
<HTML>S.A.B.
I think that the dealers have already started the ball rolling ..
Our dealership is actively seeing out retail detailing work, it's advertised on our web-page, its now a service that our Service people are trained to promote to our customers. We already have a loaner vehicle program , and a shuttle service. These are all features that we offer to our detail customers when they call in to ask a price. The response might well be that "I can get it $25 cheaper at "SONSO's Detail shop" , they are then offered a loaner vehicle, or a shuttle ride to their place of work . These are now features in many auto repair facilities that customers have come to expect, so in this aspect, the dealers have already set the standard. Our detail customers walk in to a brand new purpose built service department when they arrive ( or will when the building work is finished ), they are greeted by well groomed uniformed staff, they are educated as to what will be done to their vehicle today, and when it will be ready, they are then walked to the 2004 loaner vehicle and thanked for their business before we have even done the work. I think , I know, that other delaers are offerning the same service to their customers . So the standard is already set , and the bar is being set higher than before.
Bud.. Do you really think that mobile detailers will be forced out of business ? I still think there will be a need for this service , people that simply dont want to go to the trouble of even driving to a detailer , when they can simply have the detailer come to them . For the sake of my own curiosity , in your business, have you seen or oare you seeing a greater demand from dealers for your services/products, or from larger detail shops, or mainly from independants ?
Jim.</HTML>
I think that the dealers have already started the ball rolling ..
Our dealership is actively seeing out retail detailing work, it's advertised on our web-page, its now a service that our Service people are trained to promote to our customers. We already have a loaner vehicle program , and a shuttle service. These are all features that we offer to our detail customers when they call in to ask a price. The response might well be that "I can get it $25 cheaper at "SONSO's Detail shop" , they are then offered a loaner vehicle, or a shuttle ride to their place of work . These are now features in many auto repair facilities that customers have come to expect, so in this aspect, the dealers have already set the standard. Our detail customers walk in to a brand new purpose built service department when they arrive ( or will when the building work is finished ), they are greeted by well groomed uniformed staff, they are educated as to what will be done to their vehicle today, and when it will be ready, they are then walked to the 2004 loaner vehicle and thanked for their business before we have even done the work. I think , I know, that other delaers are offerning the same service to their customers . So the standard is already set , and the bar is being set higher than before.
Bud.. Do you really think that mobile detailers will be forced out of business ? I still think there will be a need for this service , people that simply dont want to go to the trouble of even driving to a detailer , when they can simply have the detailer come to them . For the sake of my own curiosity , in your business, have you seen or oare you seeing a greater demand from dealers for your services/products, or from larger detail shops, or mainly from independants ?
Jim.</HTML>
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Re: The future of the Detailing Industry November 01, 2003 04:48AM |
Registered: 17 years ago Posts: 435 |
<HTML>Not sure I agree with you Bud. Mobile detailers are working now in markets where the legalities are very strict and as a result, they find a way to conform. That is the beauty of free interprise.
In my other business, I have learned that competition with money is always good for the market. They advertise and educate. That helps me. It is so with all business.
Big boys tend to mess up though. Kmart set the standard, Walmart stole it.
Mobile guys work in markets now that are eco friendly and the mobile guys do it legally. It can be done affordably.
Here is the way I see it. If there was a pizza place in your area that had the best pizza you ever ate, would you call them or go out for pizza?
I no longer call the big boys cause ther pizza sucks now. The Mom and Pop guys have okay pizza. They can afford to have okay pizza because it is delivered. If some genious ever decides to deliver ass kickin pizza...HE will be rewarded.</HTML>
In my other business, I have learned that competition with money is always good for the market. They advertise and educate. That helps me. It is so with all business.
Big boys tend to mess up though. Kmart set the standard, Walmart stole it.
Mobile guys work in markets now that are eco friendly and the mobile guys do it legally. It can be done affordably.
Here is the way I see it. If there was a pizza place in your area that had the best pizza you ever ate, would you call them or go out for pizza?
I no longer call the big boys cause ther pizza sucks now. The Mom and Pop guys have okay pizza. They can afford to have okay pizza because it is delivered. If some genious ever decides to deliver ass kickin pizza...HE will be rewarded.</HTML>
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Re: The future of the Detailing Industry November 01, 2003 06:37AM |
Registered: 17 years ago Posts: 3,550 |
<HTML>Jim:
All that you say about dealers is true, but I do not see what you are doing in your dealership in most dealerships. Sure they want the money that detailing brings, but they do not do what it takes to enjoy that business.
They talk the talk but do nothing to improve their detailing operations for the most part. The way you talk about your dealership is the rare exception than the rule.
They are not setting any standard they are simply "taking" what is there, a demand for cosmetic car care by the motorist. But the motorist still sees them as a dealership that does detailing. If freestanding shops like those we are setting up in the international market and for carwashes here in the USA continue to grow that will be the standard. But more than that you need a company that says we are going to establish a standard for detailing across the USA and Canada. It will happen . If I were younger I would do it with our program.
As for mobile detailers. Answer me why detailing is any different than other auto service businesses. People take their cars to repair shops for tune ups; tire stores for new tires; muffler shops for mufflers; quick lubes for lube and oil changes; upholstery shops for those needs; carwashes for carwashing.
Is there anything special about detailing that says it must be done at a person's home or office? I think not. The consumer is not demanding this it is the mobile detailer who chooses this method of operation because it is cheaper for them to get into the business. All the really smart mobile detailers I know that stay in the business eventually set up a fixed location because they see when they have to abide by all the laws and considering the wasted time driving that they can make more money running a business rather than being out in the elements doing the detailing themselves. It seems to me if you are a smart person and have a nice mobile detailing business doing the work yourself that you would eventually see that if you could put what you know into 4 or 5 sets of hands doing the work you could make a lot more money getting the business rather than doing the work.
Then you would not be a slave to a bad paying job.
Just my opinion.
Bud Abraham</HTML>
buda
All that you say about dealers is true, but I do not see what you are doing in your dealership in most dealerships. Sure they want the money that detailing brings, but they do not do what it takes to enjoy that business.
They talk the talk but do nothing to improve their detailing operations for the most part. The way you talk about your dealership is the rare exception than the rule.
They are not setting any standard they are simply "taking" what is there, a demand for cosmetic car care by the motorist. But the motorist still sees them as a dealership that does detailing. If freestanding shops like those we are setting up in the international market and for carwashes here in the USA continue to grow that will be the standard. But more than that you need a company that says we are going to establish a standard for detailing across the USA and Canada. It will happen . If I were younger I would do it with our program.
As for mobile detailers. Answer me why detailing is any different than other auto service businesses. People take their cars to repair shops for tune ups; tire stores for new tires; muffler shops for mufflers; quick lubes for lube and oil changes; upholstery shops for those needs; carwashes for carwashing.
Is there anything special about detailing that says it must be done at a person's home or office? I think not. The consumer is not demanding this it is the mobile detailer who chooses this method of operation because it is cheaper for them to get into the business. All the really smart mobile detailers I know that stay in the business eventually set up a fixed location because they see when they have to abide by all the laws and considering the wasted time driving that they can make more money running a business rather than being out in the elements doing the detailing themselves. It seems to me if you are a smart person and have a nice mobile detailing business doing the work yourself that you would eventually see that if you could put what you know into 4 or 5 sets of hands doing the work you could make a lot more money getting the business rather than doing the work.
Then you would not be a slave to a bad paying job.
Just my opinion.
Bud Abraham</HTML>
buda
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Re: The future of the Detailing Industry November 01, 2003 07:44AM |
Registered: 17 years ago Posts: 1,838 |
<HTML>In defense of mobile detailing, I must say that it is not cheap to start up. Cheaper than a fixed location yes but unless you throw a bunch of chemicals in the trunk and cheap equipment in the back of your 1982 Honda, things will be a bit costly. There are a great many pieces of equipment to supply a truck with in order to do mobile detailing at a person's work place. This equipment does not come cheap.
115 gal. Water tank = $249
Generator = $699
Pressure Washer = $900
Hose Reel Set-Up = $80
Heated Extractor = $849
Wet/Dry Vac = $150
Chemicals & Misc Equip. = $800
Bottle of Zymol = $1,200 (I have to add a little humor to most threads!)
Gas/Insurance/Maintenance = ??
How is mobile detailing different from landscaping, carpentry, plumbers, phone company workers, etc. I do agree that a fixed location has more profit potential than being mobile, being mobile also has it's advantages over being at a fixed location. Why not do both?? That's my plan.
I truly believe mobile detailing will be around as long as there are cars/trucks/boats. People pay for the convenience. I'm starting to see mobile oil changers popping up around town.</HTML>
Take care,
Brian
Precision Auto & Marine
Learn to detail boats! Visit www.detailtheboat.com
115 gal. Water tank = $249
Generator = $699
Pressure Washer = $900
Hose Reel Set-Up = $80
Heated Extractor = $849
Wet/Dry Vac = $150
Chemicals & Misc Equip. = $800
Bottle of Zymol = $1,200 (I have to add a little humor to most threads!)
Gas/Insurance/Maintenance = ??
How is mobile detailing different from landscaping, carpentry, plumbers, phone company workers, etc. I do agree that a fixed location has more profit potential than being mobile, being mobile also has it's advantages over being at a fixed location. Why not do both?? That's my plan.
I truly believe mobile detailing will be around as long as there are cars/trucks/boats. People pay for the convenience. I'm starting to see mobile oil changers popping up around town.</HTML>
Take care,
Brian
Precision Auto & Marine
Learn to detail boats! Visit www.detailtheboat.com
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Re: The future of the Detailing Industry November 01, 2003 03:30PM |
Registered: 17 years ago Posts: 466 |
<HTML>Mobile detailing is not dead nor will it ever die but rather it evolves. As noted already, mobile detailing will and has been conforming to the needs and services of the paying public and also the laws governing the business.
People love the idea that while at work or at home or playing golf they can have their cars washed and detailed. Time is the issue with many people and not many of them wish to spend 40 hours or more a week working then take out time to drive their cars to the car wash on Saturday. They would rather have the car wash come to them.
The same goes for people trying to regulate detailing and make it a "across the board" business, like practicing law or medicine, which will never happen. The reason is because "detailing" your car is not required by law nor is it required by the cars warranty, unlike maintenance of the engine, tires and transmission. A car is not a life hence one does not need a education nor a license to work on it nor detail it UNLESS it is under warranty and you still wish to keep the warranty in effect. I have every right to crack open my DVD player and work on it BUT if I break the factory seal then I have voided the warranty and Panasonic will no longer cover it.
So sure a fixed location would be great, out of the elements, you can work in cold wet weather but then you have tons of overhead. For me personally it is too confining and my clients love the idea that they don't have to have their cars driven anywhere nor do they have to drive the cars there themselves then sit and wait for it to be done or have to arrange someone to pick them up then take them back again later. Mobile detailing is not for all and that's the beauty of the business.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
People love the idea that while at work or at home or playing golf they can have their cars washed and detailed. Time is the issue with many people and not many of them wish to spend 40 hours or more a week working then take out time to drive their cars to the car wash on Saturday. They would rather have the car wash come to them.
The same goes for people trying to regulate detailing and make it a "across the board" business, like practicing law or medicine, which will never happen. The reason is because "detailing" your car is not required by law nor is it required by the cars warranty, unlike maintenance of the engine, tires and transmission. A car is not a life hence one does not need a education nor a license to work on it nor detail it UNLESS it is under warranty and you still wish to keep the warranty in effect. I have every right to crack open my DVD player and work on it BUT if I break the factory seal then I have voided the warranty and Panasonic will no longer cover it.
So sure a fixed location would be great, out of the elements, you can work in cold wet weather but then you have tons of overhead. For me personally it is too confining and my clients love the idea that they don't have to have their cars driven anywhere nor do they have to drive the cars there themselves then sit and wait for it to be done or have to arrange someone to pick them up then take them back again later. Mobile detailing is not for all and that's the beauty of the business.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
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Re: The future of the Detailing Industry November 01, 2003 05:02PM |
Registered: 17 years ago Posts: 3,550 |
<HTML>Anthony:
Nice post on the future of mobile detailing. For the record I did not say that mobile detailing would die, but rather that the industry will change when there are many, first class recognizable fixed locations available for the consumer to utilize.
For example, if ArmorAll or Meguiar's, Simonize or Turtle Wax or 3M decided to setup a national chain of detailing centers.
In fact, Simonize and Turtle Wax are working on a chain of branded detail centers. And, I have been approached by both ArmorAll and 3M about the future of the detailing business and where I see it going.
Who knows how many more companies are looking at this possibility some others in the automotive industry and some not at all, but looking for a good opportunity.
Further, is it really the motorist who is demanding the service be done at his home or at his office, or is it the mobile detailer, who as you have admitted in your posting, who decides to enter the business mobile to eliminate the high overhead costs that any legitimate business incurs?
I think it is the latter. At least most mobile detailers when asked by they choose mobile they admit it is the low cost to enter the business. The issue of convenience only comes up when they are challenged to justify their position further.
Why is it that it is not inconvenient for the motorist to take their vehicle to the auto repair shop; the fast lube & oil change; the tire store; muffler shop; stereo shop; upholstery shop; sunroof shop, etc????
And, what is unique about detailing that requires it be done mobile?
By the way, you are partially wrong about warranty and detailing. If the automobile manufacturers find out a paint has been buffed they will use that as a way to get out of their "paint warranty." If they find out that you have washed the car with any acidic cleaner they will try to get out of the paint warranty. If they find out you have used high alkaline or acid wheel cleaners on factory wheels they will also try to void the warranty.
Damage to interiors is the same also. If they find out that the interior leather or carpets have been cleaned with degreaser instead of carpet & upholstery shampoos they will void warranty.
As Jim Hammill stated in his opening post the auto manufacturers are, in fact, having chemical companies make then lines of "authorized & accepted" chemicals to be used on every area of the vehicle. I could imagine in the future that they will state their warranty will be valid only if the vehicle is cleaned with these chemicals.
If you like mobile detailing that is great, that is your choice in our Free Enterprise System. But working in a Free Enterprise System also requires you "play by the rules." That you meet all regulations such as:
a. Business license in every city or municipality you do work in.
b. Some type of water containment system and after containing
proper disposal
c. Possibility some day meeting some type of noise ordinances. Carwashes
that have noise levels of over 85 db must muffle the sound. A mobile
operation with a gasoline pressure washer creates a lot of noise that
neighbors could, someday complain about.
d. Have insurance, if you can get it at a reasonable rate.
e. If they have employees, pay legitimate wages; taxes; workers comp, etc.
There is nothing personal against mobile detailers, many are some of my best customers and cynically I have a stake in the many thousand mobile detailers that are in business today and who buy a great many products from our company.
But the question was "what about the future of auto detailiing?" I was giving my opinion of where I see it going, not that mobile detailing will necessarily die. Or, that if there were a huge national chain of ArmorAll Detail Centers; Turtle Wax Detail Centers or even DETAIL PLUS Car Appearance Centers that all other mobile and fixed location centers will die out.
Afterall when the railroad industry blew it by not recognizing they were in the TRANSPORTATION business and not the RAILROAD business and lost out when transportation changed from railroads to the automobile and airplane, they were able to survive, barely, but they did survive but at the bottom of the transportation ladder.
Detailers like you have a huge opportunity today because you are the pioneers of this industry and you are smart. What you have to see is the trend, if you plan to be in the business long-term, and adjust to what is on the horizon and not be like the ostrich and stick your head in the sand and refuse or fail to see what is happening.
As I stated, "if you keep doing what you have always done, you will get what you always gotten."
Keep in mind my example of what happened to the collision repair industry.
Again, these are my opinions and are not necessarily fact, only obtained by working in this industry for 25 years and hoping to be on the cutting edge of where it is going into the future. They may be write; partially right or entirely wrong. Who knows??? I just want to be prepared and not be a reactionary refusing to see there are trends.
Regards
Bud Abraham
Bud</HTML>
buda
Nice post on the future of mobile detailing. For the record I did not say that mobile detailing would die, but rather that the industry will change when there are many, first class recognizable fixed locations available for the consumer to utilize.
For example, if ArmorAll or Meguiar's, Simonize or Turtle Wax or 3M decided to setup a national chain of detailing centers.
In fact, Simonize and Turtle Wax are working on a chain of branded detail centers. And, I have been approached by both ArmorAll and 3M about the future of the detailing business and where I see it going.
Who knows how many more companies are looking at this possibility some others in the automotive industry and some not at all, but looking for a good opportunity.
Further, is it really the motorist who is demanding the service be done at his home or at his office, or is it the mobile detailer, who as you have admitted in your posting, who decides to enter the business mobile to eliminate the high overhead costs that any legitimate business incurs?
I think it is the latter. At least most mobile detailers when asked by they choose mobile they admit it is the low cost to enter the business. The issue of convenience only comes up when they are challenged to justify their position further.
Why is it that it is not inconvenient for the motorist to take their vehicle to the auto repair shop; the fast lube & oil change; the tire store; muffler shop; stereo shop; upholstery shop; sunroof shop, etc????
And, what is unique about detailing that requires it be done mobile?
By the way, you are partially wrong about warranty and detailing. If the automobile manufacturers find out a paint has been buffed they will use that as a way to get out of their "paint warranty." If they find out that you have washed the car with any acidic cleaner they will try to get out of the paint warranty. If they find out you have used high alkaline or acid wheel cleaners on factory wheels they will also try to void the warranty.
Damage to interiors is the same also. If they find out that the interior leather or carpets have been cleaned with degreaser instead of carpet & upholstery shampoos they will void warranty.
As Jim Hammill stated in his opening post the auto manufacturers are, in fact, having chemical companies make then lines of "authorized & accepted" chemicals to be used on every area of the vehicle. I could imagine in the future that they will state their warranty will be valid only if the vehicle is cleaned with these chemicals.
If you like mobile detailing that is great, that is your choice in our Free Enterprise System. But working in a Free Enterprise System also requires you "play by the rules." That you meet all regulations such as:
a. Business license in every city or municipality you do work in.
b. Some type of water containment system and after containing
proper disposal
c. Possibility some day meeting some type of noise ordinances. Carwashes
that have noise levels of over 85 db must muffle the sound. A mobile
operation with a gasoline pressure washer creates a lot of noise that
neighbors could, someday complain about.
d. Have insurance, if you can get it at a reasonable rate.
e. If they have employees, pay legitimate wages; taxes; workers comp, etc.
There is nothing personal against mobile detailers, many are some of my best customers and cynically I have a stake in the many thousand mobile detailers that are in business today and who buy a great many products from our company.
But the question was "what about the future of auto detailiing?" I was giving my opinion of where I see it going, not that mobile detailing will necessarily die. Or, that if there were a huge national chain of ArmorAll Detail Centers; Turtle Wax Detail Centers or even DETAIL PLUS Car Appearance Centers that all other mobile and fixed location centers will die out.
Afterall when the railroad industry blew it by not recognizing they were in the TRANSPORTATION business and not the RAILROAD business and lost out when transportation changed from railroads to the automobile and airplane, they were able to survive, barely, but they did survive but at the bottom of the transportation ladder.
Detailers like you have a huge opportunity today because you are the pioneers of this industry and you are smart. What you have to see is the trend, if you plan to be in the business long-term, and adjust to what is on the horizon and not be like the ostrich and stick your head in the sand and refuse or fail to see what is happening.
As I stated, "if you keep doing what you have always done, you will get what you always gotten."
Keep in mind my example of what happened to the collision repair industry.
Again, these are my opinions and are not necessarily fact, only obtained by working in this industry for 25 years and hoping to be on the cutting edge of where it is going into the future. They may be write; partially right or entirely wrong. Who knows??? I just want to be prepared and not be a reactionary refusing to see there are trends.
Regards
Bud Abraham
Bud</HTML>
buda
|
Re: The future of the Detailing Industry November 01, 2003 05:02PM |
Registered: 17 years ago Posts: 3,550 |
<HTML>Anthony:
Nice post on the future of mobile detailing. For the record I did not say that mobile detailing would die, but rather that the industry will change when there are many, first class recognizable fixed locations available for the consumer to utilize.
For example, if ArmorAll or Meguiar's, Simonize or Turtle Wax or 3M decided to setup a national chain of detailing centers.
In fact, Simonize and Turtle Wax are working on a chain of branded detail centers. And, I have been approached by both ArmorAll and 3M about the future of the detailing business and where I see it going.
Who knows how many more companies are looking at this possibility some others in the automotive industry and some not at all, but looking for a good opportunity.
Further, is it really the motorist who is demanding the service be done at his home or at his office, or is it the mobile detailer, who as you have admitted in your posting, who decides to enter the business mobile to eliminate the high overhead costs that any legitimate business incurs?
I think it is the latter. At least most mobile detailers when asked by they choose mobile they admit it is the low cost to enter the business. The issue of convenience only comes up when they are challenged to justify their position further.
Why is it that it is not inconvenient for the motorist to take their vehicle to the auto repair shop; the fast lube & oil change; the tire store; muffler shop; stereo shop; upholstery shop; sunroof shop, etc????
And, what is unique about detailing that requires it be done mobile?
By the way, you are partially wrong about warranty and detailing. If the automobile manufacturers find out a paint has been buffed they will use that as a way to get out of their "paint warranty." If they find out that you have washed the car with any acidic cleaner they will try to get out of the paint warranty. If they find out you have used high alkaline or acid wheel cleaners on factory wheels they will also try to void the warranty.
Damage to interiors is the same also. If they find out that the interior leather or carpets have been cleaned with degreaser instead of carpet & upholstery shampoos they will void warranty.
As Jim Hammill stated in his opening post the auto manufacturers are, in fact, having chemical companies make then lines of "authorized & accepted" chemicals to be used on every area of the vehicle. I could imagine in the future that they will state their warranty will be valid only if the vehicle is cleaned with these chemicals.
If you like mobile detailing that is great, that is your choice in our Free Enterprise System. But working in a Free Enterprise System also requires you "play by the rules." That you meet all regulations such as:
a. Business license in every city or municipality you do work in.
b. Some type of water containment system and after containing
proper disposal
c. Possibility some day meeting some type of noise ordinances. Carwashes
that have noise levels of over 85 db must muffle the sound. A mobile
operation with a gasoline pressure washer creates a lot of noise that
neighbors could, someday complain about.
d. Have insurance, if you can get it at a reasonable rate.
e. If they have employees, pay legitimate wages; taxes; workers comp, etc.
There is nothing personal against mobile detailers, many are some of my best customers and cynically I have a stake in the many thousand mobile detailers that are in business today and who buy a great many products from our company.
But the question was "what about the future of auto detailiing?" I was giving my opinion of where I see it going, not that mobile detailing will necessarily die. Or, that if there were a huge national chain of ArmorAll Detail Centers; Turtle Wax Detail Centers or even DETAIL PLUS Car Appearance Centers that all other mobile and fixed location centers will die out.
Afterall when the railroad industry blew it by not recognizing they were in the TRANSPORTATION business and not the RAILROAD business and lost out when transportation changed from railroads to the automobile and airplane, they were able to survive, barely, but they did survive but at the bottom of the transportation ladder.
Detailers like you have a huge opportunity today because you are the pioneers of this industry and you are smart. What you have to see is the trend, if you plan to be in the business long-term, and adjust to what is on the horizon and not be like the ostrich and stick your head in the sand and refuse or fail to see what is happening.
As I stated, "if you keep doing what you have always done, you will get what you always gotten."
Keep in mind my example of what happened to the collision repair industry.
Again, these are my opinions and are not necessarily fact, only obtained by working in this industry for 25 years and hoping to be on the cutting edge of where it is going into the future. They may be write; partially right or entirely wrong. Who knows??? I just want to be prepared and not be a reactionary refusing to see there are trends.
Regards
Bud Abraham
Bud</HTML>
buda
Nice post on the future of mobile detailing. For the record I did not say that mobile detailing would die, but rather that the industry will change when there are many, first class recognizable fixed locations available for the consumer to utilize.
For example, if ArmorAll or Meguiar's, Simonize or Turtle Wax or 3M decided to setup a national chain of detailing centers.
In fact, Simonize and Turtle Wax are working on a chain of branded detail centers. And, I have been approached by both ArmorAll and 3M about the future of the detailing business and where I see it going.
Who knows how many more companies are looking at this possibility some others in the automotive industry and some not at all, but looking for a good opportunity.
Further, is it really the motorist who is demanding the service be done at his home or at his office, or is it the mobile detailer, who as you have admitted in your posting, who decides to enter the business mobile to eliminate the high overhead costs that any legitimate business incurs?
I think it is the latter. At least most mobile detailers when asked by they choose mobile they admit it is the low cost to enter the business. The issue of convenience only comes up when they are challenged to justify their position further.
Why is it that it is not inconvenient for the motorist to take their vehicle to the auto repair shop; the fast lube & oil change; the tire store; muffler shop; stereo shop; upholstery shop; sunroof shop, etc????
And, what is unique about detailing that requires it be done mobile?
By the way, you are partially wrong about warranty and detailing. If the automobile manufacturers find out a paint has been buffed they will use that as a way to get out of their "paint warranty." If they find out that you have washed the car with any acidic cleaner they will try to get out of the paint warranty. If they find out you have used high alkaline or acid wheel cleaners on factory wheels they will also try to void the warranty.
Damage to interiors is the same also. If they find out that the interior leather or carpets have been cleaned with degreaser instead of carpet & upholstery shampoos they will void warranty.
As Jim Hammill stated in his opening post the auto manufacturers are, in fact, having chemical companies make then lines of "authorized & accepted" chemicals to be used on every area of the vehicle. I could imagine in the future that they will state their warranty will be valid only if the vehicle is cleaned with these chemicals.
If you like mobile detailing that is great, that is your choice in our Free Enterprise System. But working in a Free Enterprise System also requires you "play by the rules." That you meet all regulations such as:
a. Business license in every city or municipality you do work in.
b. Some type of water containment system and after containing
proper disposal
c. Possibility some day meeting some type of noise ordinances. Carwashes
that have noise levels of over 85 db must muffle the sound. A mobile
operation with a gasoline pressure washer creates a lot of noise that
neighbors could, someday complain about.
d. Have insurance, if you can get it at a reasonable rate.
e. If they have employees, pay legitimate wages; taxes; workers comp, etc.
There is nothing personal against mobile detailers, many are some of my best customers and cynically I have a stake in the many thousand mobile detailers that are in business today and who buy a great many products from our company.
But the question was "what about the future of auto detailiing?" I was giving my opinion of where I see it going, not that mobile detailing will necessarily die. Or, that if there were a huge national chain of ArmorAll Detail Centers; Turtle Wax Detail Centers or even DETAIL PLUS Car Appearance Centers that all other mobile and fixed location centers will die out.
Afterall when the railroad industry blew it by not recognizing they were in the TRANSPORTATION business and not the RAILROAD business and lost out when transportation changed from railroads to the automobile and airplane, they were able to survive, barely, but they did survive but at the bottom of the transportation ladder.
Detailers like you have a huge opportunity today because you are the pioneers of this industry and you are smart. What you have to see is the trend, if you plan to be in the business long-term, and adjust to what is on the horizon and not be like the ostrich and stick your head in the sand and refuse or fail to see what is happening.
As I stated, "if you keep doing what you have always done, you will get what you always gotten."
Keep in mind my example of what happened to the collision repair industry.
Again, these are my opinions and are not necessarily fact, only obtained by working in this industry for 25 years and hoping to be on the cutting edge of where it is going into the future. They may be write; partially right or entirely wrong. Who knows??? I just want to be prepared and not be a reactionary refusing to see there are trends.
Regards
Bud Abraham
Bud</HTML>
buda
|
Re: The future of the Detailing Industry November 01, 2003 07:22PM |
Registered: 17 years ago Posts: 435 |
<HTML>In my area, mobile auto mechanics are taking off. The mobile oil change is right around the corner and some doctors do house calls. Mobile massage, mobile window tinting etc.
Mobile guys in my area do better on the bottom line because of the overhead. It never gets too cold to work but rain can be a problem. One lady I know has severla units in Orlando.
I would like to have both, fixed location and stay mobile two days a week. I live in a sleepy town with many retired folks, they demand my services be mobile.
Many of the car washes I do are as a result of the car wash in tonw taking what is thoght to be a long time. Free time is a thing of the past with middle class two income families. Those are my target markets.
I keep my spiritual principles in place and my profit grows. Let the big boys dominate the market, I only need a small share anyway.
Many of the standards already set do not aggree. Synthetic oil, natural gas, these are all asides to what represent standrads in thier respective industries. The standard will be about "what a detail is" rather than where it is. if THEY set the standard, and charge accordingly, they will educate my clients, I will then do a better job, remain mobile and raise my rates as a result. Many will go to these nice storefronts, a few will still call me.</HTML>
Mobile guys in my area do better on the bottom line because of the overhead. It never gets too cold to work but rain can be a problem. One lady I know has severla units in Orlando.
I would like to have both, fixed location and stay mobile two days a week. I live in a sleepy town with many retired folks, they demand my services be mobile.
Many of the car washes I do are as a result of the car wash in tonw taking what is thoght to be a long time. Free time is a thing of the past with middle class two income families. Those are my target markets.
I keep my spiritual principles in place and my profit grows. Let the big boys dominate the market, I only need a small share anyway.
Many of the standards already set do not aggree. Synthetic oil, natural gas, these are all asides to what represent standrads in thier respective industries. The standard will be about "what a detail is" rather than where it is. if THEY set the standard, and charge accordingly, they will educate my clients, I will then do a better job, remain mobile and raise my rates as a result. Many will go to these nice storefronts, a few will still call me.</HTML>
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Re: The future of the Detailing Industry November 02, 2003 12:50AM |
Registered: 17 years ago Posts: 751 |
<HTML>Bud, intresting point about Simoniz and Turtle Wax opening Detail centers. I didnt know this until you mentioned it . I was also reading a Trade magazine today and Simoniz are advertising Managerial Positions in there, and they have two locations not far from me actually, might drive by one this weekend and check them out.
This is kind of what I was getting at with my post here, when a recognized brand decides to move in to the market and open modern well built premises.
Intresting point Phil made too, I have seen franchises for sale for mobile oil change's .
I too, dont belive the detail industry will ever be regulated , although I know that in California the car wash industry is becoming so . Governor Davis signed Bill 1688 in to law just recently. Although from what I am reading this is in response to some very dodgy employers breaking minimum wage laws.
This months edition of Professional Car Washing and Detailing has some great articles in it that touch in some ways on what we have been discussing here . One article on consolidation in the car washing industry , and another on the legislation in California.
As another point of intrest , does any here belong to a state or area car washing association . There is one in my area, and they retain someone to act on their members behalf in local government, when any laws are passed that may affect the wash or detail industry , they sometimes intervene on behalf of the industry . Now remember I am an Englishman living in the States and still trying to figure out the political system here, but I think this is someting worth getting involved with.
Jim.</HTML>
This is kind of what I was getting at with my post here, when a recognized brand decides to move in to the market and open modern well built premises.
Intresting point Phil made too, I have seen franchises for sale for mobile oil change's .
I too, dont belive the detail industry will ever be regulated , although I know that in California the car wash industry is becoming so . Governor Davis signed Bill 1688 in to law just recently. Although from what I am reading this is in response to some very dodgy employers breaking minimum wage laws.
This months edition of Professional Car Washing and Detailing has some great articles in it that touch in some ways on what we have been discussing here . One article on consolidation in the car washing industry , and another on the legislation in California.
As another point of intrest , does any here belong to a state or area car washing association . There is one in my area, and they retain someone to act on their members behalf in local government, when any laws are passed that may affect the wash or detail industry , they sometimes intervene on behalf of the industry . Now remember I am an Englishman living in the States and still trying to figure out the political system here, but I think this is someting worth getting involved with.
Jim.</HTML>
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Re: The future of the Detailing Industry November 02, 2003 01:17AM |
Registered: 17 years ago Posts: 3,550 |
<HTML>That's right and Turtle Wax and Simonize are only the beginning. Of course, you have Ziebart/Tidy Car, but they are not approaching detailing with any dedication to the industry they just need to give their franchisees some base for revenues as they cannot make it on rustproofing alone.
Some of the Ziebart detail shops are the worst I have ever seen in terms of orderliness, organization and personnel.
Times are a changing for the detail business and those you recognize the change will be on the cutting edge. Those who continue to fight the trends will look over their shoulder in a few years and wonder what happened.
Regards
Bud A</HTML>
buda
Some of the Ziebart detail shops are the worst I have ever seen in terms of orderliness, organization and personnel.
Times are a changing for the detail business and those you recognize the change will be on the cutting edge. Those who continue to fight the trends will look over their shoulder in a few years and wonder what happened.
Regards
Bud A</HTML>
buda
|
Re: The future of the Detailing Industry November 02, 2003 03:32AM |
Registered: 17 years ago Posts: 466 |
<HTML>Bud,
Great post and as always very informative but as for who is asking for the mobile service? Well it is the customer, at least for me, because all of my clients are physicians and love the idea of having their cars done while doing a heart transplant
Also just because one seeks to avoid high overhead does not make that business and less "legitimate" than one who pays higher overhead.
Lastly I welcome TurtleWax or another detail center because it will not effect my customer base at all. Having them around will be cool because I can refer the folks who want a scratched and swirled Toyota Tercel to be flawless and want it done for $65! The high end car owners, at least those who are anal about their cars, will not go to a detail "chain" where the regular joe gets his or her car detailed.
Last lastly, as noted by Phil, "mobile" business seem to be on the up swing. Mobile wheel repair guys, oil changes, mechanics, leather/fabric repair, dog sitters/groomers, grocery deliveries and a guy doing mobile shoe shine, who is making some large money from what I hear.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
Great post and as always very informative but as for who is asking for the mobile service? Well it is the customer, at least for me, because all of my clients are physicians and love the idea of having their cars done while doing a heart transplant
Also just because one seeks to avoid high overhead does not make that business and less "legitimate" than one who pays higher overhead.
Lastly I welcome TurtleWax or another detail center because it will not effect my customer base at all. Having them around will be cool because I can refer the folks who want a scratched and swirled Toyota Tercel to be flawless and want it done for $65! The high end car owners, at least those who are anal about their cars, will not go to a detail "chain" where the regular joe gets his or her car detailed.
Last lastly, as noted by Phil, "mobile" business seem to be on the up swing. Mobile wheel repair guys, oil changes, mechanics, leather/fabric repair, dog sitters/groomers, grocery deliveries and a guy doing mobile shoe shine, who is making some large money from what I hear.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
|
Re: The future of the Detailing Industry November 02, 2003 11:01AM |
Registered: 17 years ago Posts: 8 |
<HTML>You answered your own question.
We are all professionals. Otherwise we wouldnt be here on this forum. Learning and sharing the same ideals.
Together we already represent a nationwide chain.
If we all changed our name to a commen one, well we would be nationwide.
And if we were able to convince other professionals in our areas, well there is even more "nationwide locations".
This also works well for our yellow page ads.
If in one specific city:
we gathered 3-4 detailers several miles apart, we could split the cost of a yellow page ad 3-4 ways, and offer the customer 3-4 "convienent" locations. and they would never know the differnce.
stats show when shopping yellow, we tend to go the closest one.
its obvious. its simple. we're nation wide.
so whats a good name?
-Tyler
protouchhawaii.com
protouchmobile@aol.com
not the email in my profile. (girlfriends email in profile)</HTML>
We are all professionals. Otherwise we wouldnt be here on this forum. Learning and sharing the same ideals.
Together we already represent a nationwide chain.
If we all changed our name to a commen one, well we would be nationwide.
And if we were able to convince other professionals in our areas, well there is even more "nationwide locations".
This also works well for our yellow page ads.
If in one specific city:
we gathered 3-4 detailers several miles apart, we could split the cost of a yellow page ad 3-4 ways, and offer the customer 3-4 "convienent" locations. and they would never know the differnce.
stats show when shopping yellow, we tend to go the closest one.
its obvious. its simple. we're nation wide.
so whats a good name?
-Tyler
protouchhawaii.com
protouchmobile@aol.com
not the email in my profile. (girlfriends email in profile)</HTML>
|
Re: The future of the Detailing Industry November 02, 2003 05:34PM |
Registered: 17 years ago Posts: 10 |
<HTML>I felt compelled to throw a response in. First, if the big boys want to put detail shops in, they like any of us, overhead will be very crucial. Paying employees what their worth and getting them to care about your business like it was their own, I just haven't seen that often. The ones that do, will figure will quick that going out on their own will be much better financially. Do you think these Super detail shops will be able to give these employees health benefits? I doubt it. Unfortunately, the only way you get employees to take a little over minimum wage is to offer health insurance as compensation. I predict these companies will find it very difficult to maintain employees because how much more can you convince a typical customer to pay for detail services to up the ticket? They will offer a cheap get in, then hope they can bump the ticket. It's a lot easier to do that as a brake or repair shop. They will need to move quite a few vehicles through to become profitable, and they just can't slave drive low paid, non-insured employees to bust their humps and do a great job. There will be a lot problems with customers not being happy with the end product and whatever they do, don't let these loyal and happy employees loose on a vehicle with a buffer. When I was in San Diego there was a detail shop on base and they were having a hard time keeping employees, so the manager recruited two young ladies who were grocery sackers at the commissary to come and work for him. He actually let one with very minimal training loose on a new Black Corvette and destroyed the surface. He sold the business soon after.</HTML>
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Re: The future of the Detailing Industry November 04, 2003 12:07AM |
Registered: 17 years ago Posts: 466 |
<HTML>Mark,
Great points. It is an old saying but yet sadly so true and that is "Good help is hard to find" and even harder to keep!!
WORD OF ADVICE to all who hire help. Have a "non-compete" paper drawn up and signed by the employee. You may need to check with a lawyer to see about the limits of such a clause but I recommend all detail shop employers to have one drawn up. It will essentially say that if and when an employee leaves or is terminated he or she cannot start their own business for a certain number of years and/or within a certain amount of miles.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
Great points. It is an old saying but yet sadly so true and that is "Good help is hard to find" and even harder to keep!!
WORD OF ADVICE to all who hire help. Have a "non-compete" paper drawn up and signed by the employee. You may need to check with a lawyer to see about the limits of such a clause but I recommend all detail shop employers to have one drawn up. It will essentially say that if and when an employee leaves or is terminated he or she cannot start their own business for a certain number of years and/or within a certain amount of miles.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
|
Re: The future of the Detailing Industry November 04, 2003 12:33AM |
Registered: 17 years ago Posts: 4 |
<HTML>I wouldn't worry so much about a "non-compete" agreement in a detailing situation. I have been running my shop for 10 years and have yet to see an employee who had all the necessary tools to run a competent business (business skills, detailing skills, money to start up business, people skills etc..). I have had several employees try and start theri own detailing operations after leaving my shop and all have failed miserably. I have also had several very competent detailers work for me after their own detail operations failed because although they could do a credible job detailing the cars but lacked the necessary business skills. I believe if you have an employee you "fear" will leave and start their own operation let them go. Just remember not to let them get any important information on who your customers are or how your business is run. Look at how many detailers open a business and are gone within a year.</HTML>
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Re: The future of the Detailing Industry November 04, 2003 01:13AM |
Registered: 17 years ago Posts: 3,550 |
<HTML>Scott:
Would agree fully with you. In our industry a non-compete is really a negative. Why waste valuable energy worrying about what ex-employees are going to do. As you said, if you are taking care of your customers you do not have to worry about an ex-employee taking them away.
If they went away because of a lower price good riddance, they are not loyal customers anyway.
Plus non-compete agreements the way Anthony mentions them are very difficult to enforce as such an agreement cannot prevent a person from making a living. A waste to time and legal fees.
Just take care of your customers and at the onset hire good people; train them well and pay them well and give them respect and recognition and you will not have to be always looking over your shoulder.
My first employee was with me for 10 years. Like a younger brother. When he left he went to work as the Export Manager for one of my major Export Clients. So I lost my employee of 10 years and my largest Export Client. Best thing that ever happened to me and to him.
At that time DETAIL PLUS was really growing and the Export business was declining. When I lost him and the client all my efforts went into DETAIL PLUS and that resulted in much greater growth than had he stayed and we kept the client. Things always work out for the best.
REgards
Bud A</HTML>
buda
Would agree fully with you. In our industry a non-compete is really a negative. Why waste valuable energy worrying about what ex-employees are going to do. As you said, if you are taking care of your customers you do not have to worry about an ex-employee taking them away.
If they went away because of a lower price good riddance, they are not loyal customers anyway.
Plus non-compete agreements the way Anthony mentions them are very difficult to enforce as such an agreement cannot prevent a person from making a living. A waste to time and legal fees.
Just take care of your customers and at the onset hire good people; train them well and pay them well and give them respect and recognition and you will not have to be always looking over your shoulder.
My first employee was with me for 10 years. Like a younger brother. When he left he went to work as the Export Manager for one of my major Export Clients. So I lost my employee of 10 years and my largest Export Client. Best thing that ever happened to me and to him.
At that time DETAIL PLUS was really growing and the Export business was declining. When I lost him and the client all my efforts went into DETAIL PLUS and that resulted in much greater growth than had he stayed and we kept the client. Things always work out for the best.
REgards
Bud A</HTML>
buda
|
Re: The future of the Detailing Industry November 05, 2003 12:12AM |
Registered: 17 years ago Posts: 466 |
<HTML>Mobile dog groomer fires an employee. Fired employee contacts all of her "route" clients and gets all but a few. The person who spent years building that client base lost it in a few days.
It happens folks.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
It happens folks.
Anthony</HTML>
Details, Details, Details....It's all in the details!
www.UltimateReflections.NET
|
Re: The future of the Detailing Industry November 05, 2003 01:19AM |
Registered: 17 years ago Posts: 3,550 |
<HTML>Anthony:
In your scenerio, it is the dog groomer who is doing the grooming and knows the customer. It makes sense that the client would stay with them since that is whom the client knows.
However, in a mobile operation that is owned and operated by the owner, as I believe in your case, the employee is not the key contact. It is you the owner who is in contact with the customer.
In fixed operations my employees, other than the manager, had no contact with customers. And, my managers were never in a financial position to open a store in my market area at the level we were able to provide the customer service with.
I did have an employee open a store down the street from us and he lasted less than 2 months.
In Denver, a customer of mine had to fire his manager. A an experienced detailer who owned his own shops previously. He had complete control of three full service detailing operations. The owner finally had to fire him due to insobordination. He opened a detail shop across the street from the largest of the three shops and lasted maybe 4 months, at best.
I think it is a lot of wasted energy to worry about what your ex-employees will or won't do. You have no control over what they can or cannot do anyway so why waste energy over them that you could be putting into your own business.
I always operate on the premise of the abundance mentality. There is plenty for all of us to have ours.
There is over 120 million passengers cars registered in the USA alone and we detail probably no more than a single digit percentage of them.
In Portland there are over 500,000 cars. If only 25% bought detailing once a year that would be 125,000 cars a year; 10,416 per month and 2400 per week.
How many detail shops do you think it would take to detail 2400 cars a week? If every detail shop did 10 cars per day, 5 days a week that would mean about 50 shops in Portland. The entire state of Oregon only has 121 shops.
Just trying to make a different point and not to really disagree with you as we are all entitled to our opinions. But it is postings as yours that stimulate new thoughts and ideas that we can share with everyone.
Glad to see you are back on this forum. Missed your thoughtful and informative postings. I always learn from detailers like you who are in the trenches everyday.
REgards
Bud Abraham</HTML>
buda
In your scenerio, it is the dog groomer who is doing the grooming and knows the customer. It makes sense that the client would stay with them since that is whom the client knows.
However, in a mobile operation that is owned and operated by the owner, as I believe in your case, the employee is not the key contact. It is you the owner who is in contact with the customer.
In fixed operations my employees, other than the manager, had no contact with customers. And, my managers were never in a financial position to open a store in my market area at the level we were able to provide the customer service with.
I did have an employee open a store down the street from us and he lasted less than 2 months.
In Denver, a customer of mine had to fire his manager. A an experienced detailer who owned his own shops previously. He had complete control of three full service detailing operations. The owner finally had to fire him due to insobordination. He opened a detail shop across the street from the largest of the three shops and lasted maybe 4 months, at best.
I think it is a lot of wasted energy to worry about what your ex-employees will or won't do. You have no control over what they can or cannot do anyway so why waste energy over them that you could be putting into your own business.
I always operate on the premise of the abundance mentality. There is plenty for all of us to have ours.
There is over 120 million passengers cars registered in the USA alone and we detail probably no more than a single digit percentage of them.
In Portland there are over 500,000 cars. If only 25% bought detailing once a year that would be 125,000 cars a year; 10,416 per month and 2400 per week.
How many detail shops do you think it would take to detail 2400 cars a week? If every detail shop did 10 cars per day, 5 days a week that would mean about 50 shops in Portland. The entire state of Oregon only has 121 shops.
Just trying to make a different point and not to really disagree with you as we are all entitled to our opinions. But it is postings as yours that stimulate new thoughts and ideas that we can share with everyone.
Glad to see you are back on this forum. Missed your thoughtful and informative postings. I always learn from detailers like you who are in the trenches everyday.
REgards
Bud Abraham</HTML>
buda
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