Would These Prices Be Too Low?

[Grand Am GT]

For example:

Hand Wash
Clean Wheels/Wheel Wells
Tires Dressed
Vacuum Interior/Trunk
Clay
GC or Nxt by hand
$65

All of the above +
Clean Interior/Exterior Glass
Clean Door Jambs
Polish
$95

Thank you.

[AeroCleanse]

Re: Would These Prices Be Too Low?

Way to low

[ClearlyCoated]

Re: Would These Prices Be Too Low?

What to charge is relative to your market area. Philly's a major metropolitan area and people are probably willing to pay more than smaller markets. Do a sample web search of detailers in your area, check out their websites, and formulate a price scale based on the average costs of services offered. From there you can opt to charge a little less or a little more or right on the median average.

Another helpful indicator is to divide the time you will spend getting the job done, factor in cost of products used, gas and travel time to reach your customers. Just for example's sake, say you estimate your $65 package to run a minmum of 3 hours. Now deduct $10.00 (as an example) for gas, wear and tear, travel time, and other amenities such as water or beverages to drink as you work. Deduct another $10 for chemicals used to perform your services. Is $15 an hour for hard, non-stop work in the hot and humid Philly summer weather worth your time for the package you're offering?

[240SX]

Re: Would These Prices Be Too Low?

yeah way too low

my wash and wax is $70. claying is at least another $50-$70

[J. A. Michaels]

Re: Would These Prices Be Too Low?

I would go higher.

[Grand Am GT]

Re: Would These Prices Be Too Low?

Thank you.

ClearlyCoated - Thanks for the example. And it really is what the market will bear.

[akimel]

Re: Would These Prices Be Too Low?

What to charge is relative to your market area. Philly's a major metropolitan area and people are probably willing to pay more than smaller markets. Do a sample web search of detailers in your area, check out their websites, and formulate a price scale based on the average costs of services offered. From there you can opt to charge a little less or a little more or right on the median average.

Another helpful indicator is to divide the time you will spend getting the job done, factor in cost of products used, gas and travel time to reach your customers. Just for example's sake, say you estimate your $65 package to run a minmum of 3 hours. Now deduct $10.00 (as an example) for gas, wear and tear, travel time, and other amenities such as water or beverages to drink as you work. Deduct another $10 for chemicals used to perform your services. Is $15 an hour for hard, non-stop work in the hot and humid Philly summer weather worth your time for the package you're offering?

Excellent advice. I'm no businessman, but this, IMHO, is precisely the kind of analysis that has to be done. We are in the midst of a depression, and professional detailing is a luxury service. During economic recessions and depressions, luxuries and luxury services suffer. It doesn't matter what "I," the professional detailer, believe that my work deserves or merits. It doesn't matter what I need. It all comes down to what the market will bear. It all comes down to efficiently competing for the dollars who are willing to purchase my services. Those who understand this may survive this depression. Those who do not ...


Run the numbers. Do the hard analysis. Cut costs wherever you can. Compete for your customers.

[ClearlyCoated]

Re: Would These Prices Be Too Low?

It all comes down to efficiently competing for the dollars who are willing to purchase my services. Those who understand this may survive this depression. Those who do not ...


Run the numbers. Do the hard analysis. Cut costs wherever you can. Compete for your customers.

Exactly. I'm also no businessman although I hope to be one soon, but I did take some small business classes a few years back and one of the lessons emphasized was the principle of diminishing value returns.

Simply stated, a new startup business owner in his or her zeal to generate customers and immediate revenue will often make the mistake of trying to undercut established competition by offering loss-leading prices for services and/or goods. The negative impact is multi-homed. The business may have to operate at a loss to honor it's low price commitments, the business may have to continue to operate at a loss to keep the customers initially attracted by the startup value pricing, or low pricing may actually have the reverse affect of repelling business and dissuading new customers by creating a perception that the goods or services offered by the new business may be substandard when compared to the average established pricing structure for a given market.

I kind of did this from memory, but the gist is there.

[Calais]

Re: Would These Prices Be Too Low?

Your prices are way too low. Factor in your costs for stocking the products you need, the fact that you use fairly expensive high-end products instead of low-quality cheap products (Meguiar's versus Blue Coral), the labor time and the fact that they are paying for your techniques and expertise. Do you feel that you are being adequately payed for your services considering all those variables?