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How to implement a significant price increase...(asking advice)

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  • How to implement a significant price increase...(asking advice)

    My situation quickly:

    I have a shop in Upstate New York, busy April - December. I am in a not so affluent area. Average income is 33k per year. I am currently charging $150 for a complete. (wash, hot water extract, clean plastic, clay, 66, glass) this takes me 5hrs on a normal soiled sedan (camry, accord, taurus). I also have one employee who does all my dealer work. Dealer is charged $145 even for SUVs and Vans unless it is dirty. For the dealer I always have my guy cut corners where possible to save time, such as skip clay, not extract 2nd and 3rd row seating, etc.

    I know my pricing is low, and I try to push people to let me polish and seal their car (80, 20) for an extra $40, so a complete would be $200.

    My question is if anyone else has had this problem or has any advice as to how to go about changing over my pricing structure. I don't like doing dealer work, and I don't like performing work that I know could be done better if the customer would be willing to pay more.

    I know how to buff and wet sand, and I have been trying to educate the customer and explain why they should have their car polished and protected rather than just have me "wax it".

    What are some hourly rates that you guys are charging? I would like to get my shop rate up to $40 per hour, it is at about $30/hr now except when doing dealer work it is slightly lower.
    Last edited by Princeslik; Apr 29, 2007, 11:59 AM.

  • #2
    Re: How to implement a significant price increase...(asking advice)

    Trying to educated them like you are is the best plan imo. Perhaps you can get an old hood from a body shop to show the difference.
    "Between the possible and the impossible, lies what makes a man"

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    • #3
      Re: How to implement a significant price increase...(asking advice)

      Never even thought of that, I am right next to a body shop too. I got hoods from them to practice PDR. If I just get a decent black hood w/ the cob web scratches in it or something and do half of it. Thanks for the tip.

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      • #4
        Re: How to implement a significant price increase...(asking advice)

        I'd label a section and leave it as an example of each step. I'm no pro, but whenever I bother to show show someone what the clay is doing they are amazed; sometimes I use a plastic baggie other times just the bare hand will do.

        If you could progress through 5 or 6 steps, leaving an untouched section as you progress through the process. In other words, wash the entire hood, clay all except one section, #83 all except the wash-only and clay-only section, ... etc.

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        • #5
          Re: How to implement a significant price increase...(asking advice)

          For new customers I do a clay demo on the hood of their car,polish wax and show them the difference.9 times out of 10 they get it and are willing to pay my fee.Make sure you do the driversside so even if they dont buy now they will come back when they see that spot beading in the rain.
          As for dealers do what you have to to make a profit.They do it all the time.
          2007 Mustang GT/CS white 5sp. named Cali
          Show Car Detail

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