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It can hele to make more money to add car wash service at the gas station!
In recent years, the traditional refueling industry has not made huge profits. If there is a new business model, such as car washing, it may help the gas station make more money. Car washing is considered a value-added service because they often attract potential customers and promote in station sales. Because of these vehicles and customers, the car washing business is profitable. It is a very suitable automobile service project for gas stations.
Today's car washing systems are designed to be better, faster and use less resources than ever before. More automated systems, including payment stations and mobile platforms, can help reduce operating costs.
Jack coferrari is the president of J & T management. In February this year, the company opened a new shell / circle K service station in verdoma, Southern California. Coferrari said that this new location also has automatic car washing business, which has proved to be profitable.
"Within four months of opening, the station has a monthly convenience store sales of about $160000 and a car washing revenue of $10000. Such cash flow can ensure that automatic car washing is part of the company's portfolio," coferrari said.
"Over the past 10 years, I have increased this business in all service stations, and now every new station has a car wash," coferrari said. "In our industry, unless you have a large food supply, there are not many potential sources of income at the gas station. You have oil products, you have convenience stores, that's it. In terms of competition and maintaining profits, car washing is closely related to your viability.
If you buy a car wash service, customers can also earn a certain amount of discount from a gallon of gasoline. In that way, their consumption will be more viscous. In this way, the sales of gas stations will further open up room for growth.
"For example, if you set the original gasoline price at $3.49 and the car washing price converted according to the average fuel filling volume of customers is 20 cents / gallon, you can associate the two businesses: listing the oil price per gallon at $3.69 for" free car washing ", then the situation will change," coferrari said. "In our first store three years ago, we increased car wash sales from $5000 to $15000 per month. When we tracked the related fuel discount, it was about $5000, but oil sales doubled."
Investment cost
When planning the car washing operation, if the profit model is used, the investment return may be great. However, this model usually requires a lot of investment, good planning and attention to details. The initial capital investment of automatic car washing may be as high as hundreds of thousands of dollars, depending on the type of car washing machine. There are reciprocating automatic car washing machines that wash 20 cars per hour and 100 cars per hour The tunnel of cars. Eric Wulf, CEO of the international car washing association based in Chicago, said that two factors play an important role in determining the possibility of a gas station getting a good return on its car washing investment. The first is the location. Is there a lot of competition around? In addition, is there enough potential car washing customers in the business district? For example, a gas station with only one fuel dispenser The service station may not attract enough customers to wash the car. "There is a data rule in the industry, that is, if you fill less than 100000 gallons (about 280 tons) a month, it may be a challenge for you to go to the car washing project," Wulf said. "This is because in the business environment of the gas station, you rely on the traffic you have obtained. You are unlikely to expect to get more new customers after washing the car. Usually, old customers have more consumption when they patronize." service station operators seeking development need to pay attention to fundamentals in order to provide effective car washing services.
This means getting revenue from operations and brand performance, effective advertising and communication, and incremental business, Wulf said. Car washing products can be seamlessly integrated into the product portfolio of the gas station. "Car washing should be integrated into the overall marketing of the gas station, so it is meaningless to blindly install a car washing machine at the gas station.
"You have to integrate your business to facilitate transactions with customers," Wulf said. "At your service station, customers can not only wash the car conveniently, but also interact and promote with other businesses: externally, they can conduct data marketing through leaflets or social media to achieve different industry cooperation; internally, in addition to oil products, they can also attract the attention of consumers of other projects, including food, tobacco or more and more other commodities being sold." Another consideration for car washing is the policy restrictions of the local government. In some places, due to environmental regulations, it is prohibited to supply water to outdoor services including car washing to prevent runoff on sidewalks or roads, and violations will be subject to high fines.
In contrast, an automatic car wash requires only 3 gallons of water - the rest is used in the recycling containment system. Coferrari estimates that your own car wash may require about 200 gallons of water. In contrast, gas station car washing provides more valuable public services in a sense, especially when water resources are becoming increasingly tight. "We were all welcomed in the cities where the car washing project was launched," said coferrari.