Teach an Old Carwash New Tricks

Turn that ugly duckling back into a profitable location

Once Dan finally got the site up and washing cars on a regular basis, he planned for his grand reopening to coincide with a charity wash for the local soccer team his daughter played for. Dan made arrangements with the team to hold signs and balloons, and to promote the charity wash in the community. He decided to open his carwash bays for an entire weekend and give away free carwashes.

Volunteers assisted customers wash their cars, bikes, boats and anything else they needed washed. Dan issued an in-house fleet card for use in each bay to allow the volunteers to turn the bays on and off without the hassle of messing with cash or tokens. In exchange for a minimum $5 donation to the soccer team, customers received a $5 prepaid card redeemable at either of Dan’s wash locations.

This made it easy for customers to donate since they got their money back in additional wash value. It also enabled Dan to reach out to people in his community who may not have previously used either carwash facility. A gift card for $5 is almost a guarantee that customers will return for another wash.

Dan’s grand opening wasn’t about maximizing profits that weekend. Instead, he had two primary goals. His first goal was to gain community awareness of the new wash location and entice old customers back to see the new changes. The second goal was to reach out to new customers and get them to come back a second time. He met both of his goals with resounding success.

He washed several hundred cars that weekend and raised a few thousand dollars for the soccer team. As a result, nearly 200 prepaid loyalty cards were handed out to new customers. Dan knew that most of those customers would come back a second time since the first $5 was free.

The event was so successful, for both the carwash and the soccer team, that most of the sports clubs and youth organizations in town now take turns holding their fundraiser carwashes at Dan’s facilities during the spring and summer months.

Above & Beyond

Business owners looking to teach their old washes new tricks need to evaluate their situations not only in terms of repairs, but also available upgrades. Are there retrofits available that can improve what you already have? Simply cleaning up and repairing an old wash is not enough.

The type of customer who originally used the carwash when it first opened has changed. Today’s customers have different needs and expectations. Do the entry station and bays accept credit cards? Is it convenient to get in and out of the facility? Are there additional revenue streams like in-bay blowers, combo vacs, rug beaters or vending machines? Do you have other carwash locations that could be tied to a new site through a loyalty or fleet program?

These are all serious questions that need to be addressed in a retrofit situation. Banks or lending institutions will always be more confident about funding updates if you can explain to them how you can make a failing business more profitable.

Always remember that every carwash is essentially selling soap and water. If you are not doing anything to change how customers spend money or find new ways to target an audience outside of those who simply drive by you on the street, you are taking a big risk in updating an old carwash location.

Take care of what you have. Perform regular preventive maintenance, invest in new technologies, and give customers what they want — a nice clean facility to wash their vehicles and convenient ways to pay for their washes. In addition, be creative and give them reasons beyond soap and water to keep coming back.

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