Whether you are just starting out or you are already running an established auto detail shop, making a profit is one of your biggest priorities. While it’s easy to get caught up in the day-to-day, investing the time and effort into building your business will ensure that you are maximizing your profits. After all, even the best auto detailer in the world couldn’t be successful without the right business know-how and forward-looking planning.
Below, we outline seven tips for a profitable auto detail shop, so that you can stay ahead of the competition and, of course, make more money
1. Have a Plan
Fail to prepare and prepare to fail! You may have heard that phrase before, but it rings true when it comes to starting an auto detail shop. That’s because writing a business plan is one of the best ways to ensure your success. In fact, statistically, you are two-and-a-half times more likely to actually start your business after you write a business plan.
But that’s not the only reason to plan ahead. By assessing your business’ objectives and goals you can foresee, manage, and even avoid any pitfalls further down the road.
Furthermore, you’re more likely to secure funding if banks see that you’re aware of, and could mitigate, any potential risks.
See “The Expert’s Guide to Writing a Car Detailing Business Plan” to get you started.
2. Location, Location, Location!
When assessing a location there are a number of factors to consider, such as the population of the neighborhood, the proximity to a big highway, and the number of competitors in the area. That’s because all of these considerations will directly impact the traffic to your business and, ultimately, your bottom line.
Some detailers may choose to run their auto detail shop from their car. This way, they can bring their services to their customers. This can be especially convenient for potential customers living in small towns who don’t have access to an auto detail shop. By having a mobile business, there are also lower start-up costs than opening a bricks and mortar location.
See “The Ultimate Guide to Mobile Detailing Businesses” to learn more about how it could work for you.
3. Assess the Competition
Knowing your competition and being aware of the implications it has on your business strategy is crucial. See “A Glimpse at Detailing Businesses” for further data on the competition in your area.
Assessing the competition includes considering the number of businesses in your area, the services they provide, and the prices they’ve set. This is particularly pertinent in relation to your pricing. Remember to look beyond the hyper-local so that you know the average costs both locally and on a state level.
See the “Average Detailing Prices Around the United States” so you can see how your pricing stacks up.
4. Have a Pricing Strategy
Many detailing businesses offer menu-style package pricing. While this is a great place to start, it doesn’t account for the number of variables that come into play when pricing a job. And that could mean that you are undercharging for your time and services.
It’s for this reason that your auto detail shop can make more money with variable-based pricing. That way, customers are paying for the true value of your work based on the condition of their vehicle.
However, the challenge with variable-based pricing is then maintaining consistency. By using an estimating app, like Mobile Tech RX, you can ensure accurate and consistent estimates every time.
5. Learn from the Best
Don’t be afraid to look to look to others who have been successful in the industry for inspiration. Look at what they’ve done well and copy it. Equally, take their advice, learn about their challenges, and avoid making the same mistakes.
Read some of the real-life case studies on the Mobile Tech RX website and prepare to be inspired.
6. Go Paperless
Paperwork takes time and no one needs more admin in their lives. Going paperless is a far more efficient way of running your business. Not to mention, it looks more professional.
Mobile Tech RX offers specialized software for auto businesses that makes going paperless simple. The app conveniently stores scheduling, payments, and marketing information in one place. The software also ensures perfect estimates every time without customer negotiation—or pen and paper.
7. Track and Adapt
There is plenty of literature on how to start an auto detail shop, but maintaining your business is equally important.
Using data and analytics is a great way to accurately measure return on investment, spot inefficiencies, and increase team performance. Look for business apps that offer analytics as part of their software like Mobile Tech RX. By showing all of your business data in one place, you can pinpoint operational strengths and weaknesses, as well as find and cut inefficiencies quickly.
To learn more about how to build a successful auto detailing business and make more money with every job, try the country’s number one Auto Recon Business Management Software now for free.