charging a dealership..

Mr.Magic said:
What i don't understand is Why anyone would do wholesale for less that $120 a car. I make between 45 and 60 buck an hour and my dealers love me. I have done cars for as little as $100 but thats it. I think if you go in with some pride about your work and explane to them that there cars will look better then the lot next door thus bringing in more customers, the dealers are willing to pay more. Plus I do the first car for half that and I always ask for a black one! I show them I am the best!



That is what I thought when I was starting out but all they seem to want here is quick details at a dirt cheap price. Probably the large illegal population is Texas plays a big roll in that. Part of the problem is that the customers of tote the note lots aren't all that picky about how the cars look anyway, provided it shines. The new car dealers have their own detailing departments.



If you are in an area with bad winter weather, I can see taking on dealers as clients though because they need clean cars year 'round.
 
David Fermani said:
Why is this not a good way to grow your business?? 2 of the first 5 dealership accounts I had were from direct solicitation. The 10 others I had were aquired from attrition. I believe that in the wholesale marketplace of detailing, if you stay consistant, affordable and have a good relationship with your customer, your in for the long haul. Most shops can't do 1 on those things right, better yet all of them.



It is not a good way to grow your business when achieving success is 'only because of the attrition of others going out of business'. Of course you will have a much better chance of achieving success when you have a plan to 'stay consistant, affordable and have a good relationship with your customer'.



It is always better to plan for your own success, rather than to stand around waiting for others to go out of business. Plan to focus your energy on taking action in the marketplace, instead of constantly reacting to what is going on around you.
 
mirrorfinishman said:
It is not a good way to grow your business when achieving success is 'only because of the attrition of others going out of business'. Of course you will have a much better chance of achieving success when you have a plan to 'stay consistant, affordable and have a good relationship with your customer'.



It is always better to plan for your own success, rather than to stand around waiting for others to go out of business. Plan to focus your energy on taking action in the marketplace, instead of constantly reacting to what is going on around you.





As long as he retains the business that he picks up, I don't see the problem with it. What happens when he doesn't adapt to the market as it changes around him??
 
Cash flow is also a big concern with the wholesale market, 35, 45 and 60 day pay. Are you going to hit them with a finance charge??.
 
mirrorfinishman said:
It is not a good way to grow your business when achieving success is 'only because of the attrition of others going out of business'. Of course you will have a much better chance of achieving success when you have a plan to 'stay consistant, affordable and have a good relationship with your customer'.



It is always better to plan for your own success, rather than to stand around waiting for others to go out of business. Plan to focus your energy on taking action in the marketplace, instead of constantly reacting to what is going on around you.





One of the only ways to get dealership business is through attrition. Dealers already have some way of cleaning their cars, if you can show them a better way then maybe they will go with you instead.
 
SpoiledMan said:
As long as he retains the business that he picks up, I don't see the problem with it. What happens when he doesn't adapt to the market as it changes around him??

Yes - That I did. I never planned to take on more dealers. They came to me because I had a great reputation in the market. Everytime I pickup up an account/more work, I hired more people. The best way I "planned" to grow my business was by going after each dealership's service department, body shop, parts department and new car department, instead of just settling for the used cars. There's sometimes more profit to be made in those areas than in used cars, not to mention much less work required.
 
doged said:
Cash flow is also a big concern with the wholesale market, 35, 45 and 60 day pay. Are you going to hit them with a finance charge??.



True, that can be a huge problem. One of the reasons I don't accept payment through insurance. Last time I did that, it took 90 days to get paid.



Funny thing tonight, I was eating dinner and some guy came over and asked me where I thought he would know me from. Told him I had lived in Arlington for the last 15 years and have had a detailing business for the last 12. He then said he bought and sold cars and asked what I charge for details. Told him a minumum of $125 a car but most end up being more. He asked what my dealer price was and I told him that I don't have one, and that it isn't good business to turn away full priced privately owned vehicles to give a discount to detail an auction car for a dealer. He shrugged and said "I pay $60 per car now" and left. Very typical in this area. They just don't seem to care about a good job, just a cheap job.
 
doged said:
Cash flow is also a big concern with the wholesale market, 35, 45 and 60 day pay. Are you going to hit them with a finance charge??.

I would drop off a statement for the prior month usually by the 5th and I would always have all payments in my hand by the 20th. I didn't charge a finance fee due to their speedy payment, I doubt they would pay one anyways. Also, I use to detail all the ladies cars that worked in the accounting office and they seemed to look out for me on payments too.
 
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