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The Mobile Car Wash New Service Business Concept.

The Mobile Car Wash New Service Business Concept.

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    The mobile car wash The mobile car wash Document Transcript

    • The ConceptTHE SIMPLE CONCEPT BEHIND MOBILE CAR WASH IS USING IDLE PARKING TIME WHILEOWNERS LEAVE THEIR CARS TO CARRY OUT OTHER ACTIVITIES, SUCH AS SHOPPING, WORKING,ENTERTAINING, STUDYING, ETC. TO PROVIDE FIRST CLASS ECOLOGICAL HAND CAR WASH ANDDETAILING SERVICES, WITHOUT MOVING THE CAR FROM ITS PARKING SPOT.The result is an innovative, 100% service-oriented, convenient and safe experience forcustomers.Since the Mobile Car Wash Washing Carts are 100% autonomous, and our system would notleave foam, water or dirt on the floor, it can be offered in any indoor or outdoor parkingfacility without the need of any additional infrastructure.The service can be offered at a wide range of places like:  Supermarkets  Malls  Public and Private Companies  Railway stations and airports  Residential parking facilities  Theaters and universities  Hotels and resorts  Beaches with private parking  and many more…Wherever cars are parked Mobile Car Wash will be there to keep them sparkling shine.Washing CartMOBILE CAR WASH WORKS WITH A COMPACT MOBILE UNIT THAT ALLOWS US TO HAVE IN ASMALL SPACE ALL THE NECESSARY ELEMENTS TO OFFER PREMIUM QUALITY HAND MADE CARWASHES AND DETAILING (EXTERIOR AND INTERIOR).Each unit is operated by just one person and the average service time is 20 minutes; includingwaxing.The Mobile Car Wash Washing Carts are fully autonomous; it is not necessary to have themconnected to water supply or electricity outlets.1
    • They have internal deposits for clean and dirty water, with enough capacity to work one wholeday without refilling, and a rechargeable battery to power the electronic pump and thevacuum cleaner.Strategic Direction: Stage of BusinessA start-up business designed to fill a service void which is created now days after the absence ofMobile car wash facility in this market areaLong Range DirectionWe are dedicated to establishing and maintaining the finest car wash operation in the area,specifically known for the quality of service provided and the managements commitment to thebetterment of the community.MARKET/MARKETING: Market Segment SoughtWe are extremely fortunate our service is not limited to a specific segment orgroup of the market. In fact, The Mobile car wash sole limiting factor is the smallsegment of its specific market which is without an automobile. In our market areaalone, there are un-limited auto mobiles.POSITIOINGWe will position ourselves as quality service providers and our positioningstatement is: ‘Experience the quality car wash at your door step’Benefits of Service to the Market SegmentWe will provide the only full service facility within our market area. Additionally,our minimum use of water will provide an environmentally safe means for ourcustomers to clean their automobiles. This differs from residential car washing,2
    • where untreated wash water fills storm drains and ultimately empties into ourwaterways.Advertising and Pricing PoliciesOur Basic, full-service wash will cost Rs: 350. It will entail a full exterior vehicle wash, as well asan interior service to include vacuuming, window cleaning, and dashboard cleaning. Our DeluxeWash will cost Rs: 550 and will include all the Basic Wash services as well as an undercarriagewash, a rust inhibitor, and a wheel brightener. The Super Wash will cost Rs: 750 and will includeall Deluxe Wash services as well as a polishing wax and a wax sealant.We have investigated all available advertising mediums. After in-depth consultations with amyriad of car wash operators in the area, we have decided to utilize the advantages of a varietyof mediums. Initially, we will utilize cable television and radio spots, in conjunction withnewspaper advertisements, to announce our Grand Opening. We will also use direct mailcoupons to increase consumer awareness of our existence. Additionally, we will work crosspromotions with businesses in the area as a means to tap the client base they have established.Already, several existing businesses have expressed a desire to do so.Sales ProjectionsWe expect to wash 63,700 cars in the full-service operation and 29,440 cars in the self-serviceoperation during The Mobile car wash’s first year of business.ManagementThe principal owners will be the full-time managers. Both individuals have served in therespective firms, respectively. We have vast experience in the management of finances,personnel, and equipment. While in our companies, we both individuals successfully completedtwo years of company command, which closely parallels the running of a small business; itrequires the managing of all associated personnel, budgetary, and operational situations. In3
    • addition, one manager is currently working as the assistant manager for a local car wash. Thisexperience has provided invaluable insight into the operational aspects of managing andmaintaining a car wash.ResponsibilitiesOne manager will focus on daily operations, including employee hiring, building maintenance,property maintenance, and equipment maintenance. The other manager will focus onmarketing, advertising, and community relations, as well as all fiscal matters, includingemployee pay and benefits, taxes, payables, and receivables.Financial Year l Year 2 Year 3Revenues Rs:25 mil Rs:30 mil Rs:35 milNet Income Rs:1 mil Rs:1.5 mil Rs:2 milAssets Rs:30 mil Rs:35 mil Rs:40 milLiabilities Rs:5 lacs Rs:7.5 lacs Rs:9 lacsNet Worth Rs:15 mil Rs:20 mil Rs:25 milCapital NeededThe capital needed to underwrite this proposal will be utilized to purchase mobile vans loadedwith full car wash facilities. Additionally, the capital would be used to purchase both full-serviceand self-service equipment, a water reclamation system, administrative equipment andsupplies, the chemical inventory, and to provide operating capital to maintain the operationthrough its first four months.4
    • Description of Products/ServicesThe Mobile car wash is designed to be a complete car care facility. The operation is comprised oftwo complementary systems: a full-service system for those customers who wish to allow ourservice team to clean their car and a self-service facility for those who wish to take a moreactive role in their cars maintenance. Both systems will be outfitted with the mosttechnologically advanced equipment available, thereby providing our customers with the bestservice possible. The Mobile car washs unique operational concept of combining a full-serviceoperation with a self-service operation provides our customers with service flexibility unmatchedby any other car wash facility within Karachi. Additionally, within our market area we haveabsolutely no competition.Unique Aspects of our StrategyWe plan to market our car wash utilizing four primary mediums: Discount coupon mailings toselected ZIP Codes, radio and cable television spots, and cross promotions with local areamerchants which will allow us to tap into their firmly established customer bases. Additionally,we will approach apartments, shopping malls, amusement parks, super stores andcondominium management offices, asking them to include promotional coupons in theirmonthly newsletters.Management DevelopmentOur objective is to cultivate our managers from within the organization. This practice is essentialto ensuring that our business philosophy and management style remain consistent. Additionally,by adhering to this objective, we possess a means in which to reward employees whocontinually perform in an outstanding manner.5
    • Social ResponsibilityOur objective is to become an active and solid member of the business community in Karachi.Additionally, we believe that we should provide an employment opportunity for members of ourcommunity.MARKET ANALYSISSpecific MarketLocationThe location is the most important aspect in predicting a car washs success. Ideally, a car washshould be situated on a thoroughfare which possesses a heavy volume of traffic, often referredto as "traffic count." The wash location should have readily accessible ingress and egress routes.The target markets population should be at least 30,000 people. A majority of the targetmarket should reside in apartments, townhouses, and/or condominiums.TrendsA recent demographic study predicts a high, increase in our target areas population over thenext 10 years. Additionally, this study predicts the number of cars registered in our target areawill also show a slow, but steady, increase over the next ten years.CharacteristicsOur target market is the most densely populated areas shopping centers, car parking areas, andoffices car parking in the city and is comprised of a diverse mixture of ethnic and economicgroups. This diverse economic and ethnic make-up supports our view that there is a strong6
    • demand in our market area for a complete car wash facility that possesses both full-service andself-service facilities.Buying Habits of CustomersIn talking with hundreds of people in our target area over the past two months, we havedetermined there is an enormous need for a Mobile car wash facility in this area. Currently,there is not similar car wash facility within Pakistan, and our proposal has received enormoussupport from both civic and government groups in our target market.Advantage Over CompetitorsPriceTo arrive at our price listing for each car wash package, we carefully examined fifteen car washfacilities in the city. We analyzed each facilitys wash packages and then compared the price ofthe package to its service contents to make a qualitative determination on the quality of serviceprovided versus the cost of the service. Unfortunately, what we discovered was that, in mostcases, the service provided did not warrant the higher price charged to the customer. Thecustomer was not receiving any significant increase in the service received. Therefore, wecarefully constructed our wash packages to ensure that our customers received the best possibleservice for the price charged.PerformanceOur research repeatedly indicated that the washs performance is directly proportional to thetype and make of equipment used. Therefore, in keeping with our business objective ofproviding the highest quality service possible, weve decided to purchase the mosttechnologically advanced conveyor and self-service equipment available. This technologicallyadvanced equipment will provide us with a qualitative edge over all the car wash facilitieswithin Karachi.7
    • Advantages of Competitors Over The Mobile Car WashWe believe there are only two temporary advantages a competitor could have over The Mobilecar wash.Customer base We will need time to firmly establish a sturdy customer base.Business experience We lack daily experience in the industry, which our competitors havegarnered over time. However, we believe our work at multiple car wash facilities over the lastseven months greatly reduces this initial experience advantage.Other Market FeaturesImpact of the following:Governmental InfluencesThe governmental influence on our business is not extensive. It greatly reduces our fresh waterconsumption, which in turn reduces our water bill. In the future, governmental efforts to purifythe areas bodies of water may result in legislation eliminating the release of soap, oil, waxesand other contaminants into storm drains by people washing their cars at home. Obviously,legislation of this kind would only enhance our business position.Social/Demographic FactorsThese factors are critical when selecting a car wash location and determining the type of facilityto build. Obviously, the larger the populations base in the market area, the better the chance ofthe business succeeding. Industry surveys indicate that the average car wash operation shares apopulation base in its target market of over 10 mil people with no competitors. We are in theunique position of having a 55 percent market share of the target market. Research in theindustry reveals specific types of car wash facilities appeal to different social groups. Eighteen to8
    • twenty-five year olds, regardless of ethnic group, blue collar workers, and minority groups tendto make the most use of self-service facilities. Twenty-six to sixty-five year olds, white collarworkers, and mothers with children utilize conveyor facilities. Therefore, the makeup of a targetarea influences the design of the car wash facility. Our target area is a diverse mix of ethnic andsocial groups. We feel it is the most advantageous to build a facility which would cater to allgroups in our target market. This is our rationale for developing an operation incorporating botha self-service facility and a conveyor facility.EnvironmentMOBILE CAR WASH OFFERS AN INNOVATIVE WASHING SYSTEM FOR VEHICLES BECAUSE IT ISPORTABLE, AUTONOMOUS AND ALMOST WATERLESS; THEREFORE IT DOES NOT NEED ANYINFRASTRUCTURE FOR WATER DRAINAGE AND DRASTICALLY REDUCES THE WATERCONSUMPTION PER SERVICE (LESS THAN 2 LITERS COMPARED TO 90/180 OF OTHER CAR WASHSYSTEMS).Moreover, Mobile Car Wash works with a 100% environmentally friendly product line. That iswhy our concept is the best choice to actively contribute to preserve the environment and savemillions of liters of water.Seasonal FluctuationsSeasonal fluctuations, as defined by changes in the weather, directly impact a car washsbusiness volume. Contrary to logic, the winter months are the peak months for full-servicevolume, while the self-service volume remains constant throughout the year, with a slightdecrease occurring in the November to February time frame. It is not uncommon for a car washto generate enough sales volume from November through February to underwrite its expensesand debt load throughout the remainder of the year.MARKETINGMarketing PhilosophyOur marketing philosophy is to present our company as an independent, service oriented smallbusiness, which is genuinely concerned with providing high-quality service at a reasonable price.9
    • Company StrengthsOne obvious strength of our company is market share. Since no competition exists in our targetmarket, we will possess a 55 percent market share the day we open for business. Strength is themanagement team. Both owners possess vast experience in budgetary, equipment, events, andpersonnel management. Finally, the superior quality of our equipment, in terms of efficiency andeffectiveness, allows us to provide a superior quality service to our customer at a cost belowthat of the regional average.Overall Marketing StrategyOur marketing strategy is two-fold. First, we must develop a loyal customer base on which tobuild our business. Second, we must cultivate and expand this customer base to ensure a longlasting and solid relationship with our repeat customers and continued vitality of the businesswith the addition of new customers.Image We Want to PortrayThe entire foundation of our business rests on our pledge to provide quality service at areasonable price. We will portray our business in such a manner. Additionally, we are genuinelyinterested in the positive development and quality of our market areas business community.Pricing StrategyList PricesAfter careful analysis of this regions car wash operators pricing practices, we crafted a pricingstrategy that we believe more closely aligns service with price. Our system incorporates a three10
    • tier pricing scheme. In accordance with our pricing strategy, our Basic Wash will cost Rs:350, ourAdvanced Wash will costRs:550, and our Deluxe Wash package will costRs:750.Discount PricesAs part of our marketing strategy, we will at various times offer discounts on selected washpackages. Discounts will vary from a Rs:100 to Rs:200 reduction of the standard price.Competitors PricesAlthough we do not have any competitors in our target market to use as a guidefor establishing our pricing system, we did evaluate several pricing schemes toassist us in developing one appropriate for The Mobile Car Wash.Advertising/PromotionDuring two months of research and hundreds of conversations with owners of regional car washoperations, two points became very apparent. First, older, established car washes do little to noadvertising. Second, new, upstart car washes advertise extensively in an attempt to establishthemselves in the community. We found no middle ground in the industry with respect toadvertising, and most car wash owners who do advertise believe their best results have comefrom utilizing direct ZIP Code mailings, local cable TV spots, and cross-promotions done inconjunction with other local businesses.We plan on advertising our Grand Opening in all advertising mediums, including radio,television, news print, and direct ZIP Code mailings. During our first year of business, we will beactively involved in developing customer awareness of our business through extensive use of theradio, television, promotional giveaways, and direct mailings. We plan to dedicate 7 percent ofour monthly gross revenues to advertising and promotions. At the end of each quarter, we willassess the effectiveness of our advertising campaign and make any adjustments necessary toprovide us with the most positive community exposure.11
    • To build a solid repeat customer base, we will offer bonus services. On a customers first visit wewill provide them with a book to keep track of visits. On a customers ninth visit to the car wash,he or she will receive a free basic wash. To build return customer traffic, we will also randomlyhang scented discount wash coupons on each customers rearview mirror which are redeemableon the customers next visit to the car wash. Additionally, as a means to assess adherence to ourprimary goal of providing exceptional service, we will provide each customer with a postagepaid comment card.MISCELLANEOUS ISSUESThe Mobile car washs employees will be given the opportunity to participate in a healthinsurance program.SUMMARY OF UNIQUE FEATURES AND BENEFITSAn extremely important feature of our business is its mobile. Because of being mobile, thechances of succeeding are drastically increased Our operation will incorporate the newest andmost technologically advanced wash equipment in the industry. This will enable us to provideour customers with the best possible service at the best possible price. It will also allow us toensure that the environmental concerns of the community are respected and acted upon.Additionally, we believe the strongest point in our business is our management team. Bothowners possess vast knowledge, gained from operational, budgetary, and personnel experience,from which to direct the business and provide for outstanding customer service.12