When building new Dash In convenience stores, The Wills Group always looks at whether it can add a car wash to the site.
“It’s actually quite profitable for us,” said Mike Mulhern, director of operations at Splash In, a car wash subsidiary of The Wills Group. The company has over 50 Splash In Car Washes in its portfolio.
At some of its sites, the car washes had such high demand that “we needed to be able to do more,” Mulhern added. At many of its locations and new builds, the company is transitioning to tunnel car washes with conveyors that allow the site to handle a higher volume of customers. “The smallest building is 85 feet, compared to 48 feet for an in-bay automatic car wash (we have a few of those), so it’s twice the size but can wash almost four times the vehicles.”
For many retailers, car washes offer the opportunity for a high-margin revenue generator that does not add a lot of labor cost.
According to data from NACS, car washes are the most profitable revenue line in “other store operating income” for convenience stores and bring in an average gross profit of $4,129 per month.
But the car wash landscape is ever evolving, said Janae Warner, operations training manager at Mammoth Holdings, an operator of 150 car washes nationwide. “Every time you turn around there is a new piece of equipment, a better chemical or a new unique thing you could be doing. We are definitely trying to make sure we are staying on the cutting edge of the business.”
Standout car wash operators need to do more than wash, rinse, repeat. From monthly subscriptions to sustainable features to generating a stellar customer experience, here are three major ways car wash operators are setting themselves apart.
Customer Service Stands Out
Automatic doesn’t mean passive. While many car wash operators have unmanned or self-service automatic car wash offerings, that is still balanced with an emphasis on customer service and the customer experience.
“We want to make sure our car wash experience is as seamless and as frictionless as possible,” said Mulhern. “Is it inviting for somebody who doesn’t understand it? Can my mother, who is 85 years old, pull into an automatic bay, read our signs and feel safe and good about the experience she will have? We try to look at the experience through the lens of different audiences and make sure it’s as simple as possible for people to do it themselves.”
Splash In also does as much as it can to avoid downtime. “You can’t sell something you don’t have. Having the car wash open and operating is the number one source of optimization,” Mulhern said. “To ensure up time, we work with vendors who can fix our equipment quickly and be accountable for response times.”
Key to customer experience is excellent service, and so both Mammoth and Splash In staff attendants at their car wash entrances.
Splash In’s greeters, who are chosen for their extroverted personalities, are there to “help guests along in their experience,” Mulhern said, by answering any questions and telling customers about the wash options. And, importantly, they sell subscription packages.
Tommy’s Express offers mat cleaning with its proprietary Molded Mat Washer, which “handles mats up to 34 inches wide with no length limit. In approximately 20 seconds, mats are sprayed with detergent, scrubbed, rinsed and dried using an air-knife technology,” Michael Van Wieren, sales specialist at Tommy Car Wash Systems said.
“If someone isn’t ready for a membership, that’s no problem. But we’ll explain the subscription to them and tell them how they can save money based on the cost average,” Mulhern said. “We don’t want [Splash In employees] overselling or being pushy, but want them to help guide the customer to understand the options and make the right decision for them.”
Selling memberships directly at the pay window is the most effective approach, said Michael Van Wieren, sales specialist at Tommy Car Wash Systems, a car wash equipment manufacturer and car wash franchiser with 215 franchise sites (Tommy’s Express) in the United States and locations under development in Canada and Europe. The company staffs team members at the window to help customers set up their mobile app, which integrates with the company’s POS and license plate recognition (LPR) technology. The app lets customers pay for individual washes and bill pay-per-wash or monthly subscription options.
Mammoth also puts an emphasis on customer experience by offering amenities. “We do free vacuums and have carts with towels and bottles for other cleaning, but also took it a step further and offer free air for tires,” said Warner. One of her favorite perks is Mammoth’s free windshield washer fluid.
Tommy’s offers mat cleaning with its proprietary Molded Mat Washer, which “handles mats up to 34 inches wide with no length limit. In approximately 20 seconds, mats are sprayed with detergent, scrubbed, rinsed and dried using an air-knife technology,” Van Wieren said.
“[Amenities are] the extra things that really show we care about our customers and go the extra mile. There is a car wash on every corner, and you need to do something to stand out. For us, it’s that our customer service goes above and beyond,” said Mammoth’s Warner.
Sustainability Saves Resources
Some sustainably-minded consumers are wary of car washes, assuming that they might be wasting resources—especially water—or using chemicals that have a negative impact on the environment. Traditional car washes can use up to 100 gallons of water per vehicle. But many operators are implementing eco-friendly practices and techniques into their systems.
“Having a sustainable car wash is important to promote, because lot of people are unaware [that they exist],” said Warner. Mammoth uses biodegradable cleaning chemicals and recycles “a huge portion of our water,” she explained. “This is really important during droughts because consumers don’t want to wash their cars, but we use less water than you would at home.”
Wills Group has five Splash In Eco Car Washes, which recycle 60% of the water to reduce consumption and use biodegradable, non-corrosive cleaning agents that aren’t harmful to plant or animal life. “The water goes through a rigorous reclamation process to remove sediment, and then we reuse our recycled water … to wash things like the undercarriages and wheels,” said Mulhern.
Top: Splash In’s soft-touch automatic car wash in Chantilly, Virginia, uses ceiling tracks and sonar technology to gently guide the wash equipment around the vehicle. Bottom: Splash In uses eco-friendly car wash technology and water reclamation systems with biodegradable, non-corrosive cleaning agents.
The buildings also have energy-reduction features such as LED lights, an energy saving HVAC system and insulation that helps regulate the building from the elements.
Making car washes more sustainable is “just the right thing to do,” said Mulhern. “If we can recycle water and reduce our energy footprint, we certainly want to do so.” But in addition to being beneficial for environmental reasons, it also saves the retailer money on operating costs and utilities.
“Because we’re able to reduce our water usage, we’ve never had to close in times of drought,” he explained.
While Mulhern acknowledges that customers might not be willing to pay more for an eco-friendly car wash, “the fact that we do it without asking them for more makes people appreciate us.”
Stay Steady with Subscriptions
As retail becomes more defined by customer loyalty, offering wash clubs, monthly subscriptions and loyalty programs can be a boon.
Mammoth customers can design a package based on their needs, and the membership is valid at any of the company’s 150 sites across the United States. Splash In offers three monthly membership levels for its tunnel car washes. The level options range from $29-$39 per month depending on the features selected and all membership levels allow customers to visit the car wash once per day.
“We know customers nowadays are looking for [more] value, as well as something convenient and fast,” said Warner. “Our unlimited wash pass hits all three of those. If you come even twice per month, it will save you money.”
Tommy’s Express locations use the company’s patented circular arch design, which it said offers customers a more spacious experience and better surface cleaning.
LPR technology automatically raises the gates when it registers a car linked to a wash package. “You just go right through and don’t even have to worry about bringing your wallet because it’s already charging you every month,” said Michelle Geertsema, marketing and business development coordinator at Mammoth Holdings. “It is the easiest way to take care of the second biggest investment you have.”
Tommy’s membership is integrated with the company’s Wash Club user app, which “provides a convenient way for car wash guests to manage account information, vehicles, payments and coupons all within a streamlined interface,” Van Wieren described, noting that users can also manage wash frequency and select wash packages in the app for a more convenient customer experience.
Subscription programs also help businesses weather the storm—literally. In areas where seasons and weather can impact car wash frequency and a rainy day could mean no one is washing their car, subscriptions keep revenue steady. “Weather is one of our biggest challenges,” said Mulhern. “A lot of people won’t get their car washed if it’s raining, but the great thing about memberships is that they minimize the impact of weather.”
H&S Energy (dba Power Market) has a network of over 70 car washes. It offers a monthly subscription that’s integrated with its convenience loyalty app for its retail locations, said Fidaa Mohrez, senior director of operational systems at H&S Energy Group, during a booth presentation at the 2024 NACS Show. The loyalty program is serviced through Liquid Barcodes.
“It’s really about [generating] consistent revenue coming from the car wash. Car washes are always based on the weather—if it’s sunny, you have business, but if it’s cloudy or rainy, then you’re down,” he said. “The subscription created consistent revenue because members pay the [flat] membership … and it ensures the car wash is always running even if the weather is not helping.”
“We operate in snowy states, and it doesn’t matter how many times it snows, the customer can come back and wash their car after every single snowstorm to get the salt off. It’s not going to cost them any more. Subscriptions are a win-win for the company and for the customer,” said Warner.
Memberships also do well because “people feel good when they get their car washed—it really just makes them feel better when they have a clean car. And that feeling is addictive,” said Mulhern.
He also noted that memberships can help build loyalty, which is key in a saturated market if you’re trying to differentiate your business from your competition. “If you have a membership with Splash In, you’re not going to need a membership or car wash from somebody else. It all ties back to the importance of user experience and customer experience.”
To drive customers to the car wash, The Wills Group pairs deals and promotions with other parts of the business. “We offer a fuel discount of 20 cents off per gallon if you purchase a wash at the pump. The strategy is part of our overall value proposition,” said Mulhern.
Car Wash Cameras
Car washes, like all businesses, are grappling with how to leverage AI. Many operators are already using license plate recognition (LPR) technology to recognize cars, tie license plates to memberships and subscriptions, and make the process of getting a car wash more seamless for both parties.
“The addition of LPR technology enhances the user experience, automatically scanning member plates upon arrival and raising the gate arm for seamless entry, making every visit faster and more efficient for guests,” said Michael Van Wieren, sales specialist at Tommy Car Wash Systems.
Mammoth Holdings recently started using license plate readers that are integrated with its wash club membership. “There is no more waiting or scanning a barcode or anything. It is huge with our customers,” said Michelle Geertsema, marketing and business development coordinator at Mammoth Holdings.
For Splash In, LPR technology is on its radar. “We are looking at artificial intelligence and asking, ‘How do we grab hold of this and utilize it to grow sales and grow our business,’” said Mike Mulhern, director of operations at Splash In. “The reality is, it’s really necessary.”
AI camera technology can also help with customer segmentation, marketing strategies and building loyalty. “Artificial intelligence through camera systems is the new wave of marketing,” said Mulhern. “We can harness that to communicate with a customer and say ‘We noticed you’ve been here four times this month. If you had a membership, you would have saved X dollars.’ Or we can see how many fuel customers are filling up and leaving without getting a car wash. So that’s a huge opportunity for us going forward.”