Since 1996, the International Carwash Association (ICA) has conducted large-scale quantitative consumer research to unearth business-building insights for both current and prospective members in the United States and Europe. For the first time ever, and in partnership with the Australian Car Wash Association (ACWA), the upcoming 2018 study will analyze usage, attitudes, drivers and barriers of car washing in Australia.
Ever wondered how humans can be so different, yet alike? From driving on opposite sides of the road to using distinct systems for measurement, Australians and Americans are noticeably unique. Still, we share a common language, currency and colonial heritage. Even more universally, we exhibit behaviors, express emotions and evaluate experiences similarly.
he upcoming 2018 Australia Study analyzes car washing perceptions of car owners in Australia. Benchmarking the results to the 2016 United States Study led to a discovery: although we wash differently, our values are inherently the same. Let’s explore the new world of opportunity for industry professionals from both nations to learn, share, and unite with one another.
Blessings in Disguise
From an international perspective, widespread adoption of automated solutions is shifting the focus of investments from human workforce to equipment. Powered by technological advancements offering improved cost-efficiencies, car wash revenue is expected to reach A$508.9 million by 2019 within Australia alone (IBIS World). At the same time, the global consumer is gradually replacing do-it-yourself with “do-it-for-me” (DIFM) services in order to gain time freedom.
Zooming in further, favorable conditions are materializing within Australia and the automotive industry as well. A rise in employment and car sales (4.3 percent year-over-year growth) is ushering in an era of higher car ownership and overall maintenance needs (Acai Research). When mixed with severe drops in oil prices, urbanization, and household water restrictions, a clear picture emerges. Future car owners will have plenty of reasons to wash their car more often, but will have increasingly less resources for doing so at home.
Worlds of Difference
Nevertheless, the current state lags behind future projections. Far more Australians are still washing at home (73 percent) instead of the car wash (63 percent), especially compared to Americans who are less likely to wash at home (54 percent) than the car wash (80 percent).
Even amongst those who make it to the car wash (PRO washers) in Australia, half (50 percent) have used a do-it-yourself spray wand. As evidenced by the hands-on car washing attitudes of Australians, it is clear that the shift from DIY to DIFM has not fully surfaced yet.
Additionally, the average PRO washer in Australia washes their car 10.6 times per year, 28 percent less than 13.6 times per year in America. Industry experts speculate that the Australian car wash vertical trails that of America’s by up to 15 years, but what about the difference in consumer behavior?
Costs Against Benefits
One variable to the equation is price. Only half (50 percent) of Australians are somewhat or very satisfied with what they pay per wash, compared to 63 percent in America.
A closer look reveals the missing piece to the narrative. Australians are much less likely to appreciate the benefits of PRO washing when compared to Americans. Furthermore, PRO washers in Australia are relatively indifferent, in comparison, toward value-added services such as waxing and wheel cleaning.
If perceived value is the difference between cost and benefit, the solution to the dilemma becomes two-fold: Reassess pricing structures and/or improve perceived benefits of PRO washing to better justify the cost.
Creatures of Emotion
Improving the perceived benefits of PRO washing begins by recognizing a universal truth.
Regardless of origin, we are all creatures of emotion. We search for service experiences that fulfill higher-order needs.
Currently, Australians place car washes 8th out of 10 in ranking their favorite retail service experiences. Let’s improve the score by reminding the consumer of what car washing truly represents, a chance to refresh and reinvent. There’s no price tag on the end-benefit, it’s invaluable.
Vehicles for Delivery
So how can car washes effectively convince Australians of the rational and emotional benefits of PRO washing? Borrow a page from the American car wash marketing playbook.
Although the vast majority in both countries do not receive online communications from car washes, Australians are almost three times less likely to receive any online communications than Americans (4 percent vs. 11 percent). However, 53 percent of those who receive online communications are likely to redeem email coupons in Australia, compared to just 33 percent in America. This translates into untapped potential for driving awareness, trial, frequency of use and loyalty at the car wash.
We are already witnessing how digital marketing is enabling business owners to reach target audiences at key moments of aperture with unparalleled precision. Why should car washes be any different?
Roads to Profits
Imagine receiving a timely email in your inbox informing you that the rain has passed and the forecast reads sunny skies ahead, a perfect time for a quick stop-in. Or perhaps a geo-targeted notification that the location near you has no waiting time in its queue. The possibilities are infinite.
To close with a practical example, pour some mints into a bowl near the exit of your car wash. As your customers bite into the mint, it serves as a memoir for the convenient, cleansing experience received. You’ve now armed them with the confidence and appearance they need to hit the road and conquer the world, one kilometer or mile at a time.
Car Wash Show Australia
October 30 – November 1, 2018
Melbourne, Australia
Etihad Stadium
The Australia Consumer Study will be presented at Car Wash Show Australia.
