The ever-evolving world of unlimited clubs has changed dramatically over the last several years. It wasn’t long ago that unlimited clubs were looked down upon, and now, if you don’t have one you are losing business. New technology is changing the way we administer these clubs, and with that we have seen a rise in member numbers. Gone are the days of 200-300 members. Today, sites have over 6,000 members and the administrative tasks have multiplied, as well. Operators now have a choice between RFID technology or License Plate Recognition (LPR), and don’t forget about the app.
So, which method is right and how do you choose?
RFID
This is the technology most of us are familiar with: a sticker in the window. Used by toll roads, parking garages and others for many years.
PROS
- Reliable; high read rates
- Controllable; attendant places in car
- Standardized
- Simple equipment
CONS
- New windshield technology making obsolete
- High cost per sticker to replace (with more members this cost is noticeable)
- Administrative (needs someone to manage who has what sticker#)
LPR (License Plate Recognition)
Newer technology and where things may be headed. However, don’t be too quick to rush to into new technology without all the facts.
PROS
- Less administrative work
- Lower operating cost (no sticker to replace)
- Easy on the customer
CONS
- Less control; customer can move the plate from car to car
- Lower read rates (90-92% is what I am hearing which sounds good, but on a 1,000-car day, 10% is 100 cars, or almost 10 per hour to mess up your line!)
- No standard plate formats
- More equipment means more points of potential failure
APP
Oh, the app! Companies have done a great job associating the app with LPR, and although they can be cousins, they are not siblings. In other words, an app can go with either RFID or LPR. It is important to note here that there is a difference between a true app and a mobile-ready website. Generally speaking, apps are easier for customers to navigate and understand, whereas a mobile-ready version is just your website condensed to fit a mobile device.
PROS
- Customer-friendly (newer generations do everything on their phone and apps)
- Transfers the administrative work to the consumer
- Reach customers faster It’s cool!
CONS
- Must manage updates on two platforms: inside POS and within the app (possibly three if you have a market-based website)
- Less control (how do we control what the customer can change and how often?)
- App needs to be updated every time Apple or Android performs a system update (does your supplier have that ability and are they prepared for the updates?)
All of these options come with benefits and drawbacks. While you might be impressed with new technology, unless you are the early-adopter type, you may be wise to hold off until it has been tested in the markets more fully. Nothing is as straight-forward as it appears, and while some companies might seem like they are behind in technology or slow to the party, they probably have a reason for slowing down and working to solve some of these issues before it becomes your problem.
THE FUTURE
Artificial Intelligence (AI) will change how we function in the world … smart cars will recognize your location and automatically handle the transaction.
- VIN# will be electronically transmitted and your VIN# becomes your RFID and LPR program
- Program will recognize year, make and model of the car, which will increase the “success rate” of matching cars with unlimited memberships.
- Menu boards on the in-dash screen of your car will suggest a club program if you are not a club member.
- CC tied to your car and the POS system for single car wash purchases
For an in-depth conversation about RFID vs. LPR, check out the full podcast the how of carwashing episode #81