How Viable Is The Mobile Oil Change Business Model?
I was asked the other
day if I believed, based on my years of experience in the industry, if there
exists such a business model that is “worth the effort?” The question is okay,
if anyone is planning to enter business of this type, or preparing a plan to
start the business.
Well, my answer is Yes
and No. And it depends. For instance, the traffic is heavy in certain areas,
making the travel time between jobs as a big deterrent to better efficiency.
Next, with a correct market mix, the business model becomes viable. It is not a
good business model to do personal cars for wealthy individuals – especially
with the warranty requiring oils in upper-end automobiles. Hence, it is
possible for manufacturers to meet rules on mileage. It is tough for higher-end
and exotic cars to stock the different types of filters and specialty oils.
There exist other
market segments that are viable and worthy. For example the business of oil
changes in large parking structures is quite decent with good management,
proper scheduling, and well-trained clean-cut crews. However, the oil changes
at Corporate Office though okay, it is not as good as it is thought out to be.
Hence, before you want to put together a business plan, you should be weary
about penciling out and proforma.
It is good to run fleet
business, but there is no such competition, and the business owner might not be
the right person for sales when dealing with owners of trucking business.
Hence, there is the need to hire the right kind of person for doing sales. For
large corporations owning fleets might need to hire someone with a management
skill to deal with world business.
Now I was also asked
what sort of equipment to use? Is it possible to do business without a full-set
of expensive equipments?
Well some vendors use
oil-evac systems while others save money by co-branding with a team of quick lube skid for sale
for inventory and waste oil. With respect to equipment, it is necessary to do
the basics. This could be called as “semi-turnkey” systems with equipment on a
skid, van and equipment or a full size pick-up or Van having “ambulance
suspension.”
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