Module 10: Assessing the Local Market

In this module, we will discuss the importance of conducting a market analysis before starting a business. As well as the essential task of identifying your niche and researching your competition.

Determining Need

Before you decide on the size of your business and the services you will offer to customers, you must research and evaluate the local market.

Understanding the gaps in service at your location can lead to a more successful business.

For example, there might be an auto detailing service that does not offer deep cleaning of interiors, or can’t take on luxury vehicles.

Evaluating the needs of your local area can give you a good idea of what you can offer to the customers. After understanding where the gaps in detailing service might be in your local area, you can decide on which services you want to provide to get as many customers as possible.

Identifying Specialty Niche Markets

Identifying specialty niche markets can be beneficial for your auto detailing business. Once you get a good idea of which services people are looking for, and what they can’t get in other detailing shops in your local area, you can offer those services to your customers.

Car detailing can mean lots of things. When starting a business, you have to decide what kind of services you are going to offer to your customers.

For example, if you’re starting a business in an area with a high concentration of premium vehicles, you can provide luxury car detailing services that your competitors may not be able to do.

This will require the purchase of specialized equipment to ensure the greatest results for luxury vehicles. You will also require personnel who specialize in offering comprehensive detailing for luxury autos.

Other niche markets may include a variety of services depending on the weather in your area. For example, if you live in a rainy area, you can include exterior-only services to remove dirt and debris.

If you wish to start a car detailing service in a colder climate, you can provide your customers protection from moisture and frost.

Moisture, as previously said, is the number one enemy of a paint job. If it rains or snows frequently in your location, you can promote your detailing business as a way for your customers to protect their paint job from the environment.

Ultimately, you need to understand what your detailing company is capable of achieving and offering to its customers.

While providing comprehensive detailing services to your customers is crucial, discovering and supplying niche items or services can help your business prosper and compete with other shops in your area.

Reviewing Competitors

Before you start your business and set up a shop, it is important to know who you will be competing with. You have to assess the strengths and the weaknesses of your competitors so that when you start your business you can offer better services, great prices, and excellent customer service.

You can determine who your competitors are by simply researching auto detailers in your area and assessing their strengths and weaknesses.

Knowing what your competitors offer, and how good their services are, you can decide what to offer to your customers at a better value.

You can reach great success and become the best car detailing business in your area by improving on what others offer, and going above and beyond, to leave all your customers satisfied with your work.

Impact of Weather

When choosing your location, you have to be aware of the specific needs that the vehicles might have depending on the climate and the weather in your area.

Knowing your consumers’ specific needs based on weather, and environmental circumstances, might help your business succeed in providing what your clients truly want.

We have covered how different environmental elements affect vehicles. For example, bright, direct sunlight can be very damaging to the paint job if not protected appropriately.

If your business is in an area where the majority of the days are sunny, it is critical that you provide your clients with excellent UV protection for their automobiles.

To accomplish this, you can promote your detailing business by offering high-quality wax that can block UV light.

If you live in an area where it snows often, you will run into different issues. Firstly, snow means moisture, which can accelerate the deterioration of car paint.

Furthermore, in areas where it snows frequently, roads are likely to be salted in the winter. While salt is excellent for road safety, as it keeps the freezing temperature higher, it may be quite damaging to the paint job.

Knowing the climate in your location can assist your business in providing customized packages for clients that cater to their demands based on the weather conditions.