Diamond Club Services
   
 

Diamond Club Services
 “A New Revenue Sharing Opportunity for Country Clubs”  
Executive Summary

Diamond Club Services has created a new source of revenue for country clubs from a service that members are currently utilizing outside the club’s environs.  Our service is easy to implement and requires little to no attention from club management. 

Difficult economic times, combined with new upscale daily fee courses and more trendy restaurants have forced country club General Managers, and corporations that own country clubs to deal with declining revenues that according to PCA surveys (over the past three years) have produced:

  • Membership declines in 44.1% of clubs
  • Gross revenue slippage in 38.2% of clubs
  • Aging members that are spending less

Furthermore, clubs are subsidizing mainstream activities:

  • 60% of clubs subsidize their tennis operations
  • 80% underwrite pool operations
  • 65% underwrite fitness facilities

General Managers are challenged with meeting divergent needs of  varying club demographics, such as:

  • Younger members account for most incremental revenue
  • Respecting contributions by older members

Members are looking for quality service offerings from their club, and have historically been able and willing to pay for these services.  General Managers have been challenged with balancing the desire to offer new service offerings to their members, while controlling expenses and maintaining or improving their bottom line.   This has been especially challenging in the economic climate that has existed over the last three years.

Diamond Club Services has developed a new service for country clubs that will serve members of all ages and generate positive cash flow for the club. 

By installing a space efficient touchless car wash on the grounds of private equity country clubs, and employing the Diamond Club Services system process, members will be able to get their car(s) cleaned without waiting on long lines at public car washes.  In addition to sharing in the margin generated from this operation, Country Clubs may also realize increased revenues from other revenue generating services offered at the club.

The usage of the car wash will be restricted to   the member community and member’s guests. The value proposition of having its own car wash will mean that country club members will not have to wait in long commercial car wash lines in order to have their vehicles cleaned.  This will provide both an important service to the member community and generate marginal revenue (before tax profit) for the country club.

Diamond Club Services will install a touchless car wash system manufactured by one of the leading domestic car wash system manufacturers. The building that will house the car wash system will have an exterior façade that blends with the motif of the current clubhouse and will be provided by one of the leading building systems manufacturers in the U.S.

Services Rendered

During hours of operation with a valet on duty, the car will be washed in a state of the art car wash system.  The wash system operates in a touchless mode, (without brushes or cloths) both of which can damage the finish on a car.  The interior of the car will be vacuumed, and the windows will be cleaned as well (both inside and out).

Operation outside of valet hours will include an exterior wash of the car, and an optional vacuum, that the car’s owner would operate.

Cashless System

 The wash system will operate seven days a week.  Valet service will be in use on weekends, holidays, or special event days.  On all other days, members will be able to directly utilize the wash system.  Whether there is a valet on duty or not, the wash system will operate without the exchange of cash at the time of the transaction.  Diamond Club Services has incorporated into its system, a piece of equipment that will track usage by member (and by car).  That information will be fed into the clubs billing system, and members will be billed for this service on a monthly basis.

 

Operations

Diamond Club Services has developed the operational scenario for the car wash system.  We recognize that this operation scenario may need to be modified from club to club because of varying conditions.  If this is necessary, Diamond Club Services will work in conjunction with club management to refine the process for that club.  Factors that may impact the operational scenario are: desired service level requirements, traffic through the wash system, hours of operation, valet usage and frequency of such usage and finally, member satisfaction.

Valet Service

The Diamond Club Services system will utilize valets on weekends (Saturdays and Sundays), holidays and special event days.  However, depending upon member wishes and club management requirements, the valets can be employed over a wider duration of time. 

Permits & Variances

Prior to construction, the country club will need to acquire the necessary permits and variances required by the local municipality.  Diamond Club Services will support the club as it goes through this process.  However, it will be incumbent upon the club to make application, as Diamond Club Services is prevented from doing this by local ordnance.

Investment

There are a few different scenarios whereby a club (or a corporation) can enter into an agreement with Diamond Club Services.  Diamond Club Services will be happy to discuss these in detail with you after initial conversations have taken place.

 

  • ROI for this proposal, will be determined by a number of variables including:
  • Number of vehicle washes on a monthly basis
  • Amount charged for a valet supported wash
  • Amount charged for a non-valet support wash
  • Time in service for valets
  • Expense control

Summary

Diamond Club Services has developed a way for club members to keep their cars clean, while they enjoy the benefits of their country club.  Country clubs benefit from the Diamond Club Services solution in multiple ways.  Among these are:

  • Expanded service to members while maintaining expense control
  • New service provided equally to members of all ages
  • Wash system can generate positive cash flow within the first 4 - 6 months
  • Brings members into club more often, where they may generate additional revenue for the club, i.e. Additional food and beverage revenue
  • Growing margin contribution to the bottom line

Our goal at Diamond Club Services is to be the world-class carwash solution to the Country Club market-space by providing quality, reliability and convenience to the Club and its members.  We look forward to discussing this opportunity with you at your earliest convenience.


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