Driving Teacher Takes Wrong Turn – Ends Up Circling Roundabout in Perpetuity
“I am a driving instructor, competing in a business that has had a 20% drop in the birth rate during the nineties and a 25% increase in driving instructors in the last two years. The figures do not add up. There is a price war going on between the larger driving schools, who in the main use trainee instructors. How do I compete without pricing myself out of business?
“I get stressed when I think about the school teachers striking over pensions. As a driving teacher, I have to provide it for myself, even while putting bread on my family’s table. And in my ‘classroom’ peoples’ lives are at stake. That never happens in school.
“All I want is a level playing field where driving instructors are given the same level of government respect as the other teaching professions.”
Hi Neil,
Take this as a bit of tough love.
If you’re feeling bitter because the government doesn’t provide a level playing field, you’re on a road that won’t get you where you want to go. (Forgive my driving analogies. Couldn’t resist. ;)
You are right about this: If you are in a shrinking industry, and you plan to stay there, you need to figure out how to differentiate yourself. And I assure you there is a way.
Don’t waste another minute fretting about driving teachers not being treated fairly. Instead commit to learn marketing. Good marketing will bring you more customers than anything the government could ever do. Learn how to find the opportunities.
Let’s face it: Unless the government permits teens to drive without a license, there will always be a need for people like you. Even as the field gets more and more crowded.
Your success will have nothing to do with how good a teacher you are. As you pointed out – you’re often competing with trainees. It will depend on how well you market yourself.
The good news is that the other schools are competing on price. And in any market where the players compete on price there’s opportunity.
Your job is to study the market. Uncover a niche where you can provide something different that people will want to pay for.
How do you do find such a niche?
Ask questions like this:
Your wrong turn was this: forgetting that your business is about your customers first. Not about you. Reverse your mindset and your income will reflect it. Whatever the government decides.
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When you do have those conversations, you want to ask questions to draw out information that your ideal clients may not even realize they have inside them.
If you want a super simple process doing this, have a look at “How to Systematically and Consistently Attract First-Rate Customers.”
Nice article Dov. I agree with you completely that blaming others for problems is a “road to ruin” (ahem).
Neil has my sympathy as the supply and demand balance has tilted against his business and how it has traditionally competed.
But that just means that he has the reason and the motivation to change his approach.
As you point out, people still need to learn to drive and you can even see potential changes in the future introducing extra testing requirements. For example, as motor insurance premiums rise, there may be more incentive for advanced driver certifications.
Alternatively as petrol prices increase to eye-watering levels, you can see how a “driving economically” short training course could tempt experienced drivers back for refreshers if there was a quick payback.
The low barriers to entry and the easy ability to copy what competitors do will always be a problem with driving schools but that just puts the emphasis on trying to be more creative.
@Paul Simister,
And just when I thought I’d used all the bad driving puns…
Dov
Hi Niel,
I want to share a few points with you. First of all from the view point of someone who grew up in Israel and learned to drive in the Israeli system. When I finally finished getting my license my dad told me “you have a license now come and I will teach you how to drive”. when I got married he told me that he meant that he will teach how to drive and stay alive but did not think that a teenager in this country would take that seriously enough. My point is that one can learn to pass a test and one can learn to drive (and stay alive). If you would teach this it would be a great advantage to your students. Besides technical aspects of driving my dad thought to plan ahead. this meant that before I turn the key I think where I want to get to and what streets I want to take and what turns I am going to make. having this thought through left me free to think about everything and not about planning the way itself. Driving teachers in this country only tell a student that they should take the next right turn a few hundred meters before the turn. I mention this as an option for competition based on quality and not on price. as Dov said this all about marketing. and as you mention lives are at risk here so saving a few shekels and even a few hundred shekels is not something to bargain over when talking about life threatening situations.
Having said all that driving lessons have gotten very expensive and I have no idea how in a few years time my kids in a few years time are going to be able to afford the lessons.
I myself am a coach and one of the aspects I coach is family financial issues. On one had I found this very rewarding emotionally and I really want to be able to help those in need of this service but for the most part those who need can’t pay for it. I have my won solutions for that but I wanted to share that I recently met a coach who does coaches int his same area but she deals with people who come across a lot of money all of the sudden and do not know what to do with it and how to manage it and so on. I found this to be a very interesting approach to finding a market that needed this service and could afford to pay for it as well.
Best regards
Josh
This article reflects something I am involved with right now. I have two clients in a very similar market. One is trying to sell the product with discounts, variety, etc. The other sells themselves as consultants, focusing on questions and problems customers have in this market. Then the product basically flies out the store and price is not really an issue at all.
I agree with Dov that listening to what people are really concerned about and providing that (as opposed to “driving lessons”) is the key to getting out of the price wars.
Good luck Neil!
Hi Dina,
Thanks for providing some real world support over here.
Much appreciated,
Dov
Neil, (isn’t it nice to have someone who can spell your name your way?) I understand your predicament.
My main supplier of insurance offers life insurance to a major retailer, who sells it at cost in some age brackets, without any margin for themselves, so they can get more money when they grow older.
But I shrug my shoulders. Why?
Because of what Dov said.
Take a deep breath and get asking cheap driving instructor users what went wrong.
Then start telling people “these things may go wrong when you’re taking driving instructions…”
Then you’ll be able to compete, at any price, I would think.
N