Who's Offering These Affordable Driving Lessons?
Who are these teachers and driving schools are they in a position to charge so little and can anything be done about it? Can it be a great marketing strategy to get' bums'? Perhaps these teachers will be the victor in this?
Across most sectors, companies use strategies (like unique offers and first reductions) to entice prospective customers to phone them before their contest. And when offering services to members of the people, the guarantee of fiscal economies is without doubt the manner that is most usual (and let us face it, among the manners that are very most successful) to bring new company.
Nothing-Offa little minority driving school new westminster of teachers that are driving don't offer any specific discounts that are opening in any way, other than perhaps a reduction 10 hours. If they are active, then fantastic - their business model looks like the one ADIs can aspire to - they are clearly doing something right!
For a large part, it appears usually satisfactory for driving schools and teachers to provide the very first lesson even, or at half price for 'free'. Some additionally do a 'first 5 or 3 hour' price in a rate that is reduced. However, a growing amount of ADIs are offering much more than that, with longer duration economical driving lessons. Who are the and why do they get it done?
Recently qualified ADIs attempting to expand their customer-base quickly
Teachers & driving schools attempting quickly to develop a fresh customer base in a place that is new
Franchised driving schools attempting to fill new teachers' diaries quickly so they can begin charging them a franchise fee that is weekly
Inferior-quality teachers who have got a student loss rate that is top
Teachers with bad company/advertising abilities
Teachers that are finding its difficult work through word of mouth recommendation
Trainee teachers - franchisors selling low-cost lessons off with teachers who've not yet completely qualified
An arrangement whose object is indirectly or directly to fix costs, or
the resale costs of any product or service, nearly always infringes
such price-fixing arrangements, by their very nature, limit
You'll find a number of ways where costs may be fixed.
Include fixing either the cost the elements of a cost or itself,
Establishing below which costs should not be reduced,
Confirming percent or the amount where costs must be
Raised, or creating a range outside which costs will not be to move.
This can be an Twitter expensive and very long procedure. The government can be dedicated to lessening the weight of laws, so (I think) of these ever doing . Thus, the chance is almost zero.
We have to think about the potential consequences of our government establishing the very least cost, which could prove to be much lower than most individuals are now charging. And when it had been set at say, GBP25 per hour, what kinds of individuals would our business be attracted into by this? It may swell the amounts of ADIs to an even more unsustainable degree to the register. Either way, I do not personally consider there is a minimal cost a good move.