The Super Bowl Weekend brought me in $6,188.59 but the kicker to the weekend was turning a $762.79 profit in just 10 minutes from one reservation while sitting at Hooters.
Super bowl weekend is a big moneymaker for transportation companies. Rather it's a taxi service, rideshare, or a limousine service the demand for the transportation service is through the roof, however, so is the pricing.
Two weeks prior to Super Bowl I saw a huge spike in requests for transportation in Miami. I did not understand why. I don't follow football, so I did not know it was the Super Bowl weekend that was coming up.
While shopping for rates I soon realized the pricing was surging over 200%. The operators had a 10-hour minimum, with SUV rates over $225.00 per hour. On a normal given day, the rates are usually $65.00 per hour, with a 2-hour minimum.
I knew I couldn't mark up my pricing and make a sale on already outrageously marked-up pricing.
I wanted to make sales even if it meant that I broke even. I began quoting the pricing of the lowest contractors I found. 10 quote requests later, nobody was buying.
I knew I had to do something fast or else I would lose out on thousands of dollars in potential sales.
I quoted $135.00, plus additional fees, per hour with a 10-hour minimum. Shortly after, the first reservation confirmed, then a second, and so on. Now that I was making sales it was time to look for contractors. The lowest I found was $200.00 per hour, after calling around 30+ contractors. When all hope was lost, I came across a company who would do the jobs for $75.00 per hour. Now that I was turning a profit I was ready to take on more reservations.
Two days later, I get an email from the Company, claiming that they quoted me a wrong price and that they didn't realize it's a Super Bowl weekend, and that they can't honor the $75.00 per hour rate and the new rate would be $185.00 per hour. I had several reservations confirmed and I was furious.
With multiple reservations, I was now looking at several thousands of dollars in losses. Now what? I exhausted all my resources, or have I?
A week before the event I found a contractor with the lowest rate of $115.00 per hour. The day was saved. The day brought me in roughly $1.604.00 in profit on several reservations, plus an additional $762.79 for a reservation booked while having a drink in Hooters.
When we are in the starting stages of our businesses, we can expect to make mistakes. An individual cannot know everything. In these situations, it is important to think outside of the box and always remember that even when you feel that you have exhausted all of your resources chances are you haven't.