Ground Transportation Podcast

Diversifying and Thriving in Motorcoach: Joey Mills on Transforming Olympus Car & Coach

Ken Lucci & James Blain Season 1 Episode 38

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In this episode of the Ground Transportation Podcast, Joey Mills, CEO of Olympus Car & Coach join James and Ken to share his journey from the corporate world to acquiring and growing Olympus Car and Coach. In this conversation, the group discusses the challenges and strategies unique to the motorcoach industry, like diversifying revenue streams, the importance of meticulous planning, and the pivotal role of driver and fleet management. 


Connect with Joey on LinkedIn: https://www.linkedin.com/in/joeycmills/


Share your perspective in the Q1 2026 Operator survey here: https://www.surveymonkey.com/r/HJBV3NZ

Pax Training is your  all in one solution designed to elevate your team's skills, boost passenger satisfaction, and keep your business ahead of the curve. Learn more at www.paxtraining.com/gtp

Ken Lucci

Well, good afternoon, uh, podcast Land and welcome to another exciting episode of the Ground Transportation Podcast. I am, uh, blessed to be joined by my esteemed, uh, partner in this, in this scenario, James Blaine from PAX Training. And, and we have a special guest today. In all seriousness, a guy that is pretty much a legend in the industry because he is built a tremendous company. Um, Joe E. Mills, well, Joey Mills, uh, CEO of Olympus Car and coach Joey, tell us, tell us a little bit about yourself and tell us a little bit about this is, you know, five minute commercial on Olympus. What should we know?

Joey Mills

Sure. Well, first of all, thank you all for having me. I appreciate you, uh, inviting me out, and it's a, it's an honor and a privilege to be here. Uh, both of you guys. I respect you significantly. And, uh, as we were talking a little bit before we started, uh, these things are important for the industry, I think to

Ken Lucci

Yep.

Joey Mills

be able to not only learn, but be able to relax a little bit, um, and, uh, hear some

Ken Lucci

You are not kidding.

Joey Mills

people and know that they're not alone

Ken Lucci

Yeah. This is the highlight of my Friday. But,

James Blaine

Every Friday. one,

Ken Lucci

you owe 100% Right. That I, I love the industry and I love what we do and I love going to the conferences, but I think that continuing ed to continuing education is all about just keeping your mind moving while you've got instead of your head down, right? Every day doing the block and tackling A to B, et cetera, you're mired in your business. You know, my hope is everybody takes at least one or two nuggets out of these, and that's why, you know, having you on is, is fantastic. Uh, tell us a little bit about Olympus. What, what, what,

Joey Mills

Sure.

Ken Lucci

how did you get involved and the company's an older company.

Joey Mills

Yeah. So, um, Olympus, we're based in Knoxville, Tennessee. Um, that's kind of our headquarters, so really anywhere in East Tennessee. We also do a lot of work in the Tri-Cities area, which is Kingsport,

James Blaine

Morristown

Joey Mills

uh, Bristol area. Um. We, we are a multifaceted company, so we really have three main divisions of transportation. We have school buses, uh, we have motor coaches, and we have what people think of traditionally as the black cars,

James Blaine

Yeah.

Joey Mills

SUVs and sort of thing.

Ken Lucci

Mm-hmm.

Joey Mills

so the company was actually started in 1953. Um, our

James Blaine

Wow.

Joey Mills

company was started in 1953. Um, the company was originally started just as a school bus company, was called Gentry School Bus Lines. Um, they kind of did that for 40 years. In 1993, they bought their first motor coaches, um, so

Ken Lucci

Wow.

James Blaine

Just jumped into charter or what'd they do at that point? Joey

Ken Lucci

wait. Jumped in. Jumped in. After 40 years, they jumped in

Joey Mills

40 years, let's

James Blaine

jumping from one to another. Yeah. Mixed fleet. I.

Joey Mills

So, um, I think, and I don't know the exact numbers'cause obviously I wasn't around for that part,

James Blaine

Yeah.

Joey Mills

started with a couple, like

James Blaine

Okay.

Joey Mills

um, and then they grew it. Uh, so when we came on the scene, we came on the scene, me and my business partners, and, uh, we purchased it in November, 2019. So, you know, opportune time, five months before COVID

Ken Lucci

Whew. Wow.

James Blaine

Wow.

Joey Mills

So, so needless to

Ken Lucci

on Surviving

James Blaine

Yeah.

Joey Mills

yeah, we went from the frying pan to the fire. Absolutely.

Ken Lucci

yep.

Joey Mills

so, so that part was, uh, was challenging, but uh, when we had it, they had six motor coaches, uh, 19 school buses, and they had one SUV that the owner used as his personal transportation. It was black on black, so it fit

Ken Lucci

Sure.

Joey Mills

Right.

James Blaine

Yeah.

Joey Mills

um,

James Blaine

He didn't try and take that with the acquisition. He let you, he let you keep the black SUV.

Joey Mills

well it, you know, it, it was an interesting acquisition. Um.

Ken Lucci

As they all are.

Joey Mills

a little, yeah, I, I'll, I'll talk a little more about that as I tell you my history on it and, uh,

Ken Lucci

Mm-hmm.

Joey Mills

but, uh,

Ken Lucci

Yeah.

Joey Mills

definitely an interesting acquisition. So we grew it. Um, today we've moved to a new facility. Uh, we moved to a new facility about a year ago. Uh, we've been in it, it's about four times larger than what we were operating out of

Ken Lucci

Mm-hmm.

Joey Mills

originally. We were in the facility that we, that he operated out of.

Ken Lucci

Right.

Joey Mills

So we had to move because we'd grown. So we're at, uh, 12 motor coaches, so we've doubled the fleet. we have about 17 school buses, but actually have six additional routes than he

Ken Lucci

nice,

Joey Mills

were

Ken Lucci

nice.

Joey Mills

routes, but reduce the buses, which has

Ken Lucci

Yep.

Joey Mills

good on that side

Ken Lucci

Mm-hmm.

Joey Mills

it. Um, we have seven three sedans, and three sprinters.

James Blaine

Wow.

Ken Lucci

Wow. Wow. So, so, just, we, we don't need granularity. But from a, from a split perspective, are you one third, one third, one third, or is coach bigger than school or how is that breakdown?

Joey Mills

So re revenue wise, it's about 60 Coach, 20 school, 20 black car.

James Blaine

Okay.

Joey Mills

you, if you break it down revenue wise,

Ken Lucci

That's nice.

Joey Mills

if you break, if you break it down, man, hour wise, it's about 15 motor coach, about 40, uh, bus, and about 50 black car.

James Blaine

Okay.

Ken Lucci

Interesting, interesting.

Joey Mills

is, IM, is important for the, for the black car people that listen to understand you have to work a lot harder to make your money

Ken Lucci

Oh God, yeah. hundred

James Blaine

It's a different animal.

Ken Lucci

It's a, it's a totally different, and listen, there's a place for it because how much crossover Joey, do you have between your black car co clients that also use you for motor coach and vice versa?

Joey Mills

So it's interesting. Um, the reason, well, so I come from a back car, Blackground background obviously. Um, but we, we didn't have black car when we came here, so we

James Blaine

Yeah,

Joey Mills

went the opposite of what a co a lot of companies do. We went from a motor coach company and started a black car company

Ken Lucci

Yep,

Joey Mills

we had the motor coach

James Blaine

that, that's happening a lot more now though, Joey, I think. I think when you did it though, it wasn't common. Right? I'm starting to see that now. When you made the jump, right? I mean, we've got there. There's a couple guys that started on the limo side and came over, but it was very, very rare for them to go the other way.

Ken Lucci

yep.

Joey Mills

absolutely.

Ken Lucci

your background is such that you wanted the diversification, which is sharp, which is smart.

Joey Mills

Well, it was important for us because we were, when we bought the company, they were really struggling on the corporate side. So

Ken Lucci

Mm-hmm.

Joey Mills

work was either, uh, tours or sports,

James Blaine

Okay.

Joey Mills

so it was, they were a Thursday through Sunday company. They literally had no work Monday, Tuesday, Wednesday.

Ken Lucci

Interesting.

Joey Mills

knew we had to change the narrative on that. Um, and so obviously going into the black Garth side and breaking into the corporate world helped us grow that part of it. Um, you know, which, which helped us in the, in the long run to diversify, as you said, and get into those different market segments.

Ken Lucci

Do you do. any wedding, any private wedding stuff besides your tours? I want to talk about the tours later.

Joey Mills

well, so I have, I have a rule on weddings, um, which my staff doesn't like, but, but I learned early on it's the hardest money you'll ever make. Um. so we don't do any during what we call our peak times, which is basically anything before Memorial Day and anything after Labor Day.

James Blaine

Yeah.

Joey Mills

weddings in between, but we don't do anything in those other periods, essentially.

Ken Lucci

Gotcha.

James Blaine

Explain that though. Tell why.

Ken Lucci

to Labor Day is, is pretty much peak for wedding in that area, isn't

James Blaine

Yeah.

Joey Mills

that is, um, it starts a little bit earlier than that. Um, so James, to tell, to tell you why, to give you an idea of why, um, when you get into the large vehicle situation with weddings, um, they want'em on Saturdays

James Blaine

Yep,

Joey Mills

of course you're gonna use'em one day a week, which

Ken Lucci

Mm-hmm.

Joey Mills

of sometimes 5, 6, 5 and six day trips.

James Blaine

yep.

Joey Mills

now, now the money can be good, obviously, and, and the wedding money is good, um,

Ken Lucci

Yep.

Joey Mills

for, you know, regularly,

Ken Lucci

bride.

Joey Mills

of the day, for us it only makes sense to do it when we know we don't have the consistent five or six day trips.

James Blaine

using it for backfill, essentially.

Joey Mills

Exactly. Yeah.

Ken Lucci

Yep.

Joey Mills

maybe 5% of our business maybe.

Ken Lucci

But you're also not the lowest price in the market.

Joey Mills

Yeah. We're probably not, yeah. Yeah. That's a, that's a really good point too. We're, we're definitely not even probably in the bottom three in our

Ken Lucci

Well, that's the beauty of it. I mean, people say to me, what's the success in this business? And I can tell you, being on the top third or top 50% is key in all markets. But you know, I, I think you're doing it right. I mean, your bread and butter, how much of your coach businesses over the road, multi-day.

Joey Mills

Um, I would say 75%

Ken Lucci

Beautiful. That's gorgeous. That's gorgeous work. That's nice work.

James Blaine

Well,

Ken Lucci

Um,

Joey Mills

we, we don't do a lot of, of, uh, single day transportation unless it's our contract work with like sports teams that maybe

James Blaine

no.

Joey Mills

day trip, you know, somewhere

Ken Lucci

sure.

Joey Mills

and or if we have schools that do day field trips to, you know, couple hour locations away or something of that nature.

Ken Lucci

So how did you get into the space?

Joey Mills

So in, I was in the corporate world, um, the mid, the mid 2000 teens, um, got outta the corporate world and actually went to drive for Gold Shield in Lexington, uh,

Ken Lucci

you go. Good company.

James Blaine

Yep. The Doyles.

Joey Mills

a

Ken Lucci

Yep.

Joey Mills

fantastic company. George Doyle is one of the greatest human you'll ever meet anywhere, anytime.

James Blaine

Love George. Shout out to George.

Ken Lucci

Yep. Yep, yep.

Joey Mills

Le learned so much from him, learned so much about not just how to run a business, but also how to, how to be a good human.

Ken Lucci

Mm-hmm.

Joey Mills

which is something that doesn't always happen in this business as you

Ken Lucci

In this business. Joey, stop it.

James Blaine

I.

Ken Lucci

it. You mean there are scoundrels in this business, Joey?

Joey Mills

um, so George, George taught me, taught me essentially everything about transportation. And

Ken Lucci

Yeah.

Joey Mills

the reason that, that I ended up in Knoxville, honestly, was because of George. And, uh, we actually in 2015, I think, or 16, I can't remember the exact year, actually looked at buying Gentry, um, at Gold Shield so that they, they were actually had the appetite to try to expand their markets.

Ken Lucci

Mm-hmm.

Joey Mills

uh, we ended up not doing the purchase at that time, basically because of, um. School buses won. They didn't have any experience with school buses and they didn't want to get into it. And two, owner of Gentry at the time really wasn't ready to sell. He

Ken Lucci

Mm-hmm.

Joey Mills

wasn't ready to get out. He thought he was, but his price was way too high. And,

James Blaine

I, I feel like Ken's never dealt with that. Ken, you never deal with that, do you?

Ken Lucci

Joey, say that again. I'm sorry.

Joey Mills

And, and that's the thing is the pri their prices are always too high. Right. The seller, it always is way too high, but

Ken Lucci

And, and you know Joey. You and I, you And I, I, I have no, idea where these numbers come from. But, and, and I don't know where they think that that price makes sense for anybody. When does the buyer start making money on the purchase? 15 years from now.

Joey Mills

Yeah.

Ken Lucci

So what ma, what, how, how did you succeed with Gentry then?

Joey Mills

So I think the first thing we did was, um, get. The expenses under control. Um, so the expenses were, you know, very high in a lot of different places. And probably the second biggest thing was we diversified the revenue streams pretty quickly,

Ken Lucci

There you go.

Joey Mills

is where the tours came in,

Ken Lucci

There you go.

Joey Mills

they weren't doing any of those really. Um, so we, we kind of found the path to least resistance to be able to produce the income the quickest.

Ken Lucci

you know, none, everybody can do the tours. Tell us how that, how, how that, how did you get started with that?

Joey Mills

so, you know, it's interesting. The tours are, are an animal within themselves, of course. Um, they're,

Ken Lucci

Oh yeah.

Joey Mills

they're, they're, they're very, they're very unique. Um, and really we, we classify'em into three types of tours, right? So our, our probably most popular and least path to resistance tour are what we call whirlwinds, some people in the business refer to as red eyes. Which is essentially you pick somebody up at, in our case, I'll give you our example. We're in Knoxville, so our most popular whirlwind Red Eye New York City. So we pick up people on Friday at 6:00 PM drive'em to New York City overnight, drop'em off at 8:00 AM in the morning. Um, they stay there until eight, 9:00 PM at night, back on the bus and we bring them back home.

Ken Lucci

Unbelievable.

Joey Mills

it's amazing. I mean,

Ken Lucci

How many of those do you do a year?

Joey Mills

um, uh, per year, we're probably about 18 now, and

Ken Lucci

That's

Joey Mills

half of half of those are in December. Uh, December. It's like you can,

Ken Lucci

nice.

Joey Mills

know, you could, I, I could probably do in December if I had the equipment and the drivers and you know, people that wanted to do it. So, as you can imagine with that. of schedule. It's very difficult on the drivers. The drivers struggle

James Blaine

many hours is that, Joey? To get to New York City from Knoxville? For those that don't know. Okay.

Joey Mills

we, we do a driver switch. So it's, it's actually only about 10 hours from, uh, from Knoxville,

Ken Lucci

Mm-hmm.

Joey Mills

about three hours in. So

James Blaine

Okay.

Joey Mills

the overnight drivers, they drive about seven hours in

Ken Lucci

Mm-hmm.

James Blaine

Yeah. Well, within the 10 hour limit?

Joey Mills

yeah, so

James Blaine

Yeah.

Joey Mills

hours is legal, but it's, it's a hard drive because they're

James Blaine

Anything at all?

Joey Mills

this,

Ken Lucci

Hmm.

Joey Mills

well, safety's the most important thing, and I, I tell that, tell people that all the time. Look, you know, um, we're never gonna take a trip that's gonna endanger our company, or we're never gonna put somebody in a situation that endangers our company. No

James Blaine

No.

Joey Mills

worth it. No one client's worth it.

James Blaine

No.

Joey Mills

just

Ken Lucci

But you are pricing your pricing a way that you're profitable. So you can do the switch, you can, you can do the chase, you do it. with a, do you do it with, how do you do? Do you do it with a chase car or do you do it?

Joey Mills

Yeah, so we, uh, so what we do is the drivers that are gonna do the overnight on Friday,

Ken Lucci

Mm-hmm.

Joey Mills

they actually go up on Thursday to the location that's three

James Blaine

Yeah.

Joey Mills

So

Ken Lucci

Yep.

Joey Mills

they're there the day before and they can also sleep all day, or, you know, try to get

James Blaine

Yeah.

Joey Mills

into a schedule where they know they can be up all night. Um, they, they, we drive the bus there. Then the driver that drives it on Friday will typically come back since it's only three hours away in that instance, in that

Ken Lucci

yep. Yep.

Joey Mills

the, then they'll go back up on Saturday morning at like four 30 to pick up, you know, to pick up the bus that's returning back to

Ken Lucci

there's a lot of choreographing of this, but it gets, it becomes muscle memory after you do it a few times.

Joey Mills

Yeah. And, and what you do is you really find out the best one, one of the most, you know, when you sent me your list of questions, we're gonna talk about, I, one of the things on the challenges that I said is one of the hardest things on the tours is fig figuring out where to switch,

James Blaine

Yeah,

Joey Mills

switch the bus drivers at. Now

Ken Lucci

Yep.

Joey Mills

is great, right? If you got a Bucky's anywhere within,

James Blaine

well, you turn'em loose and they have the time of their lives in there, right? The passengers are excited about that. More to than the destination.

Ken Lucci

a minute. For those, for those people that perhaps are not, that don't know what, tell us what Bucky's is.

Joey Mills

So Buck Bucky's is, I call it the Disney World of gas stations.

James Blaine

Accurate, a hundred percent.

Joey Mills

yeah, you can, you can get whatever you want from, from anything in the world, food wise, um, whatever. You can get it. And it's great for us because. Provides a great distraction for the clients while you're switching drivers, you know, making sure that the driver coming aboard can, you know, get comfortable, get their pre-trip done, look over things, and then to the passengers it's seamless.

James Blaine

Well, and there's something to be said about that, Joey, because a lot of people look at the regulations. They say, I got 10 driving hours. Right. He's only gonna have eight hours off. I, I think there's something really important to be said here, especially in the world now, where drivers are harder to come by when you are doing things.

Joey Mills

we, we require nine

James Blaine

Okay?

Joey Mills

of multi-day trip, nine hours

Ken Lucci

Yep.

James Blaine

Yep. That's a good policy.

Joey Mills

which is still not enough in most cases, to be

Ken Lucci

Right,

Joey Mills

Um,

Ken Lucci

right.

Joey Mills

because it, it takes people longer than an hour to wind down and get themself in a comfortable, you know,

Ken Lucci

Sure.

Joey Mills

And,

James Blaine

Well, you gotta check into the hotel. You gotta get to the hotel, you gotta have dinner. You got, I mean, a lot of people don't realize that, hey, it's not eight hours in bed. That's eight hours off, so you probably need nine, 10 hours just to get there.

Joey Mills

we went to

Ken Lucci

so

Joey Mills

years ago, especially on student type tours because,

Ken Lucci

a hundred

James Blaine

Oh yeah.

Joey Mills

tours, they, they, they wanna push it to the minute, you know, they, they want you to drop'em off at 10 30 and be back ready to go at 6:30 AM

James Blaine

Yep.

Ken Lucci

Joey,

Joey Mills

they operate.

Ken Lucci

do you work with any tour providers, meaning as a subcontractor, or are these all your own tours?

Joey Mills

Um, so we do both, um, you know,

Ken Lucci

Interesting.

Joey Mills

probab, the, the split on that's probably about 60 40

James Blaine

Yeah.

Joey Mills

versus, versus working for, for other folks. Um.

Ken Lucci

Give us the pros and cons.

Joey Mills

So obviously the pros of having it as your own is you have more flexibility,

James Blaine

Yeah.

Ken Lucci

Mm-hmm.

Joey Mills

you, you know, if you screw up, it's not quite as bad.

Ken Lucci

Mm-hmm.

Joey Mills

on the bus that can,

James Blaine

Handle it.

Joey Mills

and, and talk to the person. You know, all of our tours have a host, we call'em tour host. So we have somebody that travels with the bus you know,

Ken Lucci

Can I be, can I apply for that? Can I apply for that? I,

Joey Mills

Absolutely.

Ken Lucci

that.

Joey Mills

We need them. It's one of our

Ken Lucci

Okay.

Joey Mills

is finding them. I actually wrote

James Blaine

Oh.

Joey Mills

as

Ken Lucci

No kidding.

Joey Mills

is one of our, One of our biggest challenges. um,

Ken Lucci

talk about the driver on the tours. is that also a challenge or, or do the drivers like'em?

Joey Mills

the, the, the whirlwind and the red eye is the

James Blaine

Oh

Joey Mills

The

Ken Lucci

Mm-hmm.

Joey Mills

tours, day trips or multi-day tours, the drivers love them because they're some of the easiest trips, right? Because you're

Ken Lucci

Sure.

Joey Mills

everywhere you're going is going to be bus friendly

James Blaine

yeah.

Joey Mills

part, right? Because it's gonna be larger tourist attractions, so they cater to buses, so the driving's easier. Um, most motor coach operators, um, would prefer to drive tours as opposed to sports teams or, you know, corporate or, or, um, retail type business just because it's something, one, they know it like,

James Blaine

To go.

Joey Mills

you go to Washington DC they know all the places are gonna go, right? They

James Blaine

Yep.

Joey Mills

we're dropping off here and there and everywhere else, and it's simple. For'em, it's muscle memory.

Ken Lucci

So give us, I interrupted you, but give us the benefits of your own versus the tour company. The tour company kind of hands you a manifest, right?

Joey Mills

Yeah, so, so the tour company, of course, there's no planning,

Ken Lucci

Mm-hmm.

Joey Mills

is great, right? You got somebody else doing it all. So you're just, you're, you're getting a piece of paper and they're like, take me here, here and here, and that's where you're going. Um, so you don't have a lot of the backend work that goes into that. you, you obviously don't have to have a host on the bus because

James Blaine

Yeah,

Joey Mills

that's renting it for you

James Blaine

they've got their own. Yeah.

Joey Mills

they have somebody on their own. Um, I think the other thing it does for us, uh, from a benefit standpoint is I think it actually helps our drivers

Ken Lucci

Mm-hmm.

Joey Mills

for us, because it'll, they'll see that we're more organized than others are.

Ken Lucci

Mm-hmm.

Joey Mills

as you all know, drivers are sometimes fickle and have complaints and, you know, can't, can't be satisfied, but they're like, oh, well we do it better than them, so maybe it, maybe our people are good,

James Blaine

Well, but,

Joey Mills

do have it together.

Ken Lucci

Maybe the grass isn't greener another place.

Joey Mills

Exactly. Yeah.

Ken Lucci

Yeah.

Joey Mills

so I think a, a lot, I think that's a hidden benefit

James Blaine

Yeah.

Joey Mills

don't necessarily

James Blaine

But but it comes down to process, right? And that goes right back to what you said about the Buckys and about sending'em out there. And it's something that hell, I preach at, at pacs to anybody that'll listen. The more you have process, the more you have planning, the more you have a list, the more you have something you're doing. Right? The big thing you mentioned there is our drivers get to see haphazard versus we have a system, we have it laid out, we ha we know what we're doing and they get to see that firsthand and it helps you. So that's a huge part of it, Joey.

Ken Lucci

so, talk to us about challenges are you seeing organizing your own tours? What's challenging about that aspect? And compare you, you obviously have to have, do you have, do you have spec tour specialists, tour specialists inside that design these tours? Or what, what did you start, when you started doing your, your own tours, what did that look like?

Joey Mills

Yeah, so I have a,

Ken Lucci

I

Joey Mills

have a main person that, that devises all of our tours, so kind of our timeline on tours and how we do things. start planning for, um, so for example, 2026, we start planning in March of 25 for 2026. So our, our first, we have a weekly sales meeting, of which we discuss tours every week. We discuss other things, but that's always a major part of it. And then that, so our first sales meeting in March, we talk about the tours, what worked in the past, do we wanna repeat a tour?

James Blaine

No.

Joey Mills

we not do a tour last year that we did in 24? That we, you know, that we didn't put on in 25, but it sold well in 24. You know, should we do it again? So that's kind of the preliminary discussion, right? Of, and, and that's a group of four people.

James Blaine

No,

Joey Mills

and, and what I would say three salespeople. Um, and one is the main tour salesperson, and then the other two are inside sales and one's outside sales essentially.

Ken Lucci

Mm-hmm.

Joey Mills

so we kind of all talk about it, go from there. And then in probably mid-April we've discussed that through and decided what our 2026 tours are gonna look like. So then we start putting together pricing from if they're multi-day

James Blaine

no.

Joey Mills

day and we're providing attractions or we're providing food, or we're providing hotels, what do those costs look like? Um, you know, we try to have'em ready for the release the Monday after the 4th of July, for the following year. That's, that's always our

Ken Lucci

Wow. Talk about pre-planning. That's great.

Joey Mills

we didn't get'em released until after Labor Day.

Ken Lucci

Okay,

Joey Mills

we still, we, we had some glitches. We released like our whirlwinds because as I said earlier, those, those are the path to the least resistance. All you're

Ken Lucci

sure.

Joey Mills

a bus seat,

James Blaine

Right.

Ken Lucci

Yep.

Joey Mills

it doesn't, doesn't take a lot of planning necessarily. Uh,

Ken Lucci

Right. Where do you, where do you drop off in New York, by the way?

Joey Mills

uh, we actually drop off at the public library.

Ken Lucci

Nice.

Joey Mills

people drop off at Port Authority. we do the library because we try to tell everybody we're leaving at eight, but we don't

Ken Lucci

Yep.

Joey Mills

until eight 30

Ken Lucci

Good idea.

Joey Mills

you well know in New York, you can't just sit anywhere without somebody creating havoc for you.

James Blaine

Well, and explain that for a second. So anybody that hadn't dealt with New York, you know, they might hear, you can't sit. Tell us what you mean by that. What exactly happens when you sit with a running bus in New York?

Joey Mills

So, so for one, you cannot idle in New York, even

James Blaine

Nope. Yeah.

Joey Mills

is, you know, very, um, as,

James Blaine

they get paid to report it. Yep.

Joey Mills

yeah, as you guys know, they actually have folks out there that, that will record you and they get paid to turn you in.

James Blaine

They get a cut of the fine.

Ken Lucci

Are you kidding? Matt Dawes is fighting those damn things all the time for a ton of my customers. Yep.

Joey Mills

day, every day.

Ken Lucci

Yep. Yep.

Joey Mills

Um, but the public library, provi, they have a great outdoor seating area and

Ken Lucci

Mm-hmm.

Joey Mills

has those steps leading up to it, of course. So a lot of people hang out there and do last minute pictures. And, of course you gotta also understand people have literally almost been awake now for 30 hours,

Ken Lucci

Wow.

Joey Mills

right. So, so they're, they're just, they're really ready for the bus to come back at

James Blaine

Yeah.

Joey Mills

Um.

Ken Lucci

Mm-hmm.

Joey Mills

that's, that's the reason we do'em that way. Um, but I think back to the question about the, the, the planning. I think the most important thing is, is to try to plan something that you think the area around you is going to, to want to go and appreciate. Um,

Ken Lucci

other words, the demographic

James Blaine

Yeah.

Ken Lucci

people you serve, where are they gonna want to go? O.

James Blaine

Well, and Joey, talk about how you find that too, because you know, you've got marketplace, you got a lot of events. How do you, how do you find those locations and then how do you figure out if the demographic's gonna go for it?

Joey Mills

well, I think part of it's experience, right?

James Blaine

Yeah,

Joey Mills

you, you've, you've, you've

James Blaine

get to know'em.

Joey Mills

you've tried it and it worked.

James Blaine

Yeah.

Joey Mills

I think the other part of it is you just pay attention to where people take vacations.

James Blaine

Yeah,

Ken Lucci

Oh, sure. Yeah.

Joey Mills

it's, it's not difficult to, to find those numbers to see, okay, people, one good place is airlines. Where, where do, where do airlines at your local airport, especially if you're a smaller airport like Knoxville, where are

Ken Lucci

Yep,

Joey Mills

destinations from your airport?

James Blaine

That's a great tip. Yeah.

Joey Mills

you know, gonna be some of your most popular travel destinations are those direct flights, because obviously the airlines are saying, okay, we have the demand to go Gulf Shores or wherever it

James Blaine

And they're putting a lot of money into research too, right? I mean, the advantage you have there, that's, that's, you know, one of my favorite tricks was if I ever wanna know where the affluent parts of a city are and I wanna stop in, I start looking at things like Costco, right? Because you have, these companies will spend millions of dollars to figure this out and we can literally just go look at what they're doing and use it to inform us it Absolutely.

Ken Lucci

airlines track a ton of data. And

James Blaine

Yeah.

Ken Lucci

what everybody thinks, airlines are not incredibly profitable. They have to micromanage their revenue.

James Blaine

Yeah.

Ken Lucci

Um, so you, all right, so you do the, the, the red eyes and the whirlwinds to New York. Where else do you take the red eyes and the whirlwinds DC

Joey Mills

we do, so we, we do Disney, um,

Ken Lucci

Nice, right?

Joey Mills

Um, we do, we do actually, we do a few to Washington dc especially in the springtime for the cherry blossoms.

James Blaine

Yep.

Joey Mills

of the big times to go there. People love, love to see the flowers and so forth. Um, we do, Chicago is one of our more popular ones. Um, we do any variety of beaches. We do Panama City, Gulf Shores. People literally just want to go spend a day on the beach.

James Blaine

Yep.

Joey Mills

and it's simple and easy for'em, right?

Ken Lucci

Right.

Joey Mills

really cheap Transportation. We charge$250 a seat.

Ken Lucci

Wow,

James Blaine

Round trip or one way.

Joey Mills

That's round trip.

James Blaine

Yeah.

Ken Lucci

trip,

James Blaine

Yeah. That's.

Joey Mills

so

Ken Lucci

know.

Joey Mills

that's cheap transportation. Um,

Ken Lucci

Logistically, how challenging is it? Are you, are you taking all these reservations manually? Do you, do you, do you, do you have a, software program to do this?

Joey Mills

um,

Ken Lucci

you get efficient at doing it? Yeah.

Joey Mills

yeah, we, we have a software program. It's called Go Travel Odyssey. Um, it's, it's a decent program. Of course there's several out there.

James Blaine

Oh yeah.

Ken Lucci

Yep.

Joey Mills

you to book by the seat. Um, you know, we, we felt

Ken Lucci

That's the key.

Joey Mills

with that one and the one we went with. Um, know, I think one of the things not to overlook on tours that I think is important is I, I think as business owners too, we have a corporate responsibility to let people see things that they might not see otherwise. And I see that a little bit with like our whirlwinds,

James Blaine

Talk. Talk about that. What? What wouldn't they see otherwise? What do you mean?

Ken Lucci

do you mean by that?

Joey Mills

So, so in my opinion, the average, let's say lower to middle class person that lives in East Tennessee,

James Blaine

Yeah.

Joey Mills

they would never have an opportunity to see New York City. They

James Blaine

Oh, yeah,

Joey Mills

an opportunity to experience that culture. Right. you're giving'em a pretty easy, you know, not many hurdles to jump over. Ability to go spend 12 hours in a city that they would never have access to otherwise

James Blaine

yeah,

Ken Lucci

have photos, they'll have memories. They'll take pictures in front of that. They, they just, don't have access to.

James Blaine

yeah.

Joey Mills

yeah, for, for 500 bucks, right. Which is, which is not an insignificant amount of money,

Ken Lucci

Mm-hmm.

Joey Mills

to what they would have to spend otherwise. It's definitely something that's reasonable.

James Blaine

But look, if, if you start looking at flights right now, right? Unless you get a bare bones flight, that's just your body on a plane. That's about as close as you're gonna get to the two 50. Even Southwest they've rolled back, right? Southwest now wants to charge you for bags. Thank God I'm a list, right? I still get my bag. But, but seriously, I mean, it's, it's getting to the point where that's becoming increasingly more difficult. The other side of that is you gotta deal with TSA, you gotta deal with the airports, you gotta deal with everything there. Getting back it and forth for these guys to be able to come. Yeah. You come, you get on the bus, you go there, you come back. I mean, you're giving these people opportunities they might not have otherwise.

Ken Lucci

reminds me, where do you pick him up in a parking lot. Where do do you? Yeah.

Joey Mills

we, we have, we have two partner locations in, in Knoxville that we pick up at, and then we actually have a couple of partner locations along the route

Ken Lucci

Nice.

Joey Mills

we'll pick up at. So we're going to New York City, they're obviously gonna be east.

James Blaine

Yep.

Joey Mills

so, you know, we, we stop at, we stop in Bristol and pick up, um, then

Ken Lucci

Yep. Mm-hmm.

Joey Mills

director of events, which she's my main tour person. She's actually from, from that area. So we actually have some clients there because of her. So it makes sense that, you know, we stop there. And that's also where we do our driver switch.

James Blaine

Yeah.

Joey Mills

kind of a easy place for people to come to. But, but our locations here, our Cracker Barrel, we have a Cracker Barrel. They lack it because when they get back on

James Blaine

Pay.

Joey Mills

a lot of the people that gets off our bus will go into the restaurant and eat.

James Blaine

Yep.

Ken Lucci

And does Cracker Barrel charge you for parking?

Joey Mills

they do not, uh, the only time we're not allowed to park at Cracker Barrels in December,'cause that's one

Ken Lucci

Sure,

James Blaine

Yeah.

Ken Lucci

Sure, sure.

Joey Mills

we're not able to park there. But then, but the other 11 months, they have no, no issue, no charge, you know?

James Blaine

Well, they're making money off the people you're bringing.

Ken Lucci

oh god, yeah. It,

James Blaine

Yeah.

Ken Lucci

like the proverbial gift shop after the theater. Right

James Blaine

Exit through the gift shop.

Ken Lucci

right. yeah. So, so what's the most challenging on the tour side of your business? I.

Joey Mills

Um, I would say the most challenging is probably the planning and picking out the right locations

Ken Lucci

Yep.

James Blaine

How quick do you act something if you don't think it's right? Like if you find it, Hey, we got a tour and it's hurting. How long do you let it kinda limp on before you exit?

Joey Mills

so, so it's interesting what the first year we did this,

James Blaine

Okay.

Joey Mills

to kind of give you guys an idea. When I came and, and purchased Gentry and, and transitioned to Olympus,

James Blaine

Huh?

Joey Mills

the first year we did about$70,000 in tour business,

James Blaine

Okay.

Joey Mills

just starting. And that's kinda like all we did.

James Blaine

Yeah.

Joey Mills

Um, that would, I would really classify that as 2022.

Ken Lucci

Mm-hmm.

Joey Mills

some in 21, it was very limited because of COVID. We

James Blaine

Yeah. It hadn't come back yet.

Joey Mills

yeah, until the first part of 21. So in 23 we did about 350,000. Now, 2022 was we, we lost money. Obviously you can't run, but, but

James Blaine

No way.

Joey Mills

any tours. We went, I mean, I took, people took one group of to New Orleans with five people on a motor coach.

James Blaine

Wow.

Joey Mills

and I didn't wanna do it with, with, in a smaller vehicle like a sprinter or something, because I wanted them to have the motor coach experience,

James Blaine

Yeah.

Joey Mills

uh,

Ken Lucci

yeah, yeah, yeah.

Joey Mills

so kind of made that, that decision the first year it was gonna be marketing

James Blaine

Yeah.

Joey Mills

nothing else.

James Blaine

Loss leader basically.

Joey Mills

we did, last year we did about 600,000 and we're on pace this year to do about eight 50

James Blaine

Congrats.

Joey Mills

the tour side.

Ken Lucci

with that at all. And, and, and the thing is, it's, you control what, who, and when control, you really do control the profitability because once you've done one tour, I, I imagine the pro forma for that specific tour, you know, your costs almost down to the penny.

Joey Mills

Absolutely. Um, you know, obviously you're always gonna have some miscellaneous things that pop up, but, but at

Ken Lucci

Sure.

Joey Mills

you, you pretty much know your profit margin from the beginning. know, your break even, it's roughly 28 people. You really should be pricing your break even at 28 people. Um,

Ken Lucci

Nice.

Joey Mills

person beyond 20 eights pure

James Blaine

Is profit.

Ken Lucci

N nothing wrong with that.

Joey Mills

and, now that's, that's on the multiday and the single days on the whirlwind, obviously it's more like 10 people are breakeven

James Blaine

Wow.

Joey Mills

it is pure

Ken Lucci

So how do you market to, how do you market these tours? How do you get the word out?

Joey Mills

of our marketing is Facebook. Um,

Ken Lucci

Yeah.

Joey Mills

um,

Ken Lucci

What, what,

Joey Mills

we we're up

Ken Lucci

you mean to tell me that you are just not complaining about the political establishment like everybody else? I see you're actually making money through posting on Facebook.

Joey Mills

Oh yeah, Facebook is awesome. I'll say Facebook and, and it's funny because you're, you kid about

Ken Lucci

I,

Joey Mills

you, but it is the reality of what people wanna do, right? and

James Blaine

ads, is this like regular post videos? I mean, you know, every, everybody right now pay-per-click. Pay-per-click. But you know how, and, and obviously don't give us the secret herbs and spices, but you know, is that, are you putting a ton of money into that or are you putting effort into that?

Joey Mills

No, so, so the beauty for me is I can't even tell you how it's done because I don't wanna know. I'm one of these people that says, you know, I just wanna know what it tastes like. I don't know.

James Blaine

Yeah.

Joey Mills

care what goes in it.

Ken Lucci

Yep.

Joey Mills

so, you know, we, we have a marketing company, uh, that, that we hired, um, in 2021 to kinda rebrand us as Olympus, because obviously we bought Gentry. So that was the

Ken Lucci

yep,

Joey Mills

And

Ken Lucci

yep.

Joey Mills

in charge of our social media. You know, they're, they're the former makeup of Curtis. Gabriel, I don't know what their current

Ken Lucci

Conversion. Conversion.

Joey Mills

Yeah.

Ken Lucci

Yep. Yep.

Joey Mills

So they've been great. Um, they've been wonderful to work with. Um, obviously they're, they're from England, so we had a little bit, so that's a funny story. We had a little bit of a hiccup when we first started.

James Blaine

Uh oh.

Joey Mills

'em to market, to market to identify us to our region. Right? You

James Blaine

Yep.

Joey Mills

have been to East Tennessee, so you know what East Tennessee region is made up of.

Ken Lucci

Yes

James Blaine

are you, are you tell me they had a English accent broadcasting your ads out there.

Joey Mills

not, not, not necessarily the accident, but they sent us a, they sent us a video to release with an Arab driver,

James Blaine

Okay.

Joey Mills

like.

Ken Lucci

Uh,

Joey Mills

that's, that's not gonna work for us.

James Blaine

Well it's no in your market.

Joey Mills

Yeah. Yeah. It's

James Blaine

Yeah,

Joey Mills

So, but, but I mean, they've been great. They've

James Blaine

yeah,

Joey Mills

us. Um, you know, some people, I think, and, and this comes through my conversations with people in the industry and, and like 20 group I'm in and whatnot, you know, some people have been dissatisfied with it, but I think it's like anything, it, it, you gotta define the goal

James Blaine

yeah.

Joey Mills

of it, and then you gotta manage toward that goal. so I think a lot of people, like with any marketing agency, just like say, oh, I'm hiring you, make me look good. Well,

Ken Lucci

Well, and you you

James Blaine

You gotta put the effort in.

Ken Lucci

something. You, you just hit upon something because I, I, Simon Curtis is one of my favorite people. I talk to him all the time now that he is part of convergence. You know, truth be told, I kind of helped him with that deal when he did his, when he did that, um, acquisition, or excuse me, when they acquired him. I hear the same thing about, about Mark Petri and any other digital marketing company that's in the space. I hear fantastics and reviews and then I hear some so sos and I'm with you. I think if you expect to just write a check and that's your involvement, it's not, No. matter who it is, it's not gonna work for you.

Joey Mills

Never gonna work. Yeah. it's

Ken Lucci

Yep.

Joey Mills

gonna work. And, and that's what I get out of people when they come to me and they're like, now you always talk great about'em, but we've had this, this, and this. And I'm like, okay, are you talking to them regularly? Are you

James Blaine

Yeah.

Joey Mills

them what you're looking for? Are you telling

Ken Lucci

Right.

Joey Mills

this is what I want out of it in the long run, you

James Blaine

Well, and that, I think that's every vendor, right? Because to a certain extent, and it, and it happens to me with vendors that aren't even a part of this industry and what we do, I think one of the things that people forget is. Getting a vendor is a little bit like hiring. You have to have a culture fit, you have to have a partnership type relationship. Look, there's people out there that would probably tell you, Hey, you know, we, we tried Pax and it didn't work. And I can tell you right now, I've had people come to us, not put anybody on it, not do anybody with it, and then go, well, we thought we were gonna buy it, it would magically work. Now that said, are we for everyone? No. Uh, my goal is to work with people in top percent, but I can tell you right now, I have vendors that I use where it's not a culture fit or we're not this, you know what I mean? It's, you gotta find people that fit with what you're trying to do and you gotta work together. Oh, absolutely. More so there.

Ken Lucci

and listen, we can pick a dozen. A dozen companies and people that have, have been through this industry, you know, I'll just call it waving a hundred dollars bill through a trailer park, meaning they just slip

James Blaine

Brutal. Brutal.

Ken Lucci

They take out, they take out a few hundred thousand dollars and they do nothing.

James Blaine

Yeah.

Ken Lucci

But, but, but, but I, I will share with you all right, Joey, he, they've got some very sticky clients, some great clients that love them, and with digital marketing and SEO and PPC, it's, It is, the devil is in the detail. It is tracking return on investment. It is what is our goal and objective of this, and none of it is magic. It, it takes a lot of work. But listen, in your case, the proof is in the pudding because that's one of the primary ways that you generate tour business. Correct? That's it. Yep.

James Blaine

Yeah.

Joey Mills

and, and I think other business, I think we've had a bleed over our tour business has, has bled over into, so I can, I can give you an example. We have a local college in town that, um. The sports, the admin for the sports department went on a whirlwind with us

Ken Lucci

No shit.

Joey Mills

Right. Um, so she comes back, talks about how nice I equipment was, how great the experience was, so forth and so on. calls, she's like, she called me directly, they gave her my direct number, which is

James Blaine

Yeah.

Joey Mills

I

Ken Lucci

Mm-hmm.

Joey Mills

call. Right? And they're like, she's like, Hey, would you like to bid on our sports contract? You know, your equipment's

Ken Lucci

Nice,

Joey Mills

You know, we're

Ken Lucci

nice.

Joey Mills

looking for new vendors. Would you like to bid? into a$675,000 annual contract

James Blaine

Wow.

Ken Lucci

Listen, you know, you know, it's, it's, uh, funny. This is why I wanted to have you on, because I, I, I know your personality and your extremely positive, and you're also analytical about your numbers. I, do you agree with this statement that the, the people that whose businesses are down it, it's, it's more their mindset than their marketplace.

Joey Mills

Yeah, I think, uh, yeah, I think that's probably more true than not true. Um, I, I think in, I think in the world right now, we are dealing with probably some things that we haven't seen and

Ken Lucci

chaos.

Joey Mills

really,

Ken Lucci

the chaos factor.

Joey Mills

it, it really in the last 15 years. But, but I do tend to agree with you. I think it's like any business model or any industry, you either learn to adapt and figure out how to change with what's going on or you get left behind,

James Blaine

Uh.

Ken Lucci

know, it's, Uh. it's so funny that you said that because, uh, the call before I got on this, I had a call with a, a, a very large client, excuse me, very large prospective client out in California. And he said, listen, you know, so-and-so does business with you. You've improved his, improved his profitability, and you know, we want to have you come in and do a business plan. I said, well, back up. We do financial reporting, a financial review of your business to look at what's healthy, unhealthy, and, in the case you're talking about, you know, we found some things that needed to change.

Joey Mills

mm-hmm.

Ken Lucci

I've been doing this for 30 years. I said, okay, what were you doing in 20, 20 19? He said, oh, you know, we were doing 20 million. Great. What are you doing now? 12. Okay, so is it working? Is the same thing working for you? You just hit the nail on the head when you said adapt. Okay, so there's something about success, right? That every entrepreneur gets to the point and they're profitable and they're successful and they think, oh, I've reached the pinnacle. You know, the problem with that. It's a bitch to get up to that mountain, but it's also really difficult to stay up on that point. Right. Because it, to me, worst part of being an entrepreneur is when you get too comfortable, get too complacent. And then it's what I call omni Nip, omniscient thinking.

James Blaine

Yeah.

Ken Lucci

tomorrow for me in my life is gonna be exactly the same as today and yesterday. So you have to try new things. I mean, how many people when you went into tours said to you, ah, I've tried it, it doesn't work.

Joey Mills

Yeah, I, I, a lot, um, especially in, in the industry I was in, because you have to remember, I was more in the black car

James Blaine

Yeah. This is completely new territory for you. Yeah.

Joey Mills

coach business. When I bought this company, we had motor coaches at Gold Shield, but relatively speaking, we were new. You know,

Ken Lucci

Yep.

Joey Mills

afu, I got a funny story about the Motor Coach Co. You know, James, earlier you talked about like places to go and

James Blaine

Yeah.

Joey Mills

So I went to my first UMA in 2017

James Blaine

Okay.

Joey Mills

at, um, UMA is United Motor Coach Association.

James Blaine

which, which city was that? The way we were in, in 2017?

Joey Mills

it was in Fort Lauderdale.

James Blaine

Okay. That's what I thought.

Ken Lucci

Yeah.

Joey Mills

Yeah.

Ken Lucci

Good memory.

Joey Mills

um, anyway, I walk in on the first day, and of course I'd been used to going to Chauffeur Driven and the n LA shows. And in that world we had, I think at the time Shield had 12 motor coaches, right?

James Blaine

Yeah.

Joey Mills

the limo side we were big guys, right? We were like,

Ken Lucci

Big.

Joey Mills

yeah, you

Ken Lucci

That's big.

Joey Mills

of buses.

James Blaine

12 motor coaches. Yeah.

Ken Lucci

Yep.

Joey Mills

I walk into UMA and they have what's called the maintenance interchange, right?

James Blaine

Yep.

Joey Mills

don't know if you guys have ever been a part of this or not, but

James Blaine

Describe it'cause there's gonna be a lot of people that haven't heard of it.

Joey Mills

So, so basically it's, it's a, it's, it's operators only, no vendors. People can't go in there

James Blaine

Oh.

Joey Mills

like Prevo and those, you know, the bus companies or parts companies or anything. It's just the operators. And I was, thank goodness I was sitting toward the end.'cause I have this kind of persona of like, oh yeah, I'm a big guy. I'm happy to be here, you know, I can't wait to come in here and talk. So the people start introducing themselves and saying, okay, how much, how big they are, how long they've been in business. And you know, my naiveness I'm thinking, oh yeah, we're, we got 12 and we've been in business five years now. And you know, the first guy was like, oh, I got 350. The second guy's like, I got 800, you know, and I'm like, been in business since 1950. And I'm like, oh, okay, this is different.

James Blaine

The, the you, you were sitting with the Legacy Motor coach operators, the ones that have been doing it since Yeah.

Joey Mills

is a different different animal here that I'm

Ken Lucci

Yep. And you know, we found the same thing when we, we did a UMA. No, it was Pennsylvania Bus Association. We did a preparing your business to exit we did a webinar, uh, this was about a year and a half ago. And we get a phone call from three operators and I'm like, okay, Pennsylvania bus companies, how can they be, how big can they be? 35 million, 35 million,

James Blaine

Yeah.

Ken Lucci

million. This division of my company is 10 million. But

James Blaine

Yeah.

Ken Lucci

know, and, and when you delve into those financials and you look at profitability of line runs and you look at profitability of tours, and no, we don't. And it was, what was foreign to me was there was just a lack of charter In many of those companies. There are tons of touring, tons of, of, of, of, um, line runs as well. So what was your, if, what's the most challenging thing about the Motor Coach side of your business?

Joey Mills

So I think, um, think it's probably threefold in that, I think, I think probably the biggest challenge is the capital investment.

James Blaine

Yep.

Joey Mills

Um, especially, especially when you're talking people from the limo business, right?

Ken Lucci

Mm-hmm.

Joey Mills

they're, they're used to buying five to seven to 10 vehicles for what you're gonna purchase for one.

James Blaine

One coach. Yep.

Ken Lucci

Yeah.

Joey Mills

so, so to bite that apple, it's sometimes a little bit daunting. Um, I think probably the second is to run it like you run a limo business. for me that was one of the most challenging things because I especially, so one of the things that was hard for me when I came to Knox and bought this. I was realizing how I could utilize my school buses because I was very hesitant to send my school bus to a wedding. Right. Because I've been taught, okay, a wedding, it needs to be pristine. You need to have people in shirts and ties and coats and you know, the whole nine

James Blaine

Yeah.

Joey Mills

Well, I didn't want the school bus to be associated with my company first moved to Knoxville.'cause I thought it would cheapen it. And so I was hesitant to market that to my wedding side. Well now I do it all the time.

James Blaine

Yeah.

Ken Lucci

Yeah.

Joey Mills

or 10 school buses on a weekend at a wedding.

Ken Lucci

Yeah.

Joey Mills

people don't care. they just

Ken Lucci

No,

Joey Mills

want the transportation.

James Blaine

What's your difference in price point, Joey? I mean, obviously, you know, if you want, you want a brand new motor coach versus a school bus. Is that where you saw the opportunity is to get them in at a lower price point? Or where did the opportunity come in?

Joey Mills

And, and, and I think an availability standpoint,

James Blaine

Yeah,

Joey Mills

know, as I said, we don't do a lot in the, in the peak seasons for us on

James Blaine

yeah.

Joey Mills

we can offer the school buses as shuttles, and a lot of people will be okay with it.

James Blaine

Well, and the bus is just sitting there. Yeah.

Ken Lucci

talk about, we do heat, we do heat maps for people where we show 365 days of utilization

James Blaine

So,

Ken Lucci

and we show what hours of the day the vehicles are actually moving. And then you have this big swath of red, right?

James Blaine

no.

Ken Lucci

many bus and motor coach companies and school bus companies. It's almost always Thursday, Friday, or excuse me, Saturday and Sunday, you know, so you've got the vehicle sitting there, the asset sitting there. Um, very, very astute. So, okay,

James Blaine

No.

Ken Lucci

the coach side, it, it was really, it's obviously getting over the capital, right? Getting over the capital outlay. But talk to me about that. You, you're, you are also buying a piece of equipment that you're gonna keep on the road for how many years a limo guy thinking

Joey Mills

Yeah, for sure. And, and I think that's one of the harder things to understand too, is, is you're buying a 20 year asset.

James Blaine

Yeah.

Joey Mills

Um, you know, a lot of people, especially from the limo side, are afraid to use that asset past seven or eight because it starts to get old, in that world. Um, but in the motor coachs world, you're, most companies are at the 20 year mark. Now,

Ken Lucci

Oh, absolutely.

Joey Mills

You know, they, they may, they may redo the, the fronts to make'em look newer, but

Ken Lucci

Yep.

Joey Mills

capsule of the, of the equipment is 20 years old.

James Blaine

What?

Ken Lucci

Yep.

Joey Mills

you know, uh, they're most, most people are financing on seven years.

James Blaine

Yeah.

Joey Mills

you're getting 13 years of, you know, complete free profitability outta those

Ken Lucci

So let's think of, let's just look at that. If, if you are, if you are financing a piece of equipment. for seven years, okay? And you are mixing your good, a good diversified mix of business, your gross profit margin should be like a, it should be about 40% gross. Agree on the right. Okay? So now you go into your six, seven years. Seven years in one month. Okay? I guarantee you now you're making more like 52% gross profit margin because you get a paid off piece of equipment, right? At least, And, and, and I think the limo side of the world doesn't, doesn't look at that. I mean, I just saw a very good customer mind just, you know, got rid of a 2019 van Houl with 210,000 miles on It I called him, I said, was that thing giving you a problem? He said, no. I said, was the interior beat up? No. And I felt like, I said, what the fuck are you selling it for then? but that's, it's kind of a mentality issue, right?

Joey Mills

Yeah,

James Blaine

and it, it's a different type of vehicle though, right? You can't, nobody in their right mind is gonna take an SUV, right? We're not gonna take a Suburban and put a new front end on it and rip the interior out and put a new one in. But what. Right, but these, these are really more like aircraft. You've got this massive interior. You can strip out the interior. There are no lack of companies out there that are going to cost effectively, quickly, and easily refresh the interior of the vehicle. You could put a new right and, and for, I don't know if MC i's still doing it, but for a while they'd put the new front clip on it and you do the interior in the front clip. That passenger can't tell. You just can't do that with an SUV or a sedan.

Ken Lucci

you can't, well, you can't even do it with any of the others. The,

James Blaine

No,

Ken Lucci

fall apart by that time period. And, and, but, but, but the secret, the secret to what he, what Joey is talking about is it's an asset utilization mentality

James Blaine

no.

Ken Lucci

and Okay. And how much is this costing me to maintain? If you are maintaining a motor coach properly from day one, you can get a full 20 years out of it. Right. And, and well, listen, we're not talking about 12 hours a day transit buses here, you know, we're, we're talking about, you know, charter use, transfer use and tour use. But you have to have that mindset that it's not about, it's not about the new, the new, I have to have a new leather interior. I have to have a brand new motor coach to get a new leather interior. One of my favorite people in the entire motor coach business is, is Francis that owns Academy. And, and that guy, I think he's running, I think he's running like 1800 pieces of equipment.

James Blaine

Sounds about right.

Ken Lucci

literally, he literally puts, backs, fronts, does the entire thing. He has an entire refurbishment and he's, he loves it. He's like, are you kidding me? I'd love to take A million dollar bus, strip it down, put new motor, new motor, new tranny. If you're gonna do a motor, do the tranny, do it all together, slap it all back together. Nobody knows the difference. It's just from our mentality coming from the limo side. Oh no, I, have to have the best and brightest.

Joey Mills

Mm-hmm.

Ken Lucci

and the other thing is, I think, you'll agree if you, if you take care of it, you shouldn't be able to tell a 10-year-old motor coach from a new one if you take care of it. So talk about your ma, talk about your maintenance, talk about how you keep these,

Joey Mills

I

Ken Lucci

the.

Joey Mills

think the maintenance is really important. Um, I think, you know, both from a, um. Mechanical standpoint as well as a body and interior standpoint. I think it's important. Um, you know, I, I say this all the time. Motor coaches are big drivers are gonna hit things. It just

Ken Lucci

Oh yeah. Oh yeah.

Joey Mills

It's, it's,

James Blaine

Parked objects is the number one com, right? When we deal with training, when we help train drivers, the number one thing we always hear and we're always dealing with. They forget how big the bus is and it's parked objects. It's little things. It's, I forgot. Yeah. Yeah. Or, or the back or the tail swing. Right. I forgot the, the back of the bus swings out and I smacked a car. Right.

Joey Mills

always tell my drivers, I, I will be way more upset about a left side than a right side damage because you

James Blaine

His,

Joey Mills

see the left side necessarily. But if you hit something on the right, then you're just careless

James Blaine

yeah.

Joey Mills

the

Ken Lucci

Yep.

Joey Mills

cause you can see what you're doing. Right? A hundred percent.

Ken Lucci

So talk about the maintenance piece. Do you do a lot of your own?

Joey Mills

Yeah, we do, we have, we have, uh, three mechanics that we have that, you know, are full-time, um, at our shop.

Ken Lucci

because you get 17, 17 motor, um, uh, school buses, right?

Joey Mills

I got, I got 12, 12 motors and 17 school buses.

Ken Lucci

17 and 12. So the 29

James Blaine

vehicles.

Joey Mills

stuff. Yeah.

James Blaine

Yeah.

Ken Lucci

need those mechanics. Yep. Yep.

Joey Mills

but it, it's important to have that because as you all well know, one breakdown on the road, your profitability's completely gone.

James Blaine

Well, and you've gotta have people you can call on the road too.

Joey Mills

exactly that, that's probably the third most challenging thing that you asked me that I didn't get to, but that

James Blaine

Yeah,

Joey Mills

number three, is when you have a breakdown in a motor coach, it's so much different than dealing with breakdown in an SUV. That's, you know. 15 minutes from your shop or whatever, that you

James Blaine

yeah.

Joey Mills

something else too.

Ken Lucci

Yep.

Joey Mills

you're on the road and, and you know, as we all know in the business, the breakdowns only happen at 3:00 AM on Saturday morning, you know,

Ken Lucci

Absolutely.

Joey Mills

weekend

James Blaine

There there's little timers in every piece of equipment that are set to the worst possible time.

Joey Mills

it's 4:00 AM I'm gonna break,

James Blaine

Yeah. Yeah. That's how it works.

Joey Mills

one of the

Ken Lucci

So how do you manage that? Yeah.

Joey Mills

one of the most important things I would tell you is this one, the driver immediately needs to start managing it from a client standpoint,

James Blaine

Yep.

Joey Mills

That might be the most important thing of all of this is to manage it, be honest, even if honest is bad.

James Blaine

Yeah.

Joey Mills

I had, I had a whirlwind coming back from New York City about three years ago now. Uh, the breakdown happened about three 30. calls me, Hey, I've thrown a belt. I think the alternators, you know, got a problem. What can I do? I said, well, here's the deal. Where are you at? He tells me he's about an hour and 40 minutes, from, I wanna say maybe, um, I don't know what city, but hour and 40 minutes from the largest city that was near him. And I said, look, it's probably gonna be 10 o'clock before I get a bus there.

James Blaine

Yeah.

Joey Mills

honest with you right now.

James Blaine

Yep.

Ken Lucci

Mm-hmm.

Joey Mills

morning, right. I'm probably not gonna get him. And, and I knew I couldn't get a mechanic to fix it on the side of the road, so I knew a bus was my only option. said, so I'm, you need to tell the passengers, it's gonna be 10:00 AM They need to get comfortable now. He was able to get it off the road. They were at like a rest area kind of thing. And he's like, that's six hours. I said, but be honest, because if you're not honest, this is gonna go in the wrong direction. He goes and tells the passengers it's gonna be two to three hours,

James Blaine

No.

Joey Mills

so. So we get the bus there at 9:40 AM

James Blaine

Okay.

Joey Mills

able to

Ken Lucci

Sure.

Joey Mills

a bus, get somebody there at 9:40 AM

James Blaine

Which would've been earlier than expected. Right. He would've had good news. I told you it was this and I got it there early, but no. Now we're late.

Joey Mills

yeah. If, if he would've just followed instructions. But I think that's one of the first keys is to make sure you're planning that right.

James Blaine

Yeah.

Ken Lucci

Yep.

Joey Mills

I think having good partners that you can call on the road, which I, which is one reason I think the shows are really important. The UMass, the ABAs,

Ken Lucci

Yep, yep, yep,

Joey Mills

That,

Ken Lucci

yep.

Joey Mills

that's the most important part of those shows, is making that connection.'cause I tell people all the time, if you call me and I don't know you at 3:00 AM I'm probably gonna do everything I can, but I

Ken Lucci

But that's just you.

James Blaine

Well, but the time to make a friend is before you need a friend. Right.

Ken Lucci

Right.

Joey Mills

you call me at 3:00 AM you know, and, and we sat in a bar and had a couple beers. I'm gonna be much more likely to be like, okay, let me move heaven and earth

James Blaine

Yeah.

Joey Mills

care of this person.

Ken Lucci

And that motor coach, the motor coach side of the indu ground transportation industry is a hell of a lot more congenial. Am I Right.

Joey Mills

Absolutely. It, it definitely is. And, but I will say this about the motor coach side as opposed to the livery side. The motor coach side is also o'clock on Friday we're closed,

James Blaine

It's not a 24 hour business.

Joey Mills

and, and

Ken Lucci

yep, yep,

Joey Mills

again at 9:00 AM on Monday morning.

Ken Lucci

yep,

Joey Mills

you have those relationships that you

Ken Lucci

yep,

Joey Mills

somebody's cell phone or you can get

Ken Lucci

yep, yep.

Joey Mills

and send a message and say,

James Blaine

No.

Joey Mills

so and so, I'm near you. I'm broke down. Do you have anything? If not, please tell me who I can call or

Ken Lucci

So, so as we wrap this up, that's critically important, is a good takeoff. What's your advice to a chauffeur guy who's been in the business for a while? Who wants to get into the motor code space. And, and I gotta tell you, I I've had more the last six, eight weeks, I've had more operators call me saying, you need to sell my business because my insurance just quadrupled. I'm not lying, quadrupled.

Joey Mills

Oh yeah,

Ken Lucci

And, and, and I, have, and I have one motor coach and I, I'm a$1.5 million operator. And, and my answer in the back of my head is, you should never have been in the motor coach business to begin with.

Joey Mills

Exactly. Yeah.

Ken Lucci

what, what, what is your advice to someone who's, let's set it up. He's gotta, they're gotta be well capitalized, okay. One of my heroes in this business Ha, from Rose Transportation down in, in Charlotte, right? H ha Thompson said to me back then, Ken, before you get into motor coaches, you better have an extra$20,000 a piece just sitting around and you get two of them. You better have an extra 40,000. And I didn't believe him, but he was right. So what is your advice to the chauffeur side that, that this horrible herd mentality in the industry? Well, I have to have this. Okay.

James Blaine

Keep it up with the Joneses.

Ken Lucci

What's your advice to somebody who wants a cha that comes from the chauffeur side, wants to get in the motor coach side?

Joey Mills

So I think the first thing I would make sure of is you have the demand, um, which means that you're doing, you're either turning down calls or you're farming out at least$350,000 a year in work.

Ken Lucci

Agreed.

James Blaine

Say, say that again.'cause a lot of guys don't get this, they just want to go by the bus.

Joey Mills

Unless

Ken Lucci

Yep.

Joey Mills

unless you're turning it down or you're sending it to somebody else and it's 350,000, you're not ready for a bus.

James Blaine

Yep,

Ken Lucci

Great.

Joey Mills

I would say that almost needs to be 500

James Blaine

yep,

Joey Mills

wanna have two buses to start.

James Blaine

yep.

Ken Lucci

Yep.

Joey Mills

you're at 500, you can easily get to 700 if you've got the equipment and you can market it.

Ken Lucci

Yep.

Joey Mills

you're there, I wouldn't even consider it because you're gonna make more profit sending it somewhere else if you just

Ken Lucci

Correct.

James Blaine

All it takes is one downturn, right? If you're at the limit of I barely have enough for one bus and you lose one client or you lose, there's any kind of drop, right? The rule of thumb I was always taught when we moved into the motor coach industry by the mentors that I've been lucky enough to have there is you gotta have enough business for two buses and then you can buy one, and then you do that again, and you use those partnerships that we've talked about. Ken, I think you'd probably agree.

Ken Lucci

well, one of my favorite people in the industry, Johnny from Sterling, uh, transportation in Philadelphia. So, Johnny, Johnny, I mean, I've known Johnny since the first time I went to his 20 group and he calls me up about a year and a.

Joey Mills

too, by the way.

Ken Lucci

There you go. I remember that's, there you go. Um, so he called me about, about a year ago. I said, look, I wanna give the motor code space. What do you think?

James Blaine

Yeah.

Ken Lucci

much motor code business are you doing? He said, at at least a million dollars. Okay. And I said, so tell me about it. He said, Ken, I can't part, I can't find anybody that wants to take the work. I I don't have

James Blaine

No.

Ken Lucci

that wants to do the work. Forget about the price. They're all too busy. So what we did is we did a financial proforma for him, and I said, John, Johnny, here's what I want you to look at. Look at the number of what it costs you when this bitch is not moving. Look at that number per day, can you handle it? Absolutely. We did a production possibility where we showed he wanted to use it and he's actually on his second by now, right? We wanted to use it for his wedding business'cause he's, he's unbelievable in Philadelphia. And we did a production possibility. We actually did his break even on that piece of equipment. And I said, can you do it? He said, absolutely can do it. And we set his pricing up before he ever owned the piece of equipment. What is he gonna charge for transfers? What is he gonna charge for charter by the hour? What is minimum? Is it gonna be, we literally called the manufacturer and said, how much miles per gallon is that vehicle gonna get and how long's the warranty? And I actually made him put money aside for repair and maintenance even. He's like, Ken, it's under warranty. I said, stop, put. you to calculate it and repair and maintenance.'cause you're not gonna do it next year. So the one, he's, he and many others that are like him, very methodically thought through the process. Okay. Another client up in Boston that, that literally could not get anybody to do his work. And Boston had a lot of motor coach companies and they were screwing up his work. So I said, okay, well if you're gonna do this, we need to figure out a business plan around this coach. And he's on his third coach now, so. So, okay. So talk about from a, from a capital perspective and what else should they be aware of?

Joey Mills

So I think, you know, making sure you have the work. I think the

James Blaine

Up

Joey Mills

is, is you wanna make sure that you run it like a motor coach company. So many of the operators, especially in chauffeur transportation, they wanna run it like a limo.

James Blaine

up.

Joey Mills

or a sedan or an SUV and it's not the same animal. It's not the same animal from the driver. It's not the same animal from the clientele,

Ken Lucci

And, and, and when that,

James Blaine

It's not the same business.

Ken Lucci

And, when that thing sits for two or three days, it costs you a shit load more than an SUV costs you

Joey Mills

key things you said about Johnny, and actually talked to him a little bit too when he was getting into the space, the pricing. You know, it, it's funny, I talk about it all the time. So whatever, I'm trying to send a, a farm out somewhere, you know, or a affiliate job. I rarely use chauffeur transportation companies that have motor coaches. Because they want to tell me, oh, it's a five hour minimum at$180. I'm like, no, I need a price for the day. Well, we don't do that. I'm like,

James Blaine

They're treating it like it's black car.

Joey Mills

coaches.

James Blaine

Yeah.

Joey Mills

it, you

James Blaine

I.

Joey Mills

how motor coaches are priced. I can't tell my softball team that's traveling to your area gonna be there three days that it's gonna be a five hour minimum at$212 an hour for

Ken Lucci

Right.

Joey Mills

need to know what the price is gonna be.

Ken Lucci

right.

Joey Mills

so

Ken Lucci

percent.

Joey Mills

I, I think that would be my second thing. And, and then I think lastly the, the motor coach in that world completely different from the chauffeur world because the chauffeur world, in my mind is transactional.

Ken Lucci

Mm-hmm.

Joey Mills

I'm gonna, they're gonna be in my car for five minutes and then they're outta my car. In the motor coach world, sometimes they're with you three and four days.

Ken Lucci

Mm-hmm.

Joey Mills

ever have that in the sedan and SUV world. So the driver training that goes into that, and the way you're trying to create your culture and your company is completely different than it is you're doing the sedan and SUV. Yeah, you have to be on point for 20 minutes, but if you're a motor coach driver, you gotta be on point for four or five days sometimes.

James Blaine

And, and we could do a whole nother episode on that. You know, when we So, so we are like you Joey, we are just kings of timing, right? We nailed it. Like you nailed it. Pax makes its move towards bus in 2019. We, we timed it to the button, right? We launched our motor coach training in March of 2020.'cause God helped me. I have all the right timing answers. But, but all joking aside, one of the things that when we were really making the move towards developing that training and working there, it's a completely different relationship. It's a completely different world, right? A chauffeur's got a load, a couple pieces of luggage. I. You have to, even just loading luggage, you have to pace yourself. You gotta really be smart. You gotta think about things. Yeah. You have to organize it. You gotta slide it in because you've got all of these seats on the bus. If everybody's got one piece of luggage right now, you got 50 some odd pieces of luggage. Plus the hover around scooters, we won't even get started on those. And then your relationship is different because like you said, it's not, Hey, I'm gonna turn around and hand you a water bottle. It's, I want to try and greet them and welcome them on the bus. And then, you know, it's funny because one of the things you've never seen in a training video for a driver, one of our training videos, you know, you actually see someone come up and try to hug the driver. Why? Because that happens in the Motor Coach world. You've been on that bus with them for three or four days. So I think you know, it, it kind of goes both ways. There's these great things you can pull from Motor Coach. There's these great things you can pull from chauffeur. But Joey, I think as we kind of bring this to a close, you couldn't have outlined any better that you have to understand that these businesses are fundamentally different even though they're somewhat the same. What would you say, right? As we kind of close it out, we've got time for, for kind of a closeout, what is the big takeaway for you? Or if you've got someone that's been listening to this episode, right? Maybe they're a, a motor coach operator, maybe they're on the black car side, you know, maybe they're school bus. They're thinking about go in one of these directions. What do you tell that person? Like, what's the key lesson? If you had one thing to share and leave people with that you would leave them with on your experience,

Joey Mills

I think. I think the key to anything is when you're starting anything, figure out what the end looks like and then work backwards. What's your ultimate goal?

James Blaine

Okay.

Joey Mills

What, what, what is your ultimate goal? What do you want out of it? You know, I wanna start motor coaches. Do I want 20, I wanna start black car. Do I want 10 or do I want a revenue number? Or do I want a bottom line number? What is my goal? And then you make your decisions to get to that goal. what's my timeline for that goal? Right? Like when we bought this company here, my business partner's about eight years older than me.

James Blaine

Okay.

Joey Mills

he wants to be out at 66, uh, he's 62 right now. I wanted to be out at 55. We sat down and talked about that before we started. This is how we want, what we wanna do is manage toward getting to those numbers and then any, anything we undertake, whatever decision we always talk about, what do we want it to look like in the end?

James Blaine

Right.

Joey Mills

we want to do for five years or is this something we wanna do for two? And then pivot and transition in a different way. But I think anything you do business-wise, new product line. Whatever you're doing, start with the end in mind and work your way back. I think if you're always working toward that goal, you're probably gonna be successful more times than not.

James Blaine

I don't know that there's Ken, I don't know about you. I don't, I don't know that you can end on a better note than that.

Ken Lucci

way to end.

James Blaine

I, I, I gotta say, Joey, you know, I, I've gotten to know you. I, I remember when you're still at Gold Shield and I've watched you progress. I know. I gotta tell you, you've got tons to be proud of. You've done an incredible job and I think I speak for Ken and I when I say we appreciate you being willing to share and coming on, and we'll have to have you back on

Joey Mills

Yeah, definitely. Thank you all so

Ken Lucci

No, I, I actually made notes about other things we could talk to him

James Blaine

Huh?

Ken Lucci

his experience buying the business, his experience with a partner, his experience on business planning. A hundred percent. Uh, knows he's one of my favorite people in the industry and he knows why too. So.

Joey Mills

mutual, you know that too, so,

Ken Lucci

man. Uh, listen, we really appreciate you coming on, uh, James. Close us out.

James Blaine

Hey, thank you everybody for listening. As always, please subscribe. Drop us a comment like let us know if we're doing something you like or something we don't like. And as always, we'll see you guys on the next episode. Bye-bye.

Thank you for listening to the ground transportation podcast. If you enjoyed this episode, please remember to subscribe to the show on apple, Spotify, YouTube, or wherever you get your podcasts. For more information about PAX training and to contact James, go to PAX training.com. And for more information about driving transactions and to contact Ken, Go to driving transactions.com. We'll see you next time on the ground transportation podcast.

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