Car Washes NAICS 811192

Jan 23, 2026 - Express Carwash Growth Meets Rising Cost Pressures

• According to a report in Professional Carwashing and Detailing, the US express carwash industry enters 2026 with solid growth momentum but increasing execution challenges. Favorable financing conditions, including lower interest rates and the reinstatement of 100% bonus depreciation, are driving renewed M&A activity and greenfield development. Subscription programs remain a key growth lever, with adoption expected to increase 15%–20% in 2026, supporting more predictable revenue and higher customer retention. At the same time, operators face margin pressure from rising labor costs, inflation, and regulatory requirements related to water use and wastewater management. Consolidation is accelerating as private equity-backed platforms pursue scale efficiencies, while smaller and mid-sized operators often struggle with operational consistency. Overall, the outlook remains positive, but success in 2026 will hinge less on rapid expansion and more on disciplined execution, strategic site selection, and effective technology integration.
• US consumer confidence weakened again in December, creating a more cautious backdrop for the car wash industry. The Conference Board Consumer Confidence Index fell 3.8 points to 89.1, marking a fifth consecutive monthly decline. The Present Situation Index dropped sharply by 9.5 points to 116.8, reflecting weaker views of business and labor conditions, while the Expectations Index held at 70.7, below the recession-warning threshold of 80 for the 11th straight month. Consumers’ assessments of their current family finances turned negative for the first time in nearly four years, and job sentiment softened, with those saying jobs are “plentiful” falling to 26.7%. However, spending plans for services such as personal care remained resilient, even as big-ticket purchase intentions declined. For car washes, this suggests near-term demand stability as a necessary, lower-cost service, but heightened price sensitivity amid broader economic caution.

• The car wash industry posted 5.7% growth in same-store total sales revenue year over year in Q3 2025, according to the latest quarterly report from Rinsed in Carwash.com. The results are consistent with the steady growth posted in the previous quarter. Membership revenue rose 10% year over year in Q3, compared to a 3% decline in retail revenue. The growth of price per retail wash remained consistent with previous quarters, indicating the decline was driven by demand rather than price. The report analyzes performances across 3,500 carwash locations nationwide.
• According to a report in Auto Laundry News, car wash operators are increasingly leveraging architecture as a competitive advantage. Timothy Hogue’s Next-Gen Architecture report noted that after being viewed as utilitarian “boxes,” facilities now employ bold towers, daylighting, and upscale landscaping to boost customer engagement and municipal approval. Data shows daylight tunnels increase perceived safety and spending, while three-lane pay stations reduce traffic bottlenecks and improve throughput. Noise-reduction strategies, such as enclosed vacuum stations, enhance community acceptance and customer comfort, particularly in cold climates. The design investments are not merely aesthetic; they drive measurable business outcomes, including higher membership sales, stronger brand equity, and smoother operations. For the car wash industry, the shift underscores a broader retail trend: form and experience now rival function in determining growth and loyalty.