Coin-operated Laundries
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 9,600 coin-operated laundries in the US operate facilities with coin-operated or similar self-service laundry and dry cleaning equipment or supply and service equipment in other locations, such as apartments and dormitories. Some operators offer drop-off laundry services and some facilities offer a snack bar, coffee shop, or Wi-Fi access to occupy customers as they wait. Coin-operated laundries are also known as coin-op laundries, self-service laundries, and laundromats.
Dependence on the Rental Market
The coin-operated laundry business is highly dependent on the apartment rental market and occupancy rates.
Capital-Intensive Operations
The coin-operated laundry business is capital intensive and requires firms to regularly invest to maintain and replace equipment and implement new technology.
Industry size & Structure
The average coin-operated laundry operates out of a single location, employs about 4 workers, and generates about $560,000 annually.
- The coin-operated laundry industry consists of about 9,600 firms that employ about 40,000 workers and generate about $5.4 billion annually.
- The industry is concentrated at the top and fragmented at the bottom; the top 50 companies account for about 41% of industry revenue.
- Large firms, such as CSC ServiceWorks and Wash Multi-Family Laundry Systems, typically operate coin laundries in multi-unit housing settings, such as apartment complexes and dormitories.
Industry Forecast
Coin-operated Laundries Industry Growth
Recent Developments
Sep 23, 2024 - Sales, Employment Growth
- Total revenue for dry cleaning and laundry services was $8.8 billion in Q1 2024, a 6.7% increase compared to a year ago and 1.5% higher from the previous quarter, according to the latest data from the Census Bureau. Coin-operated laundry industry employment increased 1% in July 2024 compared to a year ago and has grown consecutively year over year for the first seven months of 2024, according to the US Bureau of Labor Statistics. Consumer spending has also improved, rising 2.6% in June 2024 compared to a year ago and up 0.2% from the previous month, according to the Bureau of Economic Analysis.
- Consumer confidence levels increased in August 2024, according to data from The Conference Board. The Conference Board’s consumer confidence index was 103.3 in August 2024 from 101.9 in July 2024. Dana Peterson, chief economist at The Conference Board, noted that confidence was the highest among those over age 35 and those in the income category of over $100,000. Plans for large appliances and smart phone purchases rose on a six-month average basis. Plans to buy a home dropped to a 12-year low while plans for car purchases improved on a six-month average basis.
- Coin-operated laundry services may need to take steps to protect workers from heat illnesses under a new proposed rule from the US Department of Labor (DOL) designed to protect workers from extreme workplace heat. The proposed rule requires employers to develop an injury and illness prevention plan to control heat hazards in workplaces affected by excessive heat, per the DOL. The rule asks employers to evaluate heat risks and implement requirements for drinking water and taking rest breaks. In addition, employers will have to provide training, develop procedures to respond to workers who show signs of heat-related illness, and assist those experiencing a heat emergency. The Occupational Safety and Health Administration (OSHA) currently conducts heat-related inspections under a program launched in 2022 to prevent worker injuries and illness. Laundry facility workers may be exposed to extreme heat in buildings that are not properly ventilated or cooled.
- The National Federation of Independent Business (NFIB) monthly jobs report shows that unfilled job openings grew in August 2024, with a seasonally adjusted 40% of small business owners reporting jobs they could not fill. The reading is up two points from July 2024. A seasonally adjusted net 13% of small business owners plan to create new jobs over the next three months, down two points from July. About 21% of owners reported labor quality as the most important problem facing the business. According to NFIB Chief Economist Bill Dunkelberg, “Job openings on Main Street remain historically high as small business owners continue to lament the lack of qualified applicants for their open positions. Owners have grown understandably frustrated as attempts to fill their workforce repeatedly stall and cost pressures continue to rise.”
Get A Demo
Vertical IQ’s Industry Intelligence Platform
See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.
Build valuable, lasting relationships by having smarter conversations -
check out Vertical IQ today.