Dry Cleaning & Laundry Services NAICS 812320

Feb 20, 2026 - Survey Reveals Need to Rebrand Dry Cleaning for Millennials and Gen Z

• At a recent Drycleaning & Laundry Institute webinar reported by American DryCleaner, Katelyn Kratz of the Heartland Fabricare Association presented survey data (529 respondents) revealing a generational perception crisis critical to the US dry cleaning industry’s future. Baby boomers, the core customer base, associate dry cleaning with professionalism and specialty care, but Gen X increasingly links it to “chemicals,” “toxic,” and inconvenience. The disconnect deepens with younger consumers: 74.7% of millennials and 80% of Gen Z report rarely or never using dry cleaning, often viewing it as a luxury service for formal wear or older generations. In fact, many Gen Z respondents questioned whether cleaners still exist. Nearly half of consumers are unaware of most services offered, and misconceptions about processes persist. The findings underscore that future industry growth depends on rebranding, education, and repositioning services as relevant to younger consumers’ lifestyles, including thrifted and investment garments.
• According to the Consumer Price Index released by the US Bureau of Labor Statistics, the cost of laundry and dry cleaning services increased 5.8% in January 2026 compared to a year ago. Employment for dry cleaning and laundry services declined 5% in November 2025 compared to a year ago, while wages were up 3.4% year over year. According to the latest ISM Services PMI Report, executives in the Other Services industry, which includes providers of laundry services, reported decreases in business activity, new orders, employment, inventories, and order backlogs while reporting increases in prices paid for materials and services in January.

• As 2026 begins, hybrid work remains the dominant model, shaping uneven demand for services tied to office attendance, including the US dry cleaning industry, according to a report by Built In. More than half of remote-capable US employees work in hybrid arrangements, while 26% remain fully remote and roughly 22% work fully on-site, according to Gallup. Even as some large employers moved to five-day office mandates in 2025, average office occupancy is only 50–60% on a typical weekday, based on badge data. This partial and inconsistent return limits a full rebound in demand for professional attire care, traditionally linked to daily commuting. While Gen Z workers show a higher propensity to come into the office for mentorship and connection, experts suggest companies are unlikely to broadly reverse hybrid policies. For dry cleaners, the data point to stabilized but structurally lower volumes than pre-pandemic levels, with demand closely tied to hybrid schedules rather than a full return to office norms.
• The US dry cleaning industry is projected to grow at a CAGR of 2.5% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The anticipated growth rate is slower than the overall economy's projected growth. Dry cleaning and laundry services are part of the “other services” sector, which is driven by consumer spending, along with business expenditures. According to the report, laundry and dry cleaning saw inflation-adjusted consumer spending fall sharply, and expenditure remain 3.4% lower in Q2 2025. Remote work rose from 7.2% to 61.5% during the pandemic period, but it has faded to some extent post-shutdown. An average of about 28% of workdays were spent at remote locations in the 12 months ending in June 2025. Remote working demand suggests lower demand for mass transit, office space, and other personal and business needs related to commuting and working in corporate environments.