The Coin Laundry Association has announced the release of its annual Laundry Industry Survey.
Each year, the CLA commissions Readex Inc. – a nationally recognized independent research company – to conduct an industrywide survey of laundromat owners. The data, in essence, creates an accurate profile of vended laundries within the United States.
“Good data can be difficult to come by in the laundromat industry,” said CLA President and CEO Brian Wallace. “However, for the last 25 years, the CLA has conducted reliable annual surveys in order to provide store owners the information needed to guide their businesses toward increased profitability. The Coin Laundry Association is the only place you can find these annual numbers and key statistics that are so critical to running a successful laundry business.”
The annual survey reveals the most up-to-date stats on such crucial data as gross profitability, gross revenue, square footage of laundromats and revenue per square foot, as well as examining the expense ratios for rent, utilities and labor. In addition, the survey looks at the prevalence of the various payments options within the industry – from coins and loyalty cards to credit/debit cards and mobile payment.
Here are few of the highlights from this year’s survey:
- As the demand for full-service laundry offerings continues to grow in several markets throughout the U.S., 67 percent of respondents reported charging $1.25 or more per pound for their drop-off wash-dry-fold services in 2020 – with 16 percent of those store owners receiving at least $1.50 per pound for drop-off residential laundry.
- Given the impact of the COVID-19 pandemic, it’s perhaps not surprising that the average gross revenue for laundromat owners responding to this year’s survey dropped 7 percent from 2019 to 2020.
- Although quarters remain king as the payment method of choice for laundromats, with an overwhelming 86 percent of respondents accepting them as a method for machine operation, the number of “quarters-only” stores now represents just over half (54 percent) of those responding to the industry survey.
- Utility costs – always a leading expense and hotly discussed topic among laundromat owners – represented, on average, 22.3 percent of the survey respondents’ total gross revenue in 2020.
- Across the country, the average vend price for a 30- to 35-pound frontload washer is $4.19, while the median cost per turn of a 30-pound dryer sits at 25 cents for six minutes.
“Whether you’re new to the business and trying to put together your first business plan or you’re an industry veteran looking to take your laundry operation to the next level, start with the benchmarking data from the CLA,” Wallace explained. “It’s the only place you can put your hands on this type of critical information. If you really want to get a true snapshot of the laundromat industry, you need to turn to the CLA’s Laundry Industry Survey.”
The 2021 Laundry Industry Survey is available to CLA members as a free download. For non-members, the survey may be purchased at the association’s online store at coinlaundry.org.
