Laundry Facilities & Dry Cleaning Services Industry Overview

Excerpt from Laundry Facilities & Dry Cleaning Services Report

Companies in this industry operate coin-operated, self-service laundry facilities or provide dry cleaning, specialty cleaning and full-service laundering services. Major US companies include Coinmach Service, DRYCLEAN USA, Mac-Gray, and Martin Franchises.

Competitive Landscape

Demand is related to growth in consumer income. The profitability of individual companies depends on efficient operations and favorable store locations. Large dry cleaning companies can achieve economies of scale by using centralized cleaning operations to serve multiple retail locations. Small companies can compete successfully by owning favorable locations or providing special services. The dry cleaning segment is highly fragmented: the 50 largest firms generate less than 10 percent of revenue. The coin-laundry segment is fragmented: the 50 largest firms generate about 40 percent of revenue.

Products, Operations & Technology

Major products are retail dry cleaning services and coin-operated laundry services. Other sources of revenue include shoe and clothing repair services and washing machine route operations (servicing of machines in apartment complexes and other multifamily residences).