You don’t need to be an expert business analyst to recognize that brick-and-mortar businesses are on the decline. Online shopping makes it harder than ever for smaller stores to thrive in the physical world, which is why many thriving streets now look like ghost towns. Old stores are boarded up, and it feels like there’s no room for certain brick-and-mortar businesses anymore.
On the contrary, you can still run a very successful physical business; it just depends on the type of business you’re opening. Focus on a store that provides things you can’t simply get online – like laundry services. You’ve read the title, so it will come as no surprise to learn that we’re talking about laundromats today. Specifically, how can you start one of these businesses and make it successful?
The nature of a laundromat means it can thrive where other brick-and-mortar businesses struggle, so let’s look at some key things you must consider when setting yours up.
The Location Means Everything
In truth, laundromats are only successful when they’re positioned in the right places. Setting up a laundromat business in an area with lots of housing may seem like a smart idea, but it’s not always the best approach. Homeowners are more likely to have access to their own washer/dryer, so why would they go to your laundromat?
Put yourself in the shoes of someone who’d benefit from a local laundromat – what would they look like? Your target market will likely involve three core demographics:
- Students living in student accommodation
- Renters in flats/houses without washing machines
- Commercial clients looking to wash things in bulk
With that in mind, you need to find a location that taps into at least one of these markets. Look for local student communities and see if you can rent or buy a commercial building close by to turn into a laundromat. You could even provide student discounts to reel in loads of regular customers.
Alternatively, try to position your laundromat business in areas where there’s either a high rental population or plenty of commercial businesses nearby. A laundromat near a block of flats makes loads of sense – as done one next to an industrial estate.
The right location sets you up for more success because you’ll see a steady stream of foot traffic entering your laundromat every day/week/month. It’s all about understanding your target market and who your business is for.
Invest In Quality Equipment
Don’t make the mistake of cutting costs when investing in equipment for your laundromat business. While the location of your store means everything for foot traffic, the equipment will determine if people actually pay for your services and return for more. Nobody wants to use an old washer/dryer that takes ages to clean/dry their clothes and is a pain to use. They want advanced technology and a seamless experience, so you must invest in high-quality laundromat equipment, regardless of the costs.
Invest is the key word because it truly is an investment in the future of your business. It may be a big expense when you’re starting out, but the benefits of having quality equipment will soon pay off. It’s the secret to establishing a loyal customer base and getting people through your doors.
What type of laundromat equipment should you buy? The most expensive stuff isn’t always the best – ideally, your equipment should focus on the following features:
- Energy Efficiency: Think about how often you’ll be running washers and dryers in your laundromat. Let’s look at the ideal scenario; you want almost every machine to be occupied throughout the day. It’s how you make the most money, but this also uses so much electricity. As a consequence, pay close attention to the equipment’s energy efficiency rating. More efficient equipment will cost less money to run, which saves a fortune on your overheads.
- Payment Methods: People will want to return to a laundromat if the equipment is easy to use. This means your machines need to have obvious instructions and simple payment methods. Customers should be able to turn up, tap their contactless card or phone to pay for a machine, then load it up. The more intuitive the payment features are, the better the equipment will be, and the more customers you can bring through your doors.
- General Efficiency: As well as thinking about energy efficiency, you need to consider the equipment’s general efficiency. That might feel confusing, but you’re looking at how quickly the machine can clean or dry clothes. Ideally, you want equipment with express settings so customers can wash and dry their items within an hour or so.
This will be the most critical part of setting up your laundromat business. Investing in the wrong equipment means you set yourself up for failure. Take the time to shop around and find great washers/dryers that have all the key features you need for your business to be a success.
Maximize The Space In Your Laundromat
Make the most out of the space in your laundromat to try and include as many washers/dryers as possible. You could even find machines that combine both functions, though this isn’t always easy to do – and they’re not the most reliable.
Regardless, you don’t want to waste space in the building. A poor layout could mean you miss out on adding in a couple of machines, and that translates to (possibly) missing out on a couple of customers every single day.
You need your laundromat to cater to as many customers as possible because this encourages people to come in. If someone sees there’s only four machines – and they’re all occupied with lots of people waiting inside – then they’ll just find somewhere else to do their laundry. But, if your laundromat has 10 or 20 machines, people are more inclined to come and wait their turn because they know it won’t be long before at least one machine is free.
It boils down to the idea of understanding how to satisfy your customers. Maximize the space in your laundromat to install as much equipment as possible, making it less likely that people have to wait a long time to wash or dry their clothes. You create a happy customer base – which leads to good reviews for your business and a stellar reputation among the local community.
Ensure There’s A Regular Cleaning Schedule
Laundromats can come with an undeservedly negative reputation, and it’s usually because of the horror stories people encounter. We’ve all heard of laundromats that are absolutely filthy – the machines are full of mold and there’s dust everywhere. Nobody wants to clean their clothes in a place like this, which is why you need to have a set cleaning & maintenance schedule for your laundromat business.
What should this look like? Break it down into daily, weekly, and monthly routines:
- Daily Cleaning: This is when you should do some general light cleaning tasks at the end of every day. Dust all the surfaces, sweep and clean the floor, and spray the outside of all your machines with antibacterial cleaning solution. This will be enough to keep your laundromat clean from day to day, so customers walk in to a place that looks and smells fresh. Also, check the lint filters in your dryers and remove any lint that builds up. With a home dryer, you can get away without doing this every day, but the volume of use in a commercial setting means it must be done daily to avoid fire risks.
- Weekly Cleaning: You need to clean a bit deeper at the end of every week. Tackle the machines themselves and use washing machine and dryer cleaning solutions to give them a rinse on the inside. It prevents the build-up of dirt and mold inside your machines and ensures they last for longer while keeping clothes fresh.
- Monthly Cleaning: To be honest, if you’re following the weekly and daily cleaning plans, then your laundromat should be extremely clean at all times. Monthly tasks should revolve more around general maintenance. You don’t need to do this every month, but be sure to service your equipment a couple of times per year. Again, because this is a commercial setting, your equipment is more liable to break than it would at home. Bi-annual servicing can prevent this for you.
Having a set cleaning and maintenance schedule will prevent hazards in your laundromat while keeping it in the best condition imaginable. Customers are more keen to return if they know they’re visiting a clean laundromat that always looks like it’s just opened to the public for the first time. Also, maintenance and cleaning prevents breakdowns, which can lead to a loss of customers due to downtime, so it’s additionally beneficial.
The fact of the matter is that laundromat businesses are still profitable brick-and-mortar business ideas. Unlike many of the physical businesses that fail, this one targets a service that can’t be replaced by the online world. Make sure you position your business in a location that lets you tap into your target market, then invest in the best equipment to help push you forward.
