Does the Economy Really Hurt Coin Laundromats?

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By Brian Brunckhorst

According to The Wall Street Journal article, “Even Laundries Tumble in This Economy”, coin laundromats are closing while others are suffering with a decline in sales.  While the article is an interesting read and provides exposure to the coin laundry industry, it does not accurately represent what’s really going on with coin laundromats.

I do not dispute the fact that there are coin laundromats suffering a downturn, there are others that are thriving and growing in this economy.  The article does not mention this at all.  Instead, it just portrays our industry in one light, leading one to believe the coin laundromat business is not a good business to consider in these times.

Real insiders know there is a reason why some stores succeed in a tough economy and others do not.  Do you want to know the reason?

Coin laundromat businesses experience a decline primarily due to a change in the demographics in the surrounding area rather than the fundamentals of the business.  In other words, if people leave the area due to a loss of jobs or other reasons, local businesses naturally suffers–not just coin laundromats.  However, in major metropolitan areas with a stable population, there have not been a change in the customer base for coin laundromats.

So what can you learn from this?

The key take away point is that location matters especially for coin laundromats.  It’s all about location, location, location.  This point is so important that it is one of the key criteria I look for when I consider buying a coin laundromat.

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About Brian Brunckhorst

Brian Brunckhorst is one of the nation’s experts on laundromats. He is dedicated to teaching entrepreneurs how to find, evaluate, analyze, and buy a coin laundromat. Brian is also the author of the best-selling eBook, “Secrets of Buying and Owning Laundromats”, and the Laundromat Teleseminar System.