Your laundromat pricing strategy can make or break your business. Charge too much and you’ll lose customers to more affordable laundromats; charge too little and your business will struggle to succeed. The key is to determine the ideal middle ground, though this is easier said than done. How can you price your services high enough for the business to flourish but low enough to attract discerning customers? Although we can’t provide exact numbers for you, please use the time-tested tips below to form your own laundromat pricing strategy.
Laundromat Pricing Strategy
Research your competitors. Conduct a market analysis to find out what other laundromats in your area are charging for laundry services. Your business doesn’t exist in a vacuum, after all. Then, look at how the market is responding to their prices. Although you don’t have to charge the same prices as your competitors, you do need to establish competitive and realistic prices.
Don’t compete based on price alone. Although pricing is important and great deals can draw in new customers, remember that pricing is only a piece of the equation. You also need to keep your store clean, maintain and repair your machines, and promptly address customer complaints. Instead of getting into a price war with your competitors, focus on the quality of your laundromat.
Consider discounts and sales. If you want to excite your customers and boost your revenue, try implementing discounts and sales. Although this won’t work in every market and prices should be kept consistent overall, well-formulated sales can be very effective. You could lower your prices on times/days that have low activity, offer free drying services, or implement a customer loyalty card.
Increase your prices when necessary. Although you might catch your customers off guard, be sure to increase your prices as necessary. Review your pricing strategy each year, analyze your profits, and make adjustments. In addition, be prepared to respond to your customer’s questions regarding the higher prices—in most cases, this can be explained by an increase in the cost of utilities.
Don’t be afraid to have the highest prices in town. If your business is the best in town, don’t be afraid to charge more for it. Most customers are willing to pay more for a pleasant experience in a well-kept laundromat, and great businesses typically cost more to run. Plus, in charging more, you will be giving prospective customers the impression that you are a high-standard, elite company.
Pricing strategies vary remarkably from market to market, but the advice above is applicable no matter where you’ve set up shop.
Are you ready to build a successful laundry business? Be sure to check out Laundry Solutions Company, a full-service provider of premium vended, on-premises, and multi-housing commercial laundry equipment. Since 1976, we have been providing exceptional sales support, laundry design services, commercial laundry equipment, and laundry equipment service and parts. To learn more about our products and services, please give us a call at 800-383-9274 or contact us online. We look forward to hearing from you!