Reinvest in Your Laundromat, Revolutionize Your Business (Conclusion)

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Jim Rosenthal |

Greater efficiencies lower utilities cost; new equipment reduces maintenance, repair needs

RIPON, Wis. — Today’s Laundromat customers are looking for more than someplace where they can do their laundry. They are looking for a clean, safe store that is equipped with modern machines and additional services and amenities to enhance their experience. However, in order to provide this complete laundry experience, store owners must lay a solid foundation with high-quality, reliable equipment.

Like all machines that undergo constant use, laundry equipment has a certain lifespan. If machines reach beyond that time frame, not only will it be more challenging to keep them to a high standard of service, it will cost more money to operate them. While the initial investment of replacing equipment may seem like a large cost up front, it can almost immediately be offset by the efficiencies and additional revenue streams that today’s advanced equipment provides.

Replacing older machines with equipment that features advanced control systems can help store owners manage their business more efficiently and can provide unprecedented levels of profitability. The advanced controls wirelessly connect laundry machines, so an owner can program, monitor and diagnose equipment from any Internet-connected device, anytime and anywhere.

If you’re a new store owner who recently acquired an existing Laundromat with outdated equipment, or you have been in the industry for many years and are considering replacing your equipment, read on to learn how reinvesting in your Laundromat can transform your business and increase your profitability.

GREATER EFFICIENCIES LEAD TO REDUCED UTILITIES

With advanced features and higher levels of efficiency, replacing equipment will increase cash flow by significantly reducing utility costs. Installing new machines can drastically lower energy and water consumption, leading to lower utility bills.

For example, the average 12-year-old, 35-pound washer-extractor currently costs a store owner $1.04 in utilities per cycle. With a brand-new 40-pound washer-extractor, the cost can be as low as 33 cents per cycle. This can save a store owner more than $900 a year on utilities for replacing just one machine. If an owner were to replace a bank of eight machines, that would lead to an annual savings of more than $7,200. New dryers can also save money on utilities, thanks to more efficient drying airflow patterns and shorter dry-cycle times.

“Reducing utility costs is a huge priority,” says Adam Naxon, a multi-store owner in Dallas. “The new equipment in my stores is significantly more energy-efficient, especially the dryers.”

MANAGE MORE EFFECTIVELY BY PREVENTING COSTLY REPAIRS

As laundry equipment ages, the amount of maintenance it requires will increase. Repairs can be time-consuming and costly, which can greatly impact the success of a business.

Replacing equipment will reduce maintenance and repair needs. Today’s equipment will also have maintenance and service alerts, which help take the guesswork out of managing laundry operations when a machine is not running properly. Advanced control systems can send up to 40 possible warnings and error codes that notify store owners about potential issues that could harm or slow down a machine.

The technology also has many money-saving features, such as auto water leak detection and slow drain detection, which can help avoid expensive water and sewage bills. The technology monitors drain systems and immediately alerts a store owner if there is a leak or obstruction causing water to be wasted.

Naxon takes advantage of the advanced warning systems by analyzing the weekly error reports he receives from his networked machines. This way, he can ensure his customers have reliable access to his equipment, decrease his machine downtime and cut down on the need for larger costly repairs.

ADVANCE BUSINESS BY REPLACING EQUIPMENT

Between the new profit centers, reduced utilities, increased customer satisfaction and advanced monitoring capabilities, new washer-extractors and tumble dryers can help a store owner manage his or her business more effectively while increasing profits.

With these savings and increased revenue opportunities, it is estimated that the equipment replacement can result in an added cash flow of more than $91,000 over the lifespan of the equipment.

When Naxon purchased his second and third Laundromats, he replaced the outdated equipment right away because he saw the immediate benefits the new equipment had in his first store. When it comes to other store owners considering replacing equipment, Naxon’s advice is simple.

“If you don’t have the tools and information to monitor and manage your operation, you will be missing out on opportunities to increase your profits and the overall success of your business,” he says.

Miss Part 1? You can read it HERE.

About the author

Jim Rosenthal

Speed Queen, Commercial division

North American Sales Manager

Jim Rosenthal is the North American sales manager of Speed Queen’s Commercial division. For more information, visit www.speedqueencommercial.com/CoinOp101 or call 800-590-8872.

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