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LAUNDRY SERVICE MARKET OVERVIEW
The global laundry service market size was valued at approximately USD 80 billion in 2024 and is expected to reach USD 120 billion by 2033, growing at a compound annual growth rate (CAGR) of about 4.60% from 2025 to 2033.
The laundry market is growing at a speed with the rising demand of consumers who are looking for convenient yet cost-effective options for garment care. Many consumers are expected to spend on these services which further will help the laundry service market growth. As individuals have busy lifestyles mainly in metropolitan cities they prioritize clean well-maintained garments. Leading to laundry services becoming a necessity. The market is about to grow further with more employment in urban cities. As well as growth in hospitality sectors and rising franchising opportunities. However, there has been a shift in the laundry service market because many people due to advanced technology move away from home-based washing to coin-operated and on-demand services. This change has driven the convenience accordingly while also saving time. As a result, laundry businesses are seeking extreme demand in the market. The rising awareness of consumers about the environmental impact created an impact to follow energy-efficient laundry services. Companies such as laundry rooms have introduced eco-friendly services to boost the market. Additionally, the convenience of on-demand laundry services with features such as app-based booking and UPI payment options with real-time tracking and delivery have made these services extremely popular among consumers. Due to their exceptional services, great deals such as coupons and discounts, and on-demand washing services have changed the sector and have been on top of the most chosen services among the other services.
COVID-19 IMPACT
"The Pandemic has disrupted the market in several ways"
The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.
Lockdowns and government restrictions have shut down laundry and dry-cleaning services temporarily. Many commercial establishments, including hotels, restaurants, and gyms that primarily contribute to laundry service revenue, reduced their operations or shut down completely. This led to an immense decline in demand, impacting the laundry service market growth during the pandemic. However, as hygiene became the most important aspect, demand for sanitized laundry services increased, especially in the healthcare and residential sectors. Service providers introduced contactless delivery and enhanced sanitization protocols, which enabled gradual recovery and gain customer trust.
LATEST TREND
"Growing mobile application usage of laundry services"
Many people are using mobile phones nowadays and the convenient use of mobile applications has made this market launch a mobile application for the laundry service market which led to potential growth. also, customers could order services from the comfort of their homes online payment options and tracking of order details are also some of the prime reasons many consumers love using these apps to get services done there are also safety protocols while using these applications. customers are being benefited to the fullest, thereby making the market grow. However, there is also an increase in environmental awareness, and regulations by the government in promoting sustainability have made businesses go green. To emit pollution Many service providers now offer eco-friendly detergents, energy-efficient washing machines, and water recycling systems. These types of features attract environmentally conscious consumers and ensure long-term market sustainability.
LAUNDRY SERVICE MARKET SEGMENTATION
By Type
Based on Type, the global market can be categorized into Coin Laundromats, Card Laundromats, and Mobile Payment Laundromats
- Coin Laundromats: Coin-operated laundromats are a very common type of laundry service. They offer cheap and easy laundry options, especially in city areas. These laundromats are popular with students, low-income families, and people who do not have their laundry machines at home. Even though they compete with new payment systems, coin laundromats still keep a big part of the market because they are simple and dependable.
- Card Laundromats: Card-operated laundromats have gained popularity due to the cashless and convenient laundry experience. Users load prepaid cards or use credit/debit cards to operate machines, thereby saving from the inconvenience of carrying coins. This model is gaining favor in metropolitan cities, where the more tech-savvy consumer is opting for digital solutions.
- Mobile Payment Laundromats: The most advanced part of the technology is mobile payment laundromats. These systems allow customers to pay using apps or QR codes, making transactions easy and contactless. With features like tracking machine availability and sending usage notifications, this segment is growing quickly and attracting younger, tech-savvy users.
By Application
Based on application, the global market can be categorized into Residential and Commercial
- Residential: The residential part makes up a big share of the market, influenced by more people living in cities and the increase of households with two incomes. Busy lives and not having much time for chores have made people depend more on professional laundry services. Subscription plans and pickup and delivery services have helped this part grow even more.
- Commercial: The commercial segment comprises hotels, hospitals, and gyms, which generate a lot of laundry often. Hotels and restaurants, in particular, require high-quality laundry services to maintain their standards. The demand for special laundry services, such as stain removal and cleaning uniforms, keeps this part growing.
MARKET DYNAMICS
Market dynamics include driving and restraining factors, opportunities, and challenges stating the market conditions.
Driving Factors
"Increasing urbanization and busy lifestyles"
Cities change people's lives around the world. That is why people need to do laundry, and hence, the laundry services grow. In the cities, the majority of people work longer hours and at the same time engage in more social activities, so professional laundry services save more time and effort; thus, they are really important for city homes. This trend is helpful for the laundry service market as people are more dependent on these services for their everyday needs. The continuous rise of the city population and busier lives are expected to be factors in the continued laundry service market growth.
"Technological Advances in the Laundry Industry"
Especially with the advent of new technologies like IoT-enabled washing machines, AI-powered sorting systems, and easy-to-use mobile apps, the laundry industry has changed. Operations have become more straightforward, mistakes reduced, and customer satisfaction higher with automation and digitalization. Customers can now set up pickups, follow their laundry as it happens, and pay easily through mobile apps. These enhancements have significantly streamlined operations and increased the ease-of-use experience for customers, contributing to laundry service market share gains. The ability to deliver tech-based convenience has enabled laundry service operators to capitalize on market momentum and expand the laundry service market.
Restraining Factor
"High Start-Up Costs "
Although the laundry service market holds much promise, the very high startup costs required to establish a modern laundry operation are still an important obstacle. It takes a lot of money to start a laundromat or full-service laundry business because it requires special machines, a place, and running the business. Such costs may be deterrents to small businesses and new companies entering the market, especially in areas where people are prudent about money or still developing. The high costs also limit the growth of some businesses already in the area, which slows down growth in those areas.
Opportunity
"Growth in Developing Countries"
Developing economies hold a good opportunity for the laundry service market as there is unutilized potential. As these places witness rapid urban growth and increasing disposable income, there is a growing demand for professional laundry services. They are realizing time-saving advantages and better hygiene, which are brought to them by professional services. Companies that create affordable and easy-to-grow business models for these markets can gain a large market share. Expanding into new economies is an important way to grow, giving the benefits of new customers and the chance to influence what people want early in the market's development.
Challenge
"Strong Competition from In-House Laundry Solutions"
With more affordable washing machines and effective detergents, several families now wash clothes from home. Competition between such service providers who provide higher value becomes very tough to counter. In that sense, for a service provider to stand apart from the crowd, extra amenities such as pick-up and drop-off, eco-friendly activities, and service quality are all requirements. Providers who can clearly explain their special benefits and adapt to changing customer needs are likely to maintain or continue to grow their market share despite the obstacles.
LAUNDRY SERVICE MARKET REGIONAL INSIGHTS
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North America
The North American laundry service market is very advanced, and the U.S. constitutes the biggest part. The United States laundry service market likes using new technologies like mobile payment systems and app-based laundry services. In addition, the rising number of single-person households and the increased need for outsourcing household chores are pushing up the demand for laundry services.
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Europe
Europe's laundry service market is growing due to the increasing number of people moving into cities and there is more emphasis on the environment. Germany, the U.K., and France are some of the countries that significantly contribute because there is a high demand for quality services in homes and businesses. Many laundry service providers in Europe emphasize sustainability by using energy-efficient systems and biodegradable detergents in order to satisfy customer needs and government regulations.
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Asia
Asia Pacific is expanding fast in the laundry service market since more people are staying in cities and income levels are rising. In regions, such as China, India, and Japan, there's a massive increase in demand for convenient and low-cost laundry services. Young people with mobile payment capabilities and those accessing online laundry services make the concept of laundromats highly popular in this region. The rise of smart cities in Asia is also making way for people to utilize automated and digital laundry solutions.
KEY INDUSTRY PLAYERS
"Key Industry Players Shaping the Market Through Innovation and Market Expansion"
The laundry service market has several key players that are adopting different strategies to sustain their presence in the market and enhance their market share. Most of the companies are focusing on adopting advanced technologies such as IoT-enabled washing machines and app-based platforms to attract tech-savvy customers. Others are focusing on sustainability by introducing eco-friendly detergents and water-saving machines, thus attracting environmentally conscious customers. Many strategies, of course, involve partnerships with corporate clients and subscription-based services. Other players are pushing into emerging markets to seize market share as demand for low-cost, efficient laundry solutions rises in those markets.
List of Top Laundry Service Companies
- EnviroStar [United States]
- PML Solutions Pvt [India]
- WASHMEN [United Arab Emirates]
- Huntington [United States]
- Laundrapp Ltd [United Kingdom]
- ODTAP [United States]
- CSC ServiceWorks [United States]
- LaundryWala [India]
- Tide Spin [United States]
- DRYV [United States]
- FlyCleaners [United States]
- Edaixi [China]
- CLEANLY [United States]
- Wassup [United States]
KEY INDUSTRY DEVELOPMENTS
October 2023: CSC Service Works revealed a major strategic alliance with a leading national retail chain for the expansion of its laundry and vending services across a range of locations. This joint venture was designed to integrate CSC's innovative technology platforms and extensive service management experience to transform on-premises laundry facilities. It is one of the primary growth strategies for the company, which will help them improve the customers' experience through digital payments, real-time machine monitoring, and mobile app integration. Combining the technical infrastructure with the vast network of the retail chain, CSC Service Works positioned itself to gain a larger share of the market in the commercial and multi-housing laundry service segment, demonstrating continued expansion and technological innovation in its core business model.
REPORT COVERAGE
This report gives an in-depth study of the laundry service market, based on market segments, trends within regions, and important news related to the industry. It deals with market shares, growth trends, as well as future opportunities alongside discussing challenges and limitations that confront the industry.
REPORT COVERAGE | DETAILS |
---|---|
Market Size Value In |
US$ 80 Billion in 2024 |
Market Size Value By |
US$ 120 Billion by 2033 |
Growth Rate |
CAGR of 4.6% from 2024 to 2033 |
Forecast Period |
2025-2033 |
Base Year |
2024 |
Historical Data Available |
Yes |
Regional Scope |
Global |
Segments Covered | |
By Type
|
|
By Application
|
Frequently Asked Questions
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What value is the Laundry Service Market expected to touch by 2033?
The Laundry Service Market is expected to reach USD 120 billion by 2033.
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What CAGR is the Laundry Service Market expected to exhibit by 2033?
The Laundry Service Market is expected to exhibit a CAGR of 4.6% by 2033.
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Which is the leading region in the Laundry Service Market?
North America is the prime area for the Laundry Service Market because to top players of the market are from this region.
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What are the driving factors of the Laundry Service Market?
Increasing urbanization busy lifestyles and Technological Advances in the Laundry Industry are the drivers of the market.