http://money.cnn.com/2014/04/17/smallbusiness/laundromat-cafe/index.html?iid=A_SB_News
Laundry bars originated in the 80's and apparently are making a come back, but in a classier format. The originals were plastic seats and cheep beer, but this article describes a coffee house/brewery/gourmet sandwich shop with all wood seating that also does your laundry. It is a creative new industry and although it is a rather narrow market, when located wisely, it seems to be a lucrative new small business.
This is a new thing to me, so I find it to be a really cool, innovative idea. I feel that this could be especially popular at a big university like Ohio State, where laundry is a constant hassle for undergrads. If the idea were to take off and become a popular activity among college students, perhaps it would spread like wild fire. Either way, pretty cool stuff.
ReplyDeleteI really like this idea and it is great they are able to take advantage of the opportunity they have found. As one of the first people in the market with this business idea, they are really able to capitalize on their opportunity.
ReplyDeleteVery neat. What a smart entrepreneur. Not only will this work at colleges and universities, but it will work in low income areas where people need to do laundry outside of their home.
ReplyDeleteI think it's a great business idea. However, this business can be profitable only if it is set up in the right place and knows the population's preferences.
ReplyDeleteAs commented by Cassi, "Around 10% of the laundromat customers order food or coffee at the cafe". That's a very low percentage ie if 100 people come to do their laundry, only 10 of them will eat food. Spending so much for this turn out is not profitable.
However, Zalles location is perfect for this business to do well.
This is an interesting idea, as I feel it would be very beneficial to college students. This business would only work at college and universities I believe, or areas similar to that idea - a place where people want to go out and socialize. Being to grab some food and do your laundry while still being social is a great idea.
ReplyDeleteI agree with Rick that this will likely be very beneficial, and maybe even targeted mostly towards college students. However, this likely also attract consumer demographics from older generations who remember these laundry bars in the 80s. People who feel nostalgia about these may be attracted back to the services offered at these institutions.
ReplyDeleteI think that this is a pretty cool idea. If a laundry bar/coffee shop were to open up near campus I would definitely take advantage of it simply because I love coffee. I think that laundry bars would have the opportunity to find success near college campuses of all types. Matt made a good point, older generations who remember laundry bars from the 80s will definitely be attracted to them today. With that being said, I think that Laundry bars will also have the opportunity to be successful in places heavily populated of older generations (such as Florida). Overall I think that the concept of a Laundry bar is a great idea, and I hope they become popular once again.
ReplyDeleteThis seems hip, but I wonder what the price for getting laundry done with benefits costs. $25,000 is a decent amount to spend on a small space laundromat, so there must be a break-even profit generously larger than an average errand store. But the increasingly popular specialty grocery stores may be the model the creators of laundry bars are basing their business plan on. It will be interesting to see how they do in their start-up years.
ReplyDelete