Tracking key performance indicators (KPIs) is essential for running a profitable and efficient laundromat. KPIs provide measurable data that helps you understand how your business is performing across operations, revenue, and customer experience. By reviewing these metrics regularly, you can identify problems early, optimize performance, and make smarter business decisions.
Revenue Per Machine
Revenue per machine shows how much each washer or dryer is earning on average. It helps identify which machines are underperforming, when to raise prices, or whether upgrades are needed. This metric also gives a quick snapshot of whether your layout and equipment mix are generating optimal returns.
- Calculate by dividing total monthly revenue by the number of machines
- Compare usage between small, medium, and large machines
- Use to evaluate the impact of price changes or promotions
- Helps plan new machine purchases or reconfigurations
Revenue Per Square Foot
This metric tells you how efficiently you are using your physical space. A high-performing laundromat maximizes revenue by optimizing layout, reducing wasted areas, and adding high-value services. Comparing revenue per square foot to industry benchmarks helps you assess overall store productivity.
- Calculate by dividing total monthly revenue by total square footage
- Useful for evaluating expansions or remodeling decisions
- Helps justify adding vending, folding stations, or drop-off services
- Identify underutilized space for potential revenue opportunities
Customer Turnover Rate
Customer turnover rate measures how many customers use your laundromat during a given time period. This metric helps determine peak business hours, monitor changes in foot traffic, and evaluate the effectiveness of marketing campaigns. Understanding turnover also supports better staffing and scheduling decisions.
- Track customer visits daily, weekly, and monthly
- Use click counters, security cameras, or POS systems to monitor traffic
- Identify peak usage times to adjust staffing and cleaning schedules
- Measure customer growth following promotions or outreach efforts
Machine Utilization Rate
Machine utilization rate tells you how frequently your washers and dryers are used during business hours. Low utilization may indicate poor traffic flow, bad layout, or underperforming equipment. High utilization signals strong demand—but may also indicate the need for more machines or faster turnaround.
- Calculate by dividing hours of machine usage by total hours available
- Separate by machine type (top-load, front-load, large-capacity)
- Track changes after price adjustments or service upgrades
- Optimize machine spacing and signage to improve usage
Average Ticket Size
This KPI shows how much money the average customer spends per visit. Increasing the average ticket size through upselling, bundling, or premium services can significantly boost profitability. Tracking this metric helps you evaluate the impact of promotions and loyalty programs.
- Divide total daily or weekly revenue by number of customer visits
- Encourage upgrades (e.g., larger machines, wash-and-fold, detergent add-ons)
- Use signage or staff training to promote premium services
- Track results from coupons, bundles, or upsells
Wash-and-Fold Profit Margin
For laundromats offering wash-and-fold service, profit margin is a key indicator of how efficient and profitable that service is. You need to monitor labor costs, detergent expenses, packaging, and turnaround times. A healthy margin helps justify keeping the service or expanding it.
- Subtract total cost of service (labor, supplies) from total revenue
- Track profit per pound or per order
- Measure time per load to improve efficiency
- Adjust pricing to maintain sustainable margins
Pickup & Delivery Metrics
Laundromats that offer pickup and delivery should monitor specific KPIs tied to this service. These include cost per pickup, route efficiency, average delivery time, and order value. Tracking these metrics helps you scale the service without losing profitability.
- Track revenue and cost per delivery route
- Measure on-time delivery percentage and order accuracy
- Monitor average order value for delivery vs in-store
- Use route planning tools to reduce travel time and fuel costs
Labor Efficiency
Labor is often one of the highest controllable costs in a laundromat. Measuring labor efficiency ensures you’re not overstaffing or wasting employee time. It’s especially important for stores with attendants, wash-and-fold services, or customer support needs.
- Track payroll hours versus total revenue
- Use KPIs like revenue per labor hour or loads per employee
- Monitor staff task time (folding, cleaning, customer assistance)
- Optimize scheduling during peak and off-peak hours
Customer Satisfaction Metrics
Happy customers are more likely to return, leave reviews, and recommend your business. Use customer satisfaction scores, surveys, online reviews, and complaint logs to gauge your performance. High satisfaction correlates directly with customer loyalty and revenue growth.
- Track star ratings on Google, Yelp, and Facebook
- Conduct periodic in-store or email surveys
- Monitor Net Promoter Score (NPS) if possible
- Review complaint trends to identify recurring issues
Utility Cost Ratio
Water, gas, and electricity are significant expenses for laundromats. The utility cost ratio shows how much of your revenue is consumed by these essential services. Monitoring this number helps you spot inefficiencies and know when to invest in more efficient equipment.
- Calculate by dividing total utility costs by total revenue
- Watch for seasonal spikes or abnormal usage
- Upgrade to high-efficiency machines to lower this ratio
- Compare to historical benchmarks and industry standards
Conclusion
Laundromat KPIs are essential tools for measuring performance, improving operations, and growing your business. By tracking the right metrics—revenue per machine, customer visits, profit margins, and more—you can identify what’s working, fix what’s not, and build a smarter, more profitable laundry operation. Regular reviews and adjustments based on these KPIs will keep your business strong and sustainable.
