The laundromat industry in the United States – a roughly $6.8 billion sector in 2025 – remains a resilient and essential service business. Laundromats have historically shown stability through economic ups and downs, with consistent demand as people always need clean clothes. In fact, laundromats boast an unusually high five-year success rate of 94–95%, far above many other small businesses. However, 2025’s laundromat is not the gritty, unchanging coin-op of decades past. The industry is undergoing significant transformation, driven by new technologies, evolving consumer behaviors, and a growing emphasis on sustainability. The following report examines the state of U.S. laundromats in 2025 – from financial performance and market trends to technological innovations, shifting customer preferences, and eco-friendly initiatives – with data and examples to inform industry professionals.
Financial Performance and Market Trends
Market Size and Growth: The U.S. laundromat (coin-operated laundry) industry has maintained a market size of about $6.8 billion in 2024, with projections holding around that level into 2025. Industry revenue growth has been modest in recent years (approximately 2.3% CAGR from 2020 to 2025) and is flat to slightly down (~−0.2%) in 2025. This slight dip follows a strong post-pandemic rebound – for example, revenues in 2023 jumped ~8% for independent laundromats, according to the Coin Laundry Association (CLA), as operators raised prices and recaptured demand. In a broader context, including dry cleaners and full-service laundry, the U.S. laundry services market reached about $9.8 billion in 2024 and was forecast to grow ~6% to $10.3 billion in 2025, indicating healthy overall demand for laundry services. Laundromats remain a stable sub-sector within this market, valued for their steady cash flow and necessity-based usage.
Number of Facilities: Estimates of laundromat businesses vary. Approximately 18,000–30,000 laundromats operate across the country, depending on definitions. IBISWorld data (which may count only dedicated self-service laundromat companies) put the number at 18,374 businesses in 2025, reflecting a slight decline of −1.1% from 2024. Other industry sources, including the CLA, often cite 25–30k locations nationwide. The store count has seen a gradual −0.5% annual decline (2020–2025), partly due to aging owners retiring and marginal stores closing. At the same time, industry consolidation is underway – larger regional operators and franchises are acquiring smaller mom-and-pop laundromats in some markets. Multi-store ownership is on the rise, as successful operators reinvest to open or buy additional locations. This consolidation is creating better-capitalized laundromat chains that can invest in modern equipment and marketing, though independent stores still dominate and thrive by focusing on personalized service and local community ties.
Revenue and Profitability: An individual laundromat’s financial performance varies widely by location and size, but the business model generally yields solid returns. A typical store might gross anywhere from $30,000 up to $1 million in annual revenue depending on its capacity and services. Many neighborhood laundromats report weekly gross incomes ranging from about $1,000 (for a very small store) to $10,000+, while large high-volume urban stores can gross $20,000–$50,000 per week. Profit margins are attractive, averaging 20% to 35% in many cases. Even with rising costs, a well-run laundromat can net a healthy profit – sometimes $50,000 to $200,000+ per year in owner income for a single store, according to industry benchmarks. This strong profitability and cash flow (often largely cash/card based and paid upfront) contribute to laundromats’ reputation as “cash generators.” It’s not uncommon to achieve a 20–30% return on investment (ROI), and some experienced owners report even higher cash-on-cash ROIs (20–100%) when buying underperforming stores and improving them. Such figures continue to attract investors and entrepreneurs to the industry in 2025.
Cost Pressures: Despite solid revenues, laundromat owners in 2025 face mounting cost pressures that squeeze margins. Utilities (water, sewer, electricity, natural gas) are a laundromat’s single biggest expense after rent – and utility rates have been climbing. Older, inefficient equipment can make utilities account for as much as 30–40% of revenue. With energy prices and water costs trending upward (electricity alone is projected to rise ~2% in 2025 nationally), owners are seeing higher monthly bills. For many stores, water/sewer bills of $1,000–$5,000+ per month are common, and combined utility expenses can easily total $2,000–$6,000 or more per month for a mid-sized laundromat. In addition, rent and real estate costs in urban areas have risen with inflation and demand, and labor wages for attendants or maintenance staff have increased due to labor market trends. The CLA notes that by 2024, many operators were “paying more for almost everything, from utilities to equipment,” after a bout of high inflation. These factors put downward pressure on profit margins even as laundromats raise vend prices (the cost per wash or dry cycle) to compensate. Operators are responding by investing in cost-saving technologies – such as high-efficiency machines and solar energy – and by running leaner staffing models (some opting for unattended stores or fewer attendants per shift).
Investment and Industry Outlook: Laundromats in 2025 continue to be seen as a solid investment class within small businesses. Their high success rate and steady demand make them relatively low-risk compared to restaurants or retail startups. The industry’s resilience during economic uncertainty (laundry needs don’t disappear in recessions) and the prevalence of coin/card payments (which provide immediate cash flow) are attractive to investors. Many new buyers are entering the market, from individual entrepreneurs to private equity-backed regional chains, driving a professionalization of the industry. At the same time, existing profitable laundromat owners are reinvesting – upgrading stores and even expanding to multiple locations. Equipment manufacturers and laundromat franchise companies report strong interest in new store development and equipment upgrades heading into 2025. Overall, the market trend is one of cautious growth and modernization. While the total number of stores isn’t skyrocketing, the average revenue per store is rising due to service diversification and price increases, and the overall industry revenue is stable to growing slowly. Looking ahead, analysts expect the U.S. laundromat sector to maintain its stability, with potential for growth in high-demand urban areas and niche markets, so long as operators continue adapting to technology and consumer preferences.
Technological Innovations Transforming Laundromats
A notable feature of the 2025 laundromat industry is the rapid adoption of new technologies to improve operations and customer experience. Once a cash-and-coin, low-tech business, laundromats are now leveraging everything from mobile apps to IoT sensors. Key tech innovations include
Cashless and Mobile Payments: Laundromats are increasingly moving away from quarters and bills toward digital payments. As of 2024, about 55% of laundromats accept credit/debit cards or mobile app payments, up from only ~30% in 2022. This shift to cashless or touchless payment systems is accelerating in 2025. Customers can use smartphone apps or contactless cards (or services like Apple Pay/Google Pay) to start machines, eliminating the hassle of carrying coins. For owners, cashless systems streamline collection, reduce theft/vandalism associated with coin boxes, and even cut maintenance (no jammed coin mechs). These systems often come with digital loyalty programs and bonus credit features that encourage repeat business. They also provide useful data – for instance, operators can track usage patterns and revenues in real time. Importantly, contactless payments meet consumer demand for hygiene and convenience, a priority since the COVID-19 pandemic (many patrons appreciate not handling cash in a laundry setting). Overall, embracing modern payment tech has become almost a necessity for competitive laundromats.
Smart Washers, Dryers and IoT Integration: The latest generation of commercial laundry machines are “smart” and connected. IoT-enabled washers/dryers come with sensors and internet connectivity that allow for remote monitoring and management. In practice, this means an owner can check machine statuses, cycle progress, and error alerts from a computer or phone dashboard. The machines can send alerts when maintenance is needed – for example, if a dryer’s airflow is restricted or a washer’s bearing is wearing out, the system flags it before a breakdown occurs. This predictive maintenance helps avoid costly downtime and emergency repairs. IoT dashboards also provide analytics on usage (e.g. which machines are most popular, what times are busiest) that help in optimizing operations. Some laundromat owners use these insights to adjust pricing or machine mix. Additionally, smart machines often have features like remote start/stop or cycle programming, and some can notify customers (via a linked app) when their load is done. The trend toward networked laundromat equipment is making operations more efficient and giving both owners and customers more control and information.
Customer-Facing Mobile Apps: Hand-in-hand with IoT machines are mobile applications for customers. Around 25% of laundromats now offer a dedicated app or web-based service for patrons to interact with the facility. These apps typically allow users to see machine availability in real time, reserve machines in advance at some locations, and receive notifications when their wash or dry cycle is complete. They also handle payments and can integrate promotions or loyalty rewards. The result is a smoother customer experience – no more waiting around aimlessly for a free dryer or timing returns inaccurately. In busy urban laundromats, for instance, an app can let a customer know “4 washers will be free in 10 minutes,” or send an alert that “your dryer will finish in 5 minutes,” which improves satisfaction and throughput. Some apps even enable customers to report machine issues or request assistance without hunting for an attendant. In 2025, offering a user-friendly mobile app is becoming a competitive differentiator, especially in tech-savvy city markets.
Automation and 24/7 Operations: Technological advancements have also enabled greater automation in laundromat operations. Many newer laundromats have self-service kiosks for purchasing credit or detergent, automated door locks, and advanced security systems – allowing them to run unattended for extended hours. In fact, fully 24-hour laundromats are more feasible now because owners can remotely monitor cameras and machine status from home, and even communicate with customers via intercom or support hotlines. While not every community can support an unattended 24/7 laundromat, a significant portion of stores now operate with minimal on-site staff, especially during off-peak hours. Extended hours cater to customers with unconventional schedules and give laundromats a way to increase revenue without major labor costs. By 2025, roughly one in five laundromats in some regions are open round-the-clock, and many others have late-night hours (e.g. till 11 p.m. or beyond). This trend is directly tied to tech: remote surveillance, automated payments, and machine sensors allow peace of mind and control for owners even when nobody is physically present at the store.
Artificial Intelligence and Data Analytics: A cutting-edge trend emerging in 2025 is the use of AI tools and advanced analytics to optimize laundromat operations. About 10% of laundromat operators have begun piloting AI-driven software for tasks like dynamic pricing, demand forecasting, and customer engagement, according to a CLA tech report. For example, AI algorithms can analyze historical usage data and suggest optimal price adjustments (e.g. offering discounted drying on slow weekday afternoons to attract more business, or surge pricing at peak Saturday times for extra revenue). AI can also help with inventory management (ensuring vending machines or detergent supplies are stocked appropriately based on predictive usage) and even with customer service via chatbots or automated SMS updates. Some forward-thinking laundromats use AI-based scheduling to allocate staff or to promote specials when the system predicts a lull. While these applications are still in early stages, they hint at a future where data-driven decisions play a bigger role. Even without formal AI, many owners in 2025 are using the rich data from their payment systems and IoT machines to inform decisions – essentially bringing an analytical mindset to what used to be a simple operation. The consensus is that technology is no longer a luxury but a necessity for competitive laundromats, and those who adopt modern tools are seeing improvements in efficiency, revenue, and customer satisfaction.
Shifts in Consumer Behavior and Preferences
Changing consumer habits and expectations are a major force shaping the laundromat industry in 2025. Today’s laundromat customers value convenience, cleanliness, and experience more than ever before, leading operators to adjust their offerings. Key shifts in consumer behavior include:
Preference for Contactless Convenience: Modern consumers – especially after the pandemic – strongly prefer contactless and convenient services. This is evident in the popularity of cashless payments and app-based interactions mentioned above. Customers appreciate not only the hygiene of avoiding cash/coin handling, but also the general ease of minimizing in-person transactions. Many patrons now seek out laundromats that allow them to load funds or pay via their phone, and even choose locations that offer “drop-and-go” services (where they can leave laundry with minimal contact). The COVID-19 era boosted demand for minimal-contact options, and that trend persists in 2025 as a matter of convenience. Additionally, busy urban consumers are increasingly drawn to on-demand laundry services – if a laundromat offers pickup and delivery via a third-party app or in-house service, there is a segment of customers willing to pay a premium for the ultimate convenience. Overall, laundromat users have higher expectations for service speed and simplicity: they want to get their laundry done with as little friction as possible, and they’re gravitating toward businesses that enable that.
Demand for a Premium/Luxury Experience: There is a clear push towards premium amenities and environments in the laundromat world. No longer content with dim, plastic-chair storefronts, customers (especially middle and upper-income renters who don’t have in-unit laundry) are seeking out upscale laundromats that make the chore more pleasant. In fact, a recent housing survey found 67% of new urban rental units lack in-unit laundry facilities, which means even many affluent city dwellers are potential laundromat customers. Operators are responding by upgrading their stores: modern laundromats often feature bright, clean interiors with contemporary décor, free Wi-Fi, comfortable seating, TVs, and even cafés or lounges. Some “boutique” laundromats offer coffee/espresso bars, co-working spaces, or children’s play areas – transforming the venue into a community hangout where people don’t mind spending an hour or two. These premium touches not only attract customers but also allow owners to differentiate from competitors and justify higher prices (for example, charging a bit more per load in exchange for an air-conditioned, well-lit, safe environment with extra services). Cleanliness is a particularly critical factor in customer choice now – over 80% of patrons say a clean, well-maintained facility is a top deciding factor when choosing a laundromat. This has made daily cleaning, machine upkeep, and even fragrance (no musty smells!) part of the “luxury” feel. In short, customers in 2025 show a willingness to pay for quality-of-life improvements in their laundromat experience, and the industry is trending toward more “hospitality mindset” in design and service. Laundromats that provide a premium experience – sometimes branded as “laundry cafés” or “destination laundromats” – are raising the bar for customer expectations across the board.
Frequency of Use and Loyalty: For many Americans, using a laundromat is a weekly or bi-weekly routine born of necessity (for those without washers at home), and this hasn’t changed. What’s notable is the loyalty and local nature of the customer base. Studies show that a large majority of laundromat customers – about 87% – live within a mile of the facility they use. Once they find a laundromat they like, they tend to stick with it: roughly 90% of patrons become repeat customers of a given store. This means frequency of use is high (typically a customer might visit once a week or at least a few times a month to keep up with household laundry) and keeping those repeat customers happy is crucial. In 2025, consumers have shown they will remain loyal if their expectations are met, but they are also less hesitant to switch if a better option (closer, cleaner, or offering more services) comes along. One behavioral shift is that customers increasingly value time-efficiency – many are willing to pay for larger machines to do laundry in fewer cycles, or use a service where they can drop off clothes and save time. The growth of wash-dry-fold (WDF) drop-off service reflects this; people with busy schedules who might have self-serviced before are now handing their laundry to professionals. Likewise, the work-from-home trend has somewhat changed laundry patterns (e.g. fewer office clothes to wash, but more casual wear and home linens), though it hasn’t reduced overall frequency dramatically – if anything, being at home means some might do laundry more regularly. The key is that laundromat users in 2025 expect their regular laundry trips to be as smooth and efficient as possible, and they show strong loyalty to businesses that deliver consistency and convenience.
Shift to Service and “One-Stop” Convenience: Another behavioral trend is that consumers increasingly appreciate value-added services related to laundry, effectively expecting more than just self-service machines. To meet this, over 60% of laundromats in major cities now offer wash-and-fold services (where customers drop off dirty clothes and pick up neatly folded, clean laundry), a jump up from about 40% in 2019. Many laundromats have also become package drop points or dry-cleaning pickup spots, or added small retail sections (selling laundry detergents, dryer sheets, and even snacks or toiletries). This is driven by consumer desire for a one-stop shop for cleaning needs. If a customer can do their self-service laundry, leave a portion for full-service, and maybe buy a detergent or grab a coffee – all in one place – they perceive a higher level of convenience. Furthermore, the rise of app-based economy influences behavior: some laundromat patrons use laundry pickup and delivery apps (like Washio, Rinse, SudShare, etc.) which are often fulfilled by local laundromats. The Press Cleaners “Into the Fold 2025” report found that pickup & delivery orders averaged ~$80 per order, versus ~$44 for drop-off – indicating customers will indeed spend more for at-home convenience. Laundromat owners see this and are adapting to capture that high-end segment. In sum, the 2025 consumer expects their laundromat to offer flexible service options (self-service, drop-off, delivery), a good atmosphere, and modern conveniences. They are less price-sensitive than in the past if these needs are met, which opens the door for higher-margin services but also raises the bar for operational excellence.
Sustainability and Eco-Friendly Initiatives
Sustainability has become a key focus in the laundromat industry as both owners and customers prioritize environmentally friendly practices. In 2025, “going green” is not just a social responsibility checkbox – it also aligns with cost savings on utilities and appeals to a growing segment of eco-conscious consumers. Several eco-friendly initiatives are increasingly common:
Energy- and Water-Efficient Equipment: One of the most impactful moves is upgrading to high-efficiency washers and dryers. New commercial front-load washers use significantly less water and electricity per load than older models – often 25–30% less in both water usage and energy consumption, according to Energy Star data. Major manufacturers have released models boasting even up to 50% water savings and shorter cycle times to cut energy use. By 2025, a large number of laundromat owners have replaced aging equipment with ENERGY STAR®-rated machines, which directly reduces operating costs. Since utilities can account for a hefty portion of revenue (older inefficient stores can see 30–40% of gross income go to utility bills), these upgrades quickly pay for themselves. High-speed washer extractors (with G-force spin that removes more water from clothes) are popular because they shorten drying times and thus save gas/electricity in dryers. Likewise, efficient dryers with moisture sensors stop as soon as clothes are dry, avoiding wasted energy. The typical new laundromat in 2025 is equipped with all high-efficiency machines, LED lighting, and smart thermostats for climate control – drastically cutting energy and water consumption compared to older facilities.
Resource Conservation Systems: Beyond efficient machines, many laundromats are implementing systems to conserve and reuse resources. For example, some operators install water reclamation systems that recycle graywater from the wash (after proper filtering and treatment) for use in initial wash cycles or for other cleaning purposes. A few have even partnered with innovators to reuse wastewater heat to pre-warm incoming water. Solar energy is another initiative: laundromats with sufficient roof space are adding solar panels to offset electricity use, or solar thermal systems to preheat hot water for washers. These investments are often supported by government green-energy incentives or rebates, which make them more affordable. Additionally, simple steps like installing low-flow water fixtures (to reduce sink water usage) and using programmable high-efficiency water heaters contribute to conservation. In 2025, these kinds of upgrades are becoming mainstream as owners seek to shield themselves from rising utility costs and market themselves as eco-friendly. Notably, about 40% of laundromat customers say that a laundromat’s eco-friendly practices influence their choice of facility – so being green is also a competitive advantage to attract that clientele.
Eco-Friendly Detergents and Supplies: Many laundromats are also promoting greener laundry products. It’s increasingly common to find vending machines or store shelves offering biodegradable detergents, phosphate-free soaps, and hypoallergenic or “natural” laundry products. Some laundromats partner with sustainable brands (for example, selling plant-based detergent sheets or refillable detergent stations). Others encourage customers to bring reusable laundry bags instead of disposable plastic bags, or even sell branded cloth laundry bags as an eco-friendly alternative. A handful of stores have gone further by using an ozone laundry system – which injects ozone into wash water to achieve cleaning with cooler water and less detergent – thus saving energy and chemical usage (this technology, more common in large industrial laundries, is slowly trickling into high-end self-service laundromats). In terms of recycling programs, laundromats are getting creative: many provide recycling bins for empty detergent bottles and dryer sheet boxes for customer use. Some participate in community textile recycling drives (e.g. collecting old linens or clothes for recycling on-site). While still niche, a few laundromats even recycle lint from dryers or compost it, highlighting a commitment to waste reduction. These initiatives, big and small, signal an industry-wide movement toward sustainability.
Sustainable Operations and Marketing: The push for eco-friendliness extends to daily operations and branding. Laundromat owners are training staff on water and energy conservation practices (for instance, running machines at full loads only, optimizing dryer temps, etc.). Many monitor their utility usage closely via smart meters or utility company programs to spot inefficiencies. From a marketing perspective, laundromats now often highlight their green initiatives in advertising – touting features like “all high-efficiency machines,” “we recycle 90% of our water,” or “solar-powered laundromat” to appeal to customers. This not only differentiates them in a competitive market but also aligns with broader consumer trends in 2025: customers, especially younger ones, prefer businesses that demonstrate environmental responsibility. In summary, sustainability has shifted from a secondary consideration to a central pillar of laundromat management in 2025, yielding benefits for the planet, the customer, and the business’s bottom line.
Conclusion and Outlook
In 2025, the U.S. laundromat industry stands at the intersection of tradition and innovation. On one hand, it remains the dependable neighborhood utility business – providing a basic service that millions rely on weekly, and doing so with financially stable results. On the other hand, laundromats have been rapidly evolving to keep pace with modern expectations. The industry’s current state is characterized by steady (if modest) financial performance, significant tech-driven upgrades, more service-oriented business models, and a growing commitment to sustainability. Laundromat owners and operators are leveraging new tools to improve efficiency and customer experience, from cashless payments and smartphone apps to AI analytics and energy-efficient systems. Consumers, for their part, have shown they value these improvements: they’re rewarding businesses that offer convenience, cleanliness, and care for the environment with their loyalty and higher spend per visit.
Looking ahead, these trends are likely to continue shaping the industry. Analysts predict that laundromats will retain their essential role in American life for the foreseeable future – even as more homes add laundry machines, urbanization and rental housing dynamics ensure a steady customer base. The outlook beyond 2025 is cautiously optimistic: laundromats that embrace innovation and adapt to consumer preferences are expected to thrive and even grow, whereas those clinging to old ways may slowly fade out. We can expect further technology integration, such as more data-driven decision making and perhaps the advent of subscription laundry services or fully automated “smart” laundromats. We will also likely see greater diversification – with many laundromats operating as hybrid service centers (self-service, drop-off, delivery, etc.) – and continued consolidation by savvy operators scaling up. Crucially, the fundamental demand for outsourced laundry is not disappearing; it provides a stable foundation upon which these new developments build. By combining time-tested aspects of the business with forward-thinking innovations, the U.S. laundromat industry in 2025 shows that even a humble coin-op laundry can reinvent itself for the modern age, remaining both profitable and relevant in the process.
Sources: The analysis above is based on 2024–2025 industry data and reports, including publications by the Coin Laundry Association, PlanetLaundry magazine, market research firms, and expert blogs.
