the market for laundries | Portugal

1.1 Market Presentation

The market for automatic (or self-service) laundries is part of the wider retail laundry market. This activity consists in making washing machines and dryers available to the public for a period of occasional use,  at a rate per kilo or per piece. Therefore, we can distinguish laundry from dry cleaning where one or more individuals provide services of dry cleaning and/or ironing of clothes. In contrast to dry cleaning, in an automatic laundry it is sometimes possible to find alternative services for individuals who are waiting until the end of the washing process, such as a cybercafé or a fast-food area.

Laundromats are generally located in the city centre or near accommodation areas (student residences, campsites, etc.). When integrated into a franchise network, they benefit from the reputation, experience and know-how (administrative, commercial, technical and maintenance) of this network.

The self-service laundry is a business model that has become very popular in Portugal in recent years, especially during the crisis when many Portuguese stopped buying washing machines. The Portuguese market, which grew with an average of 8.38% per year between 2015 and 2019, is characterized by a high fragmentation into several small players. Thus, to face the competition, some new trends are emerging to transform the experience into something more pleasant for consumers, such as offering internet access, comfortable cafeterias and other amenities to make the waiting time something more pleasant.