Out to dry: while the household market for dry cleaning is expected to continue shrinking

Declining demand for professional dry cleaning services, unfavorable shifts in consumer preferences and increasing competition from coin-operated laundromats, household washing machines and other substitute products have led to the Dry Cleaners industry's decline over the past decade. Consequently, industry revenue is expected to decrease over the five years to 2018.Even as macroeconomic conditions improved for many US households, unfavorable shifts in consumer preferences toward casual clothing have continued to challenge industry operators. IBISWorld expects industry revenue to continue declining over the five years to 2023, albeit faster than the previous period...purchase to read more.

Industry Statistics & Market Size
Revenue
$9bn
Annual Growth 13-18
-0.7%
Forecast Growth 18-23
Profit
Employment
142,300
Businesses
35,726
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Steadier demand from commercial clients is expected to lead more operators to focus on this segment
  • The industry has been subject to a wide range of federal and state regulations related to perchloroethylene
  • A rise in the number of businesses is forecast to boost demand for full-service laundry services
  • Industry Report - Industry Key Buyers Chapter

    The Dry Cleaners industry has a very low level of market share concentration. In 2018, the top three dry cleaning companies, all of which are national franchisors, are expected represent less than 4.0% of total industry revenue. Furthermore, the top 50 dry cleaners combined are expected to generate only 9.0% of industry sales. Since the majority of enterprises are family-owned companies that employ less than five people, the industry remains highly fragmented. Most companies operate with a limited geographic scope and serve local or regional clientele.Despite the industry's highly fragmented nature, there has been some industry consolidation in recent years. For...purchase to read more.

    Additional Insights for the Dry Cleaners Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Dry Cleaners Industry are

  • Ability to quickly adopt new technology
  • Ability to accommodate environmental requirements
  • Proximity to key markets
  • IBISWorld analysts also discuss how external factors such as Per capita disposable income and External competition for the Dry Cleaners industry in the Dry Cleaners industry impact industry performance..

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    What's in this report

    What is the Dry Cleaners Industry?

    Establishments in this industry provide dry cleaning and laundering services. Companies may also provide drop-off and pick-up sites for customers. In addition, establishments may also offer specialty cleaning services for garments and textiles such as fur, leather, suede, wedding gowns, draperies and pillows. This industry does not include coin-operated laundromats, nor does it include companies that generate most of their revenue from linen and uniform rentals.

    Industry Products
  • Commercial full-service laundry
  • Retail dry cleaning and laundry services
  • Commercial dry cleaning services
  • Industry Activities
  • Full-service dry cleaning
  • Full-service laundry
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Per capita disposable income
  • External competition for the Dry Cleaners industry
  • Number of businesses
  • Households earning more than $100,000
  • National unemployment rate

  • Current Performance
  • Dry clean only
  • Regulatory woes and product innovation
  • Industry restructuring
  • Chart: Revenue Growth

  • Industry Outlook
  • The commercial market
  • Industry landscape
  • Table: Dry Cleaners Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Dry Cleaners Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Retail Trade
  • Formal Wear & Costume Rental
  • Hospitals
  • Accommodation and Food Services
  • Consumers

  • Key Selling Industries
  • Chemical Wholesaling
  • Industrial Machinery & Equipment Wholesaling
  • Soap & Cleaning Compound Manufacturing
  • Water Supply & Irrigation Systems

  • Products & Services
  • Retail dry cleaning and laundry services
  • Commercial dry cleaning services
  • Commercial full-service laundry
  • Other
  • Chart: Dry Cleaners Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households
  • Commercial
  • Nonprofits and other institutional clients
  • Chart: Major Market Segmentation for the Dry Cleaners Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Wages
  • Purchases, rent and utilities
  • Depreciation
  • Marketing
  • Chart: Cost Structure Benchmarking – Sector vs Dry Cleaners

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Dry Cleaners Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Dry Cleaners Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Dry Cleaners Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Per capita disposable income (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Dry Cleaning
  • Cleaning process that uses a chemical solvent rather than water.
  • Pce
  • Common solvent used in the dry cleaning process that has been subject to increased environmental regulations.
  • Wet Cleaning
  • Alternative to using PCE as a solvent for dry cleaning. It is water-based and uses detergents.
  • What Our Customers Say

    Why buy this report?

    The Dry Cleaners industry market report contains strategic analysis of the key drivers influencing the industry. Save hours of time on research and prospecting using IBISWorld’s standardized, up-to-date reports on thousands of industries. Our industry research provides growth and profit forecasts for a five-year outlook period, presented in a clear and user-friendly format.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Dry Cleaners:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Dry Cleaners market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Dry Cleaners, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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