Dry-cleaning And Laundry Services Market Size, Share & Trends Analysis Report By Application (Residential, Commercial), By Services (Dry Cleaning, Duvet Cleaning, Laundry), By Region, And Segment Forecasts, 2023 - 2030

Market Size & Trends

The global dry-cleaning and laundry services market size was valued at USD 69.3 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 7.0% from 2023 to 2030. The dry-cleaning and laundry industry is experiencing growth due to rising demand from customers seeking convenient and cost-effective solutions for garment care. Consumer spending on these services is expected to further drive market expansion. As individuals lead increasingly busy lifestyles, they prioritize clean and well-maintained garments, leading to a greater need for professional laundry services. As per statistics published by Harvard Business Review in 2022, 86.5 million U.S. citizens have utilized an on-demand laundry and dry-cleaning service at least once in their lives.

In addition, 40% of these service users are between the ages of 18 and 34 years, indicating that the younger generation is driving the growth of the global industry.Since busy consumers are now prepared to pay for their laundry, dry cleaning, and laundry services are growing in popularity as dependable, practical, and reasonably priced services. The market is also being propelled by the increasing employment and spending expenditure of people in economically developing regions, as well as the growth in the hospitality sector and rising franchising opportunities. Technologically advanced Internet of Things (IoT)-enabled cleaning appliances and smart washing machines are also contributing to the market's growth by providing more efficient services.

There has been a notable shift in laundry practices among consumers, with a move away from home-based washing to coin-operated and on-demand services. This change is driven by a preference for convenience and time-saving measures, as individuals seek to juggle increasingly busy schedules. As a result, dry cleaning and laundry businesses are experiencing heightened demand for their services.The rising consumer awareness about environmental impact has created a demand for energy-efficient laundry services that utilize environmentally-friendly products and equipment. Companies, such as The Laundry Room, have seized this opportunity by incorporating eco-friendly practices into their business strategy, including the use of energy-efficient drying and washing machines as well as solar power.

In addition, the commercial services sector makes one of the largest customer segments for laundry facilities and dry-cleaning services. This involves hospitality, industry workers, factory or warehouse workers, healthcare sectors, beauty salons, and spas. In a majority of these sectors, tablecloths, upholstery, uniforms, sheets, and towels are soiled in large numbers at the end of every week. To cater to the rising demand from the commercial sector, many service providers have started upgrading their commercial laundry equipment to improve energy efficiency and attract more environment-conscious customers.

In addition, the convenience and accessibility of on-demand laundry services, with features, such as app-based booking, digital payment options, real-time tracking, and delivery at a specified time, have made them increasingly popular among customers. Consequently, full-cycle on-demand laundry services present an attractive business opportunity in the current market.Due to their exceptional services, attractive deals, such as coupons and discounts, and on-demand washing services have revolutionized the sector and have been on top of the most chosen services among consumers.

Numerous businesses, including Cleanly and Rinse, have already realized the enormous potential of these services and are investing heavily to improve their market share.Online laundry services are experiencing more demand as there are more hotels, hospitals, restaurants, and other business establishments. In addition, businesses strive to use cutting-edge technologies to provide fresh goods on the market. For instance, Girbau, S.A. introduced an 85kg capacity washing machine in April 2019. The product can remove moisture and cut drying time in half by reaching high extract speeds of up to 405 G-force. Such initiatives are expected to boost market growth in the coming years.

Services Insights

The laundry services segment dominated the market in 2022 with a share of more than 57.5%. These services are becoming more and more popular as a result of their dependability, technical developments in the laundry sector, and an increase in urbanization, all of which are expected to drive the market forward throughout the projection period. In addition, the market is anticipated to rise due to the growing popularity of cashless transactions and the emergence of digital payments. Moreover, the combination of smart meters and rising consumer use of efficient & affordable dry-cleaning & laundry services is anticipated to promote market expansion.

However, it is projected that the rise in at-home washing would restrain the industry's growth during the forecast period.The duvet-cleaning services segmentis expected to grow at a CAGR of 7.0% over the forecast period.In today's fast-paced world, individuals with packed schedules may lack the time or resources to personally clean their duvets. Engaging in a professional duvet-cleaning service not only saves time and effort but also offers a convenient solution for those who require bedding maintenance. With specific equipment and know-how, professional duvet-cleaning services possess the ability to efficiently sanitize and clean duvets to a higher standard than an individual could achieve independently.

Application Insights

The residential application segment dominated the market in 2022 with a share of 63.6%. The expansion of the residential segment is anticipated to be fueled by an increase in the number of residential units and rising number of working professionals around the world, as well as increased spending on clothing and dry cleaning. In addition, rising consumer preference for professional cleaning services due to concerns over personal hygiene and cleanliness is predicted to fuel the expansion of the residential segment over the forecast period. The commercial application segment is anticipated to grow at a CAGR of 7.6% over the forecast period.

The commercial sector is expected to experience substantial demand for dry-cleaning and laundry services in the near future due to the rapid expansion of the hospitality industry. This industry is continuously seeking professional services to clean bedding and other items, which is likely to drive demand for the commercial segment during the forecast period. Consumers are increasingly opting for professional duvet-cleaning services due to their highly efficient machines, which allow for regular cleaning of bedding, resulting in flexibility and convenience in their busy lifestyles. These factors are expected to propel the demand for dry-cleaning and laundry services in the commercial sector.

Regional Insights

Asia Pacific emerged as the largest shareholder in 2022 with a share of around 35% and is projected to maintain its lead with a CAGR of 8.4% over the forecast period. The presence of emerging economies, such as India and China, growing working population, and rising spending on dry-cleaning and laundry services are expected to drive the market during the forecast period. In Asia Pacific, China is expected to remain a prominent shareholder owing to the presence of a large population pool looking for convenient and energy-efficient dry-cleaning and laundry services.

The Central and South America region is anticipated to have potential growth with a CAGR of 6.7% over the forecast period. Brazil is the largest market for dry-cleaning and laundry services in the region, accounting for a significant share of the overall market. The country has a large population with growing middle-class population, which has increased the demand for professional cleaning services. Other countries, such as Argentina, Colombia, and Mexico, are also seeing growth in the industry, driven by similar factors.

Key Companies & Market Share Insights

The market is characterized by the presence of a few established players and new entrants. Many big players are increasing their focus on the growing trends of the market. Players are diversifying their service offerings to maintain a higher market share.

• In July 2021, Alliance Laundry Systems increased its direct network infrastructure by acquiring the laundry subdivision assets of Gulf States Machinery Co. The decision to purchase the business was made in response to the admirable performance of the company's retail partners, illustrating the effectiveness of the business strategy of picking great businesses in developing markets

• In October 2020, Alsco introduced the New and Upgraded Ecosafe Washer. The product is an ideal water-based equipment washer. Grease and oil are transformed into carbon dioxide and water in the Ecosafe washer through a process known as bioremediation

Some of the key players operating in the global dry-cleaning and laundry services market include:

• Alliance Laundry Systems LLC

• The Huntington Company

• ZIPS Dry Cleaners

• Alsco Pty Limited

• Rinse, Inc.

• Marberry Cleaners & Launderers, Inc.

• Tide Dry Cleaners (Procter & Gamble)

• City Dry Cleaning Company

• East Rand Cleaners

• Cleanly

Dry-cleaning And Laundry Services Market Report Scope

Global Dry-cleaning And Laundry Services Market Segmentation

This report forecasts revenue growth and provides an analysis of the latest trends in each of the sub-segments from 2017 to 2030. For this report, Grand View Research has segmented the global dry-cleaning and laundry services market report based on services, application, and region:

• Services Outlook (Revenue, USD Million, 2017 - 2030)

  • Laundry

  • Dry Cleaning

  • Duvet Cleaning

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Residential

  • Commercial

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • France

    • Spain

    • Germany

    • Italy

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa