Navigating the rapidly evolving laundromat business

In a dynamic venture that began in 2015, Lee Chun Keat, the owner of ‘Coin & Wash’ laundromats, has redefined the laundry business landscape.

Starting with a single laundromat in Sungai Petani, Lee’s entrepreneurial journey has led to the establishment of a chain comprising 30 laundromats in Penang and Sungai Petani.

A visionary expansion

Lee, who also owns a foreign workers’ agency, diversified into the laundry business amidst a slowdown in workers’ intake. Reflecting on the choice, Lee stated,

“The laundry business struck us as a good investment – it operates 24 hours, is not labour-intensive, and is a cash business.”

With an investment ranging from RM300k to RM500k, ‘Coin & Wash’ outlets are available for those seeking a franchise opportunity in the laundry business.

“Our machines accept the use of coins or tokens, pre-loaded member cards, and QR codes for payment transactions,” explained Lee, highlighting the convenience and versatility of the payment system.

Navigating the challenges

Despite its profitability, the laundry business comes with unique challenges. Vandalism emerged as a common problem among laundromat owners. Lee acknowledged the difficulty in apprehending culprits attempting to break into coin-changing machines, despite the installation of CCTV cameras.

At Kodo Laundry in Paya Terubong, the only air-conditioned laundromat, owner Esther Gan faced operational challenges. Gan, residing in KL, expressed the need for a reliable business partner to oversee the Penang-based business.

“I have many ideas to implement, including cashless payment systems, UV light sanitisation, complimentary Wi-Fi, soft background music on TV, and air-conditioning,” Gan explained, envisioning a more comfortable and cosy space.

Ooi, responsible for Dobi Express, shared the common issue of customers misusing machines by adding excess detergent, leading to malfunctions. He expressed frustration, stating, “Some customers do not follow the instructions posted on every machine.”

According to the Penang City Council (MBPP), there are presently 248 actively operating laundromats on Penang Island. On the mainland, the Seberang Perai City Council (MBSP) oversees 164 active operators.

The laundry business, while presenting challenges, continues to thrive and evolve, with entrepreneurs like Lee Chun Keat leading the way in innovative approaches to this essential service.