Laundry Shop

[Tokker]

All you expats living in chiang rai, do you do your own laundry or do you bring it to a shop? My wife is thinking of starting a laundry shop. As there are so many laundry shops already, I was thinking this is not such a good idea. However, if i take a look at most of the shops (and I don't want to be condescending about them) I think we can do a better job: make the shop look appealing, a little bit more professionalism. What do you think about this? Is price the most important factor for you?

Thanks for the replies already.

[tayto]

Hi Tokker.

Just counted that there are approx. 12 laundry/ironing type establishments in my area charging from 1 to 2 baht for ironing, 2 to 5 baht for wash and iron per item.

I doubt if you could make any money at this even if it was the Ritz and was very professional.

[Thomas_Merton]

All you expats living in chiang rai, do you do your own laundry or do you bring it to a shop? My wife is thinking of starting a laundry shop.  As there are so many laundry shops already, I was thinking this is not such a good idea.  However, if i take a look at most of the shops (and I don't want to be condescending about them) I think we can do a better job: make the shop look appealing, a little bit more professionalism. What do you think about this? Is price the most important factor for you?

Thanks for the replies already.

<{POST_SNAPBACK}>

EDIT// Sorry, didn't see this was Chaing Rai forum.

Edited August 9, 2005 by Thomas_Merton

[Limbo]

Honestly I have the impression that most Thai people don't do their own laundry anymore. Laundry shops are mushrooming.

I pay 5 Baht for one item, washed and ironed. Sometimes the lady even brings the clean laundry home.

Some people pay 450 to 500 Baht a month for the laundry of two persons. Sheets and blankets 10 to 40 Baht.

I am satisfied with my service. Sometimes they iron the pants a little bit to hot.

They become shiny then (you can comb your hair and use your pants as a mirror).

I think it is hard work and the investments are not neglectible either.

Think how long you need to earn back your washing machine (12 to 14 thousand Baht for a semi-professional one), water, electricity and the rent.

You have to make very long days, to be careful that you don't mix up the clothes with somebody else his clothes, and so on. Rainy season messes up things because it doesn't dry.

I know only about one foreigner who tried before (on the San Kong Luang).

His lady was not from that neighbourhood. They got very few customers and after three months he sold the machinery for halve of the price. A big loss.

Location will be important. Maybe it would work in a new built area.

If you pay 3000 Baht rent, you have to wash and iron 20 shirts a day only for this.

Six or seven days a week, eight to ten hours everyday?

Think twice!

Limbo (sorry)

[Tokker]

You're probably right but I'll make one more effort: my wife tells me that prices have risen a lot in the last year. (Indeed, she also thinks most Thai people also have their laundry done). A rise in prices normally means that demand is high enough to raise prices (as there don't seem to be any other price-influencing factors). This would mean that it seems to be a so called "seller's market" (from the little bit of understanding economy that I have). Therefore opportunities arise.

Anyway I agree that it's a long shot. Thanks for the replies anyway.

[chownah]

I have a wife and of course she does the laundry. Don't the words "laundry" and "wife" come from the same root word in every language on earth? I think the root word means "slave".

[jpop]

Hi Tokker.

I do my own (cotton) laundry. I don't trust the folkes up here to wash it properly.

When I first arrived in CR, I had some stuff washed and ALL of my new t-shirts came back with the neck-holes stretched out (in addition to reeking of fabric softener). I can't imagine how this happened accidentally and I still get pissed off just thinking about it.

I haven't had any better success with dry cleaning up here, either.

jpop

[sandman81]

There cannot be much profit in doing laundry. Last time in CR (May) we had one week's washing and ironing (a very large bag full) done for 155 baht.

[chownah]

There cannot be much profit in doing laundry.  Last time in CR (May) we had one week's washing and ironing (a very large bag full) done for 155 baht.

<{POST_SNAPBACK}>

Washing one bag of laundry takes about 10 minutes of a person's time...put it in, add the soap, push the button. Drying takes even less if you have a dryer...put it in, push the button, take it out. If ironing take one hour then it takes about 1hr and 15 min to collect your 155 baht. If electricity and other expenses are at 40 baht then the worker has generated 100 baht per hour.....an extremely high wage in Thailand especially for basically unskilled labor.....sounds to me like there's lots of money to be made from laundry work!

[Tokker]

chownah,

I made a similar calculation and came to the same conclusion. However, the main thing is that you need enough customers. For instance 2 times 155 B a day doesn't quite cut it. Hence, my original question. Indeed I believe that if you can collect a 1000B a day, and hire somebody to do most of the work, you still get to keep about 10K a month.

[chownah]

chownah,

I made a similar calculation and came to the same conclusion. However, the main thing is that you need enough customers. For instance 2 times 155 B a day doesn't quite cut it. Hence, my original question. Indeed I believe that if you can collect a 1000B a day, and hire somebody to do most of the work, you still get to keep about 10K a month.

<{POST_SNAPBACK}>

I have started small businesses in the past and its always the same story. The work of producing the product or generating the service not difficult but developing the clientel or market is always the problem or the point of uncertainty. Think first about your location. If its going to be at or near your home (for convenience) then consider that a comfortable walking distance will define most of your potential clientel I guess...if there are alot of shops around seems like people will go to the closest one all else being equal. If you can find something to make your laundry special....express service with a big color tv to watch while you wait...cheap snack food...if you can find that extra special thing then you'll do great. Cheaper rates can attract clientel but cuts your profits unless you gear up for high efficiency (in Thailand?) and high volume.....sounds like work...

[Potter]

From my days as a back packer I remember all the bad experiences with laundries. There are a lot. When you want to start a laundry shop I asume you have made lots of thoughts of how to avoid mistakes other laundries have made. Like treating the clothe prober and not making mistakes which clothe belongs to who. Such a service I will be happy to pay the 50% more for. Not sure others got the same attitude. But a good laundry is worth a lot.

And this brings us to the next issue. Since good laundrys are rare most people are cautious about trying a new laundry. They probably use a laundry which they are comfortable using. Why try something new which most likely will give bad experiences?

And this brings us to the next issue. You need to give the locals a reason to try you. You need to give locals a chance to get in your shop and see what services you offer. You need to make them confident your shop will return people their clothe back.

What you need to do is to advertise. I advise you to offer 1-2 kilo free laundry per tabian baan in the local changwat you live in. This will give people a chance to try your laundry. To see if you can offer what you are advertising. To make sure you wont get too much work you put a dayly maximum to how many free kilos of laundry a day you can do. Let your customors know this limit and see when you make a note to the next free kilo. Once you get enough paying customors, you can start to decrease or delete the free kilos. The tabian baan is important and you need to make a note about it, simply to prevent abuse. Thais love everything which is free.

I have shown you a few ways people are gonna think. You might not agree with the solution. I have given you my ideas how to solve them. No bussiness should expect to have a positive result after the first year. Good luck starting up. Let us know how it all develops.

And dont forget to sponsor a free kilo of laundry for users of the local Chiang Rai forum!