The global online laundry services market was valued at USD 85.3 billion in 2022 and is projected to expand at a CAGR of 12.3% from 2023 to 2030. The market growth is being driven by the increasing adoption of online laundry services due to the changing lifestyle of consumers and their rising preference for on-demand services. The increasing use of technology has enabled laundry services to provide reliable and efficient services, resulting in greater customer satisfaction. Moreover, the advancement in technology, such as cloud computing and mobile applications, has improved the efficiency of laundry services, which is further driving the growth of the market.

In addition, the introduction of new laundry services models, such as third-party laundry service, is gaining traction in the market. The third-party laundry service providers offer a wide range of services, such as pickup and delivery, washing, drying, and folding. Furthermore, some service providers also offer additional services, such as ironing, mending, and cleaning of delicate items. This is helping the customers to get their laundry done quickly and conveniently.

The rising demand for convenience and time-saving services is driving the growth of the market. In addition, the increasing availability of laundry services through mobile applications is providing customers with greater convenience and flexibility. Moreover, the use of mobile applications for booking and scheduling services is helping customers to save time and effort. Furthermore, the rising trend of subscription-based models is expected to create growth opportunities for the market. These subscription-based services offer customers a convenient way to book laundry services and avail special discounts.

The rising trend of eco-friendly laundry services is also expected to drive the growth of the market. The eco-friendly laundry services are gaining popularity as they are less harmful to the environment. Furthermore, some of these services are also offering organic and sustainable cleaning products that are free from harmful chemicals. Moreover, the rising trend of on-demand laundry services is expected to create growth opportunities for the market. The on-demand services provide customers with greater convenience, flexibility, and affordability, which is driving the demand for these services.

The dry cleaning segment held a share of around 33.5% in 2022. The segment is expected to expand at the fastest CAGR over the forecast period, owing to the increasing demand for convenient laundry services among consumers. Rising urbanization and growing number of working population globally are some key factors driving the demand for this segment. According to an article published by the National Institute of Urban Affairs, in January 2020, the population of urban India was estimated to be 377.1 million. Furthermore, increasing disposable income and rising awareness about the convenience and quality of online laundry services are other factors that drive the growth of the market.

The wash & fold segment is anticipated to expand at a CAGR of 7.5% over the forecast period. Increasing demand for convenient laundry services and growing popularity of subscription-based laundry services are some of the key factors driving the market growth. Furthermore, rising awareness about the convenience and quality of online laundry services is another factor driving the growth of the market.

The online segment accounted for the major share of over 50.6% in 2022. The growth of the segment is mainly attributed to the growing trend of the use of digital technologies in the laundry service industry. The availability of online laundry service providers and the convenience of ordering services from the comfort of their homes makes online services attractive for customers. In addition, the presence of various online service providers such as Laundryheap, Linenly, and Pressbox, among others, has made it easier for customers to select the best service providers.

Offline distribution channels such as supermarkets & hypermarkets, convenience stores, and others are expected to register a moderate CAGR of 5.3% over the forecast period. The growth of the segment is mainly attributed to the increasing number of convenience stores offering laundry services in urban and rural areas. In addition, the rising trend of on-demand services is expected to contribute to the growth of the segment. For instance, in 2020, MyWash, an on-demand laundry and dry-cleaning company, launched its services in Mumbai and Pune. The company offers door-to-door laundry and dry-cleaning services at affordable prices.

The self-service segment accounted for the largest revenue share of 68.2% in the year 2022. The increasing trend of online users and the increasing penetration of internet-enabled devices are fueling the demand for self-service laundry services. Furthermore, companies are focusing on the expansion of their services and are striving to enhance their customer experience with the help of mobile applications. For instance, in May 2021, Cleanly, a laundry and dry-cleaning service provider, launched its mobile application, which provides customers with convenient access to laundry services. These activities are expected to boost the demand for self-service laundry services over the forecast period.

The full-service segment is anticipated to expand at the highest CAGR of 11.1% over the forecast period. The rising demand for convenience among working professionals and the increasing number of households are expected to drive the demand for full-service laundry services. Moreover, companies are launching new products and services to differentiate their services from their competitors and attract more customers. For instance, in April 2021, Rinse, a laundry service provider, launched its Wash & Fold subscription service, which provides customers with a convenient and time-saving solution for their laundry needs.

North America dominated the market and accounted for the largest revenue share of over 43.4% in 2022. The presence of well-established players, such as Tide and Drybar, has increased the popularity of online laundry services in the region. Moreover, the rising number of working individuals has further led to the growth of the market. For instance, in October 2021, Washio partnered with the California-based technology company, Hyperloop, to launch its online laundry service in the region.

Europe is expected to witness the second-fastest growth in the coming years. The growing awareness regarding the convenience of online laundry services is expected to drive the growth of the market in the region. Moreover, the increasing number of working individuals and rising disposable income has led to the growth of the market. For instance, in November 2021, Laundrapp, a leading online laundry service provider, launched its operations in the Netherlands.

In this part of the online laundry services business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your online laundry services. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions

The main sources of revenue for an online laundry services business come from subscription fees, fees for per-unit laundry service, fees for additional services, and revenue from any related products such as detergent and fabric softener. Here you will find a list with a description of each of them and other possible sources of profit such as advertising and sponsorship.

Projecting Expenses

In this section, all the regular expenses related to keeping the online laundry services business running will be described. The list of operating expenses includes internet and software costs, the cost of delivering the laundry services, wages, maintenance and repairs, utilities, insurance policies, advertising, and others.

Some of the key companies operating in the online laundry services market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In June 2022, Cleanly introduced an automated laundry service, allowing customers to book and track the status of their laundry online.

– In August 2022, Laundryheap launched a mobile application to offer convenient laundry services.

– In October 2022, Washio launched a new mobile application, allowing customers to book laundry services at the touch of a button.

Some of the prominent players in the online laundry services market include:

– Cleanly
– Laundryheap
– Washio
– Tide Spin
– Zipjet
– Rinse
– Laundrapp
– FlyCleaners
– Jetclean
– Doorstep Laundry

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global online laundry services market based on product, service type, end user, and region:

1. Product Outlook (Revenue, USD Million, 2017 – 2030)

– Laundry Detergents
– Fabric Softeners
– Stain Removers
– Dry-Cleaning Products
– Others

2. Service Type Outlook (Revenue, USD Million, 2017 – 2030)

– Pick-up & Drop-off
– On-demand

3. End User Outlook (Revenue, USD Million, 2017 – 2030)

– Residential
– Commercial

4. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What is the potential of the online laundry service market?
[A]: The global online laundry service market is expected to grow significantly over the forecast period, owing to the increasing demand for convenience, time-saving, and cost-effective laundry services. The market is expected to be driven by the rising adoption of mobile applications and increasing internet penetration rate, which is enabling customers to avail of such services conveniently.

[Q]: Who are the Key Players in the Online Laundry Service Market?
[A]: Key players in the global online laundry service market include Uber Technologies, Inc., Laundrapp, ZipJet, Laundryheap, and Rinse, among others.

[Q]: What are the factors driving the online laundry service market?
[A]: Key factors driving the online laundry service market include the increasing demand for convenience and time-saving, rising adoption of mobile applications, and increasing internet penetration rate. The rise in the number of working professionals, particularly in the urban areas, has led to an increased demand for laundry services. Moreover, the availability of attractive discounts, promotional offers, and loyalty programs offered by the service providers is likely to further boost the market growth in the coming years.

[Q]: What are the major challenges faced by the online laundry service market?
[A]: Major challenges faced by the global online laundry service market include the high cost of service, lack of awareness, and lack of trust in the service providers, among others. The cost of laundry services is higher than the cost of traditional services, which can be a major deterrent for the customers. Furthermore, the lack of trust in the service providers is also hindering market growth.

[Q]: Which region offers the largest opportunity for sales of online laundry services?
[A]: North America is expected to be the most lucrative region for the global online laundry service market, with an absolute dollar opportunity of $1.7 B (USD). This is due to the presence of key players in the region, increasing disposable income, and the availability of advanced technology. Moreover, the rising number of working professionals and increasing demand for convenient services are expected to further drive market growth in the region.