|Equipment Replacement: Cash in on new revenue opportunities
Have you thought beyond lower utility bills when considering the case for replacing equipment? Upgraded equipment not only saves you money by reducing utility usage, but advanced features present other opportunities to boost revenue. With the ability to customize wash programs and couple them with tailored vend prices, you’ll capitalize on customers’ selections no matter the time of day. What’s more, the simple presence of new machines gives you an opportunity to raise prices.
Use of cycle modifiers, available on select new machines, is an easy way to boost revenue while satisfying customer needs. This feature provides customers with the option to add a prewash, extra wash time, extra rinse or warm rinse, and allows you to upcharge for these premium services. When considering three and a half turns per day across eight 40-pound washer-extractors, the use of cycle modifiers can add up to more than $2,000 additional revenue in a year.
In addition, multi-level pricing options give customers choices that best fit their budget and washing needs. A common example would be to charge different prices for hot, warm and cold washes. Utility bills are lowered when more customers looking for cost savings seek the less expensive cold wash cycle.
The ability to customize wash programs allows you to modify the amount of water used for each cycle and set prices accordingly. When customers choose wash programs that use more water, you’ll capitalize on their selection and potentially cover the increased water usage cost.
Another way advanced controls can increase revenue is through a time-of-day pricing feature, which allows you to optimize prices during peak laundry hours and boost usage during slow periods.
Beyond the increased profitability that comes with these customizable features, simply having new machines allows you to charge more. According to a Coin Laundry Association white paper, “Deciding When to Replace Laundry Equipment,” customers are willing to pay up to 10 to 20 percent more for updated equipment.
If you thought reduced utilities was the only benefit of new equipment, think again. With advanced control systems that optimize profit per turn and the fact that customers are willing to pay more for updated machines, new laundry equipment introduces a virtually endless list of new revenue opportunities. To discover other advantages of reinvesting in your laundromat visit www.nationallaundryequipment.com