American Coin-Op - September 2016

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CULTIVATING

Clean Compaing ny

COMMERCIAL ACCOUNTS Where to look to grow

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this customer base

Bed & t as Breakf

Veterin ar Clinic y

Car Wash

I N S I DI EN :S IJ DU EL :Y S 2E 0P 0T 5E M B E R 2 0 1 6 CATCHING UP WITH PHIL AKIN OF DUDS ’N SUDS FAME

SURVEY: MOST STORE OWNERS FAVOR TRUMP FOR PRESIDENT

PRODUCT SHOWCASE: CASHLESS SYSTEMS

WWW.AMERICANCOINOP.COM

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CONTENTS SEPTEMBER 2016 VOLUME 57 ISSUE 9 COVER STORY

CULTIVATING COMMERCIAL ACCOUNTS Clean Compaing ny

lon ty Sa Beau

Veterina ry Clinic

Bed & st Breakfa

Car Wash

(Cover compilation: © iStockphoto/abadonian)

INSIDE 10 GOIN’ WITH COHEN: FROM ‘DUDS ’N SUDS’ TO ‘CLEAN LAUNDRY’ This month, Laurance Cohen treks to Waterloo, Iowa, to catch up with entrepreneur Phil Akin. Best known for the Duds ’n Suds theme laundry franchise he developed in the 1980s, today Akin is concentrating on design and strategic planning for a new laundry concept he hopes to grow with his sons.

26 COIN-OP 101: GREATER CONTROL

LEADS TO GREATER PROFIT

Today’s laundry equipment controls allow store owners to completely program, monitor, audit and manage their business from any Internet-connected device, writes Speed Queen’s Jim Rosenthal. Paul Spangenberg, Speed Clean Laundry, Antioch, Calif., shares his affinity for them after being in business just a year.

32 PRODUCT SHOWCASE:

CASHLESS SYSTEMS

40 INDUSTRY CALENDAR FILLS UP

WITH DISTRIBUTOR EVENTS

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Making the decision to take on commercial work is one thing but building that business is another. It takes time and energy to serve and keep clients and to sign new ones.

Here’s how four store owners have done it.

18 COLUMNS 30 BENEFITS OF AN ‘ERRAND PATH’ LOCATION Choosing a spot for a new Laundromat or to relocate an existing store can be a challenge, writes columnist Howard Scott. Nearby competition, area demographics, parking and ingress/egress are factors frequently weighed, but Scott says providing customers the opportunity to multi-task isn’t discussed too often.

Is the spot you have in mind an “errand path” location?

DEPARTMENTS 4 VIEWPOINT 6 YOUR VIEWS SURVEY 40 WEB UPDATE

44 NEWSMAKERS 46 CLASSIFIEDS 47 AD INDEX

10 A CLOSER LOOK Phil Akin (left) and son Ethan believe “It’s About Time” for a new approach to laundry.

www.americancoinop.com

8/15/16 9:27 AM

DREAM BIG WITH DEXTER. For the past 120 years, Dexter has been helping people realize their dreams. We build only high-quality, commercial-grade washers and dryers in the heart of America, and we’re doing everything we can to make a positive impact on our customer’s lives. We offer industry-leading warranties, lifetime technical support and DexterLive controls that allow owners to run their business with any connected device from anywhere in the world. This gives our customers the freedom to live the life they want to, not the life they have to.

C o n t a c t y o u r l o c a l d i s t r i b u t o r f o r m o re i n f o r m a t i o n o r v i s i t D E X T E R . CO M .

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VIEWPOINT EDITORIAL

Charles Thompson, Publisher E-mail: cthompson@ATMags.com Phone: 312-361-1680

Bruce Beggs, Editorial Director E-mail: bbeggs@ATMags.com Phone: 312-361-1683

FAVORABLE CONDITIONS DOING THE LAUNDRY FOR OTHERS Last month, in Slow-Day Turnaround, we examined tailoring promotions and/or extra services to generate business when your self-service laundry business is sparse, and one of the avenues suggested was to take on commercial accounts.

Stucky Szczotka, co-owner of New Wave Laundromat, Sterling Heights, Mich., says his staff processes a few thousand pounds of commercial work each week to keep his wash wheels turning.

Bruce Beggs He and his partner, son Darin, found that plastic surgeons, massage therapists and party rental firms were the “best candidates” to become commercial accounts, but that determination came only after “trying lots of different businesses.”

Indeed, it takes time and energy to serve and keep clients and to sign new ones. For my cover story, Cultivating Commercial Accounts, I interviewed four Laundromat owners to learn how they created conditions favorable for doing commercial work and how they go about securing accounts (hint: it often involves others talking about the work they already do). Plant a seed by turning to page 18.

‘SENIOR YEAR’ I hope you’ll indulge me for just a moment as I share something personal. This month marks the beginning of a “senior year” for me and my wife, Sandy.

For our daughter Bethany, it’s her final academic year at the university where she’s pursuing a bachelor’s degree in psychology; ultimately, she wants to work as a school psychologist. For our son Kelley, it’s his final year of high school and his first steps into adulthood. It’s been a joy watching them grow.

If you have children or other family members starting their “senior year,” I wish them, and you, all the best. Make it a year to remember.

Bruce Beggs Editorial Director

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Roger Napiwocki, Production Manager Nathan Frerichs, Digital Media Director E-mail: nfrerichs@ATMags.com Phone: 312-361-1681

ADVISORY BOARD Kurt Archer Wayne Lewis

Ann Hawkins Kathryn Q. Rowen

ADVERTISING

Donald Feinstein, Natl. Sales Director E-mail: dfeinstein@ATMags.com Phone: 312-361-1682

OFFICE INFORMATION Main: 312-361-1700 Fax: 312-361-1685

SUBSCRIPTIONS 630-739-0900 x100 www.AmericanCoinOp.com

American Coin-Op (ISSN 0092-2811) is published monthly. Subscription prices, payment in advance: U.S., 1 year $46.00; 2 years $92.00.

Foreign, 1 year $109.00; 2 years $218.00.

Single copies $9.00 for U.S., $18.00 for all other countries. Published by American Trade Magazines LLC, 566 West Lake Street, Suite 420, Chicago, IL 60661. Periodicals postage paid at Chicago, IL and at additional mailing offices.

POSTMASTER, Send changes of address and form 3579 to American Coin-Op, Subscription Dept., 440 Quadrangle Drive, Suite E, Bolingbrook, IL 60440. Volume 57, number 9. Editorial, executive and advertising offices are at 566 West Lake Street, Suite 420, Chicago, IL 60661. Charles Thompson, President and Publisher. American Coin-Op is distributed selectively to owners, operators and managers of chain and individually owned coin-operated laundry establishments in the United States. The publisher reserves the right to reject any advertising for any reason. © Copyright AMERICAN TRADE MAGAZINES LLC, 2016. Printed in U.S.A. No part of this publication may be transmitted or reproduced in any form, electronic or mechanical, without written permission from the publisher or his representative. American Coin-Op does not endorse, recommend or guarantee any article, product, service or information found within. Opinions expressed are those of the writers and do not necessarily reflect the views of American Coin-Op or its staff. While precautions have been taken to ensure the accuracy of the magazine’s contents at time of publication, neither the editors, publishers nor its agents can accept responsibility for damages or injury which may arise therefrom.

www.americancoinop.com

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INDUSTRY SURVEY

MAJORITY OF VENDED LAUNDRY OWNERS FAVOR TRUMP TICKET

To read other Your Views survey stories, visit www.americancoinop.com 6

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If U.S. voters side with the majority of vended laundry owners who responded to August’s American Coin-Op Your Views survey, Donald Trump will be elected president in November.

Roughly 67% of owners polled in the anonymous, unscientific survey say they are supporting the Republican ticket of Trump and running mate Mike Pence. Roughly 19% are supporting Democrats Hillary Clinton and Tim Kaine, and 1.9% favor the Libertarian ticket of Gary Johnson and Bill Weld.

Approximately 8% of respondents aren’t sure who they will vote for, and 3.9% say they will not be voting.

The state of the economy will be most influential in helping 43.1% of store owners decide how to cast their vote. Next, at 25.5%, is homeland security. Other important issues are gun control (7.8%), immigration (3.9%) and healthcare (2.0%).

Nearly 18% of respondents say “other” issues will be most influential. In most cases, respondents say all of these issues are equally important. Supreme Court appointments, religious freedom, and federal spending were also singled out.

The majority of respondents don’t believe the presidential election and its result influences their small business as much as other elections. Roughly 39% say state races most influence their business. One-quarter of respondents say it’s the presidential election, 19.2% point to local races, and 17.3% say Congressional races are most influential on their operation.

Regardless of who’s elected president this fall, what is the one issue that you think the administration must address immediately? Here are some of the responses from those surveyed: • “Creating a bridge with Congress to pass bipartisan legislation. We must break the gridlock in Washington.”

• “Regulations need to be repealed, as they are choking out small businesses.”

• “Homeland security, because our lives depend on it.”

• “End giving financial assistance to any and all who want it.

It’s getting close to the tipping point where there are more getting assistance than those paying into it.”

• “Discrimination of those that don’t look the same.”

• “Federal spending! History has taught us (over thousands of years) that bloated government spending will eventually bring a nation to its knees when the piper must be paid!”

While American Coin-Op’s Your Views survey presents a snapshot of store owners’ viewpoints at a particular moment, it should not be considered scientific. Qualified subscribers to American Coin-Op e-mail blasts are invited to participate anonymously in a quarterly industry survey.

ACO www.americancoinop.com

8/12/16 1:45 PM

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GOIN’ WITH

COHEN

From ‘Duds ’N Suds’ to

‘Clean Laundry’ Catching up with entrepreneur Phil Akin

by Laurance Cohen

W

hen word reached me that Phil Akin was back in laundry, I had to see what the one-time boy wonder of the industry was up to.

After a 20-year hiatus, the originator of the iconic Duds ’n Suds theme laundry franchise has once again set his sights on reshaping the self-service landscape with a new concept. This go-around, he’s concentrating on design and strategic planning, leaving the heavy lifting to his son, Ethan, who has joined his dad as a fourth-generation operator.

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Phil Akin (left) and son Ethan believe “It’s About Time!” for a new approach to laundry. Their two Waterloo, Iowa, stores are called Clean Laundry. (Photos unless otherwise noted: Laurance Cohen) www.americancoinop.com

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GOIN’ WITH

COHEN While the game plan has changed, Akin’s core principles of cleanliness and customer service remain as they were when the frat boy-turned-entrepreneur opened the door in 1983 to the first of 121 Duds ’n Suds company-owned and franchised outlets that eventually extended to 30 states, Canada and overseas.

The “Good Clean Fun” formula—where singles mingled, sipped beer, played pool, and walked out with freshly laundered clothes—attracted a new breed of customer and store owner who embraced a business model where never-before-seen creature comforts were interspersed among traditional rows of washers and dryers.

The unorthodox approach garnered publicity for the young innovator and, more importantly, gave a shot in the arm to a stigmatized self-service laundry industry that was trying to shake an unwarranted reputation as a seedy magnet for undesirables.

Akin’s ride to the top became a roller coaster that eventually derailed. Loss of controlling interest in his company, a turbulent Wall Street, and changing market dynamics led to an early exit in 1993. Half of the Duds ’n Suds locations still thrive under the trade name today, while other are shadows of their former glory.

Clean Laundry, which the Akin family debuted on Waterloo, Iowa’s, south side in 2014 and replicated across town late last year, isn’t a nostalgic ’80s rerun: You can’t belly up to the snack bar, and you won’t find any pool cues or cushy sofas. Gone is Duds ’n Suds’ archaic mix of small-capacity washers and dryers, replaced by front loaders boasting 200G extract and multiload tumblers to maximize throughput.

“This is the anti-Duds ’n Suds. It’s the concept of delivering an immaculately clean store but that’s where it ends,” Akin points out. “Today, everything is time, time, time. We’re positioning ourselves as in-and-out in an hour or less. We’re not going to fill it up with stuff.”

Clean Laundry is by no means bare bones nor cookie cutter. The high, exposed deck and wide aisles add spaciousness to the 2,800- and 2,600-square-foot layouts.

Natural light is augmented by overhead 12

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LED lighting strips fed by Cat 5 cable, the perfect complement to the chrome loading doors on 34 stainless steel washers and matching dryer pockets.

Amenities abound, including padded airport lounge-style seats featuring built-in charging stations. There are large-screen TVs with wall-mounted touchscreen remote controls, Wi-Fi, custom folding tables and countertops, cushioned stools, air conditioning and handy towel dispensers.

Taking a cue from microbreweries, the innovative owner showcases water heating and softening capabilities by illuminat-

Akin was known for his Duds ’N Suds stores when he was pictured in American Way magazine in May 1987. (Photo: Perry Struse for American Way)

Sturdy padded bar stools and a front counter are just some of the creature comforts that Clean Laundry patrons enjoy.

Modular airport lounge-style seating offers comfort, durability and connectivity. www.americancoinop.com

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GOIN’ WITH

COHEN ing his utility room and installing a walkup viewing window. “Why tell them when you can show them?” Akin offers.

A rear-loading changer bank dispenses coins and tokens, with bonus token payouts offered for higher-denomination bill and credit/debit card transactions. Akin notes that the token payment format was favored in Duds ’n Suds stores and reimplemented at his two newest venues.

Clean Laundry’s energy-efficient design and equipment mix have achieved a utility ratio under 10% of gross monthly sales, which reached the $30,000 mark at the 2-year-old Sovia Drive location, according to Akin.

He credits his son and conscientious staff for the success.

“This is totally a 100% relationship business. You’ve got to connect with the neighborhood,” Akin emphasizes, noting that building a friendly rapport with clientele plays a critical role in sustaining revenue growth.

Akin’s comeback is the latest chapter in the family’s long industry involvement dating back to the mid-1960s when his grandfather, and later his father, ran an apart-

Overhead LED lighting accents equipment at a reduced cost.

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ment route laundry service.

Akin helped out as a high school senior and got his feet wet in the business two years later after buying a $500 coin-op washer-dryer set from his dad to replace broken-down units inside his Iowa State University fraternity. He parlayed that two-machine investment over the next three years into 200 washers and dryers The storefront boasts the Clean Laundry slogan and other key information. in nearby off-campus housing and a storefront laundry Eagerness to expand rapidly contribjust outside Ames.

The enterprising 23-year-old was ahead uted to his eventual downfall. Faced with of the curve when he brainstormed and double-digit lending rates, he made the brought Duds ’n Suds to his university fateful decision early on to bring in venture capitalists and paid the price by giving up a hometown.

“How did I get the attention of the col- majority of stock.

In 1987, with franchisee interest strong lege kids? It was the gimmick of the beer, video games and the snack bar, but they and the media spotlight shining brightly, kept coming back because it was immacu- the firm pursued an initial public offering lately clean,” Akin recalls. “I wanted to of stock to maintain upward trajectory — make laundry as close to a fun activity as a move that was abruptly halted when the possible, always believing that what’s more market crashed. Saddled with $2 million in debt, the franchisor filed for reorganization fun than doing laundry is not doing it.” and satisfied creditors by selling off his company-owned stores.

Over the next six years, Duds ’n Suds concentrated solely on franchising both domestically and internationally, bringing the model to collegiate towns, trendy suburbs, and even a storefront just blocks from Harrods in London. Along the way, Akin received much-needed field support from a seasoned professional—his father—who assumed construction oversight duties.

“My dad was a calming effect, spending weeks in a city, working with contractors, distributors and new store owners,” Akin says.

“He made sure it got done right.”

The younger Akin remained the face of Duds ’n Suds but his stake had been diluted to a mere 6% by 1993. Then a one-two punch: Akin carried over the token payment format from his Duds ’N Suds Multi-family housing starts fell franchise days to the present. while water and sewer impact www.americancoinop.com

8/12/16 1:39 PM

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7/25/16 8:58 3:02 AM PM 7/27/16

GOIN’ WITH

COHEN fees rose. With turnkey stores carrying a $300,000-plus price tag, servicing debt in a climate of stagnant vend prices posed challenges for potential franchisees, he explains.

A Minneapolis-based investment group took over the reins of the franchisor that same year and Akin was let go. The boardroom decision—coupled with the tragic loss of his young son, Jason—devastated him. He pulled through by focusing “more on not being an entrepreneur and more on being a guy that was trying to get my act together as a family guy.”

To fill time, he put his telecommunications major to work and got behind the mic at a local radio station.

“It was the most fun I had with any job,” he smiles. “I had a blast, but you can’t make any money in radio.”

A chance meeting with a high school classmate paved the way to a senior marketing post with Advance Auto Parts, where he implemented a strategic makeover of customer service areas at the national retailer’s 2,000-store chain. Akin also launched an executive consulting business, which continues to this day.

He yearned to get back into the self-service laundry industry—albeit with a lower profile. Encouraged by recent robust multi-family construction, advances in machine technology, and an uptick in vend prices, Akin was poised to re-enter the market but says the decision ultimately rested with his son.

“The thing that made this possible was Ethan. He has a passion for customer serClean Laundry’s television for guests is controlled by a user-friendly, wallvice. He can make the stores mounted touchscreen successful. We couldn’t have received a thumbs up from his early mendone it without each other.”

Up to three additional family-owned tor and former Duds ’n Suds field supervioutlets are envisioned, and the father-son sor: “I brought my dad in for the grand duo are in talks with like-minded entrepre- opening. He looked around and grinned neurs to license and operate independent and was as happy as could be.”

ACO Clean Laundry concept stores. The pair is also bringing Ethan’s younger sibling, Laurance Cohen crisscrosses the country Wesley, on board to join the team. seeking out the most unique vended launAkin says he takes great pride in watch- dries. He served as American Coin-Op ediing his children carry on the family tradi- tor in the early 1990s and currently opertion and is confident the Clean Laundry ates Laundry Marketing Concepts based in model is right for the times. On day one, he Hallandale Beach, Fla.

Clean Laundry’s spacious interior is modern and well-appointed.

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CULTIVATING

COMMERCIAL ACCOUNTS

WHERE TO LOOK TO GROW THIS CUSTOMER BASE

By Bruce Beggs, Editorial Director

I

n last month’s Slow-Day Turnaround, we examined tailoring promotions and/or extra services to generate business when your self-service laundry business is sparse.

One of the avenues suggested was to take on commercial accounts, i.e. do the laundry for other businesses and organizations.

Making the decision to take on commercial work is one thing but building the business is another.

It takes time and energy to serve and keep clients and to sign new ones. American CoinOp interviewed four store owners with businesses of varying size and scope to get a sense of how they manage their commercial customer base and cultivate accounts.

‘THEY CAME TO US’ Carol Beal and her daughter Hanna

BED & T FAS BREAK

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▲

TY BEAU ON L SA

Christian own Beal’s Bubbles, with stores in West Columbia, Texas, and 15 miles away in Sweeny, Texas. Beal has been doing commercial work for about a dozen years now, and says only a “small percentage” of the business’ annual revenue comes from such accounts.

The stores (both locations offer commercial service) utilize 20- and 40-pound washers and 30-pound dryers, all from Maytag Commercial Laundry.

Commercial work is processed during regular business hours, and one person is enough to handle the loads for the promised 24-hour turnaround.

Commercial clients include the West Columbia Police Department and City Hall. Beal’s Bubbles CLEAN also serves contractors working at a nearby COMP ING ANY refinery, and it does a pickup/drop-off service to a local RV park.

“They came to us,” she says when asked why she chose to pursue commerVETERI cial accounts. “We’re the first and only NA

CLINIC RY

CAR WASH

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Below, Carol Beal (standing) and daughter Hanna Christian pose in front of Beal’s Bubbles (left), one of two Laundromats they co-own in communities south of Houston, Texas. They’ve found that word of mouth is their “biggest form of advertisement” about their commercial services, but they also mail promotional flyers from time to time.

(Photos: Carol Beal)

attended laundry facility in the city, so it has benefited us greatly.”

Word of mouth is Beal’s Bubbles’ “biggest form of advertisement” to reach West Columbia’s 4,500 residents, Beal says, but the business does mail promotional flyers from time to time.

There may come a time when a commercial prospect might not seem like a good fit for an operation, but Beal doesn’t see things that way.

“Business is business. I can’t think of one that wouldn’t be worth pursuing,” she says. “You never know what it could turn into.”

‘STRETCHING THE SPACE’

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While many smaller commercial laundry services process primarily customer-owned goods, Wisecup says LBN Linens owns the rental linen used by 90% of its commercial accounts.

He says he didn’t “push marketing” and has relied primarily on networking and word of mouth to grow the business at a manageable pace.

“If they want to start small, I would start with physical therapy, the spas, the salons,” says Wisecup. “If they don’t have the service, you can offer the service. I’ve actually just gone with no contracts, it’s my word and a handshake; everyone has my cell phone number.

“We built some flyers and were going to do a mass mailing, but you have to be ▲

Bjorn Wisecup opened the Laundry Basket of Norwalk (Conn.) some 4½ years ago with brother Eric Wisecup and mother Nancy Tar, and had hired its first attendant after about six months.

He noticed downtime on the attendant schedule when they were not processing wash-dry-fold business or cleaning the store. Using his connections with friends working in the restaurant industry in Norwalk and Fairfield County, he asked if servicing commercial accounts was a possibility.

In speaking with them, he found their chief complaints about the commercial services they were using were poor service and high prices.

With guidance from equipment manufacturer Dexter and distributor MetroChem, “I found the ability to adjust the

cycles in my larger machines to be able to do (laundry for) a couple of restaurants … and then I started picking up hair salons, gyms, sports therapy, physical therapy shops … and then we grew to having a couple more employees and really stretching the space.

“I was lucky enough that there was 1,200 square feet adjacent. All I had to do was cut a door in. I set up an ironer and a couple of 180-pound washers to where we could do the commercial accounts. Then we pushed it harder and started seeking restaurants, solid accounts that have been around, well-established, and kept growing it slowly from there.”

While the physical “plant” is near the Laundry Basket, he operates the commercial business separately as “LBN Linens.”

It represents 25-30% of its annual revenue.

“One of the dry cleaners we are partners with does wash-dry-fold accounts for local universities. They bring it in, we process it, and send it back out.”

“Business is business. I can’t think of one [commercial prospect] that wouldn’t be worth pursuing. You never know what it could turn into.”

—Carol Beal, Beal’s Bubbles www.americancoinop.com

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careful. … You can grow as quickly as you want, as you can afford, or as slowly as you want and get comfortable with it, and that’s what we did.”

‘FIRST COME, FIRST SERVED’ Robert and LeAnne Simard are the owners of Anytime Laundry, with locations in Onalaska, Texas, and Livingston, Texas.

Offering commercial services at its three stores, Anytime serves local restaurants, fast-food businesses, dentists and a summer youth camp, just to name a few of its commercial clients. The equipment mix includes Maytag and Dexter washers and dryers.

Anytime Laundry employs an attendant at each location, but more may be required during busier days. Commercial service is offered throughout the day, and is processed on a “first come, first served” basis alongside any self-service customers.

After 5½ years, Anytime’s commercial business accounts for 15% of its annual revenue.

The couple chose to pursue commercial accounts as part of their business model because there is “more repeat business through a commercial business,” says Robert Simard.

Anytime has marketed its service offerings through the occasional bulk mailing, advertisement through local RV parks, the

Anniston, Ala., he landed his first commercial account: a metal stamping company that sought him out. That account was lost after two years when the company moved to another state but it was the beginning of his commercial business.

“Although I only have a small commercial operation, it has picked up some markets that don’t normally come up in conversations, and the best part is that they provide their own pickup and delivery,” says Barrett. “For someone considering venturing into the commercial sector, it’s a way to get started with little to no investment but it exposes them to the billing and tracking required by these types of accounts.”

He lists local schools (floor mops and brooms), auto dealerships (microfiber rags), car rentals (microfiber rags) and cleaning companies (cleaning rags, mop heads and dust brooms) among the markets that generate 5% of his annual revenue.

“These are some good areas to start as they are not as concerned about getting the stains out,” Barrett says. “They just want them clean.”

He investigated expanding his commercial operation at one point but now says his main focus is on growing his traditional drop-off business.

Barrett owns two other Washin Laundromats in Anniston but neither is

“Commercial accounts can add a very solid and stable income to your business but like any business decision, spend the time up front to get it right.”

—Ken Barrett, Washin Golden Springs chamber of commerce, local law enforcement posters, and school activities.

The business places great importance on referrals, Simard says, offering a “$10 coupon to the person that is being referred and a $10 couple for the person doing the referral.”

‘GOOD AREAS TO START’ The day after Ken Barrett purchased the Washin Golden Springs Coin Laundry in 22

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attended and thus offers no commercial service. Equipment used among his three stores hails from Milnor, Speed Queen, Dexter and ADC. He takes advantage of his chamber of commerce membership by meeting local business decision-makers in a relaxed environment. During conversation, he offers ideas that may help them in marketing or other areas and describes how laundry can be outsourced locally.

Ken Barrett landed his first commercial account the day after he purchased his Washin Golden Springs Coin Laundry in Anniston, Ala. (Photo: Ken Barrett) “Also, many people move around the same industries and will call people they know about various items. We have built the car dealership business through the employees of various locations asking about alternatives,” he says. “The first time they call or ask if we do the rags, we tell them that they are about the only dealer that doesn’t use us.”

And he pays attention to what his competition is doing.

“Do you know the other laundry owners in your area? Do you see what they are doing on a regular basis (either through conversation or nosing around)? Other industries work the same way. If a competitor cuts costs by using a certain service, they already did the legwork for me, so I just have to make sure it’s a good fit for my company.”

Barrett recommends fully investigating its impact on your operation before taking on a commercial account.

“Be very aware of how much of your time may be required initially and in the future,” he says. “Running a smooth dropoff service or a partially attended laundry may not require much daily involvement from you, or you may actually work at the store yourself, but adding even a few commercial accounts could add hours per day until you can get all the systems, documentation, training, operation and billing in place.

“Commercial accounts can add a very solid and stable income to your business but like any business decision, spend the time up front to get it right.”

ACO www.americancoinop.com

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COIN-OP 101

GREATER CONTROL LEADS TO GREATER PROFIT

Jim Rosenthal

In today’s world, technology is constantly advancing and has greatly improved the way we communicate and do business. Whether traveling for work or relaxing at home, having access to e-mail and the capabilities to work remotely 24/7 provides a peace of mind for many people. And the same rings true for the laundry industry. In recent years, equipment has undergone major advancements, and today’s industry-leading controls allow store owners to completely program, monitor, audit and manage their business from any Internet-connected device.

This revolutionary technology combines equipment controls and programming into one central computer to wirelessly network a store. This platform provides an easy-to-use store management solution that will let you adjust your cost structure, reduce utility costs, maximize revenue and increase customer satisfaction.

Paul Spangenberg, owner of Speed Clean Laundry in Antioch, Calif., opened his first store in July 2015. He knows first-hand the benefits wirelessly networking his store provided, and shares how it helped set him up for success his first year of business.

THE IMPORTANCE OF WIRELESS NETWORKING For first-time store owners, whether opening a brandnew store or acquiring an existing location, there is much to learn about the business and industry. Distributors are an expert resource who can provide a broad range of support services to help a store become profitable as quickly as possible.

Distributors can also help maximize the benefits of a cutting-edge control system by showing how the reporting features provide a comprehensive look at the complete business operation.

Not only is this information critical to track revenue, it can be incredibly useful for a store owner to help increase the understanding of their business, and their customers’ behavior – such as what time of day is most busy, what machine capacity is most used, what cycle preferences customers are selecting, and more.

“I view my reports daily, but during my first few weeks of business, I was running the usage reports multiple times a day,” says Spangenberg. “By reviewing the reports, I was able track my turns per day and know

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what machines were being used most often. Having this detailed information not only confirmed we were hitting our numbers, but it really helped me develop a strong understanding of my customers’ needs early on.”

Through the increased understanding of the business and visibility to machine operation, store owners can make informed decisions and immediate adjustments to ensure they are generating the most profit.

“I worked closely with my distributor to help set my prices, but in reviewing the analysis within the first few weeks of business, we saw opportunities to further increase revenue,” he shares. “Without access to these reports early on, we would not have been able to make these adjustments.”

Through wireless networking, store owners have complete control over their equipment, allowing them to make adjustments that reduce utilities and increase revenue at any time and from anywhere. By customizing wash settings and adjusting price points from any Internet-connected device, store owners can constantly make modifications to maximize revenue without being present in the store.

...today’s industry-leading controls allow store owners to completely program, monitor, audit and manage their business from any Internet-connected device.

“I found the equipment technology very easy to use and operate,” says Spangenberg. “While everything is connected to the computer at my store, I use my phone and computer at home to manage my equipment.

Having control over my machines at all times has been invaluable, especially as a new person in the business.”

MAXIMIZING REVENUE Advanced controls provide many opportunities to increase profits, such as cycle modifiers, multi-level pricing and time-of-day pricing. Having a wide variety of wash cycle options, such as medium- or heavy-soil programs and warm or cold rinses, allows store owners to www.americancoinop.com

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COIN-OP 101

create tiered pricing, as the premium cycle selections will come at a premium price.

In fact, creating a heavy-soil program can increase washer revenue by 4-5%.

“I have six cycle options for my customers to choose from,” Spangenberg says.

“The default cycle is set to the medium wash. If a customer chooses a double wash with a warm temperature, it will increase the cost of the cycle, whereas selecting cold water will reduce the cost by 25 cents.

A lot of my customers select the heavywash cycle, and they appreciate having the options to meet their needs.”

Additionally, time-of-day pricing lets store owners customize price settings according to their traffic volume to take advantage of peak laundry hours and boost usage during slower periods. Store owners can set machines to charge premium prices when their store is most busy, and offer special rates during off-peak hours to optimize revenue. An additional benefit is that an owner using an advanced control system can have everything pre-programmed with the exact day or time of day so the adjustments take place automatically.

Prior to opening his store, Spangenberg worked closely with his distributor to determine the best way to use his equipment to maximize his profits. His distributor also shared initial monthly and yearly revenue projections for Speed Clean Laundry.

“Within my first two months of business, my profits exceeded the six-month revenue projections my distributor shared, and within my first year of business, my profits have surpassed the two-year projections,” Spangenberg says. “I’ve been personally involved in my business from day one, and as the only initial employee, I got to know my customers quickly. Through working hard to build a strong relationship with my customers, keeping the store clean and offering efficient and reliable equipment, I have had a lot of success in my first year.”

costs often rising, it’s important for store owners to take steps to conserve water and energy. With today’s leading controls, it is easier for owners to maximize equipment efficiency and reduce operating costs to boost their bottom line.

There are many money-saving features

available, such as water-leak and slowdrain detection, which will immediately alert the store owner if an issue should arise. Not only does this help avoid high water and sewage bills, it also helps reduce equipment downtime.

Just as multi-level pricing for warm and

REBUILD, RETOOL, REFRESH AND WHATEVER ELSE

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REDUCING OPERATING COSTS According to the Coin Laundry Association, 67% of Laundromat owners cite high utilities as one of the largest obstacles for their business. And with utility 28

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.

hot water helps increase revenue, when customers select the less expensive cold-water option, it will help reduce utility expenses.

“Utility expenses were something I initially worried about, but ever since we opened for business, the costs have been less than I expected,” says Spangenberg. “I

expected utility expenses to be 25 to 29% of my gross profit, but we typically run at 18 to 22%.”

Additionally, if your store is not open around the clock, technology that puts your equipment in a low power mode or automatically shuts it down during the pre-

Everything you need to turn an existing laundromat into your dream business is possible with Huebsch® services and support.

Our Rehab/Retool program is your all-in-one solution for acquiring and rehabbing a laundromat with top-of-the-line equipment and personalized design. Our distributors, who earned the highest Overall Distributor Quality Score* in the industry, will support you through every step. Add in the experience, knowledge and passion of Huebsch Financial, and you get laundry-focused financing designed specifically for you. To start a laundromat with endless possibilities, visit Huebsch.com/refresh.

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programmed time period will prevent you from paying high electric bills when equipment is not in use.

“When I first opened my store, we were running into issues with people sneaking in a load right before we closed and financially it did not make sense to keep the entire store open for one customer,” says Spangenberg. “We set up our equipment to automatically switch to low power mode shortly before closing, and then shut down when the store closes.”

GREATER CONTROL LEADS TO GREATER SUCCESS Whether you are a new store owner or seasoned Laundromat owner, advanced equipment with a state-of-the-art control system can have a significant impact on your business.

If a store owner is not using their equipment’s controls to the full potential, Spangenberg believes they are missing out on revenue.

“Having my store wirelessly networked has been vital and I can’t imagine running my business without it,” he says. “My distributor has also been a great resource and helped me with many aspects of my business, including providing equipment recommendations.”

Also, he worked with his equipment manufacturer’s in-house financing arm to get a rate on his equipment that met his specific needs.

The laundry industry is changing and customers are demanding efficient equipment, more cycle options and a better experience. In order to run a profitable business, the equipment needs to keep up to meet these demands.

Using today’s advanced equipment, store owners have the freedom to manage their business the way they want, to not only maximize revenue and reduce operating costs, but also make decisions that will provide a better customer experience. ACO Jim Rosenthal is North American sales manager of the Speed Queen Commercial division. To learn more, visit www.speed queencommercial.com/coinop101 or call 800-590-8872.

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AN OUTSIDER’S VIEW

BENEFITS OF AN ‘ERRAND PATH’ LOCATION

Howard Scott

Choosing a location for a new Laundromat or to relocate your existing store is a challenge.

There can’t be too much competition nearby. You need to be visible and identifiable. Area demographics should be a minimum of 35% rentals. There needs to be plenty of parking as well as ingress and egress. But one area not discussed too often is the opportunity for customers to multi-task.

He or she is in your shop for an average of 90 minutes. Yes, she can sit on fitted seats you provide, perhaps with her children, and get her task done.

But wouldn’t it be better if she could do a few errands at the same time? Perhaps she needs to go to the post office. Or look for a gift for an upcoming event. Maybe she needs to buy a sympathy card at the card shop. Or get a check cashed at the money store. Or buy a needed provision at the dollar store. It would be helpful if these

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stores are right there.

In such a setting, your customer would coordinate her periodic tasks with her weekly clothes washing. Possibly she’d make a list, with No. 3 being doing laundry at the Laundromat. In this way, the customer would routinely clean the family’s clothes at your establishment. It would become part of her routine. She would have created what is known as an “errand path.”

An errand path is having a routine of doing different chores at a single location. She—the customer—calls it multi-tasking. So you are her Laundromat. If there was a problem and you promptly rectified the situation, she would forgive you. If your vend prices were a little higher than another Laundromat down the street, she would continue to use you because of the convenience factor. If a brand-new Laundromat were to open, she’d be less likely to even consider switching. Because she has carved out an errand path, you own her as a customer.

Consider this errand path when you open a new store or relocate. Yes, there are successful Laundromats in self-standing buildings with plenty of parking. And yes, there are Laundromats that are out of the way, and in not-even-visible locations, but they can’t offer the errand path attraction.

To take an example close to home, in my small town of Pembroke, Mass., our town center—a strip of stores around a parking lot—consists of a bank, pharmacy, hardware store, liquor store, small supermarket, pizza shop, and candy shop. Probably 90% of the 18,000 residents make their way to this area every weekend.

When buying something at the hardware store, they might stop in the pharmacy to purchase a greeting card.

Another resident withdraws money at the bank and spends the cash on weekly shopping. It’s a perfect synergy of retail aggregation. Nothing is wasted. All outlets contribute to each other’s volume. It’s synergistic selling.

What kind of shops benefit a Laundromat by being nearby? Possibly not a supermarket because food shopping takes quite a bit of time, plus refrigerated and frozen items need to be brought home right away.

A supermarket probably puts too much pressure on the Laundromat customer. But one-stop stores—places where you can buy one or two items you need—are perfect. Hardware, pharmacy, liquor, card shop, and candy www.americancoinop.com

8/12/16 1:36 PM

all qualify. In particular, a hardware store and pharmacy are best because each outlet requires endless visits. There is always something needed at these two stores.

You might even encourage this errand path flow. If you employ an attendant, he or she might go to individual customers and tell them that if they want to run an errand, he/ she—the attendant—will look over the wash. If their load finishes before they return, the attendant will make sure no one takes out the clothes to use the machine.

A sign does the same thing. It might read, ‘If You Want to Run an Errand, Just Tell the Attendant.” If you don’t have an attendant, have magnetic signs available that the customer can put on his/her machine that read, “I Will Be Back Within the Hour.”

A further strategy is to encourage cross-selling by offering discount coupons. Talk to the stores in your immediate area and arrange a discount. Ten percent is adequate, but 20% would really make a difference. Hand these coupons out to customers who say they need to go the XYZ store. If you don’t employ an attendant, the person who cashes out could offer these coupons when he/she comes in every day.

Just imagine how this coupon distribution will ingratiate you to your customers. Not only are they getting their clothes cleaned, but they are getting chores accomplished at a discount. In time, you’ll become the place to go for discounted opportunities. Prospects who use another Laundromat will gravitate to your store just because of the offer. People who ordinarily don’t go to a Laundromat will come in just to see what the fuss is about. They might calculate that doing the laundry at your facility is less expensive than doing it at home when they can save $5 to $10 on every occasion.

The problem with a location such as the one I’ve described is not parking, not access, but usually the rent will be higher than a low-key, stand-alone store. Of course, cost must be balanced against expense. If a 20% higher rent would generate 10% higher volume, it might be worth it to take the more expensive location.

Consider this example: When rent is $20,000, volume is $200,000. But when rent is $24,000 (20% more), volume increases to $220,000 (10% more). Which operation should make more money? By all means, the operator should turn the additional $20,000 revenue into about $12,000 more profit (after paying the additional $4,000 rent and another $4,000 in utilities).

When deciding on your next store location, consider how appealing an “errand path” location could be. Your customers will become efficient multi-taskers.

ACO Howard Scott is a longtime business writer and consultant. He can be reached at dancinghill@gmail.com. www.americancoinop.com

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PRODUCT SHOWCASE

CASHLESS

SYSTEMS GENESYS TECHNOLOGIES

T

he CryptoPay Credit Card System from Genesys Technologies is a secure, cost-effective, and easyto-install wireless credit card payment solution, the company says.

CryptoPay Credit Card System encrypts credit card data the moment the card is swiped and has a proven track record of secure transactions in both the Laundromat and car wash markets, Genesys says. To date, CryptoPay has securely processed more than 13 million transactions totaling over $85 million.

The CryptoPay system is designed to deliver low startup costs and the flexibility to equip addi-

tional machines as one’s budget allows, the company says.

CryptoPay transaction consolidation reduces processing fees by consolidating multiple customer credit card charges.

Data is accessed and analyzed using The MyCryptoPay Cloud-Based Site Management Tools, which allow operators to add new sites, remotely configure CryptoPay Swipers, view Laundromat site status, and see recent credit card purchases securely and conveniently from their home, office, or mobile device.

This tool can also provide access to additional low-cost services like CryptoPay Site Analytics and CryptoPay GoGreen Receipt Service, Genesys says. www.getcryptopay.com 719-277-7400

CPI (CRANE PAYMENT INNOVATIONS)

T

he world of technology is constantly evolving, and consumer wallets are more diverse than ever.

Whether it’s contactless, cash or card, consumers have unprecedented payment options, and are uncompromising in their demand for financial flexibility at the point of sale. Don’t let your laundry’s technology be their limiting factor, says CPI. Accepting cash, MEI coupons, contactless cards, and magnetic strip cards, along with “mobile wallet” technology, the MEI® 4-in-1 Plus™ bezel (pictured) from CPI combines the convenience of vending with the versatility of retail, giving consumers the power to choose.

Operators may combine the MEI 4-in-1 Plus bezel with the MEI Advance 5000™ telemeter to craft an end-to-end,

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PCI-certified cashless system, CPI says. Transform your machine into an interactive experience that mirrors the ease of retail and validates data security across the entire transaction, the company adds.

Processing more than four billion transactions every week, Crane Payment Innovations says it is the industry leader in payment solutions. Serving the vending, financial services, gaming, retail and transportation markets in more than 100 countries, CPI has one of the world’s largest installed bases of payment systems.

Backed by the MEI, Conlux, CashCode, Telequip, MoneyControls and NRI legacy brands, CPI says it creates intelligent validation technologies and payment solutions that deliver accountability, reliability and security. www.cranepi.com 610-430-2700

www.americancoinop.com

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PRODUCT SHOWCASE

ESD

E

SD unveils the “Slim,” the newest addition to the company’s line of Value Transfer Machines. The VTM will be available for all card platforms manufactured by the company, ESD says.

The unit’s small footprint makes it ideal for both new stores and as an addition to any existing store location, as it requires little wall space. There is no cash acceptance so the unit is front-access, flush-mount, which makes it easy to be located in any area of the store. The new model brings the most forms of cashless add value to a small-profile VTM, according to ESD. The new model provides for the acceptance

of credit, pin-based debit, and EBT (Electronic Benefits Transfer) cards, the company says. In addition, the unit utilizes NFC technology to enable the acceptance of all mobile wallet payment methods, such as Apple Pay, Google Pay and Samsung Pay. The terminal, which requires a high-speed Internet connection for all processing, is EMV hardware-ready.

Smart-card system store owners can also utilize the unit to generate Internet-based code revalue through a website hosted for the store owner. www.esdcard.com 800-523-1510

ROWE BILL CHANGERS

R

owe Bill Changers’ payment systems utilize wireless PCI-compliant USA Technologies’ ePort® and MEI® components to provide credit card acceptance for its token dispensing machines.

Operators can honor MasterCard®, Visa®, American Express® and Discover® for one low transaction fee, as well as handle $1, $5, $10 and $20 bills.

These changers also feature remote text and e-mail alerts for help messages, along with an easy-to-use internal touch screen for machine operations, an industry first for change machines, Rowe says. These units also have the unique ability to download software updates using its Wi-Fi or Ethernet connections.

Accepting credit cards and dispensing tokens is a “perfect fit” for Laundromat operators wanting to give patrons an incentive to use higher-capacity washers and dryers, the company says. Using $1 tokens to start larger-capacity machines provides ease of use for patrons and is “dramatically more profitable” for operators, Rowe claims, as $1 tokens only cost operators 25 cents or less to purchase. www.rowebillchangers.com 800-669-7693

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WASHCARD SYSTEMS

T

he Card Dispensing and Recharging station (CDR) by WashCard Systems allows operators to establish a loyalty program at their store to retain new and long-term customers, the company says.

The unit allows operators to accept RFID, loyalty cards and credit cards.

Customers can purchase prepaid loyalty cards and reload existing cards using either cash or their credit/debit card.

For more than 25 years, WashCard has been a provider of loyalty software solutions for operators in the car wash and coin Laundromat industries.

Its systems allow operators to connect all brands of equipment at their locations and capitalize on buying trends through online reporting, among other benefits. www.washcard.com 888-439-5740

www.americancoinop.com

8/12/16 11:01 AM

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8/9/16 10:44 AM

PRODUCT SHOWCASE

COIN MECHANISMS

CARD CONCEPTS INC.

C

oin Mechanisms Inc.’s DebitKey system is a debit/credit cashless system designed to replace coins and/or tokens as a payment method.

DebitKey utilizes a plastic key-shaped carrier with an embedded chip card integrated circuit. The key shape was chosen to “eliminate any need to dig through purses or wallets in a sea of cards,” the company says.

Three levels of coded security have been implemented into the card to ensure that only correctly designated keys can access a location’s equipment.

The key can be configured as a stored value media for use in debit applications or as an intelligent PIN for use in credit applications, according to the company.

The system’s key reader can be packaged in various faceplates or enclosures and can be equipped with a display that can be used to show information, such as vend price or remaining key value.

The reader can also interface to the host using various parallel serial communication schemes, according to the company. www.coinmech.com 800-323-6498

T

he FasCard system from Card Concepts Inc. allows store owners to accept credit and debit cards, along with coins on their existing laundry equipment.

There is no minimum number of machines that have to be converted. The card readers feature an integrated design with no external antennae or circuit boards, allowing for simple installation, the company says.

The FasCard system also comes with an “expansive” loyalty card feature, allowing operators to implement various marketing efforts and loyalty programs that is available for coin and credit card customers, and not just for loyalty card users.

Marketing programs that work with both coin or card customers include bonus dollars, loyalty points, time-ofday pricing and free dry, among others.

Through the FasCard system, operators can choose their own credit card merchant provider, remotely access coin and card data via any web browser, as well as enable e-mail notifications for customers with “end-ofcycle” notifications, among other features. www.fascard.com 866-860-1660

BCC PAYMENTS

E

ASYPAY is a feature-rich central payment system that is convenient and efficient for customers and provides powerful management tools so laundry owners can manage their business from anywhere, says BCC Payments LLC, Standard Change-Makers Inc.’s exclusive sales agency for EASYPAY. Bills, coins, credit cards and mobile payments, it takes them all. Credit card processing is a 3.99% flat rate of charge on all transactions.

The EASYPAY Front Load & Rear Load Kiosks feature a bill acceptor, electronic coin acceptor, card swipe, and two coin hoppers for making change on cash overpayments accept-

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ed. A color touch screen provides input and feedback while guiding the customer through the process of starting either washers or dryers connected to the system.

EASYPAY provides a complete web-based accounting system that monitors sales and machine usage, BCC Payments says, allowing owners to create special offers, monitor employee time-clock functions and change machine pricing.

BCC Payments says it provides training and ongoing support to vendors and distributors. www.easypaylaundry.com 888-823-6782

www.americancoinop.com

8/12/16 11:01 AM

ALJ Electronics Celebrates 32 Years—Since 1984 Authorized Distributor Commercial Laundry Equipment

Join Us for Service School & Parts/Equipment Sale

October 1, 2016 • 10a.m-3p.m. at ALJCO Lunch will be served for registered guests

For more information please contact us at info@aljco.com Register at

www.aljco.com Authorized Distributor for Southern California

1306 E. Imperial Ave., El Segundo, CA 90245 | (310) 524-0009 | (800) 255-2522 | www.aljco.com

0916aco_ALJCO.indd 1

8/3/16 3:33 PM

PRODUCT SHOWCASE

THE LAUNDRY PASS

SETOMATIC SYSTEMS

T

he concept of The Laundry Pass system is to “eliminate the need for feeding coins” into laundry machines, the company says.

The cashless system can be installed in less than 24 hours, and is compatible with “a multitude” of major equipment manufacturers and models, it adds.

The Laundry Pass also can be installed on older machines and is easily transferrable to newer models in the event an operator upgrades his/her equipment, according to the company.

There is “no minimum and no obligation” for operators to transition their entire store to the card system, The Laundry Pass adds, as they are free to install the system on select machines, or only in a portion of their Laundromat.

Customers can purchase and refill their Laundry Pass cards through the “Add Value” dashboard, a kiosk that accepts both cash and credit/debit cards.

Among system benefits are the ability to adjust vend pricing by amount or time of day/week, as well as the ability to offer loyalty discount programs to laundry customers.

A “Data Reporting System” feature provides analytics on revenue, customer demographics and malfunctioning equipment, and can be accessed remotely. www.thelaundrypass.com 855-870-5625

S

pyderWash by Setomatic Systems is more than just a payment system, the company says. It is a complete management system with the tools to help owners better run their locations and manage their wash-dry-fold business.

With more than 20 years of experience in implementing credit card systems, Setomatic says it knew the importance of adding emerging payment technologies when designing SpyderWash. Thus, it included contactless (RFID) and Near Field Communication (NFC) on its readers from the beginning.

Apple released Apple Pay in October 2014.

Mobile Wallets using NFC technology have become mainstream, with other companies such as Google (Android Pay) and Samsung jumping on the NFC bandwagon.

Customers can even pay using their Apple watch.

Through the SpyderWash Web Portal, owners receive full accountability of all forms of payment, including coins. In addition, new features are continuously being added to the portal that can help drive additional business. It can even send coin box alerts when money boxes are getting close to capacity. Setomatic also has a “machine availability” application called Spyder Watch which allows customers to view which machines are available in a laundry. SpyderWash’s latest enhancement includes new loyalty programs to help increase credit card usage and brand loyalty.

Using the SpyderWash Kiosk, customers can purchase loyalty cards and add value to loyalty cards with cash, credit cards as well as Apple, Android or Samsung Pay. It also comes standard with a receipt printer for all transactions. www.setomaticsystems.com 516-752-8008

CASHLESS

SYSTEMS 38

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8/9/16 5:39 PM

Industry Calendar Fills Up with Distributor Events

T

he transition from late summer into fall means a calendar full of opportunities to attend manufacturer and distributor special events and open houses.

Here is a brief rundown of events through the month of September reported to American Coin-Op. Call, e-mail, or visit the website listed for registration information. In many cases, space is limited.

Sept. 1-2 — KeeWes Equipment Open House, Quapaw, Okla.; 417-862-8464, www.keewes.com.

Sept. 10 — Coin-O-Matic Service School: Speed Queen Horizon Front Load Washer, Alsip, Ill.; 708-371-9595, http://coinomatic.com.

Sept. 10 — Professional Laundry Systems Open House, Feasterville, Pa.; 215-354-0111, http://plslaundry.com.

Sept. 13 — Star Distributing Open House, Birmingham, Ala.; 800-897-7570, www.stardistributing.com.

Sept. 13-14 — Statewide Laundry Equipment Open House, Kissimmee, Fla.; 305624-5169, www.statewidelaundry.com.

Sept. 14 — Laundrylux Level I Service Seminar, Inwood, N.Y.; 800-645-2205, http://laundrylux.com/events.

Sept. 14 — Laundrylux Open House, Mt. Vernon, N.Y.; 800-645-2205, http:// laundrylux.com/events.

Sept. 14-15 — Gold Coin Laundry Annual Founder’s Day Sale, Jamaica, N.Y.; 800-952-1474, www.goldcoin laundry.com.

Sept. 15 — Davis Commercial Laundry Solutions Open House, Atlanta; 404-5802121, www.daviscls.com.

Sept. 15 — D&M Equipment Co. Service Seminar, Skokie, Ill.; 773-889-5500, ext. 10, www.dandmequipment.com.

Sept. 15 — Star Distributing Open House, Nashville; 800-897-7570, www. stardistributing.com.

Sept. 17 — Ed Brown Distributors Open House, Dallas; 214-352-9494 or 800-9295520, cynthia@edbrowndistributors.com.

Sept. 17 — PWS Inc. Open House, Redwood City, Calif.; 650-871-0300, www.pwslaundrywest.com.

Sept. 19-21 — Continental Girbau Service School, Advanced Vended and

OPL Distributors; 800-256-1073, www.continentalgirbau.com.

Sept. 20 and 22 — Advanced Laundry Systems Service Seminar, Rio Rancho, N.M. (Sept. 20), or Golden, Colo. (Sept.

22); 877-432-2504, www.advlaundry.com.

Sept. 21 — Statewide Laundry Equipment Open House, Hialeah, Fla.; 305-6245169, www.statewidelaundry.com.

Sept. 22 — Garment Machinery Open House & Equipment Sale, Dedham, Mass.; 781-559-4077, www.garment machinery.com.

Sept. 23 — PWS Inc. Open House, San Diego; 858-560-6969, www. pwslaundrywest.com.

Sept. 24 — PWS Inc. Open House, South Gate, Calif.; 323-721-8832, www.pwslaundrywest.com.

Sept. 27 — Super Laundry Speed Queen Service School, King of Prussia, Pa.; 484-686-1500, beisenberg@ cscserviceworks.com.

Refer to the “Calendar” online at americancoinop.com at any time for the latest events information!

ACO

WEB UPDATE

Most popular stories from AmericanCoinOp.com for the 30 days ending Aug. 10 — (WE) denotes Web Exclusive

TOP FIVE NEWS STORIES

COLUMNISTS/FEATURES

OUR SISTER WEBSITES

• Machine Operator Killed in Accident at Pellerin Milnor Corp.

• Take a Free Ride on the Su Nueva Lavanderia Express

From AmericanLaundryNews.com:

• CSC ServiceWorks Board Appoints Hjelle CEO (WE)

• Slow-Day Turnaround

• Huebsch Names Milams its Store Owner of Quarter • WASH Acquires American Service Company (WE)

• Survey: Majority of Vended Laundry Owners Favor Trump Ticket

• Hiring Good Employees from Shrinking Labor Pool • Laundry Safety: Every Day, Every Shift

From AmericanDrycleaner.com: • Tuchman Advisory Group: New Name • Spotting Tips: Bleach This

• Integrity Laundry Solutions Expands...

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7/11/16 1:40 8/11/16 9:36 PM AM

INDUSTRY NEWS

Clean 2017 Opens Las Vegas Exhibit Sales Exhibit sales are open for Clean 2017, deemed by promoters to be the world’s premier exposition for the laundry, drycleaning and textile care industry. The Las Vegas Convention Center will host the event on June 5-8, 2017.

Companies can expose their equipment, products and services for the industry to thousands of attendees from around the world. Clean’s longtime management company, Riddle & Associates, says the Clean Show is unique in that prospective buyers can see actual working equipment, giving them an excellent opportunity to compare products.

Because booth assignments are made on a first-come, first-served basis, prime locations on the show floor will be reserved quickly. Companies interested in exhibiting are encouraged to sign up early; a floor plan can be viewed on the show’s website: www.cleanshow.com/floor-plan.html.

Contracting early also gives exhibitors longer exposure with a listing on the show’s website, Riddle & Associates says.

Additionally, only exhibiting companies

have the long-term marketing opportunity to advertise on the show’s website and in the Show Directory.

More than 430 companies exhibited during Clean 2015 in Atlanta, where 11,264 attendees represented all 50 states and 88 foreign countries.

“Early indications from our Clean 2015 exhibitors are that Clean 2017 will be great,” says John Riddle, president of

Riddle & Associates. “The Clean Show is where the industry comes together, and Las Vegas is always a popular destination.”

Las Vegas has hosted Clean several times, most recently in 2011.

Prospective attendees will begin seeing Clean 2017 registration and hotel information this month. The registration fee includes entrance to the exhibit hall for the entire Monday through Thursday show and all educational sessions.

Five national industry associations sponsor the Clean Show: Association for Linen Management, Coin Laundry Association, Drycleaning & Laundry Institute, Textile Care Allied Trades Association and the Textile Rental Services Association of America.

Companies interested in obtaining an Exhibitor Prospectus or getting more information about Clean 2017 may visit the show’s website or contact Riddle & Associates, 2751 Buford Hwy., Ste. 100, Atlanta, GA 30324. The phone number is 404-876-1988, and the e-mail address is info@cleanshow.com.

ACO

Machine Operator, 58, Killed in Plant Accident at Equipment Maker Pellerin Milnor Corp.

Police say victim apparently failed to lock out or shut down machine before servicing it

By Matt Poe Kenner, La., police responded June 23 to reports of an accident involving a machine operator at commercial laundry equipment manufacturer Pellerin Milnor Corp.

The victim, identified as 58-year-old “master operator” Dat Nguyen, apparently failed to lock out or shut down an Okuma Macturn 550-W multi-spindle lathe he was working on in the commercial laundry equipment plant before attempting to service it, according to a release from the Kenner Police Department.

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Nguyen was pronounced dead at the scene, and authorities are investigating.

Police say the machine is an automatic rotating tool machine with a turning lathe. It is electronically programmed and performs its functions on an automatic schedule.

In a prepared statement, Jim Pellerin, Pellerin Milnor Corp. president, describes Nguyen as a seasoned, experienced operator who had worked on the machine for several years. However, for reasons unknown, the company says, on June 23 it appears that Nguyen failed to take the precautions necessary to protect himself from harm while working on the equipment.

Equipment checks showed that the machine’s safety systems were working but apparently were not deployed in this case,

according to the company.

“As a master operator with years of experience with this machine, we just don’t know why he would have gone into the machine without employing the emergency stop—at the very minimum,” Pellerin says in the statement. “The emergency stop is the initial safety step prior to our mandatory lockout/tagout procedures.”

Milnor said it would conduct companywide meetings with groups of employees to reiterate existing safety protocols and procedures and to ensure that the company’s safety rules are strictly followed by all employees at all times.

ACO Matt Poe is editor of American Laundry News, a sister publication to American Coin-Op. www.americancoinop.com

8/12/16 10:55 AM

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NEWSMAKERS

CONFERENCE OF CHAMPIONS DEDICATED TO DISTRIBUTOR SUCCESS Continental Girbau’s recent Conference of Champions in Oshkosh, Wis., brought distributors, vendors and business partners together for a four-day seminar focused on nurturing distributor success.

Motivational speaker and stand-up comedian Mack Dryden kick-started the conference, which featured an array of presentations, product demonstrations and break-out sessions, along with ample time for group receptions, dinners and recreation, according to Continental President Mike Floyd.

“Business is screaming in all markets,” said Floyd during his welcome speech. “Continental has enjoyed record sales during 2015. We are continuing that surge this year, as well, thanks to our distributors and partners, staff, sales tools, and unrivaled and comprehensive laundry product offering.”

Continental’s event included special presentations by Gustavo Gutierrez and Doug Scheer of LG Electronics, Jim Stiles of Lavatec Laundry Technology, Brian Grell and Jennifer Whitney of Eastern Funding LLC, and Albert Lee, owner of multiple vended laundries.

The culminating dinner featured an awards ceremony recogniz-

Some attendees of Continental Girbau’s Conference of Champions pose for a group picture following a Girbau Industrial demonstration at the company’s headquarters in Oshkosh, Wis. (Photo: Continental Girbau) ing Continental’s 2015 Distributors of the Year, including Coronet Equipment, Darling’s Sales & Service, Fowler Equipment Co., (continued on page 48)

AC POWER COMPANYInc. Commercial Laundry Solutions

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(941)726-0808 www.AmericanCoinOp.com 46 AMERICAN COIN-OP SEPTEMBER 2016

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8/12/16 1:47 PM

SERVICES AND SUPPLIES

SERVICES AND SUPPLIES WASHERS and DRYERS COMPUTER BOARD REPAIR Dexter VFD Inverter (Delta Motor Control) All Models (9375-xxx-xxx). . . . . . . $245.00 VFD-A & VFD-B (9732-237-001) . . . . . . . . call Stack Dryer (9875-xxx-xxx) . . . . . . . . . $65.00 Coin Accumulator . . . . . . . . . . . . . . . . $55.00 Wascomat / Electrolux Inverters (MotorControl) All. . . . . . $245.00 471977101,105,115 . . . . . . . . . . . . . . . . . call Compass Control Assembly Gen. 6. $175.00 Selecta II Dryer PCB Assembly . . . . $175.00 Maytag Computers . . . . . . . . . . . . . . . . . . . . . $65.00 23004118 . . . . . . . . . . . . . . . . . . . . . . . . . call W10343020 . . . . . . . . . . . . . . . . . . . . . . . call 33001129 . . . . . . . . . . . . . . . . . . . . . . $85.00 ADC 137213, 137234, 137240 . . . . . . . . . . $65.00 137253,137274,137275 . . . . . . . . . . . . . . call Igniters (Fenwall only). . . . . . . . . . . . . . $30.00 Speed Queen / Huebsch Computers . . . . . . . . . . . . . . . . . . . . . $65.00 Motor Control . . . . . . . . . . . . . . . . . . . $95.00 IPSO 209/00440/70 (Micro 20). . . . . . . . . . $115.00 Volume Discounts • One-Year Warranty Free Return Shipping El - Tech, Inc. 26 West St. Colonia, NJ 07067 For Complete Price List Please Call: 732-381-7620 or 908-510-6520 or visit us at www.eltechlab.com

SERVICES AND SUPPLIES

WASCO GEN 5 DOOR LOCKS & TIMERS REBUILT Door Lock $75 • Gen 5 & 6 Timer $85 WASCO Gen 4 Timer $85 • Continental Timer $95 DRYER COMPUTER BOARDS ADC Stack $60 • Single $45 Huebsch SQ Board $45 Huebsch Old Style Board $55 Stack Dexter/Continental $75 Washer Coin Boards $65 Some prices may vary!!!!

JECON INC. PMB #272 / 5 CONTINENTIAL AVENUE STE.#2 • FOREST HILLS, NY 11375 One-Year Warranty on All Parts Send Core Unit with S&H Fees Call Toll Free: 1-888-532-6677 (888-JECON77) Local: 718-525-3733 • Fax: 212-656-1913 718-525-2266 Visit: JECONINC.COM We Now Accept All Major Credit Cards TIMERS REBUILT — IPSO main & reverse, Milnor, Dexter, Primus, Speed Queen, Maytag & Continental Girbau, Wascomat Generation 4, 5 and 6.

Reeco Timer Co., 2860 Kirby Circle, N.E., Suite 14, Palm Bay, FL 32905, 888-952-1889. www.reecotimers.com

ADVERTISERS’ INDEX Advertiser

Page

Advertiser

Page

AC Power ......................................... 44

Kings Laundry Group ........................ 41

Advanced Laundry Systems................ 39

Laundry Concepts ............................. 43

ALJ Electronics ................................. 37

Laundry Owners Warehouse.............. 11

Card Concepts ..................................... 7

Maytag Commercial Laundry ........... 15

Continental Girbau .......................... IBC CryptoPay .......................................... 17 D&M Equipment ......................... 33, 35 Dexter Laundry .................................... 3 ESD Inc. ................................ 24-25, BC European Finishing Equipment .......... 21 FrontecStore.com ............................... 46 Gold Coin Laundry Equipment ......... 27

Metro Laundry Tech Corp. ................ 46 Mountain Electronics ......................... 46 New York Laundry Equipment .......... 45 NIE Insurance ................................... 23 Progressive Insurance ......................... 19 R&B Wire Products ............................ 1 Setomatic Systems ............................ IFC

Great Lakes Commercial Sales ......... 46

Speed Queen .................................... 8-9

HHC Electronic Service .................... 46

TheLaundryPass.com ......................... 31

Huebsch ..................................FC, 28-29

Tjernlund Products ............................ 46

Imonex Services ................................. 13

Vend-Rite ............................................. 5

www.americancoinop.com

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USED EQUIPMENT Continental (6) L-Series, 18lb, Washers (7) L-Series, 30lb, Washers

$999 ea/obo $1299ea/obo

Dexter (8) DL2x30, Stacks, SS (12) DL2x30, Stacks, Alm. (2) WCN, 40lb, Washers (6) WCN, 25lb, Washers (8) WCN, 18lb, Washers

$1699 ea/obo $1699ea/obo $1599 ea/obo $1199 ea/obo $999 ea/obo

Huebsch/Speed Queen (25) 0300, Dryers, White (19) 0300, Dryers, SS (10) MD2, 18lb, Washers (6) MD2, 35lb, Washers (6) BC2, 20lb, Washers

$1699 ea/obo $1699 ea/obo $999 ea/obo $1599 ea/obo $1499 ea/obo

Wascomat (17) TD30x30 Dryers, Alm. (8) W105, 25lb, Washers (4) W74, 18lb, Washers (4) W125, 35lb, Washers (2) W184, 50lb, Washers

$1699 ea/obo $999 ea/obo $899 ea/obo $1399 ea/obo $1999 ea/obo

SHOP @ LOWLAUNDRY.COM USED PARTS ADC 100064 – ADG330 Motor

$239

Continental 187344 – L1030 3 Phase Motor 187385 – L Series Soap Box 290189 – L1040 Top Panel SS 348524 – Digital L Series Timer

$549 $34 $179 $249

Dexter 9866-003-002/003 – Lint Drawer 9857-134-001 – Gas Valve 9960-256-027 – Door Alm.

$87 $69 $114

Huebsch/Speed Queen 32DG Control Board w/Coin Drop F603239-4 – 27/30/35LB Door F8200301P – 18/20LB Frt. Panel SS M413532 – 0300 Ignition Box SC/HC 18lb, Motor 3 PH

$124 $49 $89 $19 $199

Wascomat 176537 – Stack Dryer Drum 181514 – Stack Dryer Board 220060 – W655 Frt. Panel SS 895015 – Gen 4 Timer W74/W75 1 or 3 PH Motor

$274 $87 $135 $194 $144

Drum Lathing $325 & up Motor Rebuild $650 & up CPU Repair $100 & up Vend Soap

$55.99

Laundry Owners Warehouse LOWlaundry.com (954) 537-1643 3555 Powerline Rd Ft. Lauderdale, FL 33309

SEPTEMBER 2016 AMERICAN COIN-OP 47

8/12/16 1:47 PM

NEWSMAKERS

(continued from page 44) Wholesale Commercial Laundry S.E. and Taylor Houseman. The Continental Business Partner of the Year was awarded to LG. ALJCO NOW DISTRIBUTOR FOR MAYTAG/WHIRLPOOL, ESD, HAMILTON MFG. After 32 years of providing electronic controls repair and small parts service to the on-premises and coin-op commercial laundry industry, ALJ Electronics, El Segundo, Calif.—doing business as ALJCO—reports that it has been named an authorized commercial laundry equipment/parts distributor for Maytag/Whirlpool Corp. in Southern California.

Additionally, ALJCO also says it is now an authorized distributor for ESD card systems and Hamilton Mfg. vendor and point of sale systems.

ALJCO says its move into distribution “is an opportunity in the company’s growth strategy to become a full-service supplier and operator in the industry for its customers.”

The company has partnered with several “highly respected and qualified service technicians to facilitate equipment installations and services.”

ALJCO will host an Oct. 1 open house/service school to introduce Maytag/Whirlpool equipment and parts to customers.

HUEBSCH NAMES MILAMS ITS LATEST STORE OWNER OF QUARTER Huebsch® has named Aaron and Andrea Milam, owners of The Laundry Room in Pasadena, Calif., the latest recipients of its Store Owner of the Quarter award.

“The Milams demonstrate exceptional dedication to providing customers with the best laundry experience possible,” says Kathryn Rowen, Huebsch North American sales manager. “Their ongoing commitment to customer service, as well as their innovative ideas and passion for continuously enhancing the aesthetics and technology in their store, have made them a great partner.”

The Milams first realized the potential investment opportunity a Laundromat business could provide when they installed coin-operated laundry machines in their rental properties. They decided to start looking into opening a Laundromat. After years of searching for the right property, the couple purchased an existing store that was close to home, but in need of some remodeling.

A year after purchasing and remodeling the Laundromat, the couple decided to replace the outdated equipment. The Milams chose to work with ACE Commercial Laundry Equipment because of Sales Manager Andy Wray and Senior Sales Associate Rudy Munoz. The two assisted the Milams to select the best equipment mix, then continued to support them after the sale. The Milams used Huebsch Financial to help finance their new equipment.

“It was important for us to find the right partners for our Laundromat business,” says Aaron Milam. “Our goal was to differentiate our store from others, and ACE was able to deliver the most efficient equipment and the best aesthetics while working within our replacement budget.”

48

AMERICAN COIN-OP SEPTEMBER 2016

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Aaron Milam and Andrea Milam (second and third from left), owners of The Laundry Room, celebrate their Huebsch Store Owner of the Quarter award with (from left) Andy Wray, ACE Commercial Laundry Equipment commercial sales manager; Joe Purbaugh, Huebsch senior regional sales manager; and Rudy Munoz, ACE commercial senior sales associate. (Photo: Alliance Laundry Systems) INTEGRITY LAUNDRY SOLUTIONS EXPANDS TO BETTER SERVE CUSTOMERS Integrity Laundry Solutions, a full-service distributor of laundry equipment, parts, ozone systems and chemicals headquartered in Walla Walla, Wash., recently opened a new branch office in Kent, Wash. The company serves the vended, on-premises and multihousing laundry markets throughout Oregon and Washington.

“Our service after the sale is what sets us apart,” says Greg Tompkins, president of sales and service. “The new office in Kent will allow us to fulfill service and parts requests more quickly throughout Washington and Oregon.”

Integrity specializes in Continental and LG commercial washers, dryers and finishing systems; Express Laundry Centers®; Aquawing Ozone Systems; Sports Laundry Systems; and Anderson chemical cleaning and sanitation programs.

LAUNDRY OWNERS WAREHOUSE LAUNCHES NEW WEBSITE Distributor Laundry Owners Warehouse reports it has launched a new website with a view to providing its services and products to clients in a streamlined, optimized manner. The new website at https://lowlaundry.com features a range of functionalities that the company says are industry firsts.

“Our new website is a project we have been working on for quite some time now,” says Joshua Prager, owner of Laundry Owners Warehouse. “Now that it’s ready for launch, we are excited. We give full credit to our back-end staff and the experts who worked on the design and development of the site and made it unique and groundbreaking at the same time.”

According to the company, the website features the ability to search using brand name, type of equipment, or machine size; further filtering of used equipment by voltage, type, price, or color; the ability to find a specific model; live pricing; and pre-approvals for financing.

ACO www.americancoinop.com

8/12/16 10:53 AM

IT’S SIMPLE.

AT CONTINENTAL, WE ARE INNOVATORS. Continental has installed commercial-grade high-speed, softmounts in laundromats for over 20 years. We lead the industry in marketunique, creative innovations that positively impact vended laundries. NO WONDER THE OTHERS FOLLOW OUR LEAD! For years, we’ve proven the huge store advantages garnered from washers that produce greater than 200 Gs. Laundries with plus 200 G-force enjoy lower utilities costs and overhead, increased customer turnover and boosted profits.

When installing washers with over 200 Gs, a 3,500-square-foot laundry can save as much as $70,000* per year in utility expenses!

Watch and learn at www.continentalgirbau.com/expresscomparison.

Call (800) 256-1073 to make your laundry more attractive, flexible, profitable, convenient and unique! www.continentalgirbau.com

GIRBAU INC.

*Contact CGI for specifics

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Brian Holland, Partner The Laundry Café

Why did you choose an ESD system?

We obviously wanted a state-of-the-art card system that would give us a competitive advantage, but we also wanted a company that was as celebrated for their service and customer care as they are for their most successful products.

ESD is the gold standard in the industry because of superior products, well-trained personnel, and outstanding customer service.

What is your experience in the laundry industry?

In the purest sense of the word, we are “newbies” to the vended laundry arena - excited to be here, eager to play, hungry for knowledge, and humble enough to learn from anyone who is willing to offer guidance.

At the same time we have seasoned experience and battle scars from both corporate- and small business experiences in unrelated industries.

While the industries are completely unrelated, the foundational business principals that they taught - Customer Service, Finance, Marketing, Sales, People Management, HR, Operations - are all directly relevant. Maybe we’re newbies with a little seasoning.

What are the unknown challenges that you faced with your new store? How has ESD’s system helped you to overcome these challenges?

The Laundry Café is located in a fantastic destination location, but it is in a an internet challenged area of the city. ESD exceeded all our expectations by creating a wireless network even though none of the major internet providers were available. ESD has an internal team of IT professionals who customized our system to meet our needs, from design to installation.

Brian Holland & Tyrone Akins of

Is there anything that surprised you about the ESD system?

I was pleasantly surprised at the managerial utilities. The reports are thorough, comprehensive,and seamlessly integrated.

I can produce performance reports that track nearly everything. These are great for tracking your business and making informed adjustments for improvement.

Contact your local ESD distributor or ESD sales representative for more information.

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