DO YOU WANT A CARD OR COIN DROP LAUNDROMAT?
Supporting these owners is the money being spent by the card system suppliers in trade journals, seminars and mailouts. Trade groups and journals responding to advertisers and many distributors (who may be seeking additional profits) also lean toward supporting the use of card systems in Laundromats.
LOOKING AT BOTH SIDES OF THE COIN
There are situations where the Cards have an advantage over coin mechanisms and in these applications; it makes sense to use Cards.
"Dave and Busters" restaurants use Cards in their amusement business,
College students who use vending are another situation where Cards have
In Laundromats, Cards do not provide enough benefits to overcome the advan-
FLOAT. Card system companies market the "Float." This is money "purchased" by your customers and not used. It remains as a balance on their Card. Although float is a benefit to the storeowner, it can also be seen as a detriment by creating ill will and customer aggravation. Most of your customers will resent taking their money without providing anything in return. Some customers actually need the "Float" to live, so they ask for a refund of the unused "Float" when they leave. This adds an extra labor expense. Do you really think your customers like the "Float"?
CUSTOMER PREFERENCE. The bulk of Laundromat users are people who do not have, or cannot afford, their own washing machines. Millions of people who are Laundromat customers do not have a checking account or credit cards. Forcing a customer to purchase a smart card does not always work. Customers may leave and go to Laundromat that uses coin mechanisms. Not everybody wants his or her money on a piece of plastic, particularly when the balance is not shown on the card.
FAILURE AND REPAIRS. In a coin Laundromat, one mechanism can go out of order, but all remaining washers and dryers still work. Owners can fix many coin slide problems, but when a card system breaks, repairs require an electronic repair technician. Card systems can have technical problems where all of the washing machines and dryers go Out-Of-Order. If the card dispensers are jammed or out of order for another reason, customers cannot put money on their cards to start any of the washers or dryers. Your point of access is limited to the number of card dispensers installed and operating.
TRAINING. When you have a Card store, you are limited to using a higher standard of attendant. You cannot rely on cleaning workers to explain how the system works without training your workers in using the Card system and how to respond to customer complaints and questions. There is more training required for Card Laundromats and more for the owner to learn.
HIGHER COST. It is more expensive to operate a Laundromat with a Card system. The costs are calculated in these areas: 1) initial investment; 2) ongoing cost for cards; 3) need for increased hours for attendants to educate customers in the operation of the Card system; 4) higher wages for attendants possessing computer skills; 5) ongoing cost to update system; 6) salary cost related to refund of "Float": 7) higher cost to maintain and repair Card readers and the system.
RAPIDLY OUTDATED TECHNOLOGY. Newer versions and ongoing upgrades are the constant companion of Card systems. The enemy of a computer board is dust, heat, vibration and water. Laundromats have all of these conditions. Technology in Card systems is progressing or changing so rapidly that an eight-year-old system may have difficulty in finding repairpersons and parts. It is a reasonable to believe that electronic Card systems will not have the twenty-year usable life of mechanical coin drop mechanism equipped Laundromats.
NOW YOU HAVE A BALANCE. The majority of articles and information you will receive is supported by the manufacturers and favors the switch to card systems. If you have an iPad and iPhone you will probably prefer the feature benefits of card systems, but if you think the coin mechanism still has a place in our industry, you now have a few points to ponder.
CREDIT FOR THE CONCEPTS. The information contained in this article are based on the copyrighted material of Imonex Services Inc. and used with their permission. It has been edited and modified for this presentation.
CARD SYSTEM OR COIN DROP DISCUSSION
HOME PAGE |Laundromats For Sale | Laundromat Insurance Application | Laundromat Biz Investing | First Time Laundromat Buyer | Laundromat Buy or Build | Basics Operating Laundry | Basics Purchasing Equipment | Summary of Ownership Benefits | Know This Before You Buy | Understanding Demograpics | Do A Laundromat Equipment Inspection | Laundromat Water Bill Analysis | Laundromat Investment Terminology | Card or Coin Discussion | Best Way To Buy A Laundromat | Build New or Buy an Existing Laundromat | Laundromat Due Diligence Questions | Laundromat Due Diligence | Advanced Due Diligence Advice | Attendants In Your Laundromat | 1099 or Payroll for Laundromats | Theft and Robbery from Laundromats | Cameras Alarms for Laundromats | Why Security Cameras in Laundromats | Controlling Cockroaches in Laundromats | 140 Degree Water in Laundromats | ADA and Laundromats | Laundromat Success Hints | Controlling Laundromat Costs | Laundromat Washer Comparison | Super High Spin Washers | 350G v 200G Laundromat Washer Comparison | Laundromat Financing Answers | SBA Loans for Laundromats | Korean Banks in California | Eastern Funding Finance | All About Laundromat Insurance | Terms Used-Laundromat Insurance | Non-Admitted Carriers | CBS on Laundromat Insurance | Laundromat Attorneys and Professionals | Background of Larry Larsen | Larry Larsen Laundromat Court Cases | Laundromat Repair People | List Your Laundromat | How To Sell Your Laundromat | Showcasing Your Laundromat | How To Negotiate 4 Laundromat Equipment | Energy Rebates for Laundromats | Ozone in Your Laundromat | Water Stores in Laundromat Coin Laundry | Ask The Laundromat Expert | Free Laundromat Publications | Laundromat Management for Absentee Owners | Laundromat Landlord Questions and Answers | Forbes Article On Laundromats | Clean Show | Soap Supplies Laundromats | VIDEOS about Laundromats | Directions to our Laundromat Offices | Blogs, Answers Musings of Larry Larsen