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The economics of drycleaning explained to VOA
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Looking for information on the economic state of the drycleaning industry, the Voice of America contacted the Drycleaning & Laundry Institute this summer and spoke to DLI CEO Bill Fisher.
Asked by VOA reporter Ye Yaun how the industry is faring in the current
recession, Fisher explained that the industry was in a slump long before the
rest of economy and that now the decline was somewhere between 30 and 40
percent.
Fisher said that many consumers could be wearing their clothes that one extra
time before getting them cleaned.
“A suit, for example, might usually be cleaned after four wearings,” Fisher said. “Now a man or woman might see it there in the closet after four wearings and
decide that it’s okay to wear one more time. That’s five wearings. The simple math there shows that’s a 20 percent decrease in cleanings for the drycleaner.”
Yaun also asked what DLI is doing to help members survive. Fisher responded, “For the past three to four years we’ve been acutely aware of the economic stress in the industry and we’ve been providing members with the best information available on business and
cleaning.”
Fisher said that through diversification, superior cleaning and customer
service, plants could improve their chances for surviving the slump.
Fisher has seen the cycle before during his many years in the industry and
explained how it works. “Presently there are too many plants cleaning clothes and not enough clothes to
go around,” he said. “As plants close down, the plants staying open pick up some of that cleaning.”
He said this is exactly what happened in the mid-1970s recession. “Those cleaners who are able to ride it out and keep their business open will see
an increase when their competitors begin to close up,” he said.
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