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Market estimates
2023: The Russian market for laundry and dry cleaning services for the year grew by 23.2% to 15.2 billion rubles
In 2022, the total volume of the Russian market for laundry and dry cleaning services provided to the population reached 15.2 billion rubles. This is almost a quarter - by 23.2% - more than the result for the previous year. Such figures are given in a study by AnalyticResearchGroup, the results of which were published in mid-May 2024.
It is noted that the indicator recorded in 2022 became the maximum in three decades. The laundry and dry cleaning services industry in the Russian Federation continues to develop dynamically. The CAGR (average annual growth rate in complex percentages) in the period from 1994 to 2022 was recorded at 14.6%. During the decade (by 2022), the maximum increase was noted in 2013 - plus 30.1% on an annualized basis. And the greatest decline occurred in 2020 - minus 12.8%: this is explained by the restrictions and self-isolation of citizens against the background of the COVID-19 pandemic.
The positive dynamics in the market is due to several factors. One of them is high inflation, which entails an increase in prices for dry cleaning and laundry services and, therefore, an increase in the volume of the industry in monetary terms. In addition, the development of the market is influenced by the introduction of new technologies, as well as the expansion of the range of services provided. Among additional services, analysts highlight contactless delivery and sampling of things, the use of environmentally friendly cleaning products and the ability to order services through mobile applications.
In January-September 2023, the market for laundry and dry cleaning services in Russia reached 12.6 billion rubles. It is estimated that the segment in question will continue to grow in the future. The CAGR to 2027 is forecast at plus 7.6%. Thus, AnalyticResearchGroup believes that costs by the end of this period will exceed 23 billion rubles.[1]
2022: The Russian market for laundry services for the year grew by 19.6% to 4.26 billion rubles
The volume of rubles the Russian laundry services market in 2022 reached 4.26 billion, which is 19.6% more than a year earlier. This is evidenced by the data Rosstat that analysts at GuideMarket cited in mid-July 2023.
According to experts, the market in question in 2022 grew mainly due to higher prices for laundry services. Despite this, real demand also increased by 4.2%, which indicates the continued popularity and demand for these services, the study notes.
Experts believe that the market for laundry services for individuals in Russia continues to develop and grow. Despite some factors such as inflation and economic crises, demand for laundry services remains stable and even shows growth during recovery periods.
This may be due to an increase in the number of busy people who prefer to save time and energy by using laundry services. In addition, laundries can also offer extras such as dry cleaning and ironing, making them even more attractive to customers.
It's important for companies working in laundry services to build effective marketing and management strategies to attract and retain customers, analysts say. This could include developing attractive promotions and discounts, providing a high level of service, and investing in state-of-the-art equipment and technology to ensure high washing quality and convenience for customers. With the growing number of facilities providing such services, companies must constantly monitor trends and offer something unique to stand out from competitors. This could be providing additional services such as delivering and picking up laundry, using eco-friendly washing methods or creating a cosy and comfortable laundry environment, the report said.[2]