The Top Four Challenges Drycleaners Face

I have been supporting and helping drycleaners solve their greatest challenges for almost four years now. I want to share with you the four most common challenges drycleaners have. Here goes:

#1 Slow or No Growth Revenue –
Most drycleaners grade themselves based on their top line revenue, not their profit. When their revenue is declining, level, or barely growing drycleaners get very frustrated.
A few good marketing systems is usually all it takes for revenue to take off:

• Acquisition System for new, right fit clients. This is missing in almost every drycleaner I talk to.
• Ascension System to get current clients to come more often and spend more each time they come.
• A (meaningful) Retention System to re-engage out of pattern or lost clients. If all you do is send out an automated email, that doesn’t cut it.

#2 Cannot Control Production Labor –
As the largest expense on our P&L’s, production labor should receive much more attention than most of us give it. We let our production team win the always present tug of war, needing to “get their hours.”
A Good Tracking System that is consistently implemented, with rewards, and daily discussion of results compared to expectations is all it takes – but this is often easier said than done.

Note: #1 and #2 combine to create low cash flow which can cripple a drycleaning company, and really frustrate the owner with unacceptable financial results.

#3 Always Playing Defense –
When drycleaning owners get defeated with #1 and #2 above, and cannot find the answers themselves to these challenges, they make a shift to playing defense with their business, reactive to the needs of the day.
Instead of going on offense by opening a new store, a new route, or pursuing an acquisition opportunity, they lack the confidence to grow and think the benefits of adding revenue will all disappear by the inefficiencies of the operations. So, they stop trying.
Shifting from offense to defense is a mindset and it usually happens when someone has stopped growing themselves as a person. You see, you can only lead your team as far as you have taken yourself. If you are playing defense most days, it is time to make some new commitments, develop some new skills, and this will create new confidence.
Hanging out with successful peers, or having an engaged mentor can keep you from getting in these slumps.

#4 Team Member Churn –
The fourth most common challenge drycleaners face is acquiring and retaining team members who genuinely care about your company and the clients they serve... and want to grow and develop themselves in your organization.
Just like the systems we implement for attracting, acquiring, ascending, and retaining right-fit clients, there is a very similar system to do the same process with team members.
Most people I talk to don’t have these systems in place, so they feel like they have a revolving door when it comes to team members. Team members leave as fast as they come, and because of this, the business owner feels like they have to always be hiring.

I tell you about these four most common challenges so you don’t feel alone. Likely you are experiencing one or more of them and you aren’t the only one.

I also share them so you know there is a solution for each of these challenges. Left unattended, these challenges will destroy your business and your entrepreneurial dream. If you seek out the solution from someone who has solved these challenges, then you can compress time by overcoming the challenges and start enjoying the ownership of your business.

This is exactly what I help our members do at Maverick Drycleaners. We help our members solve challenges they cannot solve by themselves. Remember, it is only lonely as a business owner if you don’t take anyone else with you on the journey.

Please share with me if any of these four things are challenges for you now, or maybe you have one that I missed. Shoot me an email at: [email protected] and I will send you back some solutions.

Have a great week!
Dave