Competitor Shut Down

[dbrown2508]

I suspect this has been covered a few times on the site, but want to revisit the topic for ideas.

I had a call this AM. The closest competitor to mine has closed their doors this AM. Was a notice from the landlord (non payment of rent).

We are giving the neighbors some flyers - so that when customers ask them, they know of another coin laundry that is close. Any other ideas (both short term and long term? The equipment that is there is relatively new (purchased a few years ago - likely manufacturer financed). I'm not sure if I could give the landlord some money to either make sure no laundromat moves in there, or give him money to hang a sign in the window that directs customers to closest mat.

[jh]

I would ask the landlord if you could hang a sign that states that your laundromat is the best in town and it needs local residents' support to survive in this economy (to scare potential laundromat buyers off). If the landlord says no, then you can proceed with the idea to pay him not to lease it as a laundromat again. If the answer is yes, you only need to pay a small amount to post the sign or, better yet, for free.

[rbh]

I would park a car or truck in front of the old place with a big sign on it directing them to your place.

[JamesD]

The last time that this happened to me, I just posted a sign on the front door with an arrow pointing to my laundry. It worked like a charm until the landlord sold the place to someone else. I wouldn't want the place if it was free, so no great loss there. It is a small pit with cold water only!

[CanCanCase]

All 3 competitors that I've "closed down" have been in small towns where everyone knows darn well who else to use, so no need for signs. We built #1 with the "if you build it, they will come" attitude, and it worked for our 50% of the market share. When a competitor closed down a few months ago, I did have to put on extra staff to clean since the former competitor's customers were nearly doubling my TPD (and making triple the mess.)

-Case

[dbrown2508]

Its been 3 days (it closed sometime Tuesday). Had an extremely busy Thursday. The competitor was normally closed Wed (yes - I found it strange too), so there normally wouldn't be any customers in his mat on Wed. Today was relatively busy.

On the wash and fold side, it was swamped. Its been busy with our regulars (why this week vs others-not sure), but then we've added likely another 30% from their wash and fold. Think this will be an issue - capacity, storage etc. Suspect there is a price increase coming soon.

[WellDoneSir]

Originally Posted by rbh

I would park a car or truck in front of the old place with a big sign on it directing them to your place.

That's a great idea! I would probably do that! Also maybe do some reviews online and announce that it's close and mention alternative locations nearby.