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04-22-2012, 11:02 PM
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Senior Member
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Join Date: Dec 2007
Posts: 856
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who came up with the formula
that the revenues for dryers are 50% of the revenues of the washers?
was it developed by CLA, its members, or who?
please help shine some light.
as i've said before, my tracking for my laundries does not fit this formula. my dry cycle is 8 minutes per coin, such as $1 for 8 minutes. and my toploader are at $4 per cycle. since keeping track of info, my data has been consistently that it take 3 to 4 dry cycles to dry one wash cycle.
by that i mean, one wash load at $4 will take $4 (4 dry cycles). in revenues term, this would be a 1:1 ratio ($4 wash = $4 dry).
even for the Dexter 30 lbs washer into the 50 lbs Huesbch dryer, it takes four cycles to dry (on average). but in term of revenues, the ratio would be 2:1 ($8 wash to $4 dry)
very inconsistent?
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04-23-2012, 08:55 AM
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Senior Member
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Join Date: Oct 2009
Location: North Bend, OR
Posts: 14,210
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Quote:
Originally Posted by Xiong
that the revenues for dryers are 50% of the revenues of the washers?
was it developed by CLA, its members, or who?
please help shine some light.
as i've said before, my tracking for my laundries does not fit this formula. my dry cycle is 8 minutes per coin, such as $1 for 8 minutes. and my toploader are at $4 per cycle. since keeping track of info, my data has been consistently that it take 3 to 4 dry cycles to dry one wash cycle.
by that i mean, one wash load at $4 will take $4 (4 dry cycles). in revenues term, this would be a 1:1 ratio ($4 wash = $4 dry).
even for the Dexter 30 lbs washer into the 50 lbs Huesbch dryer, it takes four cycles to dry (on average). but in term of revenues, the ratio would be 2:1 ($8 wash to $4 dry)
very inconsistent?
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It's not a "formula", it's simply a guideline that loosely fits SOME laundromat operations.
That said, your second example proves it out... $8 wash and $4 dry IS exactly: dryer revenue = 50% of washer revenue. (In other words, $4 = 50% of $8.)
-Case
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www.GreenLightningLaundry.com
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04-23-2012, 09:10 AM
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Senior Member
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Join Date: Jul 2000
Location: NJ
Posts: 5,053
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Its based on observation of a huge number of store in the USA - it may likely not apply on the bottom side of the world
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04-23-2012, 09:35 AM
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Junior Member
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Join Date: Mar 2012
Posts: 11
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Hey Hey!
Unless I am misreading it, you mentioned that you charge $1 for every 8 mins of dry time to give you a 1:1 ratio (to the $4 TL wash). That's awesome if you get $1 for 8 minutes, but could you have meant $.25 for each 8 minutes to make it $1 for a 32 min dry cycle?
Call me an ass for assuming, but I will go with that assumption, which would be 25% of washer revenue (for that particular machine) if the 32 min dryer cycle gets the clothes completely dry.
In a lot of the mats I've been in, a dryer cycle takes about 40 mins or so, which, if adapted to your mat would be $1.25 per dry cycle or 31% of washer revenue.
Most of the information I've ever reviewed uses dryer income at 40% of washer revenue...
Again, if my assumptions to your pricing are incorrect, please disregard everything I typed above the 40% line...
Phil
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04-23-2012, 09:44 AM
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Senior Member
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Join Date: Jan 2011
Location: Binghamton, NY
Posts: 415
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It all depends on where your washer and dryer prices are set.
My dryer to washer revenue for 2011 was 57.27%
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04-23-2012, 10:35 AM
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Senior Member
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Join Date: Sep 2010
Location: NYC
Posts: 1,061
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To my understanding, this number is just a rough estimate according to past statistic to give people some idea of what the dryer and washer revenue ratio can be. It does not apply to a store that offers free dry. It does not apply to a store where washer vend prices have been decreased as competition level increased but the dryer vend prices have remained untouched. It assumes that if store A's washer vend price is higher than store B's, then store A's dryer vend price should be higher than store B's. To see if your pricing structure fits this number, you can start by reading some old posts to see what people have said about their washer and dryer vend prices. See if your ratio meets the average ratio.
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- John
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-I wish that all I do is to collect coins, just like the other laundromat owner down the street.
--Whoa, is that all he does? What an easy job!
-No. It is his wish, too.
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04-24-2012, 04:56 AM
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Senior Member
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Join Date: Dec 2007
Posts: 856
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Quote:
Originally Posted by CanCanCase
It's not a "formula", it's simply a guideline that loosely fits SOME laundromat operations.
That said, your second example proves it out... $8 wash and $4 dry IS exactly: dryer revenue = 50% of washer revenue. (In other words, $4 = 50% of $8.)
-Case
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sure, because sometimes takes $2, $3, $4, $5, or even $6 to dry a washload from the dexter t400. that's just my overall average for the year.
it's a nice guide, but some distributors has taken that formula as the verses in the bible. that's what they should be telling wannabees mat owners?
the secret to success being a mat owner then is getting the most tpd, and/or the highest net profit?
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04-24-2012, 04:59 AM
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Senior Member
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Join Date: Dec 2007
Posts: 856
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Quote:
Originally Posted by Howard
Its based on observation of a huge number of store in the USA - it may likely not apply on the bottom side of the world 
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then we'll have to take into account the type of clothing materials people in the respective area wear, the air moisture content in the area, and so on...
though do most of you find this formula to be very uniform from west to east in america?
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04-24-2012, 05:04 AM
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Senior Member
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Join Date: Dec 2007
Posts: 856
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Quote:
Originally Posted by Dr Phi11y
Hey Hey!
Unless I am misreading it, you mentioned that you charge $1 for every 8 mins of dry time to give you a 1:1 ratio (to the $4 TL wash). That's awesome if you get $1 for 8 minutes, but could you have meant $.25 for each 8 minutes to make it $1 for a 32 min dry cycle?
Call me an ass for assuming, but I will go with that assumption, which would be 25% of washer revenue (for that particular machine) if the 32 min dryer cycle gets the clothes completely dry.
In a lot of the mats I've been in, a dryer cycle takes about 40 mins or so, which, if adapted to your mat would be $1.25 per dry cycle or 31% of washer revenue.
Most of the information I've ever reviewed uses dryer income at 40% of washer revenue...
Again, if my assumptions to your pricing are incorrect, please disregard everything I typed above the 40% line...
Phil
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from where i am, every thing here at least double those of you in the states. most of the machines come from the states, so i don't have too many option of choosing which distributor of the machine brand i want. i either take it or leave it, it's one distributor for one brand here.
we've been told here that dryer incomes are 50% of washer incomes here too. i did not believe that, from my own testings so when i became an owner i just track them for my own good.
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04-24-2012, 05:06 AM
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Senior Member
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Join Date: Dec 2007
Posts: 856
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Quote:
Originally Posted by KJ
It all depends on where your washer and dryer prices are set.
My dryer to washer revenue for 2011 was 57.27%
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very very true on that
if i set my dryer to 4 minutes per cycle, then obviously i would get a different ratio.
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