CHICAGO — Can the drop store (or dry store) as we know it be redefined? There are businesspeople today who think so — and are laying it all on the line to change image and perception.
“Drycleaning plants will take on a new role, primarily servicing smaller outlets on a wholesale basis, drastically reducing environmental problems,” says Bob Devaney, president and CEO of All Things Drycleaning, South Weymouth, Mass.
Devaney, who started Lapels Dry Cleaning before selling the business, now finds ways to make drop stores profitable for owners who pay no royalties. He makes his money selling stores and building stores and has 70 stores to date, mostly in Massachusetts, but is looking to expand.
“Less plants servicing the right number of outlets will increase their volume and profitability,” says Devaney. “Plants would be located away from residential areas but still able to provide quality and same-day service to the local outlets.”
Today, business models for drop stores are varied and unique and out to forge new definitions. These businesses not only in Massachusetts but in places like Houston and Seattle are rewriting the rules.
These aren’t your grandfather’s dry stores. No more are they categorized as stores of possibly lesser quality. Innovators are changing the rules and creating a fresh, new look for dry cleaners.
ATTRACTIVE
“We work hard on picking the right location and making the customer experience at a dry store just like coming to a plant,” says Mike Nesbit, CEO, MW Cleaners, Spring, Texas. His company serves the Houston-Austin area with 37 stores; 27 are drop stores.
(Editor’s note: In the interest of full disclosure, Nesbit currently serves on the American Drycleaner Advisory Board.)
This is another business that is changing the mindset of what the dry store is suppose to be, redefining the label.
“I won’t put a store into a small space that is 15 feet wide and 70 feet deep,” says Nesbit. “We need a bigger presence. Real estate is our marketing. We want to be as attractive from the street as possible.”
Industry trends in old-school speak would tell you the drop store is a secondary business due to less volume. There’s typically a storefront and some racking, and there are logistical challenges. But that’s not how today’s new business model looks at it.
“Our message is don’t treat the dry store like a secondary store. Treat it like a plant facility,” notes Nesbit.
“We have 26 dry stores and they all have drive-thrus. We make five deliveries each day to those stores. We staff our dry stores like a producing plant to make the experience as close as possible to the production facility service,” says Nesbit.
Location and look are recurring themes, and these stores are visible and attractive, but there are other players throughout the country, too.
Mark Scott, owner of Bakker’s Fine Drycleaning, serves the Seattle area with pickup and delivery via next-day service. His business processes all items in the order of their delivery back to each drop store.
He says the keys to his business’ success are based on customer service and personality. Bakker’s know its market in the Seattle area and its customers.
“We have been around a very long time, our roots are traced back to 1947. We have been, and are currently family-owned and -operated,” says Scott.
“Dry cleaning is a very personal business, (and) handling clients’ personal/favorite garments needs to be a great experience for them. We find, hire, and train our front-counter staff to reflect this with each client we serve.”
The employee base that faces the customer each day is critical, and he says his biggest challenge is finding, hiring and keeping staff.
“We are always thinking of ways to attract and keep good people. We have incentivized many positions with performance goals so the staff feels rewarded for their extra efforts,” says Scott.
“We also have company parties and treat the staff to lunches, all to make working with our company more enjoyable,” he continues. “Another key feature is communication. We meet with staff as a whole and in groups to review concerns and objectives.”
His company serves Seattle, which can be viewed as a progressive city.
“Seattle is very environmentally aware,” indicates Scott, “and many customers will choose a business based on their environmental image. We received the highest award for a green business, and use it in all of our marketing.”
The city has a strong local economy with many industries, and the populace is growing. He points out that the living expenses in Seattle are significantly higher than the “average” nationwide. “This commands higher rents, particularly in desirable locations. With regards to drop stores, we look for efficient spaces that can generate dollar volume to correspond with a reasonable rent-to-income ratio.”
The top priority is customer service. “We welcome clients into a well-kept, clean store, and we meet and exceed their expectations, and make them feel important.”
Do his customers agree?
“We frequently poll our clients for feedback about their experience with our business, both new and old. We have made several minor changes based on this feedback,” says Scott.
He believes in listening to his clients and responding quickly. “The companies that evolve will be in business for a long time,” he adds.
The drop store model offers flexibility.
“We can create an environment like anything we want,” Scott says. “There are no issues with the heat or noise of equipment. We like to think of them as convenient, easily accessible ‘cleaners’ that don’t look, sound or smell like a cleaners.”
When the “look” changes and the business soars, the game has officially been changed as well.
Innovators of drop stores strut with style and get noticed — and that’s what’s hot today.
To read Part One, go HERE.
Have a question or comment? E-mail our editor Dave Davis at [email protected].