How I Started A Laundry Franchise In India And Scaled It To $1.5M/Year In Just 3 Years
Hello! Who are you and what business did you start?π
Hi, I'm B.P. Singh, and I am the founder of Washmart, one of India's fastest-growing laundry franchise chains. We specialize in providing professional laundry and dry cleaning services, with our flagship product being laundry services.
Our primary business model revolves around selling franchises, and at our stores, we offer convenient pickup and delivery services, making laundry hassle-free for our customers.
I initiated this venture in 2020, starting with a single store located in Noida, Uttar Pradesh. The initial setup cost for the store was approximately 15 lakhs rupees, including legal fees and documentation costs of around 1 lakh rupees. In the beginning, our focus was primarily on B2C services, and we managed to generate around 2-3 lakhs in revenue from December 2020 to February 2021.
However, our progress faced an unexpected challenge when the COVID-19 pandemic hit. Despite this, we adapted to the situation by implementing strict safety protocols such as no-contact delivery, cashless payments, and thorough sanitization.
Even during these trying times, we managed to make INR 5-6 lakhs in revenue over the next four months. Encouraged by our initial success, we opened another store in Hisar, Haryana, which generated approximately INR 4-5 lakhs in revenue within three months.
In total, we earned around INR 20 lakhs in revenue from both stores in 2021.
Towards the end of 2021, when lockdown restrictions eased, we registered our trademark and devised plans to expand our brand. We diversified our offerings to include B2B services and began franchising our brand. To support this expansion, we assembled a dedicated marketing and sales team and crafted a robust marketing strategy. Within just six months, we were able to expand to 25 stores.
Despite well-established competitors like Uclean and Dhobilite, we positioned ourselves as a cost-effective option with franchise costs of INR 12/16 lakhs, providing the same setup, facilities, and services. This competitive pricing strategy enabled us to grow rapidly. Today, we proudly operate 85+ stores in 21 states and 45 cities across India, including major Tier 1 and Tier 2 cities like Bangalore, Noida, Gurgaon, Hisar, Hyderabad, Durgapur, Itanagar, Chennai, Guwahati, Patna, Pune, and many more.
We have diversified our income streams, earning approximately 60 lakhs per month from royalties, which constitute 5% of the gross sales from our stores, and an additional 35 lakhs per month from chemical orders and other laundry-related essentials.
What's your backstory and how did you come up with the idea?π
My journey into entrepreneurship started in August 2020, driven by a strong desire to create something remarkable. I had always dreamt of venturing into the business world, and during this period, I stumbled upon an intriguing opportunity β the laundry and dry-cleaning industry in India.
Before this venture, I had worked as a sales manager, gaining valuable experience and insights. However, the laundry business wasn't an obvious choice for me initially. Nevertheless, as I delved deeper into the potential of this industry, I realized the untapped opportunities it offered. The year 2020 marked a time of change, and I saw the potential to innovate the laundry sector in India.
I also drew from my experience working at Speed Queen Laundry, which provided me with essential insights into the laundry and dry-cleaning industry.
Over the next few years, I dedicated myself to understanding the intricacies of the laundry market, experimenting with fresh ideas, and gaining insights.
As time went on, I leveraged my experience and knowledge to automate processes, ensuring our business could scale efficiently. To test the waters and validate our concept, I introduced our services to the market in August 2020, monitoring demand and traction.
My entrepreneurial journey began with a modest initial investment. As the business generated revenue, I reinvested strategically, driving our expansion and pushing the boundaries of what we could achieve.
Take us through the process of building the first version of your product.π
When I started my journey in the laundry business, I began by assessing the fundamental requirements, which included acquiring washing machines, securing the necessary washing chemicals, ensuring a reliable supply of water and electricity, securing suitable space, and assembling a dedicated team of staff. Meeting these requirements was a formidable challenge in itself.
Having already gained valuable knowledge of B2B (business-to-business) operations during my tenure at the franchise chain company, I had a clear vision of expansion even before starting my venture.
From the very beginning, my focus was on the B2B sector. I recognized the immense potential in this segment, thanks to my prior experience. This strategic decision paved the way for a reliable source of revenue and marked a significant turning point in our business trajectory.
When it came to developing our app and website, I recognized that my technical knowledge was limited. To bridge this gap, I entrusted the development to a professional agency. They created the app for INR 45,000 and the website for INR 35,000. This allowed us to offer a seamless online experience to our B2C (business-to-consumer) customers for placing laundry orders.
Our initial app and website primarily focused on allowing B2C users to place orders, with the long-term goal of streamlining operations through these platforms. We consistently fine-tuned the user interface based on valuable user feedback, enhancing the overall experience
In terms of funding, I began with an initial capital investment of INR 17 lakhs, which I later supplemented with an additional INR 25 lakhs. This additional capital was crucial for both the expansion of another store and covering the expenses associated with web/app development and marketing efforts. To further support our growth and expansion, we also reinvested the revenue generated by the business.
Describe the process of launching the business.π
In 2020, I saw a great opportunity in the laundry business. I wanted to make laundry easy and of high quality. So, I started Washmart. We began with an investment of Rs 17 lakhs, and we worked hard.
We achieved a big milestone in a short time. By February 2022, we broke even, making Rs 75 lakhs in that year. This was a big deal for us.
What surprised me was that 96% of the laundry industry was not organized. This meant there was a lot of room for improvement.
We knew that having a strong online presence was crucial. So, we made sure our website and app were user-friendly. We listened to what our customers said and made our services better.
I had a little knowledge about the laundry industry at first, but that turned out to be an advantage. It lets us come up with fresh ideas and solve problems.
Our journey at Washmart is a story of hard work, ambition, and the belief that we can make things better. Today, we're changing the way laundry is done, making it easy and top-notch.
Since launch, what has worked to attract and retain customers?π
To ensure the highest standards in laundry and dry cleaning, we employ cutting-edge techniques and technologies. We utilize premium-quality detergents and employ a skilled team with a deep knowledge of fabrics. Continuous training and process automation help us minimize errors, resulting in impeccable service that doesn't break the bank.
When it comes to acquiring new customers, we employ a multifaceted approach. Our marketing efforts encompass a variety of techniques, including:
SEO (Organic Traffic): We optimize our online presence to ensure we're easily discoverable through search engines, attracting organic traffic to our services.
Google Ads and Meta Ads: We run targeted advertising campaigns through Google Ads and Meta Ads to effectively reach our target audience.
WhatsApp Campaigns: Engaging potential customers through WhatsApp marketing helps us stay connected andoffersr convenience.
Flyer Distribution (Offline): Both online and offline, we distribute flyers and banners to create awareness about our services.
Press Release (Both Digital & Print): We leverage newspaper advertisements, both in print and digital formats, to reach a wide and diverse audience.
Referral Program: Our referral program encourages our existing customers to refer friends and family, creating a word-of-mouth marketing effect. It's a win-win for all parties involved.
Partnerships: Collaborating with local businesses has been instrumental in expanding our customer base. These partnerships often include cross-promotions and exclusive offers that benefit our customers.
Google My Business Profile: Maintaining a robust and accurate Google My Business profile is crucial in today's digital landscape. It helps potential customers find us easily and provides essential information about our services and locations.
Beyond customer acquisition, our B2B vertical plays a significant role in our revenue stream. We proudly serve a diverse range of businesses, including hotels, restaurants, corporate offices, and gyms. Building lasting relationships with these clients is key to our continued success.
In our journey to retain customers, we rely on word-of-mouth referrals, our user-friendly mobile app, and a responsive customer support team. Our in-house customer support team is dedicated to resolving queries and issues promptly, ensuring our customers have a seamless experience with us.
Our commitment to providing exceptional service and continually exploring innovative marketing strategies has allowed us to not only attract new customers but also keep them coming back. We are grateful for our customers' trust and loyalty as we continue to strive for excellence.
How are you doing today and what does the future look like?π
As of today, we've made remarkable progress since our inception in 2020. Washmart has emerged as a prominent player in India's laundry and dry-cleaning industry. We now have a presence in over 45 cities, and our franchise network is steadily growing.
Our revenue continues to show steady growth, reflecting the trust and satisfaction of our valued customers. We've also broadened our service portfolio to encompass not only laundry and dry-cleaning but also car wash and shoe cleaning services. Our dedication to delivering quality and ensuring customer happiness remains unshaken.
Looking ahead, our vision for Washmart is to continue expanding our service offerings and penetrate new regions within India. We are committed to maintaining our reputation for delivering exceptional service and further increasing our market share. By the end of 2024, we aim to reach 200 stores through our franchising model, making Washmart even more accessible to customers across the country.
Through starting the business, have you learned anything particularly helpful or advantageous?π
Embarking on the Washmart journey has been a remarkable learning experience, and along the way, I've gained some valuable insights
Customer-Centric Approach: Prioritize customer satisfaction by listening to feedback and improving services to meet their needs.
Adaptability and Innovation: Be flexible and open to evolving your business model as circumstances change. Embrace innovation to stay competitive.
Quality Over Quantity: Focus on delivering top-quality service to build customer loyalty and generate referrals.
Leverage Technology: Use technology to streamline operations, enhance efficiency, and improve the customer experience.
Persistence and Resilience: Stay persistent and resilient in the face of challenges, learning from setbacks and moving forward.
Effective Team Building: Build a skilled and motivated team to maintain high service standards.
Strategic Marketing: Invest in strategic marketing techniques, including SEO, online advertising, social media, and partnerships, to reach your target audience effectively.
Inauguration Drill !! Washmart Rewa
What platform/tools do you use for your business?π
We utilize a range of tools to streamline our business operations and elevate the customer experience:
Shipping and Fulfillment Software: We employ cutting-edge shipping and fulfillment software to efficiently manage the logistics of order delivery, ensuring prompt service to our customers.
Google My Business: Our Google My Business profile is instrumental for easy store location tracking, and it also serves as a platform for customers to leave reviews, providing valuable insights and enhancing our online presence.
Social Media Management: Our social media efforts are powered by tools like Buffer and Hootsuite, which assist us in scheduling and overseeing our social media posts. This helps us engage with our audience effectively.
CRM System: Our CRM system plays a pivotal role in tracking and managing customer relationships and interactions, enabling us to provide personalized services and maintain strong customer connections.
Productivity Tools: We employ organizational tools like Trello and Slack to streamline task management and enhance team communication, ensuring a smooth workflow.
Accounting Software: For financial management and bookkeeping, we rely on accounting software such as QuickBooks, which facilitates precise financial record-keeping and analysis.
Analytics Tools: Google Analytics and Facebook Ads Manager are indispensable for monitoring website traffic and assessing the performance of our advertising campaigns. These insights inform data-driven decisions.
Inventory Management: To efficiently track our inventory and stock levels, we utilize dedicated inventory management software, ensuring we have the right resources at the right time.
WordPress: We use WordPress to manage our website, optimizing it for enhanced user experience and engagement.
Mobile App: Our mobile application serves as a fundamental tool for engaging with customers and facilitating seamless order placement.
These tools collectively empower us to operate our business efficiently, deliver exceptional customer service, and make informed decisions based on data-driven insights.
What have been the most influential books, podcasts, or other resources?π
Books and podcasts have been a source of inspiration and guidance on this entrepreneurial journey. Some of the most influential resources include:
- "The Lean Startup" by Eric Ries: This book provided valuable insights into building a startup and validated learning through experimentation.
- "Zero to One" by Peter Thiel: Thiel's perspectives on creating a unique and innovative business have been thought-provoking.
- "How I Built This" Podcast: Listening to the stories of successful entrepreneurs on this podcast has been both inspiring and educational.
- "Masters of Scale" Podcast: Reid Hoffman's podcast offers valuable insights into scaling a business.
Harvard Business Review: Articles and case studies from HBR have provided practical insights into various aspects of business management.
Advice for other entrepreneurs who want to get started or are just starting out?π
My advice to aspiring entrepreneurs is based on the lessons I've learned along the way:
- Start with a Clear Vision: Have a well-defined vision for your business. Understand your unique value proposition and target audience.
- Embrace Failure: Don't fear failure; see it as an opportunity to learn and grow. Every setback is a step toward success.
- Customer-Centric Approach: Focus on delivering exceptional value to your customers. Happy customers are your best brand ambassadors.
- Continuous Learning: Stay curious and open to new ideas. The business landscape is ever-evolving, and adaptability is key.
- Network and Collaborate: Build strong networks within your industry. Collaborations and partnerships can open doors to growth.
- Financial Prudence: Be mindful of your finances. Carefully manage your expenses and investments to ensure sustainability.
- Resilience: Entrepreneurship is a rollercoaster ride. Stay resilient, and remember that success often takes time.
- Passion and Persistence: Pursue something you're passionate about because it will keep you motivated through challenges.
- Feedback Loop: Listen to your customers and adapt based on their feedback. It's a valuable source of improvement.
- Mentorship: Seek guidance from experienced entrepreneurs or mentors who can provide valuable insights and guidance.
Are you looking to hire for certain positions right now?π
Yes, we are actively seeking talented individuals to join our growing team at Washmart. Currently, we have openings for the following positions:
- Marketing Manager: We are looking for a skilled PPC marketer who can lead our digital marketing efforts, manage online advertising campaigns, and drive customer acquisition.
- Customer Service Representatives: We have opportunities for individuals who are passionate about providing excellent customer service and ensuring a seamless experience for our customers.
- Delivery Drivers: Reliable and responsible individuals who can handle pickup and delivery operations with care and efficiency.
- Sales and Business Development: Individuals with a knack for building relationships and expanding our business through partnerships and collaborations.
We have full-time positions available, and we offer competitive compensation packages. If you're interested in joining us at Washmart, please visit our Contact Us page and use the provided email to get in touch. We look forward to welcoming new talent to our team!
Where can we go to learn more?π
If you have any questions or comments, drop a comment below!
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