NOTE: This blog is to help guide you through how your returns may look with the purchase of Laundroworks. In this blog, you will find examples and estimates, these are generic numbers used to help you understand the calculations. Results and returns may vary.

Laundry Card Systems: Calculating Real ROI for Your Business

A better payment system doesn’t just make things easier—it helps laundromat owners earn more. Many see profits go up 20-35% in the first year after upgrading. More customers return, machines get used more, and rewards programs help boost spending.

But before upgrading, laundromat owners of course need to confirm it’s a smart financial move. Understanding ROI (Return on Investment) will help you see the bigger picture. By comparing costs, earnings, and time saved, you can make better decisions for your business.

The Laundroworks Advantage

Laundroworks is trusted by thousands of laundry operators, providing affordable payment systems that offer safe, centralized operations and streamlined experiences for owners, staff, and customers alike.

Here’s what makes Laundroworks the ideal choice:

• Universal compatibility: Laundroworks fits all laundromat setups by working with every major machine brand.

• Reliable & never offline: No internet? No problem. Laundroworks keeps working so you never lose business.

• Flexible payment options: Laundroworks expands payment choices by accepting everything from traditional cash to modern digital laundry payments.

• Customizable management: Laundroworks empowers laundromat owners to shape operations to fit needs. Branded loyalty cards keep customers engaged and promote repeat visits.

The Revenue Growth Potential with Laundroworks

Laundroworks helps laundromat owners grow revenue quickly. Businesses that switch see a profit increase immediately due to better payment options, stronger customer loyalty, and expanded reach.

Digital payment options  

Digital payments are a key reason laundromats see more revenue. When customers can pay with a credit card, mobile app, or tap-to-pay, they don’t have to worry about carrying coins. Without a convenient way to get change, they may go elsewhere. Laundroworks makes every transaction smooth and simple.

Customer loyalty program  

A strong rewards program means higher profits. Laundroworks helps laundromats offer points and discounts so customers keep coming back.

EBT acceptance  

Laundroworks enables laundromats to accept EBT (Electronic Benefit Transfer), helping families who use government assistance while bringing in additional revenue.

With all these benefits—higher earnings, easier payments, loyal customers, and access to a wider customer base —Laundroworks gives laundromat owners a smart way to grow the business and make more money.

Why Calculating ROI Matters for Laundromat Owners

Making a significant investment in payment infrastructure requires clear data to justify the cost. Laundromat card system ROI calculations help laundromat owners:

• Understand how quickly you can recover your initial investment.

• Look at the long-term money benefits of digital payments compared to coin-operated machines. Laundroworks streamlines operations, helping laundromats spend less on staffing and avoid frequent machine repairs.

• Laundromats can spend less by reducing staffing needs and minimizing maintenance costs.

• Hard data makes it clear which upgrades will help a laundromat succeed.

Some laundromat owners worry about the initial cost and put off upgrading. But waiting to upgrade can end up costing even more over time. By sticking with outdated payment systems, laundromat owners may face:

• Customer attrition as more users prefer digital payments.

• Higher operational costs due to cash management inefficiencies.

• Security risks associated with handling and storing large amounts of physical currency.

With a Laundroworks payment system, these risks are mitigated while also significantly increasing profitability and laundry business efficiency.

Revenue Growth Drivers with Laundroworks

1. 20-35% revenue increase:

• Laundroworks customers can typically see a significant revenue boost within the first year.

• Contactless payments reduce friction, leading to higher spending per visit.

2. Friction reduction with digital payments:

• Customers can add value to their accounts remotely, reducing the barrier to usage.

• Eliminates the inconvenience of needing exact change or visiting a coin-exchange machine.

3. Loyalty program benefits:

• Laundromat automation like rewards encourage repeat business and higher spending.

• Personalized promotions increase customer engagement.

4. EBT acceptance:

• Expands accessibility to low-income customers who rely on EBT benefits.

• Creates an inclusive payment environment, improving community reach.

5. Enhanced customer insights:

• Digital payment data helps laundromat owners see customer habits and trends.

• Analytics-driven insights help optimize pricing, promotions, and peak hour discounts.

Operational Cost Savings with Laundroworks

1. Labor efficiency improvements:

• Digital payments reduce the need for manual cash collection and counting.

• Owners can allocate staff to customer service rather than coin management.

2. Remote management benefits:

• Monitor business performance and payment transactions in real time.

• Adjust pricing and promotions remotely to respond to market trends.

3. Reduction in coin handling costs:

• Eliminates daily coin collection and reconciliation time.

• Reduces banking fees associated with coin deposits.

4. Maintenance cost savings:

• Less wear and tear on coin mechanisms leads to lower repair costs.

• Minimized theft and vandalism risks related to cash handling.

5. Internet-optional operations:

• Unlike many competitors, Laundroworks operates without needing a constant internet connection.

• Prevents downtime and ensures transactions continue smoothly in all conditions.

6. Reduced theft and fraud risk:

• Digital payments eliminate cash shrinkage issues.

• Provides a secure environment for both employees and customers.

ROI Calculation Framework: Understanding Your Return on Investment  

Is upgrading to Laundroworks a good financial choice? Here’s how laundromat owners can find out. ROI helps laundromat owners predict the long-term benefits of upgrading and gives laundromat owners a clear timeline for when you’ll recover your costs and increase profits.

The formula for ROI is:  

ROI = [(Annual Financial Benefits - Initial Investment) / Initial Investment] × 100  

Upgrading to Laundroworks can be a smart move, but owners want proof it pays off. ROI helps measure how quickly they’ll see profits.

Annual financial benefits 

Laundromat owners can expect revenue growth from several sources:  

Some Laundroworks customers can see a 27.5% increase in revenue after upgrading. If a laundromat makes $120,000 per year, this means an extra $33,000.  

Labor savings

Without coins, laundromat owners or employees don’t have to collect cash, count it by hand, or refill change machines. Coin handling takes 2 hours a week, or 104 hours per year. At $15 an hour, that’s a $1,560 estimated expense that digital payments eliminate.

Loyalty program benefits

Customers in a loyalty program visit more often, helping laundromats earn 5% more each year. 

  - EXAMPLE: For a laundromat earning $120,000 per year, that’s an extra $6,000.  

Total benefits calculation  

Adding everything up:  

$33,000 (Revenue Increase) + $32,400 (Labor Savings) + $10,950 (Coin Handling Savings) + $6,000 (Loyalty Benefits) = $82,350 in total yearly benefits.  

Factoring in transaction fees

Since digital payments involve transaction fees, it’s important to subtract these from the total benefits:  

- Processing Fees: About 4% of the new revenue.  

- If revenue grows to $153,000, processing fees are $6,120 per year.  

Final ROI calculation  

Now, using the ROI formula:  

ROI = [($82,350 - $6,120 - $14,800) / $14,800] × 100  

ROI = ( $61,430 / $14,800 ) × 100 = 415% annual ROI  

The upgrade pays off fast—the laundromat earns back its investment more than four times in the first year alone!

Updated ROI Formula with Enhanced Metrics:

Basic ROI Formula: ROI = [(Annual Financial Benefits - Initial Investment) / Initial Investment] × 100

Initial Investment:

• Total Cost = (Number of Kiosks × cost) + (Number of Machines × cost per reader) + (Initial Card Stock × cost)

Annual Financial Benefits:

• Revenue Increase = Current Annual Revenue × 27.5% (average of 20-35% typical growth)

• Labor Savings = (Monthly Labor Hours × 25% efficiency gain × Labor Rate) × 12 months

• Coin Handling Savings = (2 hours per week × Labor Rate × 52 weeks)

• Loyalty Program Benefits = Annual Revenue × 5% (estimated retention improvement)

• Total Benefits = Revenue Increase + Labor Savings + Coin Handling Savings + Loyalty Benefits

Processing Costs:

• Annual Processing Fees = New Annual Revenue × 4%

Example: For a 20-machine laundromat with $120,000 annual revenue:

*Disclaimer: This is an example of what your numbers MAY look like. Numbers will vary. *

• Initial Investment = ($8,400 + (20 × $290) + (500 × $1)) = $14,800

• Revenue Increase = $120,000 × 27.5% = $33,000

• Labor Savings ($15/hour) = (180 hours × $15 × 12) = $32,400

• Coin Handling Savings = (104 hours × $15) = $1,560
  
  

• Loyalty Program Benefits = $120,000 × 5% = $6,000

• Total Benefits = $82,350

• Processing Fees = ($153,000 × 4%) = $6,120

ROI = [($72,960 - $6,120 - $14,800) / $14,800] × 100 = 351% annual ROI

Additional Value Factors (Non-Quantified): These may also affect your return

• Universal machine compatibility reducing equipment costs

• Offline functionality ensuring consistent revenue

• EBT acceptance expanding customer base

• Flexible pricing capabilities

• Enhanced customer data insights

• Remote management capabilities

• Automated loyalty program management

How quickly will you start making profits? 

The upgrade pays off—your laundromat may make back its investment more than four times in just the first year! After that, everything earned is pure profit.  

Extra Benefits That Add Even More Value  

Beyond the numbers, Laundroworks offers additional advantages that help laundromats operate more smoothly and attract more customers:  

• Works with all machines, reducing the need for costly equipment upgrades.  

• Offline functionality keeps payments running even when the internet is down.  

• EBT acceptance allows more customers to pay for laundry using government assistance.  

• Flexible pricing options like peak-hour pricing and special discounts.  

• Customer data insights help owners understand trends and improve service.  

• Remote management lets owners monitor and adjust the laundromat from anywhere.  

• Automated loyalty programs increase repeat business without extra work.  

By combining these financial and operational benefits, Laundroworks makes modernizing a laundromat an easy and highly profitable decision.

Conclusion

Switching to a Laundroworks payment system is a smart choice for laundromat owners. The numbers show that using cards instead of cash helps grow revenue, saves time, and lowers costs. With a 20-35% boost in the first year, owners can break even in just 2.8 months.

Laundroworks helps laundromat owners get ready for a future with less cash. Customers want quick and safe ways to pay, and Laundroworks makes that easy. By accepting cards, mobile payments, and EBT, laundromats can bring in more customers and keep them coming back with rewards.

Owners save time by reducing labor hours, minimizing coin-handling issues, and managing the business remotely. With universal machine compatibility, offline functionality, and customizable tools, Laundroworks offers a reliable, scalable solution built to fit any laundromat’s needs.

Take control of your laundromat’s future by upgrading to Laundroworks today.