by Commercial laundry equipment includes washing machines, dryers, and presses used in commercial settings like hospitals, hotels, nursing homes, laundromats, and other places. The equipment are designed to handle large volumes of washing and provide fast drying cycles to maximize throughput. Commercial machines are built with reinforced components to withstand constant use. They also come with customizable features according to specialized washing needs. Growing hospitality sector and increasing outsourcing of laundry needs from healthcare centers have fueled demand for commercial laundry machines.
The Global commercial laundry equipment market is estimated to be valued at US$ 1.62 Bn in 2024 and is expected to exhibit a CAGR of 7.4% over the forecast period 2024 to 2030.
Key Takeaways
Key players operating in the Commercial Laundry Equipment are Medtronic plc, Abbott Laboratories, Boston Scientific Corporation, Biotronik SE & Co. KG, MicroPort Scientific Corporation, LivaNova PLC, Nihon Kohden Corporation, Schiller AG, Johnson & Johnson, GE Healthcare. Growing demand from hospitals, hotels, and commercial laundries present significant growth opportunities in new geographical regions. Development of energy efficient commercial washing machines integrated with smart technologies provides real-time process monitoring and reduces energy and water consumption.
Market Drivers
Growing hospitality sector owing to rising tourism and business travel is driving the demand for commercial laundry equipment from hotels and resorts. Increasing number of hospitals and nursing homes is also augmenting the market growth as these facilities require large on-premise or outsourced commercial laundry services. Stringent regulations regarding water and energy efficiency across regions are further fueling the adoption of advanced commercial washing machines equipped with features like variable speed drives and sensors for optimal resource utilization.
Current Challenges in Commercial Laundry Equipment Market:
The Global Commercial Laundry Equipment Market Size has been facing challenges due to the onset of the Covid-19 pandemic. Lockdowns and restrictions imposed to curb the spread of the virus led to closures of several commercial establishments like hotels, restaurants, hospitals which are major end-users of commercial laundry equipment. This significantly reduced the demand for commercial washing machines, tumble dryers, pressers, and other equipment in 2020. Even after restrictions were lifted, many businesses are still struggling with lower revenues which has impacted their investment decisions in new equipment. Rising costs of raw materials is another major challenge as it increases the overall costs of manufacturing for players in this industry. With inflation surging globally, procuring metals, plastics, and electronic components has become more expensive. This puts pressure on the profit margins of companies.
SWOT Analysis
Strength: Large installed base of equipment provides opportunities for after-sales service and consumables business. Energy efficient products with smart functionalities are gaining popularity.
Weakness: High initial investment requirements pose challenges for small businesses. Rapid changes in technology could make existing equipment obsolete quickly.
Opportunity: Growth in laundromats, laundry services provides new boost. Rising health awareness increases focus on hygiene which drives demand.
Threats: Pricing pressures due to presence of several local and global players. Environmental regulations regarding energy usage and recycling could increase compliance costs.
Major Geographical Regions
North America dominates the commercial laundry equipment market in terms of value share. This is driven by strong demand from well-established laundromats, laundry services as well as hospitality sectors in countries like the US and Canada. Growing health awareness is also spurring installations in hospitals.
Asia Pacific is expected to be the fastest growing regional market during the forecast period from 2024 to 2030. This can be attributed to rising incomes, urbanization, and establishment of new commercial establishments in developing nations such as India, China, and Indonesia. Increasing focus on hygiene and automation are enhancing laundering needs of hotels and businesses in Asia Pacific creating high growth opportunities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
