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Challenges in the Laundry Sector

Author: Saadat Rana
by Saadat Rana
Posted: Nov 22, 2016

The laundry sector in Dubai has experienced ample growth in only a short amount of time with an ever-growing customer base and increasing number of new entrants in the market. Like in any other industry, however, certain challenges do exist in the laundry sector which have proven themselves to be quite a hindrance for these businesses to truly perform up to their full potential. It is, thus, important to shed a light on these challenges in hopes of truly understanding their value and finding ways to overcome them.

On the surface, the laundry sector in Dubai seems to be booming with every passing day. We see new laundry clothing businesses pop up every now and then all over the country, each one offering better service than the other. What people don’t know is that there is a long chain of various hoops and hurdles that these firms have to go through to merely stay in business. Let us take a deeper look at some of these challenges that are faced by the laundry sector in Dubai.

1.Lack of Skilled StaffPerhaps the greatest challenge that any industry faces is not the lack of demand but the inability to supply. A major contributing factor in this case is the deficiency of skilled labor which makes it impossible for companies to meet their user's demands. Laundry in Dubai is no different. With skilled labor being more and more difficult to come by, many laundry businesses are failing to perform to an adequate mark in terms of quality and are frequently losing customers. Lack of skilled labor gives little incentive to regular customers to pay firms to do their laundry clothes and motivates them to turn to local laundry rooms instead.

  1. Delivery Time DiscrepancyLaundry delivery is a very familiar term for anyone who is even closely associated to the industry. Many firms are offering laundry delivery these days while some are even going as far as to offer the service for free. Yet delivery time discrepancy seems to be a regular occurrence. Either it's the inability of the laundry delivery team or simple miscommunication between the parties involved, one thing that is for sure is that a streamlined on-demand laundry delivery mechanism is clearly missing from the equation which significantly hinders these firms' ability to perform.
  2. High CompetitionLaundry in Dubai can now easily be classified as a saturated industry with a high degree of competition. There are simply so many firms providing so many similar services that it is near impossible to stand out from the crowd. Laundry prices that these firms offer has also been slashed to a new low which makes it further challenging for new entrants to enter the market.
  3. High Input CostThe cost for equipment required to build a high-end laundry room is a lot, which forces many new entrants to compromise in their laundry equipment and thus deliver a lower quality to their customers. The reason why investors hesitate to purchase these state of the art equipment is because they don’t quite see a healthy return. With high competition and low laundry prices in the market, investing heavily in the laundry sectors seems to be a hard bargain.

In conclusion, there is no denying the fact that the laundry sector in Dubai could be of great value to our economy. Thus, making efforts to better our laundry industry could really help us in the long run. Let's hope that related reforms quickly make their way to the laundry industry so we can make the most out of this amazing opportunity.

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Author: Saadat Rana

Saadat Rana

Member since: Nov 15, 2016
Published articles: 4

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