American Drycleaner - March 2014

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drycleaner

“Business has never been better.”

Since 2003, CBS has given me consistent updates and easy to understand tech support, all at a price that our industry can afford. I would recommend CBS, and I have, to anyone who is still wasting their time and money on those over priced POS systems. DanLoesher SunshineCleaners

Pre-ins P ection

t he Power of P os

It’s not as if there’s a puff of smoke and a rabbit jumps out of a top hat with every transaction but today’s POS (short for “point of sale”) systems still contain what columnist Diana Vollmer calls “magic.” By “magic,” she means the benefits—both realized and unrealized by dry clean ers—contained within these computer software systems.

Bruce Beggs

At their most basic, they act as a cash register, sales tracker and bookkeeper. But wave that wand and soon they’re enabling cleaners to track sales trends, identify

Publisher Charles Thompson 312-361-1680 cthompson@american trademagazines.com

Editorial Director Bruce Beggs 312-361-1683 bbeggs@american trademagazines.com

Production Manager

Roger Napiwocki

National Sales Director

Donald Feinstein 312-361-1682 dfeinstein@american trademagazines.com

Digital Media Director

Nathan Frerichs 312-361-1681 nfrerichs@american trademagazines.com Main: 312-361-1700 Fax: 312-361-1685

customer traffic patterns, gauge route efficiency, test and track promotional results, and much more.

Think you know all the ways a POS system can help you? Check out Di ana’s column beginning on page 18. Also this month, we offer a look at POS systems from a provider’s point of view—11 of them, actually. I asked what the systems have meant to our industry since their arrival, what separates one system from another, and how the proliferation of smartphones and tablets has impacted development. I pull back the curtain on that story starting on 24.

And, now, watch closely as I snap my fingers and ... O

American Drycleaner (ISSN 0002-8258) is published monthly except Nov/Dec combined. Subscription prices, payment in advance: U.S., 1 year $39.00; 2 years $73.00. Foreign, 1 year $89.00; 2 years $166.00. Single copies $7.00 for U.S., $14.00 for all other countries. Published by American Trade Magazines LLC, 566 West Lake Street, Suite 420, Chicago, IL 60661. Periodicals postage paid at Chicago, IL and at additional mailing offices.

POSTMASTER, Send changes of address and form 3579 to American Drycleaner, Subscription Dept., 440 Quadrangle Drive, Suite E, Bolingbrook, IL 60440. Volume 80, number 11. Editorial, executive and advertis ing offices are at 566 West Lake Street, Suite 420, Chicago, IL 60661. Charles Thompson, President and Publisher. American Drycleaner is distributed selectively to: qualified dry cleaning plants and distributors in the United States. No material appearing in American Drycleaner may be reprinted without written permission. The publisher reserves the right to reject any advertising for any reason. © Copyright AMERICAN TRADE MAGA ZINES LLC, 2014. Printed in U.S.A.

American Drycleaner, March 2014 www.americandrycleaner.com

Survey: 70% of dry cleaners dish up discounts as part of marketing strategy

Almost 36% of dry cleaners are utilizing coupons “often” as part of their marketing strategy, according to results from February’s American Drycleaner Your Views survey.

On the flip side, 30.1% of those surveyed say they do not use coupons at all as part of their marketing strategy, while 23.7% say they only use them “on occasion.” Roughly 11% distribute coupons “every few months.”

Direct mail is the most popular way dry cleaners distribute coupons (61.2%), while some utilize the Internet through social media (41.8%), in-house e-mail (35.8%), or through e-mail services such as Groupon (13.4%). Some dry cleaners have taken the traditional approach by distributing coupons through the newspaper (19.4%), while some utilize other forms of distribution (25.4%), like door hangers, or featuring their coupons on grocery store receipts.

Many dry cleaners are sticking to the direct mail approach when it comes to distributing coupons in the next year (55.2%), while some are looking to try social media (52.2%), in-house e-mail (47.8%), newspaper (17.9%), and e-mail services (10.4%). Some are looking to try other ways (25.4%) to send out their deals to customers, such as advertising in the phone book or posting coupons on car windows.

On a scale of 1 to 10, with 10 being “most effective,” a slim majority of dry cleaners (18.4%) gave themselves a 7 re garding the effectiveness of their coupon offers in generating new business. Oth er respondents graded their new-business coupon efforts as 3 (14.3%), 5 (13.2%), 1 (11.8%), 2 (11.8%), 8 (10.5%), 4 (6.6%), 10 (6.6%), 6 (5.3%), or 9 (1.3%).

Using the same rating scale, a slim ma jority of dry cleaners (17.1%) gave their coupon offers an effectiveness rating of 7 in terms of driving repeat business. Other respondents graded their repeat-business coupon efforts as 8 (14.3%), 1 (10.5%), 3 (10.5%), 9 (10.5%), 5 (9.1%), 2 (6.6%), 4 (6.6%), 6 (6.6%) or 10 (7.8%).

“In this economy, repeat business is based on quality and customer service, not cheap discounts,” says one dry cleaner re garding coupons. “They only appeal to cus tomers who hop from deal to deal [and] never stay for quality or service.”

“I absolutely hate coupons,” says an other. “I do not like to discount what I do, however they have been used so prolifically in our industry that they are necessary.”

Another cleaner added, “If you have to discount your work to get business, you’re not doing a good enough job.”

While American Drycleaner’s Your Views survey presents a snapshot of the trade audience’s viewpoints, it should not be considered scientific. Subscribers to American Drycleaner e-mails are invited each month to participate in a brief industry survey they can complete anonymously.

Th e entire American Drycleaner au dience is encouraged to participate, as a greater number of responses will help to better define owner/operator opinions and industry trends. O

Topstories@www.AmericanDrycleaner.com forthe30daysendingFeb.15

Top News sTories

1. Thirteen States Ring in New Year with Minimum-Wage Increases

2. Ole Miss Hoops Legend Stroud Brings Lapels Dry Cleaning to State

3. Entrepreneur Magazine Lists Drycleaning Businesses Among Annual ‘Franchise 500’

4. TCATA Heads into New Year with New Committee Appointments

Top columNs & FeATures

1. StatShot: December Difficult for All Regions; Fourth-Quarter... Web eXCLUSIVe!

2. Plant Design Awards—Outstanding Renovation: Fashion Cleaners

3. Plant Design Awards—Outstanding Package Plant: Acosta’s... 4. Little Things Add Up to Prosperity 5. Do You Need a New Drycleaning Plant?

Top sTories @ our sisTer siTes

www.Americancoinop.com:

1. CLA Sets Stage for Second Excellence in Laundry Conference 2. Insurance Basics: Are You Properly Covered? 3. Advanced Laundry Systems Adds Kim... www.AmericanlaundryNews.com: 1. Plant Design: Getting Back to Basics 2. 2014 Panel of Experts Ready to Tackle Key Industry Issues

3. Ensure Cleanliness Through Linen Quality Assurance Program

American Drycleaner, March 2014 www.americandrycleaner.com

THE NUMBERS

U.S. EMPLOYMENT FIGURES showed gains in construction, manufacturing, wholesale trade and mining for January. About 113,000 new nonfarm jobs were added in January but the unemployment rate remained steady at 6.6%, according to the U.S. Bureau of Labor Statistics. Long-term unemployment stands at 3.6 million, down 232,000 for January.

“The U.S. economy’s recovery continued in the first month of 2014,” says Secretary of Labor Thomas Perez. “January was the 47th consecutive month of private-sector job growth, with 8.5 million new jobs over that period. The unemployment rate maintained its downward trend, reaching its lowest level since October 2008.”

MORTGAGE APPLICATIONS

WERE UP 0.4% for the last week in January, according to the Mortgage Bankers Association’s Weekly Mortgage Application Survey. Weather was blamed for the drop in pending home sales, says a report from

the National Association of Realtors. The organization’s Pending Home Sales Index was down 8.7% to 92.4 in December.

U.S. EXPORTS HIT A NEW HIGH for 2013, the fourth straight year that new records have been set. Data from the U.S. Department of Commerce indicate that exports totaled $2.3 trillion in 2013, an increase of almost $700 billion since 2009.

ECONOMIC ACTIVITY in the non-manufacturing sector increased for the 48th consecutive month, according to the latest Report on Business from the Institute for Supply Management.

“Eleven non-manufacturing industries reported growth in January,” says Anthony Nieves, chair of the ISM’s Non-Manufacturing Business Survey Committee. “The majority of respondents’ comments reflect an improvement in business conditions. Some ... indicate that weather conditions have impacted their business.”

CONSUMER CONFIDENCE WAS DOWN only slightly in the January survey conducted by the Surveys of Consumers by Thomson Reuters and the University of Michigan. However, consumers anticipate higher heating bills because of the weather, and they see slower gains in stock and home values, which will likely curtail spending by upper-income households. Consumer spending will likely slow in 2014 from the chart-topping 3.3% rate in the last quarter of 2013.

“Despite the recent economic gains, consumers’ outlook for their finances as well as the national economy over the longer term have remained more resistant to improvement than in past recoveries,” says Surveys of Consumers Chief Economist Richard Curtin. “… Optimism about long-term job and income prospects are essential for maintaining high levels of economic motivation. Too few consumers have regained that optimism.” O

—Jean Teller

Our new generation of Point Of Sale system is designed for both small and larger cleaner stores. DryClean PRO Enterprise (DCPe) is even simpler to use than before. With user friendly screens and menus, DCPe will make your life easy. We offer, promise, and guarantee the best after sales support to our end users. Our excellent service commitment to you does not end with your purchase. We are always there to help you whenever you need us. Just pick up the phone and call us on our Technical Support line.

Call us about our new version of Uniform Tracker

rotecting Customer Data

By Phillip M. Perry

Credit cards: What would today’s retailer do without them?

If you’re like most merchants, you’ve found that the ubiquitous plastic card has become the default transaction tool for purchases large and small.

There’s hidden danger, though, in

being too cavalier about just how your staff handles card transactions. The recent data breach at Target—affecting some 70 million to 110 million people—drives home the need for every retailer to be vigilant in protecting customer data.

You can be hit with costly fines

Don’t get penalized for credit card security breaches

(Image licensed by Ingram Publishing)

and penalties if you ignore increasingly tight regulations governing the protection of credit card data—especially if your violation leads to an actual release of customer information into criminal hands.

“Merchants who store, process or transmit credit card data need to understand they have a responsibility to protect that data,” says Mark Burnette, a partner with LBMC Security & Risk Services, a Nashville-based consulting firm.

COSTLY FINES. So who makes the rules when it comes to protecting customer data? The big boss here is the Payment Card Industry (PCI) Security Standards Council, Wakefield, Mass. This assemblage of credit card associations has been steadily tightening the reins on runaway data by releasing regulations in the form of official standards. The latest iteration, dubbed PCI Data Security Standard (PCI DSS), further strengthens the procedures that must be instituted by merchants by the end of 2014. (For details, see the sidebar at the end of this story.)

and you may well be targeted for damages by your “acquirer”—the bank which provided you with your merchant account. Read your contract closely and you’ll find that the bank has the power of the purse: “If the acquirer finds that you have been consistently noncompliant, fines can be assessed,” says Burnette. “And an actual breach of data can lead to even higher penalties.”

The extent of monetary damages depends on the size of the merchant, the size of the breach and the number of cards involved. Penalties have ranged from $10,000 into the six figures and more.

Not to be underestimated, either, is the costly hit a publicized breach can have on a merchant’s reputation. Many consumers will be reluctant to shop at an establishment where a breach has occurred. But perhaps the greatest motivation for towing the line is the threat of losing the merchant account itself. “The card association may take away your ability to accept credit cards at all,” says Burnette. “That can be extremely costly to any merchant.”

PROTECT YOURSELF. While failure to follow mandated data-protection guidelines is foolish, the good news in all this is that you can take positive steps to minimize risk.

Start by drawing up a statement of standard operating procedures (SOP) for everyone in your organization. “Make sure you have a clear written policy about how to handle credit cards,” says Burnette. “And make sure your employees have been educated on the policy. Bring up the topic regularly in your staff meetings.”

Your SOP must address the critical need of keeping sensitive customer www.americandrycleaner.com

Fail to follow the PCI compliance rules

American Drycleaner, March 2014

numbers under wraps. “Where the merchant is most vulnerable is in the accidental mishandling of card information,” says Burnette. “Suppose, for example, an employee takes an order over the phone, jots down the card number on a piece of paper, and then later drops the paper into the trash instead of a shredder. That violates the PCI and is bad business practice.”

Another good rule is to keep the credit card in the hands of the customer as long as possible. “Employees should quickly process the card and return it,” says Burnette. “This will keep the card from being accidentally grabbed (or from having its number written down) by someone else.”

The right hardware can be as important as the right procedures. Have you been using the same POS equipment for many years? It may be time to replace it. “Some retailers still have legacy equipment that they don’t even realize is capturing cardholder information that can be compromised,” says Paul Rianda, an attorney in Irvine, Calif. “In contrast, if merchants use newer equipment, and use it correctly, there should be no way to lose cardholder information.”

Computer systems face special challenges: “You need to establish rules about passwords and about access to the computer system,” says Burnette. “Each

employee should have a unique security code which they are forbidden to share with other employees or even with managers. The passwords should allow access only to those sections of the database required to do an individual’s job.”

You should use only hardware and software that has been approved by the PCI Security Standards Council (approved vendor lists are available at www. pcisecuritystandards. org). Make sure you are using a firewall, and that your wireless router is password-protected and uses en cryption. And change the default hardware passwords to complex ones.

it.

THIRD PARTY. As the world of electronic commerce has become more complicated, regulations become more demanding. “There are over 255 individual requirements for PCI compliance,” says Burnette. “All of them have to be met. There is no wiggle room.” Little wonder that merchants are sidestepping the requisite procedures by farming everything out to a third-party organization such as an ISO. “Offloading responsibility to a third party is a good solution,” says Don Hartley, a consultant with Savannah, Ga.-based Tata Consultancy Services.

Don’t get trapped, though, by a false sense of security. You can outsource the operational duties for carrying out PCI ▲

American Drycleaner, March 2014 www.americandrycleaner.com

Have you been using the same POS equipment for many years? It may be time to replace

compliance, but you cannot outsource your responsibility for protecting customer information. If something goes wrong, you will be assumed guilty.

To protect yourself from fines and penalties, make sure your contract specifies the third par ty’s responsibilities for setting up and maintain ing computer systems that comply with PCI standards. Each year, you should ask the third party to provide an an nual “PCI report on Compliance” signed off by a qualified security assessor (QSA). Both these steps will help protect you if the third party violates regulations.

smaller

to protect customer data, nor of the continually morphing rules. Ignorance of the law, as always, is no excuse.

im near and dear to the hearts of security people everywhere: Retain only the information you need. “Follow the rule that says, ‘If you do not need customer information, you should not keep it,’” says Burnette. Education is the first step to safety. Many smaller merchants are not aware of the duty to protect customer data, nor of the con tinually morphing rules. Ignorance of the law, as always, is no excuse.

Taking the basic steps will reduce your risk considerably. Says Burnette: “Make sure you have a written policy in place, train your employees properly, and make sure your computer system is PCI-compliant.” O

NEED TO KNOW. Many of the protective steps suggested here derive from a broader max-

Phillip M. Perry is a freelance writer based in New York City.

G ET M O r E H E lp

Retailers who fail to protect their cus tomers’ credit card data are playing with fire. “If you make a mistake, you may incur penalties of hundreds of thousands of dollars—or even millions depending on how many cards were compromised,” warns Paul Rianda, an attorney in Irvine, Calif.

The adjacent article presents some common operational guidelines to protect yourself from loss. Additionally, seek the guidance of your attorney, your bank and

your security adviser.

You can find more information about PCI (Payment Card Industry) compli ance from the website of the PCI Security Standards Council, at www. pcisecuritystandards.org. Click on the “For Merchants” button and read the helpful articles, including those prepared specifically for small businesses. Click on the “Information Supplements” link to access the latest iteration of the PCI Data Security Standards, PCI DSS v3.0.

American Drycleaner, March 2014 www.americandrycleaner.com

Many

merchants are not aware of the duty

by Laundr ylux

management strategies

t he m agic in Your PO s s ystem

POS (point of sale) systems provide many valuable benefits to the professional fabricare industry and in most instances could provide many more benefits than are being utilized. Some of the benefits are extremely basic while others are much more sophisticated aids to effectively manage the business, customers and direction to capture opportunities for the company.

Basic Feature:

Cash Register

Cash register features are mostly self-explanatory and self-evident, completing the computing automatically instead of relying on manual calculations wherein staff errors are much more prevalent and difficult to identify and track. It reduces the reliance on people to be accurate in counting, addition, subtraction and making change.

Basic Feature: Sales Tracking

This feature allows you to begin to profile your company and track what is valuable to your customers. For example, at what location(s) do they prefer to experience your services?

At what time(s) is the most customer traffic? On which categories of service

To find past Management Strategies columns or share this month’s with your friends, visit AmericanDrycleaner.com.

are they spending the most? For whom are those services being purchased, i.e. gender, consumers vs. businesses, etc.? Are they paying cash, check, debit or credit card? Do they spend more depending upon the method of payment? Do they pick up their orders faster depending upon the method of payment?

Basic Feature: Bookkeeping/Tallying

Much of the information from a POS system can be directly imported into the company accounting system, saving many hours of manual calculation or tedious (expensive) data input and providing P&Ls that are timely and actionable.

Advanced Management Feature: Customer Management Customer Management (CPM) is one of the first reasons cleaners decide to move away from a “cash register” type system to a true POS system. This aspect of the POS allows individual customers to be tracked and managed, allowing for greatly improved customer service, customer loyalty, and retention.

Advanced Management Feature: Sales Management

There are many aspects of the sales management capabilities. One of the

American Drycleaner, March 2014 www.americandrycleaner.com

Diana Vollmer

most important is business development, featuring:

• Tracking Trends — Tracking directional trends in sales in various product categories can effectively direct managers as to where to invest in the business for maximum simultaneous growth and profit. For example, POS provided early alerts to the current sales growth in alterations and household specialty items that are valuable to customers and can be easily crosssold to expand the share of wallet of existing clientele.

• Customer Traffic Pattern Analysis

— Knowing when your customers are available and willing to frequent your stores is valuable in scheduling hours and staff, but also in providing an environment in which they can be better serviced and therefore can spend more with you on all you have to offer them (if they only knew what all of those services might be).

Unfortunately for profitability, the typical scheduling pattern is to schedule the most experienced staff when the fewest customers are actually in the store and the least experienced, poorest trained, parttime staff during the customer rush times. This mismatch between expertise and customer need represents a huge opportunity to the owners that correct scheduling to fill the void.

• Route Efficiency and Growth —

Drivers can be more effective at selling if they are driving efficiently in a pattern that minimizes drive time and maximizes time available for sales and delivery. POS route management systems focus on efficiency and route geographical concentration to mini-

www.americandrycleaner.com

mize cost and maximize efficiency and sales.

• Tracking Manufacture/Designer Labels — By tracking labels, it is easy to discern from whom your clientele purchases their clothing and other textiles, thereby providing clear guidance on profitable joint-venture partners to target.

Some of the benefits are extremely basic while others are much more sophisticated aids to effectively manage the business...

• Testing Alternative Delivery Systems — Depending upon the lifestyles and work patterns of your customer base, patronizing your stores during opening hours may be inconvenient. An acknowledged alternative is, of course, routes, but many busy prospects are not comfortable with the route alternative. POS tracking and analysis helps determine what other alternatives might be appealing enough to run a test and then the test success can be objectively measured. Drone delivery, drop boxes, lockers, 24/7 kiosks, agencies and more unique options can be weighed for their value and potential.

• Testing and Tracking Promotional Results

— How do you know if a promotion was successful? Do you judge it on increased pieces? On increased sales?

If on sales, how do you determine the difference between a growth trend that would happen without a promotion and

American Drycleaner, March 2014

management strategies

the effects of the promotion itself? Did the increased dollars drop to profit or did the expense of rush production outweigh the income?

Did other departments fail in their customer promise in the attempt to process an avalanche of work created by a huge sale? Did the promotion success interfere with the long-term relationship with your loyal customers? Did you retain the prospects and customers who were attracted by the promotion?

All of these things can be determined by scientific tracking through a POS system.

Customer profiling is another key aspect of a system’s sales management capabilities. The more you know about your customers, the better you can meet their needs (both those they recognize and those they don’t yet know you can address).

Simple data from your system can provide a myriad of information that is actionable to increase the relationship with your existing customers and to impress them with your interest in their needs and well-being. There are many services that have this profiling capability and can provide details about your best customer psychographics and motivators.

Equally important is a POS system’s best-customer profiling capability. This can provide a path to identifying the clones of your best customers so you can target prospects that are most inclined to appreciate and pay for your services. The profile will also help you craft the message and the media to best reach them.

Advanced Management Feature: Profit Management

Another vital advanced management feature deals with profit management and addresses:

• Cost Control/Expense Management

— Your POS provides details on customer patterns and activities that can save you significant expenses, as well as make you more sales and profit.

For example, many cleaners offer “Same Day Service.” Few know how many customers actually use it. Your POS has the answer. By tracking the invoices that were dropped off and picked up on the same day and comparing that number to the invoices that were flagged for same, it will become clear if this is a service that has value to your customers and should be continued. In many cases, this analysis has shown that the customers are not actually taking advantage of this service, which is extremely expensive to deliver.

Another example is counter-staffing patterns that can simultaneously be made more efficient and less costly by matching staffing to customer demand. This benefit also applies to shuttle scheduling. Depending on your customer needs, your shuttles can run either fewer times a day and/or during low-traffic periods and still meet the needs of your customers.

• Opportunity Identification — Identifying growing sales trends early allows you to maximize the sales in that item, category, designer, etc., by marketing your abilities earlier than your competition. Well-known past examples are the first adaptors

American Drycleaner, March 2014 www.americandrycleaner.com

for Ugg cleaning, and even earlier Tommy Bahama silk shirts.

• Pricing Strategy — You can easily track your relative pricing values through the POS. Are your markers capturing the correct (or enough) special-care fees for items that require special handling? The percentage of your special-care fees is a key indicator of profitability on the care of delicate items.

Advanced Management Feature: Leadership Development

Your management team, at all levels, can benefit from information that is actionable. Information gives them power to make informed decisions in all aspects of the business. They no longer have to rely on their own experience (which may or

may not be relevant to the specific decision to be made), on intuition, or on “That’s the way we have always done it.”

By providing specific relevant details, the decision impacts can also be tracked and evaluated for refinement.

This continual process of making a goal, creating a detailed plan to achieve it, tracking the results, and then refining the process to improve future results is key to building strong leaders for your team.

There is magic in your POS just waiting to be revealed. Capture it for improved success, sales and profitability. O

Diana Vollmer is managing director at Methods for Management (MFM) Inc., which has served the dry cleaning and laundry industries with afford able management expertise for improved profit ability since 1953. For assistance with maximizing the power of your POS system, Vollmer can be reached at dvollmer@mfmi.com, 415-577-6544.

Looking for a specific product for your drycleaning business? Look no further than the Buyer’s Guide at www.AmericanDrycleaner.com, where you’ll find our extensive, coast-to-coast listings. Just click on the “Directories” tab at the top of the home page, then “Buyer’s Guide” to start shopping today!

www.americandrycleaner.com

American Drycleaner, March 2014

Brainstorming on the Beach

cutting-edge marketing tactics.

When was the last time you shared ideas with industry peers on how to make your drycleaning business more efficient, expand your customer base or boost your bottom line?

For their largest co-convention so far, the Drycleaning & Laundry Institute (DLI) and the National Cleaners Association (NCA) hosted 139 drycleaning professionals in mid-January at the Five-Star Brainstorming Conference, at the Now Jade Riviera Cancun Resort.

While the venue was “exceptional,” says Brian Johnson, DLI director of education and analysis, attendees learned each other’s business secrets at daily, three-hour seminars. A good example is Patrick Renvoise who discussed ideas from his book, Neuromarketing: Understanding the Buy Buttons in Your Customer’s Brain.

Renvoise discussed how to get inside the minds of customers to locate and “push the buy button.” He shared some of the latest neurolological research and applied it to

Rory Vaden spoke to the topic of his book, Take the Stairs: 7 Steps to Achieving True Success. He offered insights on how business owners can get to the next level one step at a time, rather than take shortcuts promising success but delivering failure.

DLI CEO Mary Scalco says the best parts of the conference were the speakers.

“I thought they were both very engaging and entertaining. They gave practical, usable information. ... At the end, the audience wanted more and commented that they wished the sessions were longer.”

Nora Nealis, NCA’s executive director, says the mix of seminar and leisure time was ideal.

Five Takeaway Tips from Cancun

• Look at your business from your customer’s perspective

• Locate and press the “buy button” in your customer’s mind

• Distractions and the desire for perfection make it easy to procrastinate

• Stay focused and achieve measurable results

• What seems like a quick route to success is often a harder road in the end

Annual co-convention continues to get high marks from attendees

“Some great information came from the sharing done among the cleaners when they were poolside, dining together or just sitting around.”

But what did the attendees think of the event?

“Rory Vaden was ‘grand slam’ from start to end,” says Ken Kinzer, from Bridgestone Cleaners, Brooklyn, N.Y. “He immediately engaged me by saying he enjoyed studying our business. He’s an excellent motivational speaker and was the high point of my conference.”

“The ‘biggest’ thing I took away was the information I learned having dinner with one of the participants,” says Mark Scott, CEO of Bakker’s Fine Drycleaning, Kirkland, Wash. “Since that dinner, I created a list of ‘change now’ items that I am halfway through. It re-energized me in the business.”

Allan P. Johnson III is president of Peerless Cleaners, Corpus Christi, Texas, and DLI’s president-elect. “If you are the founder of your business and are running into problems getting your heir(s) to properly take care of the assets they will inherit, the answer is ‘They are vested, not invested’ like you,” he says. “It is time for you to act proactively and set out a plan to succession that revolves around an investment strategy.”

Bob Fogelsanger, president of Balfurd Inc. in Tipton, Pa., says that both speakers

were excellent. “Rory’s ‘take the stairs’ was my biggest takeaway.” This involves “doing the necessary legwork for any issue immediately and making sure my daily activity is what I need to do as a leader and not just buys work.”

Scalco summed it up by saying the annual collaborative conference represents a unique opportunity for dry cleaners to discover new practices, address common challenges, gain industry insights, and receive constructive feedback about specific operational issues and solutions.

While most attendees reported loving the speakers and mingling with other attendees, organizers heard concerns about the resort’s extensive size, its Internet capabilities, and the restaurants not taking reservations. Nealis says both DLI and NCA take this kind of feedback seriously, and will be looking for a smaller resort more attuned to business conferences where cleaners can visit, enjoy, and learn.

The organizations have already starting planning the next conference, scheduled for Jan. 15-18, 2015, at an “all-inclusive tropical paradise resort in Mexico.” O

www.americandrycleaner.com American Drycleaner,

Five-Star Brainstorming Conference attendees learned each other’s business secrets at daily, three-hour seminars. (Photo: DLI)

Point of Sale Point of View

POS systems keep their virtual finger on the pulse of today’s dry cleaner

By Bruce Beggs, Editorial Director

Today’s point of sale systems (POS) marketed to dry cleaners are capable of performing a sizable number of tasks (see Diana Vollmer’s column, The Magic in Your POS), all in the interest of streamlining plant/store operations and keeping customers happy and engaged.

But just what have POS systems meant to the drycleaning industry since their arrival? What separates the POS systems that are on the market? How has the proliferation of smartphones and tablets impacted POS development?

American Drycleaner recently invited drycleaning POS vendors to analyze the technology and describe how these systems so capably keep their virtual finger on the pulse of today’s dry cleaner.

Q: How have point of sale systems changed the drycleaning industry since their introduction?

Tim Woodman, Cleaner Business Systems: Drycleaning operators are now able to provide their customers with a much higher level of service … Utilizing the Internet opens up a direct line of communication to the customers by being able to reach them via e-mail for marketing purposes or to let them know that their order is ready to be picked up.

The point of sale system has also created several new markets in the drycleaning industry and paved the way for companies to create valuable tools for our customers, such as the auto

David Whitehurst, Owner, Champion Cleaners Birmingham, Alabama

Rick Murphy, Owner, American Cleaners Oklahoma City

assembly conveyor and 24-hour pickup and drop-off kiosks.

Wayne Thomas, CleanSuite Software: I don’t know how it might have changed the industry but we’ve made a big difference in [a dry cleaner’s] lifestyle. They’re making more money, they have more control of the business, and more free time.

Kim Jensen, Comca Systems: It has helped increase profits, because it prevents theft. Prevents garments lost. Helps to provide better service to customers.

KJ Sung, Computer Connections (WinCleaners): There have been improvements in operational efficiency, accurate pricing controls, and improvements in inventory controls, reducing claims for missing garments, and tracking employee activities to help prevent theft.

Ali Khan, Dajisoft: POS systems have changed the business aspect and the life aspect of a drycleaner significantly. I remember when I used to work for a dry cleaner, the paperwork that used to take me at least one hour now takes only a few seconds. Our nightmare used to be when our plant would misplace a blue blouse; it used to take us hours and hours to look for it. Now it takes them seconds to know who else brought in a blue blouse that we might have mistakenly given it to.

Lenny Gershater, DCCS: POS systems have made major strides in automating an industry that was extraordinarily labor-intensive, extremely manual and technologically weak. We’ve been able to continually reduce costs and increase profits by giving our customers the technological tools to manage the business with greater confidence and make better decisions than anytime before.

Mark Van Buren, Fabricare Management Systems: More data can be stored and more diverse types of data captured. Faster computers allow clerks and users to work faster. Integration with production speeds production and lowers labor costs. E-mail and texting capabilities enhance and bolster marketing, social media and billing efforts.

Doug Walton, Liberty Computers: Back in the late ’80s when we started our company, systems were somewhat limited by the technology available. However, it still provided pricing, billing and inventory control. Today, we do the same, but with touchscreen technology, it has become easier and quicker to accomplish.

Joe McCammon, Maineline Computers (Compassmax): When they were introduced, they had the basic “cash drawer” functionality, reporting, and some basic customer information. Now, the data mining, the e-mailing of customers, assembly conveyors … they’re much more robust and full-featured than they were in the beginning.

Evaz Fanaian, Scan Q: POS systems have changed the drycleaning industry by speeding up customer service, marketing, reducing man hours, and keeping track of business. The bottom line is better service to the end-user, [fewer] employees and greater profit margin.

Mike Wilde, SPOT Business Systems: Reduced loss from theft, automated marketing with customer activity tracking, decreased labor cost, [and] increased profitability due to improved efficiencies of production.

Q: How is a point of sale system better than an electronic cash register, or is it?

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Evaz Fanaian, Scan Q: A cash register has no capability of keeping a database, compiling notifications and reports, managing statements, providing inventory counts, etc. With a POS system, your company’s status is easily assessed. You have the pulse of your business in your hand, and can anticipate and plan the growth of your business. In addition, errors such as missing cash or garments and/or incorrectly delivered garments can be quickly detected to the day, hour, minute and clerk.

Mike Wilde, SPOT Business Sys tems: Electronic cash registers are typically hardcoded to perform a very limited function. They contain no intelligent decision-making capabilities and do nothing to enhance operational efficiency. POS systems, by contrast, contain intelligence built into its software to enhance operational efficiency; automate manual processes; reduce employee graft; reduce labor cost; and integrate ancillary services such as routes, hotel valet, wholesale processing, restoration services, etc. POS systems are tailored to solve specific operational issues encountered by the dry cleaner and are eas ily reprogrammed to meet future demands as needs change or evolve.

Ali Khan, Dajisoft: There is no comparison between the [two]. A cash drawer is cheaper to purchase than a POS system but it does not at all solve your problem(s) when they arise. The only report that a cash drawer can give you is what’s called a “Z” report, where it only tells you how much money you have received. With POS systems, the reports and its knowledge is endless. A cash drawer will never help you with your marketing, but a POS system will.

Doug Walton, Liberty Computers:

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Cash registers can do only one thing. The POS controls pricing, employee theft, billing, inventory, routes, marketing and so much more. In this day and age, we all have a limited amount of time to grow our businesses, and a POS can get the job done in the background or with a click of a few buttons.

Tim Woodman, Cleaner Business Systems: You can keep detailed reports, prevent employee theft, track your store’s inventory, give consistent and accurate pricing to your customers, and monitor your store’s sales trends and activity. POS systems have made it easier to manage employees, from being able to keep track of employee hours and scheduling employees based on the store’s activities. Operators can use the data gathered by their point of sale system to confidently make important business decisions, whereas an electronic cash register is basically just a calculator with a printer and cash drawer attached.

KJ Sung, Computer Connections (WinCleaners): A POS system gives more detailed reports, better track of inventory, improves accuracy and easily grows with business.

Q: Do certain features separate one point of sale system from another, or all POS sys tems similar in design and programming?

Kim Jensen, Comca Systems: Some features are much easier to use in some POS than in others. Concept is similar, but the easiness when using the software varies from one POS to another.

Mark Van Buren, Fabricare Management Systems: Features very much separate POS systems. Though some functions are similar (creating an invoice), they are not executed in the same way. For ▲

American Drycleaner, March 2014

instance, Fabricare Manager POS uses a touch screen with large targets to press on the screen. Others do not, and require a keyboard or mouse.

Doug Walton, Liberty Computers: Of course, there are similarities to all POS systems, but there are also different ways to get from point A to point B. We strive to keep our interface simple and easy to use.

Lenny Gershater, DCCS: The bigger differences lay in the details, usually below the surface into the depth of the software. … You will find significant difference between systems in terms of functionality, features, the ease or difficulty of navigating smoothly through the software, or how easily or difficult pertinent information needed can be extracted or exported.

Tim Woodman, Cleaner Business Systems: At the end of the day, all of the drycleaning POS companies have similar common goals for our customers. Every company has their niches and different ways of getting to the common goal. What really sets a drycleaning POS company apart from the competition is the level of service that they provide to their customers, and their willingness to listen to their customers and take suggestions for enhancing their software to meet the customer’s needs.

Mike Wilde, SPOT Business Systems: Many POS systems on the market today have similar basic order processing functions. … Not all programs are created equal. Even though system features may be similar, implementation of the user interface is critical.

Ali Khan, Dajisoft: Every POS system would make a ticket and print the tags, would give you most of the daily reports, etc. but the way it does all these functions

are different. … Also, most of the POS sys tems would give you daily reports but some would give you more details in the reports than others. Some POS systems give you more marketing features than the others.

Evaz Fanaian, Scan Q: As for the meaning of point of sale, we could say yes. But as for the system’s functionality, user friendliness, each system is different. Is it fair to say that all cars are the same?

Q: How has the proliferation of smartphones and tablets helped or harmed POS vendors like your company?

Lenny Gershater, DCCS: I believe that future development will encompass all three form factors—PCs, tablets and smartphones—and have different use cases. PCs are trucks, to quote Steve Jobs loosely. They do the heavy lifting. Tablets are cars. They are great for casual computing tasks such as e-mail, web surfing, and light work. With a hardware keyboard and the right apps, they can even do mediumduty creative work in a pinch. Smartphones are bicycles. They go anywhere.

Tim Woodman, Cleaner Business Systems: The impact has been huge, espe cially in the drycleaning industry, as there are so many ways that a software company like us can incorporate apps into our prod uct that can benefit not only the drycleaning operator but also their customers as well.

Whether the operator wants to use a tablet computer for their route driver to bring on the route and create tickets as they pick up orders, or if they want their customers to be able to check on the status of their order from their smartphone, there are many aspects of the drycleaning business that can utilize these new technologies, and you will see more and more

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software companies providing these options to their customers.

Ali Khan, Dajisoft: Smartphones have made the life of a customer very easy. With smartphones and tablets becoming more and more the norm, we need to integrate e-mailing and marketing so our endusers can connect to all their [customers] using this platform.

Joe McCammon, Maineline Computers (Compassmax): With a tablet, you’re no longer tethered to that point of sale station. For example, if you had a drive-thru customer on the curb that you wanted to take their credit card, or you wanted to do some on-site mark-in for restoration, or you want reports e-mailed to your smartphone or tablet, you can do it.

KJ Sung, Computer Connections (WinCleaners): One of the most promising technologies that could benefit the cleaning industry is the use of QR codes. You can improve your customer’s experience by enabling scanning and tracking of real-time order status tracking, delivery status tracking, and allowing your customers to request online the pickup of their garments.

Mark Van Buren, Fabricare Management Systems: Greatest impact is on social media and marketing.

Q: If you had any general advice for a dry cleaner who is in the market for a POS system, what would it be?

Doug Walton, Liberty Computers: Look for a company that is continuously developing and taking advantage of all the technology available today and in the future.

Evaz Fanaian, Scan Q: Before purchasing any system, download, test drive and compare for yourself. … Purchase the

latest in technology; the resolution of the graphics will indicate if the program is dated.

Joe McCammon, Maineline Computers (Compassmax): There’s four general areas that you look at. … One, of course, is ease of use. There’s reliability. … Service and support would be a third, and features—what you are looking to accomplish with the system, your wish list. Reliability is important. If you’re running millions of dollars in transactions through your system, you certainly don’t want any hiccups or issues.

Kim Jensen, Comca Systems: Request a demo and try it. Call cleaners who are using the software and ask how they like the POS. Make sure the POS is easy to learn and teach.

Wayne Thomas, CleanSuite: First, make sure you know about the yearly or ongoing costs. Some systems are inexpensive at the beginning but then you pay an annual license fee. Second, make sure there really is someone at the other end of the phone when you call for support.

Ali Khan, Dajisoft: My main suggestion will be that [you] do not make the pricing a decision factor. You can get a cheaper software but what you should look at is how well the software has been developed, how easy it is to adapt to. Would it be easy for your employees to learn it faster?

Tim Woodman, Cleaner Business Systems: The most important thing to look at is the company that you are going to use, more than the software itself. Make sure the company you choose offers outstanding technical support. ... Secondly, don’t make your decision based on price alone as you will end up getting what you pay for. O

Thumbs Up or Thumbs Down?

By Lloyd R. Manning

As recovery from the recession is well under way, to increase business and profit, many drycleaning plant owners will be considering renovating or enlarging their plants. This, plus the acquisition of newer and more efficient equipment, may require the investment of several thousand dollars. Before commencement of a modernizing or enlargement project, or perhaps developing an entirely new plant, the undertaking of a comprehensive feasibility study is a must. Too often, entrepreneurs spend substantial sums only to find that, due to poor conceptual planning, fewer profits than anticipated are realized. Many of these disappointments are preventable, particularly those caused by poor timing, improper management decisions, undercapitalization, or developing for a market that does not and may never exist.

WHAT IS NEEDED? WILL IT PAY? A properly prepared feasibility study is a cost-benefit analysis, the sole purpose of which is to answer the question, “Will the project once completed meet the owner’s objectives and overcome the constraints?”

What is needed? What is wanted? Will it pay? What are the go/no-go criteria beyond which it should not proceed? It is an orderly, step-by-step analysis.

In today’s precarious economic times, realizing that they could become owners, lenders require substantial supportive data and pre-development analysis before loaning their money. Increasing development and operating costs, coupled with decreasing profits, lessen the chance of success. The requirement for an accurate costbenefit study has never been more acute. And those who undertake this exercise should do so if for no reason other than

Drycleaning plant investment deserves comprehensive feasibility study first

(Image licensed by Ingram Publishing)

preserving their own capital. It’s not that complicated, and most times owners/operators could do it all themselves.

PLANT OWNER’S INPUT IS MANDATORY. It is the plant owner who must initially establish the objectives and exactly what detriment(s) or condition(s) is to be corrected or opportunity to be capitalized on. Uncertain objectives or indefinite limitations will produce only ambiguous results.

and locally that will impact the direction your plant should be taking? This is what is generally referred to as “market delinea tion.” It estimates what market or market segment the plant will be able to best serve, to establish its position in that market and to determine the percentage of the grand total one should be able to acquire.

No drycleaning plant can ever capture all of the market. It is usually best to select its own niche and then do everything to obtain as high a percentage of that niche as possible. This is focusing on the longerterm trends that shape demand and how they will affect revenue and profit.

Section One

For modernization, renovation or property enlargement, the first section can be subdivided into six subsections:

The purpose of the undertaking may be to obtain new customers, expand into a new market, or possibly provide offsetting benefits such as greater plant efficiency. Constraints—matters that will inhibit or nullify the project—are usually financial, legal or physical. Examples would be the cost of debt financing, uncertainty about increased profits, inadequate site for inplant enlargement, concerns about market penetration, etc., or perhaps personal limitations such as advancing age.

DISTINCT SECTIONS. A feasibility study has two distinct sections. The first is to provide the economic, demographic, demand and competition study for the proposed project. From this is formulated the conceptual plan. It measures the size and scope of the market to be penetrated and what influences exist, or may exist in the future, to change it. What is happening nationally, statewide

• Strategy — This is the detailing of objectives, motives, inputs and con straints.

• Influences — An understanding of how economics, political inferences and trends, both present and in the future, will affect the project.

• Market Analysis — A survey of the market and its size: present, projected and latent. An analysis of the compe tition. Who has and who does what? Is the competition similar, better or poorer?

• Unmet Demand — A determina tion of unsatisfied and developing demand, such as in a new residential district. What is missing? What is needed? By whom, from where, and how soon? What’s the cost of satisfying that demand?

• Requirements — Requirements, in cluding production facilities and equip ment, to fill the unsatisfied demand.

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No drycleaning plant can ever capture all of the market. It is usually best to select its own niche and then do everything to obtain as high a percentage of that niche as possible.

•

“Fair Share” Analysis — An examination of the fit of the present plant and the assurance that proposed changes will meld with its objectives, overcome its constraints and be able to more effectively capture more than its fair share in the marketplace.

Prerequisite is analyzing the governing factors of one’s business, those that are external over which one has no input but can perhaps measure their effect, and those that are internal and can be assessed. The purpose of this portion of the study is to make an owner/operator aware of both the controllable and noncontrollable elements that dominate a plant’s operation and their interrelationship.

Estimating latent demand is most difficult. This is a demand that exists but remains unfilled by anyone. However, to estimate that demand, except within the widest of parameters, is anybody’s guess. Is there enough to add on to one’s plant, or purchase a bevy of new equipment? Other than an interpretation of the statistical base of the market area and past experience with customers, and a detailing of the competitors’ customers and intentions, one can never tell for sure.

Having completed the demographic and economic study, one can now identify (or at least reasonably project) the following:

• The volume of sales that can be obtained by one’s plant and all primary competitors in the market area.

• The capture rate, or the percentage of the total market that one can reasonably expect to obtain.

• Competitive pricing for one’s drycleaning and other services, providing the ability to attract the capture rate while obtaining an acceptable profit

and an adequate return on investment.

• The growth potential for the plant, along with the determination whether the projected revenue and profit after project completion are realistic or wishful thinking.

• Other ways, such as buying or merg ing with a competitor, to obtain the capture rate and profit.

Although most drycleaning plant owners know their location and the overall capabilities of their competitors, few seriously examine their rivals. If they do, they seldom consider their areas of superiority. The most significant forecasting errors occur not from wrongful interpretation of the statistical data but inadequate competitor analysis.

Section Two

It’s a cost accounting procedure that analyzes the financial cost and probable return on investment. It then answers the hot-button question: “Will it pay?”

One of the better tests of project viability is to estimate the market value of one’s plant as a going concern, and then estimate it again after the renovation and modernization project is complete. If the increase in value does not exceed the cost, one will have wasted his or her money.

The demands and needs of even five years ago are different than those of today. Success in any venture can only come from setting clearly defined objectives and from adequate planning. Although a feasibility study may not provide all the answers, nor assure a fail-safe guarantee, it eliminates many of the pitfalls and areas that are too easy to overlook. O

Lloyd R. Manning is a semi-retired commercial real estate and business appraiser, and freelance writer based in Lloydminster, Saskatchewan.

o zone Breathes n ew Life into g arments

Energy and chemical costs are major factors in any cleaning operation, so anything that can reduce overhead costs is worthy of consideration by owners and operators. Ozone injection during the washing of shirts and fine washables is reported to reduce these costs.

Several cleaning operations have seen success in using cold water and significantly fewer chemical additives when injecting ozone in their wash water. Air is compressed, then passed through an oxygen generator before being discharged into the incoming water.

Ozone is a gas produced when pure oxygen is passed through an electrical charge, causing it to pick up an additional oxygen atom.

The drycleaning industry uses ozone to deodorize garments, such as those that have suffered smoke damage from a fire.

Ozone is a strong oxidizing agent, making it ideal to break down stains in the wash. It also disinfects, deodorizes, and boosts bleaching action. The ozone gas is not soluble in water, and many factors—including wash time, water temperature, and soil type— contribute to its effectiveness in wash water. Cold water tends to hold more

ozone gas than warm water, thereby carrying more ozone to the articles being cleaned.

Installing ozone generators results in both a reduction in the amount of energy used to heat water and the amount of chemicals and bleach needed in the cleaning process. Past use in the hospitality industry has demonstrated that using cold water and less chemistry can increase the usable life of garments by a factor of three.

Using no detergent with ozone is an effective way to clean and restore lightly soiled shirts and fine washables. Since ozone is a strong oxidizing agent, similar to sodium percarbonate, it will break down stains while being circulated in the cool water.

When dealing with heavier soils, surfactants are needed to aid the ozone gas in breaking down the soil. By recirculating the water and replenishing the ozone, these heavily soiled items can be cleaned with a minimum of wash chemicals, water, energy and time. Ozone alone will break down some stains while aiding in the breakdown of others.

Using ozone provides several secondary benefits. The oxidation action is known to kill bacteria and even some viruses. It has been reported that whites come out of the laundry brighter and whiter. There are even reports

Martin Young

that the laundry room is cooler when using ozone.

A negative to using ozone in laundry water is its effect on rubber. Rubber seals and gaskets must be replaced with those made of an ozone-resistant substance.

Many operators are opting to install ozone systems instead of replacing a hot water heater. This immediately reduces energy costs, and the return on investment usually takes about two years.

Plant managers using ozone report exciting results: 25% reduction in water usage, 75% reduction in heated water, 25% reduction in chemical use, 25% reduction in maintenance, and a surprising 15% reduction in production time.

Ozone can only be considered in appli cations where bleaching is desired or can be tolerated. It is not an option when it comes

to true wet cleaning. One should anticipate ozone impacting the intensity of dark col ors, and ozone and mechanical action will adversely affect the fragile and shear gar ments that are commonly wet cleaned.

Ozone usage in laundry operations has made great progress in the last decade. It has been refined with each installation and shows promise in a world of rising processing costs. The next time you need to replace equipment, especially a water heat er, consider ozone as an option. It costs you nothing to look, and it could save you money in the long run. O

Martin L. Young Jr. has been an industry consultant and trainer for almost 20 years, and a member of various stakeholder groups on environmental issues. He grew up in his parents’ plant in Con cord, N.C., Young Cleaners, which he operates to this day. Contact him by phone at 704-786-3011, e-mail mayoung@vnet.net.

American Drycleaner, March 2014

industry observations

s core High with Customers t hrough t eamwork

The other day, I stopped at a drop store to see a sign on the door which read, “Closed due to illness.”

I called the owner of the dry cleaner, who told me his drop store manager was sick and he had nobody to replace her. I asked him if someone in the plant could have taken over the store for a day or two. “No way,” he proclaimed, “we just don’t have anybody who could run the store.”

OK, so perhaps four dozen drop store customers are annoyed. They include those who come to drop off cloth ing, those who come to pick up their processed garments, and those who got no answer when they called. How annoyed?

I hung around for a bit. I watched a man in a suit pull in with a bag of clothing. When he read the sign, he uttered several unmentionable words. Pretending I was also a customer who’d just arrived, I said, “I guess they’ll be open tomorrow.” He looked at me and said, “Yeah, well, you won’t see me here tomorrow.

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“I’m bringing these clothes to the other cleaner in town. They’re closer anyway. I’ve been telling my wife to take our stuff there, but she insisted that this cleaner does a better job. I don’t care. This is not a professional way to run a business, and I’m taking this ineptitude personally. They just lost a good customer.”

Who knows how many others responded in a similar way.

This brings me to my topic: teamwork. Every drycleaning worker has a job, but the whole crew is a team— every member should be able to pitch in anywhere in the company when needed.

Every drycleaning worker has a job, but the whole crew is a team—every member should be able to pitch in anywhere...

Put another way, a large company can afford slots for every individual, but a small company can’t afford such bureaucratic structure. A small company must, above all else, be flexible. To be flexible, the staff must be versatile. Teamwork is the way a small company moves forward.

Howard Scott

industry observations

The first challenge is creating the spirit of teamwork. When you hire someone, talk about teamwork. Explain that everyone will be required to pitch in where needed. Discuss the need to be flexible. Impress upon the newcomer that he/she could be expected to fill several roles, and that everyone should expose themselves to the multiple aspects of the company. At meetings, preach that teamwork is needed for success. Speak of the necessity of learning other roles. Ask what staffers have done to familiarize themselves with the company as a whole. Applaud any positive efforts. Embark on a program of cross-training. For instance, all plant staffers should be able to fill in behind the counter. During a

slow period, have a presser go to the front counter and observe the counter staffer. Have the counter staffer show the presser how to check in clothes and how to hand out processed clothes, just the basics.

When you hire someone, talk about teamwork. Explain that everyone will be required to pitch in where needed. Discuss the need to be flexible.

All finishers should be able to fill in at presser stations, at least for short periods. Find time to train finishers on the presses. This is done by the pressers demonstrating their job and then letting the observer ▲

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industry observations

do the work (as pressers fill in the fine points). Cross-training on this function involves three steps: observe, do, refine. Observing without doing will not enable the individual to do the work. It takes feeling the machine, handling the garments, and seeing the way material folds that results in confidence. Hands-on is the way to train.

It helps to have the work procedures in writing. Write up the work procedures for each task, then let the staffer correct or add anything that might help. Put these instructions in plastic sheets and file them for future use. When a substitute has to take over, hand the individual the procedure sheet for their reference. Obviously, the more detailed the procedure the better. Make sure that the writing is legible and easy to understand. It’s a good idea to break down tasks into numbered steps.

A few people could be taught to run drop stores. This might involve extra pay, but it is necessary. For instance, during her day off, a counter person might spend a day at the drop store with the manager. There, she learns the ropes: how to open and close, handle customers, complete the paperwork, and cash out. This training can be accomplished in one day.

If the company I described earlier had followed this practice, a counter staffer would have manned the drop store and there would have been no customer heartburn. The dry cleaner would not have lost one customer and perhaps more because the store was closed.

If you have pickup and delivery routes, assign some staffers to learn them. Spend

ing a day on the road with the regular sales person would enable a substitute to do the work, at least minimally. Train two people, and you have your truck route covered.

Write up the work procedures for each task, then let the staffer correct or add anything that might help. Put these instructions in plastic sheets...

Involve your family. This is true teamwork, because your family is part of the company, even if they aren’t employees. Wives, children, retired relatives, even mothers-in-law can be trained to pitch in. Non-working spouses could be trained in a variety of positions so that she/he could be the utility staffer. If someone were unable to work, he/she could fill the slot.

Once I was at a dry cleaner and a young boy was behind the counter. I asked how old he was. He said he was 15 and told me he was helping his parents out for the day, because their regular counter staffer had to miss work. He told me he had spent two days with her learning how to do everything. He was proud that he was able to help his family out. He was most polite, a pleasure to talk to, and I’m sure he impressed all the customers who came into the store. What a great way to advertise family cohesiveness.

And then there’s you, the boss. You should be able to fill in at every position in the company, except perhaps the cleaner. Plus, you’ll benefit as a manager. Spending a day at a drop store will give you

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insights as to how the store runs, who your customers are, and how the demographics differ from the rest of your business. Working as a finisher will show you problems with certain fabrics that you didn’t know about before.

Say your drop store manager has to go to a doctor’s appointment. You could fill in for her for the three hours that she’s gone. There would be minimum interruption for the company, and no other staffer would have to be moved around.

Calling it your teamwork initiative, create an “Order of Substitution.” Put it in writing and tack it up on the company board for all to see. The document establishes who replaces who when the need arises. The order of replacement doesn’t have to be followed exactly, but can serve as a guide. For example, it might not be

convenient for the presser to take over the delivery routeperson’s job, but a counter staffer on her day off could.

Substitution is one benefit of the teamwork concept, but there are others. Helping one another is another benefit. Coming up with new ideas is another. Seeing the big picture is a third.

The teamwork approach is a great tool for developing a motivated, flexible staff. As in football, without teamwork, there can be no touchdowns. Perhaps this metaphor can become your mantra. O

Howard Scott is a longtime industry writer and dry cleaning consultant, and an H&R Block tax prepar er specializing in small businesses. He welcomes questions and comments, and can be reached by writing Howard Scott, Dancing Hill, Pembroke, MA 02359, by calling 781-293-9027 or via e-mail at dancinghill@gmail.com.

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American Drycleaner, March 2014

Shanghai Success

Attendance at every-other-year trade fair grows 20% from previous edition

Texcare Asia, also known as the International Trade Fair for Modern Textile Care, recently wrapped another “successful” edition here, according to show organizers Messe Frankfurt (Shanghai) Co. Ltd. and China National United Equipment Group Corp.

“The biennial event has once again confirmed its significance to China and greater Asia’s textile care industry,” says Jason Cao, senior general manager of Messe Frankfurt (HK) Ltd. “Collectively, 8,553 visitors from 55 countries and regions attended the three-day show, a 20% increase from the previous edition.”

Top 10 visiting overseas countries and regions were Taiwan, Korea, Hong Kong, Japan, Malaysia, Singapore, Australia, Thailand, Russia and Indonesia.

Held at the Shanghai New International

Expo Center in late November, Texcare Asia drew 150 exhibitors from more than a dozen countries, including the United States. They presented their latest innovations in laundry, drycleaning, ironing and dyeing machinery, as well as textile management systems, according to Messe Frankfurt. Business areas represented by visitors included hotels, Laundromats, dry cleaners, government and military departments, and hospitals, says Cao.

“The show was designed for these aforementioned areas, since they represent some of the fastest growing sectors of national economies in Asia,” he adds. “We aimed to provide not only a showcase of new and exciting items in textile care, but also a forum with engaging and informative discussions by top industry leaders. I am pleased with our results for 2013,

(Photos: Messe Frankfurt (HK) Ltd.)

and I believe the fair’s influence will continue to grow for years to come.”

In addition to showcasing latest products, Texcare also gave exhibitors and visitors a chance to meet with decisionmaking authorities, learn about new solutions from competitors, as well as close deals on-site, says Messe Frankfurt.

Yaoxuan Jiang, purchasing leader at

Chengdu Sanhe Group, visited the show for the first time with the hopes of finding textile care machinery and parts.

“There were lots of large-scale machinery and equipment presented, as well as fantastic options in laundry accessories,” he says. “I came to purchase washing machinery as well as new detergents that don’t utilize tetrachloroethylene. I believe Texcare Asia is a must-attend event for everyone involved in the textile care industry. It is a hugely influential show, and I will certainly attend the next edition.”

Sankosha Manufacturing Co. utilized the show as an opportunity to increase brand recognition for its high-end drycleaning and ironing machinery in China.

“The Chinese market is currently going through a phase that Japan experienced in the ’90s, where more and more drycleaning businesses are being franchised with central processing plants,” says Keisuke Uchikoshi, Sankosha vice president. “Our primary goal at the show was to build bigger brand awareness, and I believe we achieved this with great success. The show has considerably improved from the last edition. We can’t wait to join again once more.”

American Drycleaner, March 2014

Texcare Forum Asia consisted of more than 20 sessions conducted by world leaders in professional textile care, says Messe Frankfurt (HK) Ltd.

More than 8,500 trade visitors attended the three-day Texcare Asia show in November, a 20% increase from 2011.

Alex Teo, CEO of Zero Spo Laundry Service, Singapore, was looking for product updates on tunnel washing, drycleaning and ironing equipment.

“My company is a professional laundry service provider, offering large-scale inte grated laundry solutions to premium hotels and serviced apartments in Singapore and Asia,” he says. “I am happy to have seen big brands such as Kannegiesser, CSM and Sailstar at the Shanghai fair. The show was also a platform for discovering new products and keeping up to date with market trends.”

CSM, together with partners Milnor, Chicago Dryer Co., E-Tech, Ajax and Multimatic, presented a combination of leading technologies in the commercial laundry industry.

“This year we have a more prominent presence with a larger stand,” says David Liu, general manager of CSM. “In this

way, we can demonstrate our solutions that comprise of individual machine as well as sizable processing equipment. We showcase the most sophisticated soil sorting and rail systems provided by E-Tech and the highly efficient finishing equipment from Chicago Dryer, which complements the production ability of (Milnor’s) PulseFlow® technology seamlessly.”

“Exhibitor and visitor quality has greatly improved this year,” says Hong Chen, chairman of Jiangsu Sea Lion Machinery Group. “I believe the laundry industry’s future development will be focused on the integration of energy conservation and efficiency technology. I am very optimistic about the future of laundry washing equipment in the Chinese market. Texcare Asia represents the best platform currently in China for promoting and marketing the textile care industry.”

Drycleaner,

“We appreciate that Texcare Asia has become an international and professional industry platform, where brands can showcase new products and advancement,” adds Thomas Yin, general manager of JENSEN Group, China. “We can tell that the show is gathering more and more professional visitors, since our booth is always busy. We believe that the show not only encourages sales of participating companies but also motivates the growth of the entire industry.”

The show also featured Texcare Forum Asia, which consisted of more than 20 various sessions conducted by some of the world’s leaders in professional textile care, says Messe Frankfurt. “They shared information on the latest industry practices from around the world, with the goal of aiding China’s growth in textile care,” the organization says.

“The show’s combination with Texcare Forum Asia has made it an excellent

educational platform, which offers several chances for discussion on the growth of the China market and future business opportunities by mixing people from all disciplines in the field,” says John Hacker, director of sales, Asia Pacific, at Herbert Kannegiesser GmbH. “We will continue our participation in the next editions, as we regard Texcare Asia as an important occasion for accessing the best quality of people in the China market.”

Guozhang Wu, CEO of the Laundry Technology R&D Association in Taiwan, adds, “Through the information provided on trends and advanced concepts, I believe the forum provides a great breadth of knowledge. I look forward to returning to the forum and overall exhibition for future editions, and hopefully hear from more experts on their practical experiences.”

Texcare Asia’s next edition is scheduled to convene in fall 2015. O

Visitors watch as a PONY booth worker demonstrates his company’s cuff and collar press.

Visitors came armed with pens, paper and digital cameras to document their findings.

Sound the All-Clear

Ah! Products introduces All Clear, a water-based, non-toxic, odoreliminating formulation designed and developed for the drycleaning market.

While other drycleaning products available for odor elimination are “masking” (scent) or enzyme-based, the formula eliminates odors through an oxidation process, the company says. All Clear can be used in both wet and dry applications.

All Clear eliminates most common drycleaning odors such as ciga rette/fire smoke, mildew/mold, perspiration and urine, Ah! Products says.

The formula may be used as a “pre-treat” spray for heavy-odor clothing or as a traditional “post” spray to remove odors during the spotting and finishing process, the company adds.

All Clear is available in 32-oz. and 128-oz. bottles.

www.productsbyah.com | 952-230-7960

Service That’s a PLUS

New from Laundrylux is PLUS—a new “pay-asyou-use” system for dry cleaners and on-premises laundry operations. According to the equipment distributor, customers utilizing PLUS—Professional Laundry Utility Service—receive high-quality laundry processing with Electrolux Professional washers and dryers—with no capital investment in equipment. Parts and service are included.

As part of the service, all the equipment is de livered to the facility at no charge to the customer. It includes all parts and labor. Customers pay a fixed charge per cycle to use the washers and dryers; they only pay for what they actually use. There is no lease or long-term contract, Laundrylux says. Usage is tracked electronically, and then billed automatically.

With PLUS, laundering becomes a utility service, just like water, gas, and electricity. Like any utility, the facility pays for PLUS only when it uses it—with no long-term obligation, the company says.

www.laundrylux.com | 866-575-1010

www.americandrycleaner.com

American Drycleaner, March 2014

Set the Odds in Your Favor

There is, of course, no magic formula for investing in the stock market— no recipe that will provide an absolute guarantee of success. Still, many decades of experience have provided investing professionals with insights that can help the average investor improve the chances of coming out ahead of the crowd.

Here are six investing guidelines that can help you to set the odds in your favor:

STICK WITH MUTUAL FUNDS. Try ing to build a portfolio of indi vidual stocks is a daunting task for the average investor. While there is far more information available for research than ever before, making sense of the un relenting flow of statistical data on every individual stock is a challenging task for full-time professionals—almost impos sible for the average investor. That’s why it makes sense for most investors to stick with mutual funds for their equity investments.

AVOID ACTIVELY MANAGED FUNDS. The idea of having an active professional manager picking out the stocks to be in cluded in your mutual fund(s) may seem to make sense, but hold on. Careful observers have noticed that it has become increasingly difficult if not impossible

for any active fund manager to beat the market over the longer term. Worse, it’s virtually impossible to figure out in ad vance which lucky manager will beat or even equal the market in the future.

For these reasons, it’s best for mu tual fund buyers to stick with passive funds—called index funds—that are constructed to match or track a market index such as the Standard and Poors 500 Index (S&P 500) or one of many others such as the Dow Jones Industrial Average (DJIA).

Because there is no highly paid man ager in passive funds deciding which stocks to buy, the operating costs for index funds are generally far lower than for actively managed funds.

For more information on investing in index funds, visit www.investopedia. com/university/indexes/index8.asp.

CONSIDER EXCHANGE TRADED FUNDS (ETF S ). While there are many similarities be tween regular mutual funds and ETFs, the differences are important.

Because it trades like a stock, an ETF does not have its net asset value (NAV) calculated at the close of the market each trading day like a regular mutual fund does. That means you can track the daily price in real time without having to wait until the following day to learn the amounts involved in your buy or sell orders.

Bill Lynott

Another advantage is that ETFs provide the diversification of index funds with ex pense ratios that are lower than those of the average mutual fund. One of the most widely known ETFs is called the Spider (SPDR), which tracks the S&P 500 index and trades under the symbol SPY.

NEVER FORGET EXPENSE RATIOS. There is a cost to owning any mutual fund regardless of type; it is called the expense ratio and the differences between funds can have a major effect on your financial health. The expense ratio covers investment advisory fees, ad ministrative costs, distribution fees, and other operating expenses.

At this time, the expense ratio for a typi cal actively managed mutual fund is about 1.5%. With that expense ratio, a mutual fund will charge 1.5% of the total money in the fund each and every year. Whether the market goes up, down, or stays the same, the fund will still pay itself 1.5% of the total assets within the fund. As an owner of the fund, you will be paying that 1.5% on your share of the stock you own every year. On average, about 0.5% of that fee goes to the manager of the fund, providing a healthy annual income for the manager regardless of the fund’s performance.

By comparison, the total expense ratio of a typical index fund averages around 0.25%, the major factor in this difference being the absence of an active manager and the big salary. Some index funds have an even lower expense ratio, such as the Vanguard 500 Index Fund with a current expense ratio of about 0.18%.

WHY EXPENSE RATIOS ARE SO IMPORTANT. Expense ratios have the direct effect of reducing the return on your investment in

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mutual funds or ETFs. Despite the seemingly modest annual fee of 1.5% or less, the total cost over a period of years will add up to a considerable sum. For example, if you could find a similar-quality fund with an expense ratio of .50% less than what you currently pay on a $100,000 investment, you would save $500 a year. Over 10 years, that adds up to $5,000 of savings.

HOW TO FIND A FUND’S EXPENSE RATIO. You can search the Internet for information on any fund or ETF by its ticker symbol of three to five letters. For example, the Schwab Dividend Equity Fund has a ticker symbol of SWDSX. When I searched for that symbol, the first result was Google Finance, where I found complete data on the fund. I found the expense ratio is 0.89%.

You can also find a fund’s expense ratio in the fund’s prospectus. If you own the fund, the prospectus is mailed to you each year, unless you have asked to have it deliv ered to you electronically.

If you are shopping for a fund, you can download any fund’s prospectus from the mutual fund company’s website. Look in the table of contents for a section called “Fees and Expenses.”

Regardless of which fund or ETF catches your fancy, always discover the expense ratio and take it into consideration before you invest. O

Information in this article is provided for educational and reference purposes only. It is not intended to provide specific advice or individual recommenda tions. Consult an accountant or tax adviser for advice regarding your particular situation.

Bill Lynott is a freelance writer whose work appears in leading trade publications and newspapers, as well as consumer magazines including Reader’s Digest and Family Circle. Visit his website at www. blynott.com or e-mail blynott@comcast.net.

American Drycleaner, March 2014

Upcoming Ev E nts

sdls announces speaker schedule for June event

Organizers of the Southern DryCleaners and Launderers Show, scheduled for June 20-22 in Jacksonville, Fla., have released a full schedule of speakers for the event.

Centerpiece of the show, spon sored by the South Eastern Fab ricare Association, will be allied trades exhibits in the Prime F. Os born III Convention Center.

But before the exhibits open, Chris White, executive director of America’s Best Cleaners, will pres ent a Friday seminar on human in teraction and brand building.

Saturday’s speakers will include Methods for Management’s Diana Vollmer, on successful manage ment strategies and peer-to-peer groups; Brian Johnson, Drycleaning & Laundry Institute, on quick fixes to common drycleaning problems; and Sandy Seay, Seay Management Consultants, on human resources “flashpoints.”

On Sunday, James Peuster, The Route Pro, will discuss the delivery marketplace, and White returns with a session on customer service.

For more information on the show, call 877-707-7332 or visit www.sefa.org. O

c al E ndar

April 25-27 Southwest Drycleaners As sociation Cleaners Showcase Trade Show. To be held in Fort Worth, Texas. Call 512873-8195.

April 30-May 3 Textile Care Allied Trades Association Annual Management and Edu cational Conference. To be held in Naples, Fla. Call 973-244-1790 to learn more.

May 14-15 Coin Laundry Association Ex cellence in Laundry Conference. To be held in Key Largo, Fla. Call 630-953-7920.

June 6-7 Ontario Fabricare Association & Eastern Canadian Launderers & Dry Clean ers Association Convention. To be held in Toronto, Ont. Call 416-733-2111.

June 20-22 South Eastern Fabricare As sociation Southern Drycleaners and Laun derers Show. To be held in Jacksonville, Fla. Call 877-707-7332.

June 25-26 Wisconsin Fabricare Institute Annual Convention. To be held in Mequon, Wis. Call 414-529-4707.

July 25-26 Mich. Institute of Laundering & Drycleaning Summer Convention. To be held in Gaylord, Mich. Call 877-390-6453.

August 22-24 California Cleaners As sociation Fabricare 2014 trade show and convention. To be held in Long Beach, Calif. Call 916-239-4070.

Oct. 3-6 EXPOdetergo Intl. To be held in Milan, Italy. Visit www.expodetergo.com

Oct. 18-19 Pennsylvania and Delaware Cleaners Association Drycleaning & Laun dry EXPO. To be held in Atlantic City, N.J. Call 215-830-8495. O

Post notices of your organization’s events on www.AmericanDrycleaner.com

American Drycleaner, March 2014 www.americandrycleaner.com

Radical Drycleaning/Stain Removal. NCA course, to be held March 10-14 in Northvale, N.J. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Advanced Stain Removal and Intensive Bleaching. NCA course, to be held March 23 in Bronx, N.Y. Call 212-9673002 or e-mail ncaiclean@aol.com.

DEC Certification. Two-day NCA course, to be held March 23 and March 30 in Nanuet, N.Y. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Wet Cleaning. NCA course, to be held April 6 in Miami. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Stain Removal. DLI course, to be held April 30-May 2 in Laurel, Md. Call 800638-2627 or visit www.dlionline.org.

Avoiding Claims: What You Need to Know About Fabrics & Stain Removal. NCA course, to be held May 18 in

Tampa, Fla. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Avoiding Claims: What You Need to Know About Fabrics & Stain Removal. NCA course, to be held June 7 in Dallas. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Avoiding Claims: What You Need to Know About Fabrics & Stain Removal. NCA course, to be held July 13 in Seattle. Call 212-967-3002 or e-mail ncaiclean@aol.com.

DEC Certification. Two-day NCA course, to be held July 13 and July 20 in Nanuet, N.Y. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Introduction to Drycleaning. DLI course, to be held July 14-18 in Laurel, Md. Call 800-638-2627 or visit www. dlionline.org. O

www.americandrycleaner.com

American Drycleaner, March 2014

Garment boxes featured on popular British TV drama

The Empty Box Co. had much to cel ebrate this past holiday season as its handmade garment boxes were fea tured during the Christmas episode of the popular British drama series Downton Abbey , reports FosterStephens, the company’s North Amer ican distributor.

Handmade textile preservation boxes have become The Empty Box Co.’s specialty after it revived Ed wardian hat and dress boxes 26 years ago, according to Foster-Stephens. The boxes help keep special garments such as wedding dresses and Christening gowns “protected and preserved for years to come.”

“The company knew the Downton series [was] filming with a selection of boxes but [was] surprised and delight ed to see them on the screen on the Christmas Day special in the U.K.,” says Foster-Stephens.

“I was very relieved, because Downton had bought 29 boxes from us and yet none appeared in the autumn series,” says Giselle Hulme, The Emp ty Box Co. marketing director. “Our last chance was the Christmas special and sure enough, they were placed el egantly at the bottom of a beautiful staircase, and being carried about by the maid, Ivy, containing all of Rose’s

‘coming out’ dresses.”

“We are delighted to be distribut ing these fine boxes and happy to see them showcased on a popular series like Downton Abbey , as well as the PBS show Mr. Selfridge,” says FosterStephens President Nancy Jones.

Pariser Industries welcomes Tim Hush as regional sales mgr.

Pariser Industries recently hired Tim Hush as regional sales manager for the greater Illinois and Wisconsin regions, the company reports.

Hush has 30 years of industry experience, including 21 years of hands-on experience in dry cleaning and wet cleaning, and eight years as a chemical manufacturer’s representa tive throughout the Midwest, North west and Western Canada, according to the company.

Hush is a graduate of the Dryclean ing & Laundry Institute’s drycleaning education program and provides on going spotting seminars. He has also honed his laundry experience servic ing OPL and commercial laundry fa cilities, including tunnel systems, the company adds.

“Tim’s in-depth knowledge of dry cleaning, wetcleaning, shirt and com

Hush

mercial laundry facilities, combined with his commitment to customer satisfaction, makes [him] an invaluable asset to our sales and service team,” says Art Fatica, director of marketing and division man ager of Pariser Industries.

FTC preps for March 28 public roundtable on Care Labeling Rule proposal

The Federal Trade Commission (FTC) will host a March 28 public roundtable in Washington, D.C., to explore proposed changes to its Care Labeling Rule. The event had previously been slated for last October but had to be cancelled due to the government shutdown.

The roundtable will focus on the pro posed amendment permitting a wetclean ing instruction and comments urging the FTC to require a wetcleaning instruction.

Discussion also will address: (1) the cost of substantiating wetcleaning instruc tions; (2) the availability of wetcleaning services; (3) consumer awareness of wet cleaning; and (4) the content of labels pro viding a wetcleaning instruction (e.g., in structing “professionally wetclean” versus “wetclean”).

The gathering also will explore issues relating to the use of care symbols and the FTC’s proposal to clarify the Rule’s rea sonable basis requirements.

T his discussion will address: (1) the differences between ASTM and ISO sym bols and between the 2005 and 2012 ISO symbols; (2) whether to require that labels identify ISO symbols if used to comply with the Rule; (3) the change in the mean ing of the circle P symbol in the ASTM

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system; (4) the absence of ASTM and ISO symbols for solvents other than perc and petroleum; (5) consumer understanding of symbols; and (6) how to clarify the Rule’s reasonable basis requirements.

The FTC’s satellite building conference center, 601 New Jersey Ave., N.W., Wash ington, will be the meeting site.

M&B Hangers raises funds for American Cancer Society

M&B Hangers recently donated funds to the American Cancer Society as part of its Pink Hangers campaign, the company reports.

With the purchase of each Pink Hang er, M&B Hangers makes a donation to the American Cancer Society, says the company, which started the campaign in 2010. This year, M&B Hangers presented a check for $7,899.95.

“We were also touched by the generos ity of one of our valued customers, Fab riClean Supply/Phenix Supply, who ran their own promotion to coincide with our Pink Hanger campaign,” M&B Hangers adds. “With their dedication to the cause, FabriClean Supply/Phenix Supply con tributed an additional donation of $1,060 toward the fight against cancer.”

M&B Hangers adds, “Our goal to in spire hope, perseverance, triumph, and courage extends beyond our workplace—it is a part of who we are, and we are thank ful for our partners in this endeavor.”

For m ore information about M&B Hangers’ Pink Hangers campaign, visit www.mbhangers.com/index.php/stories/ mb-pink-hangers-fighting-cancer/. ▼

American Drycleaner, March 2014 55

Drycleaning chemical disclosure rule takes effect in New York City

A new rule requiring New York City dry cleaners to post signs disclosing the pri mary chemicals used in the dry cleaning process took effect Feb. 11, according to the New York City Department of Envi ronmental Protection (DEP).

About 1,400 drycleaning businesses throughout New York City are now re quired to list the chemicals and a link to information about their potential health effects. DEP developed the new disclo sure rule in consultation with the National Cleaners Association and other groups.

The cost of compliance is minimal or non-existent; dry cleaners simply have to fill out and print the applicable forms from the DEP website (www.nyc.gov/dep) and post it in their business.

“By collaborating with the drycleaning industry, we have developed this com mon sense rule that provides consumers with important public health information at virtually no cost to local businesses,” says DEP Commissioner Carter Strickland. “Over the next several months, we will continue our door-to-door outreach to dry cleaners throughout the five boroughs to help businesses comply with the new dis closure requirements.”

“The National Cl eaners Association (NCA) was pleased to work cooperatively with DEP to develop a strategy for edu cating consumers about the new cleaning solutions being used in the drycleaning in dustry, and we applaud DEP’s investment in developing a consumer-friendly web site to answer that challenge,” says Nora

Nealis, NCA executive director.

Dry cleaners that use perc are required to post an informational sign which pro vides contact information to report odors and other problems. The notice also lists where additional information can be found about the potential health effects of perc exposure.

Some dry cleaners have more recently promoted the use of non-perc chemicals, and these cleaning agents may also have health risks, says the DEP. The new rule will help inform consumers about the use of non-perc chemicals and any potential effects.

Brooklyn officials join Korean Dry Cleaners Assn. in clothing donation

Brooklyn (N.Y.) Borough President Eric Adams and Deputy Brooklyn Borough President Diana Reyna recently joined the Korean Dry Cleaners Association of New York (KDCA) to donate clothing collected from all five boroughs to the New York City Department of Homeless Services (DHS).

DHS Assist ant Commissioner Lisa Black accepted more than 2,000 pieces of unclaimed clothing collected by KDCA members, which will be distributed throughout Brooklyn and New York City to help the homeless stay warm this winter.

KDCA member dry cleaners can serve as drop-off locations for further donations.

“With the freezing temperatures out side, we are especially thankful that the Korean Dry Cleaners Association of New York and the Department of Homeless Services are partnering with Borough Hall

American Drycleaner, March 2014 www.americandrycleaner.com

to clothe those in need with over 2,000 ar ticles of clothing,” says Adams. “Through events such as these, we continue to work to support our city’s homeless population. This shows how important volunteerism, and how one small donation can make a big difference for someone.”

Zengeler Cleaners employees celebrate 40 years of service

Zengeler Cleaners, a family-owned chain of drycleaning stores in Chicago’s northern suburbs, is honoring four of its employees for their 40-plus years of dedi cation and service with the company.

Jul io Garcia-Munoz and Joanne Koutsovitis, who work at the company’s Northbrook headquarters, are joined by two members of the Zengeler family, Robert Zengeler Jr., manager of the North field, Ill., store, and Michael Zengeler, the company’s expert on stain removal, in celebrating this milestone.

“Zengeler Cleaners is very proud of all our employees, especially those who’ve made a career out of their position with our family,” says company President Tom Zengeler. “From our founding in 1857, our family has firmly believed that our employees are our strongest asset. We treat them with the same respect as we want them to treat our best customers. Thanks to this approach, we’ve developed a cul ture of [delivering] consistently superior service—a perfect partnership between our team of dedicated employees, the company and the Zengeler family.”

The company also applauds 21 team members who have been with the company

for at least 20 years: Robert Zengeler Sr., Tom Zengeler, Rachel Wiggins-Kolb, Al yce Kingley, Castula Vergara, Joan Neb el, Mark Morris, Fernanda Estela, Joanne Lapinski, Nancy Brookman, Dennis Ori, Hector Alvarado, Dolores Alcantar, Reyna Toledo-Astudio, Juan Rivera, Jose Gil, Consuela Martinez, William Fisher, Marty Levit, Pat Miller, and Michael Hessing.

“

On behalf of the Zengeler family, we’d like to personally thank all of our dedicated employees, especially those who’ve been with us for such a long time,” adds Tom Zengeler. “We’ve been in busi ness for 157 years because our customers know and trust the professionals they see every time they come into our store. We know our employees are the people who make that happen.” O

Julio Garcia-Munoz (left) and Joanne Koutsovitis (right) are among Zengeler Cleaners employees who are celebrating 40-plus years of service with the company. Not pictured, but also celebrating this milestone, are Robert Zengeler Jr., manager of the company’s Northfield, Ill., store, and Michael Zengeler, the company’s stain removal expert.

2014 RATES: One- to five-time rate: $2.00 per word, boldface $2.10 per word. Minimum charge: $25.00 per ad. Call or write for our three- and 12-time rates. If box number is used, add cost of 5 words. Display classified rates are available on request. All major credit cards are accepted.

PAYMENT FOR CLASSIFIED ADS: Must accompany order. DEADLINE: Ads must be received by the 1st of the preceding month. For example, for a June ad, the closing date is May 1st.

AMERICAN DRYCLEANER BOX NUMBERS:

Most ads contain a phone number, street address or a U.S. Post Office Box number for reply. However, some advertisers choose an American Drycleaner confidential reply number. For these ads, address your reply to the box number printed in the ad, c/o American Drycleaner, 566 W. Lake St., Suite 420, Chicago, IL 60661, or fax replies to 312-361-1685. For more information, please contact us at 312-3611700.

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American Drycleaner is the industry’s premier publication for news relating to drycleaning plants. In it, you’ll find profiles of successful businesses and their owners, tips for running your operation more successfully, expert advice, and much more.

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AmericanDrycleaner.com is your one-click site for all of the most up-to-date information on the industry today. Stories are updated daily to ensure you’re always informed. Plus, online tools such as the Distributors Directory and Buyer’s Guide will fulfill all of your plant’s needs.

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Profit...

Continued from page 64

American Apparel Manufacturers Association (AAMA) recently met with IFI to discuss the issue. Norman Oehlke, IFI’s director of member services, and Betty Moreland, division director of technical services, showed AAMA representatives numerous examples of poorly labeled garments collected at IFI’s analysis laboratory. The AAMA representatives hope to alert manufacturers that inaccurately labeled garments not only affect their business, but also the entire clothing industry.

50 YEARS AGO. A minor investment of $7 for parts and a sign proclaiming “Zipper Service” was all Clarence E. Rose Jr. began with. His Orlando, Fla., business has grown since then, as his zipper repair volume now generates a tidy $75 per month. Because Rose’s Cleaners is the only plant in north-central Florida with this specialty, Rose has received many requests to repair zippers on trousers, dresses and jackets. Among his most memorable repairs—helping a burlesque artist out of her costume when a 3½-foot zipper refused to unzip. … “What kind of image does the drycleaning industry project onto customers?” This, and many other questions, were addressed by the National Institute of Drycleaning (NID) in its Dichter Report on Consumer Attitudes Toward Drycleaning. NID again commissioned the Institute for Motivational Research for its report. Among the many findings include the need for dry cleaners to recapture the image of the “real, good, old-fashioned dry cleaner” viewed by many consumers as a symbol of “personal, concerned service.” The survey

also reveals that “cut-rate” and “quick service” cleaners are viewed negatively by the customer, and that cleaners should develop a “process of education” in selling the true value of drycleaning services. … Sanitone Drycleaning Service has signed Don MacNeill, star of the hit radio show Breakfast Club, for a 15-week period over ABC radio to carry the spring sales message for Sanitone dry cleaners.

75 YEARS AGO. The Michigan State Association of Cleaners & Dyers has much to celebrate at its upcoming annual state convention in Jackson, Mich., as the association is celebrating its 25th anniversary. The site was chosen in honor of Henry Schafer, who resided there, and was president of the association 25 years ago. Preparations are under way to equip the Hayes Hotel ballroom for demonstrations in handling furs and leather goods, as well as for finishing and spotting demonstrations. … Upon completion of the National Association of Dyers & Cleaners’ convention in Dallas, 38 allied tradesmen and their wives left the city to embark on a post-convention tour of Mexico, where a 120-piece band welcomed the group at Mexico City’s Buena Vista Station. Their 10-day stay included various sightseeing opportunities, a chance to watch a bull fighting match, and a colorful show and luncheon in the floating gardens outside Mexico City. … Cleaners from seven states convened this past month to attend the Nebraska-Iowa School of Instruction at Omaha, Neb. More than a convention, the biggest draw for attendees was its educational sessions, which sometimes drew as many as 200 cleaners each during the three-day event. O

— Compiled by Carlo Calma

Unzipping a Healthy Profit

10 YEARS AGO. Spring affords a fresh start for Bowe Textile Cleaning USA Inc. as the company has relocated its headquarters to Charlotte, N.C., to be closer to key markets and other partners of its parent company, Augsburg, Germany-based Bowe Textile Cleaning. The new location is expected to lower operating costs and reduce lead times on new equipment deliveries from the German factory. … Arkansas residents are now paying more to have their slacks pressed as the state’s legislature has extended its sales tax to include services such as boat storage, towing, dry cleaning and laundry. The effort is part of a tax-reform package that boosts the sales tax to 6%, promising to raise about $338 million to cover shortfalls in funding public education. … Leather-Rich Inc. has gone more than 900 days without an accident in its Oconomowoc, Wis., plant, the company reports. In recognition, Northbrook Insurance Associates’ Gerald Rauwald congratulated Leather-Rich President Ron Kantor and his staff with a pizza party. Kantor attributes the safety streak to the space, light and cleanliness of the 40,500-square-foot plant.

25 YEARS AGO. The holiday spirit of giving has rolled into the new year for the International Fabricare Institute

(IFI), as the organization recently donated almost 1,000 pounds of clothing to help the Washington, D.C., homeless keep warm. IFI donated the coats, shirts and pants, which were originally purchased for use in research projects, to the Community for Creative NonViolence. “We recognized that we had the opportunity to help the homeless start this year a little better off than last year and we hope our action will motivate others to contribute,” says Shaun Rose, IFI instructor, who arranged the donation. … Kathy Henslin of Georgetown Clothing Care Centers, Fond du Lac, Wis., has collected 3,128 coats as part of her drycleaning plants’ second annual “Project: Warm” coat drive. In the campaign’s first year, Henslin’s goal was to collect at least 1,500 coats from the city’s population of 36,000. After reaching out to local media outlets and organizations, the town answered with great enthusiasm by donating 4,026 coats. … The problem of inaccurately labeled garments may soon be a thing of the past as representatives of the

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