New Focus Helps Clean Up Bottom Line

Minneapolis Star Tribune:

Jim Rossman has never been a smoker, which he concedes makes him one of the reasons sales are down at his chain of eight dry-cleaning stores in the Twin Cities area.

Of course, the recession has had much to do with the 14 percent drop in revenue at Anderson Cleaners in the past two years, and so has the growing acceptance of washable casual wear in the workplace.

But the widespread smoking bans in bars, restaurants and job sites have meant “fewer reeking clothes” headed for the dry cleaners to get the smell out, Rossman said.

The upshot: After 10 years of slow to no growth, Anderson Cleaners’ gross began to fall two years ago, from $2.5 million in 2007 to $1.9 million last year. He’s not alone: In the third quarter of 2009 alone, sales reported by Midwest dry cleaners were down 8.4 percent, according to American Drycleaner magazine.

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