Commercial Laundries in Australia - Industry Market Research Report

Washed up: Revenue is recovering on the back of rising demand from healthcare markets

The Commercial Laundries industry performed poorly over the five years though 2022-23, due to reduced demand from some markets in response to the COVID-19 pandemic. Government restrictions on businesses and household movements reduced demand from the hospitality and accommodation sectors, while demand from the healthcare sector increased. Healthcare providers and other businesses increasingly outsourced their laundry and linen supply operations to the industry as part of a general trend towards businesses outsourcing their non-core activities. Due to the COVID-19 pandemic, demand from downstream operators decreased over the period. As a result, industry revenue declined at an annualised 2.3% over the five years through 2022-23, to $1.2 billion. However, this decline includes an anticipated increase of 3.6% in the current year, as demand is expected to continue recovering from declines in 2019-20 and 2020-21.

Industry operators provide linen, uniform and other laundering services to businesses such as hotels, hospitals and aged-care facilities. Some industry companies also provide linen and uniform rental services.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry's key players and their market shares.