It is tempting to look at Japan or the United States and assume Australia will follow the same path. There are useful lessons there—but copying conclusions can be dangerous.

Japan shows why coin laundries can grow even when households have access to washing machines. Time-poor households, apartment living, large bedding, allergy concerns and the need for fast drying have all supported the market. Japanese operators have also expanded beyond a basic wash-and-dry offer, with better spaces, specialist machines and co-located services.

The United States shows a different lesson: as the market matures, scale matters. Larger operators build systems around equipment servicing, technology, data and multi-site management. The strongest businesses are not simply machine owners; they are operators with repeatable processes.

Australia, however, has its own housing pattern. In the 2021 Census, about 70% of dwellings were separate houses and 16% were apartments. That means a national “one model fits all” approach is unlikely to work. A dense inner-Sydney site, a suburban family site and a regional site may each need a completely different reason for customers to visit.

The good news is that Australia still has room for well-positioned stores. The bad news is that overseas growth stories can make weak local sites look more attractive than they are.

The lesson is not “copy Japan” or “copy America.” It is: understand exactly why a customer in this catchment will choose your site.

Sources: Japan Small Business Agency guide, ABS Housing Census, Alliance Laundry Systems filing