SWOT Analysis of Lapels Dry-Cleaning Franchise

Lapels Dry Cleaning offers professional dry-cleaning services. Some of its advantages include the use of GreenEarth products considered environmentally friendly. It uses an eco-friendly plant in laundry that distinguishes it from the competitors and attracts customers keen on environmental protection. The strategy raises the level of customer satisfaction by making them involved in the protection of the environment. Besides the use of eco-friendly goods, the company has experienced professionals ensuring customers’ garments are in good hands because of the steps for cleaning different materials. Lapels Dry Cleaning stays true to the wet cleaning process that stresses the avoidance of chemical solvents protecting the clients’ clothing. The factors are crucial to enabling the business to attain a competitive advantage and boosting contentment among the customers. Additionally, Lapels Dry Cleaning offers a 24-hour drop-off service as well as free home delivery service (Blake, 2017). In this way, the organization ensures that the customers not only get notifications for their finished products but they get to pick them at their doorstep. The strategy is a strength since after-sale service is a significant factor that not only creates customer satisfaction but also leads to loyalty (Kindstrom, 2010). Devotion arises from fulfillment with the services the business offers.

Weakness

A significant weakness of the franchise is the inability to keep the employees engaged and motivated. As an interested franchisee, low employee engagement can result in negative revenues towards other franchisees. Dissatisfied workers affect the ability of the company to provide the highest level of customer service, which has negative implications for customer satisfaction. As a result, the internal problem affects the strategic goal of ensuring customer satisfaction.

Opportunities

Technology is gaining more significance in the dry cleaning business. Successful adaptation of technology through the creation of apps is enabling the company to grow. Companies that are employing technology in their business, such as Uber can offer efficient services, ease payments and tracking (Findaro, 2018). The factors are essential to the provision of high-quality services that enable enterprises to achieve greater satisfaction among consumers and build customer loyalty. The provision of more eco-friendly products to meet the concern of the consumers can also contribute to their contentment. As a result, Lapels Dry Cleaning can increase its range of environmentally friendly products to heighten client satisfaction. Lapels Dry Cleaning can continue to give high-quality service to overcome the problem caused by a negative impression of the dry cleaning businesses created by the association of such firms with low-quality service. As a result, franchisors have a strong brand that allows them to earn money ensuring a solid financial foundation (Lapels, n.d).

Threats

Many consumers today are not using dry cleaning services. Casual dress trend in the workplace, changing fabric trends, dynamic care labels as well as home dry-cleaning kits are trends threatening the industry. The problem affects the capability of the businesses to attract customers and achieve the strategic goal of increasing customer satisfaction. Furthermore, competition in the sector is fierce with the presence of established companies and upcoming franchises. The reason is that the barriers to entry in the industry are low. Most businesses sell their services at a low price, but they provide inferior services. The challenge has created a negative image of the sector among customers leading to losing them.

Figure 1.1

Summary of Lapels SWOT Analysis

Strengths (Internal/Execution)

Use of eco-friendly products that contribute to consumer satisfaction

Staying true to the wet cleaning process that protects clients’ garments.

Experienced employees who can give high-quality service securing the contentment of customers.

Free delivery of its products to its customers.

Weaknesses (Internal/Execution)

Low employee engagement and motivation that affects service delivery and gratification of clients.

Opportunities (External/Environment)

Enhance the career development opportunities for employees and consider salary increment to contribute to their motivation.

Utilize technology to offer better services and improve satisfaction among consumers.

Threats (External/Environment)

Low consumer demands for dry cleaning services.

Competition.

Lapels Dry Cleaning has a strategic goal of increasing customer satisfaction to build customer loyalty as a way to increase interest in dry cleaning services, which is declining. The approach will enable it to grow and enhance its profitability.

References

Blake, K. (2017, June). Lapels-dry-cleaning-to-open-in-Beverly-hill. Retrieved from www.theoaklandpress.com: https://www.theoaklandpress.com/news/nation-world-news/lapels-dry-cleaning-to-open-in-beverly-hills/article_1ee46a5b-f24d-52d3-88bb-4a9a098bf8e6.html

Findaro, J., (2018). The Evolution of the Dry Cleaning Industry. Retrieved from https://www.visafranchise.com/the-evolution-of-the-dry-cleaning-industry/.

Kindstrom, D. (2010). Towards a service-based business model–Key aspects for future competitive advantage. European management journal, 28(6), 479-490.

Lapels, (n.d). Why Lapels? Retrieved from http://lapelsdrycleaning.com/the-future-is-green/