DISCUSSION

P&G Looks to Change Dry Cleaning for Good

Written by George Anderson

By George Anderson

It says it right on the home page: the Tide brand has been in American homes for 60 years. Now it's looking to get its own place, which just happens to be a chain of dry cleaning stores.

According to a Bloomberg News report, Procter & Gamble's test of Tide Dry Cleaners has gone well enough that the manufacturer of Tide is now looking to extend the brand's equity through franchises located around the country.

Count Andrew Cherng, founder of Panda Restaurant Group, among those ready to get on board with the concept. Mr. Cherng plans to open around 150 Tide locations over the next four years.

"I wasn't around when McDonald's was taking franchisees," Mr. Cherng told the news service. "I'm not going to miss this one."

P&G first began testing the dry cleaner concept in 2008 and has been refining it ever since.

Michael Stone, co-founder, president and CEO of The Beanstalk Group, said Tide Dry Cleaners starts out with an advantage over the competition.

"One would think consumers would trust a Tide Dry Cleaners because they know P&G is behind it," he told Bloomberg.

P&G is looking to set itself apart from the competition with GreenEarth technology that cleans clothes without the use of environment-damaging solvent. Aside from getting consumers' clothes clean, Tide Dry Cleaners will also offer drive-thrus, a 24-hour drop box, 24-hour lockers, same-day service and alterations. Actual services will vary depending on location. Consumers can also enroll in the Tide Dry Cleaners Rewards program to receive special offers.

Tide Dry Cleaners is not the only franchise concept working for P&G. The company has achieved success with its Mr. Clean Performance Car Wash franchises, which offer adults a free coffee and a place to watch programs on flat-screen TVs while kids run along the 160-foot wash tunnel and shoot soapsuds at vehicles passing through.

Discussion Question: What will Tide Dry Cleaners mean for the brand and the rest of the dry cleaning industry?

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