WASH House

Basic Information

Stock Code
6537
Industry
Services
Category Detail
Lifestyle Services
Prefecture
Miyazaki Prefecture
Establishment Year
November 2001
Listing Year
November 2016
Official Website
https://corporate.wash-house.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Kyokuto, GreenB, VBreak, Creema, Futon Rolling Jiro, Tokai, Shiroyasha

Overview

WASH House is the largest chain operator in Japan's coin laundry industry, founded in 2001, with strengths in its proprietary remote management system and extensive nationwide store network.

Current Situation

WASH House recorded consolidated sales of approximately ¥2.188 billion for the fiscal year ended December 2019, posting operating and net losses but continuing steady store expansion. It has established a management system with 24-hour remote monitoring of all stores by head office staff, successfully reducing franchisee burdens and maintaining service quality. It introduced technology for remote operation of proprietary-spec washing and drying machines developed with Sanyo Electric and NTT Data, improving industry image and operational efficiency. In 2019, it expanded overseas to Thailand and China's Shandong Province. It belongs to the cleaning sector of lifestyle-related services, focusing on differentiation from competitors. Future growth strategies center on further domestic store expansion, entry into overseas growth markets, and industry image refreshment. While specific sustainability disclosures are limited, it continues industry-wide efforts in thorough management and safety enhancements. Medium- to long-term plans include IoT-driven operational efficiency, advertising media utilization, and new revenue model development.

Trivia

Interesting Facts

  • Industry leader in coin laundries with zero closures since 2017.
  • Proprietary 24-hour remote camera management system for all stores.
  • Developed remotely operable washing machines with Sanyo Electric and NTT Data.
  • Built network of over 600 domestic stores in just 15 years since 2001 founding.
  • Founded the National Coin Laundry Management Industry Association.
  • Founder Yasutaka Kodama, former securities firm employee expert in capital strategy.
  • Rare coin laundry operator also running coin parking business.
  • Began overseas expansion in 2019 with local entities in Thailand and China.
  • Franchise system where affiliates provide only capital.
  • Promoting new business model using stores as advertising media.

Hidden Connections

  • Strengthened ties with IT industry via remote monitoring system co-developed with NTT Data.
  • Supported by major shareholders including regional banks and securities firms for management stability.
  • Robust network with nationwide franchise stores forms business foundation.
  • Founder's securities background influences fundraising and growth strategy.
  • Deep Asia ties via joint ventures in China and Thailand.
  • Active regional contributions as sponsor of local TV programs.
  • Innovative franchise model with headquarters handling cleaning and customer service to reduce affiliate burden.

Future Outlook

Growth Drivers

  • Operational efficiency from evolving remote monitoring and management technology.
  • Scale advantages from multi-store expansion.
  • Expanded investment in overseas markets centered on Asia.
  • Revenue diversification via stores as advertising media.
  • Strengthened customer base through regional closeness and high-quality service.
  • Improved user convenience via IoT and AI adoption.
  • Enhanced corporate image through sustainability efforts.
  • Increased flexibility in franchise model.

Strategic Goals

  • Maintain and expand to over 700 domestic stores.
  • Achieve over 10% revenue ratio from overseas business.
  • 100% store operation automation and remote control.
  • Increase store advertising revenue and reach 40% from new businesses.
  • Full adoption of sustainable environmental stores.
  • Maintain high franchisee satisfaction.
  • Elevate brand value through improved industry image.
  • Strengthen competitiveness via additional technology patents.

Business Segments

Store Planning and Operation Support

Overview
Provides planning, operation support, and ICT management services essential for store operations.
Competitiveness
Operational efficiency and service quality maintenance via centralized headquarters management
Customers
  • Franchise stores
  • Real estate management companies
  • Local governments
  • Commercial facility operators
Products
  • Store management system
  • Remote monitoring service
  • Cleaning and maintenance support

Equipment Development and Sales

Overview
Design and sales of equipment jointly developed with Sanyo Electric and NTT Data.
Competitiveness
Proprietary washing machine system enabling remote operation
Customers
  • Store owners
  • Franchise stores
Products
  • Proprietary-spec washing machines and dryers
  • Remote operation equipment

Overseas Business

Overview
Establishes joint ventures in Thailand and China to expand coin laundry business.
Competitiveness
High adaptability from overseas rollout of proven domestic model
Customers
  • Overseas local subsidiaries
  • Local partner companies
Products
  • Local operation systems
  • Technology provision

Competitive Advantage

Strengths

  • Chain operation strength with the most stores in Japan
  • Proprietary patented remote monitoring system
  • Headquarters operational support for franchise stores
  • High-quality customer service provision system
  • Regional closeness centered on provincial cities
  • Strong capital base and stable funding
  • Powerful brand recognition and industry-leading position
  • Operational efficiency via remote equipment management
  • Expansion across diverse sales channels

Competitive Advantages

  • Unified management of operational quality through 24-hour camera monitoring of all stores
  • In-house development of remotely operable washing machine and dryer technology
  • Franchise system where stores provide only capital
  • High store retention rate with zero closures
  • Aggressive overseas expansion as growth strategy
  • Economies of scale and recognition from nationwide presence
  • Industry image improvement via establishment of industry association
  • Revenue diversification by utilizing stores as advertising media
  • Financial stability with approx. ¥12.9 billion in capital

Threats

  • Intensifying competition from new entrants
  • Rising equipment maintenance costs
  • Demand contraction due to population decline in regional markets
  • Reduced consumer spending from economic fluctuations
  • Risk of delays in adopting new technologies
  • Operating hour restrictions from laws and regulations
  • Overseas expansion risks and cultural barriers
  • Franchise store management issues
  • Competition from alternative cleaning services

Innovations

2022: Enhanced Coin Laundry Remote Monitoring Technology

Overview
Updated the washing machine remote operation system jointly developed with Sanyo Electric and NTT Data.
Impact
Achieved operational efficiency improvements and service quality uniformity.

2020: Coin Parking Business Launch

Overview
Launched coin parking business to effectively utilize parking spaces.
Impact
Successfully established a new revenue stream.

2023: Utilizing Coin Laundries as Advertising Media

Overview
Expands in-store advertising to turn stores into advertising media for revenue diversification.
Impact
Successfully created additional revenue sources.

Sustainability

  • Promoting energy-saving equipment in stores
  • Promoting use of environmentally friendly detergents
  • Ongoing regional cleanup activities
  • Improving employee working environment
  • Extending equipment lifespan via IoT
  • Guiding franchise stores on environmental considerations
  • Business efficiency via digitalization
  • Exploring circular business models