April 30, 2015 // Franchising.com // GREENBELT, Md. – ZIPS Dry Cleaners has signed a franchise development agreement with ZDC Holdings for the development of 104 stores throughout the Mid-Atlantic and Midwest. The agreement marks the largest deal to date for the nearly 20-year-old brand known for its same-day, one price business model.
“We were drawn to ZIPS because of its proven business model based on a concept revolutionary to the industry and clearly in high demand to today's dry cleaning customer – dry cleaning that is ready for pick-up the same day it's dropped off and all for a flat-rate price,” said Lev Davidson, Operating Principal of ZDC Holdings. “We look forward to bringing the brand’s one-of-a-kind services to new parts of the country and becoming the place where residents, families and professionals alike come for their dry cleaning needs.”
Davidson projects their first stores will likely open this quarter.
“We are thrilled to enter into this relationship,” said Aaron Goldberg, Vice President of Franchise Development for ZIPS Dry Cleaners. “We are at the beginning stages of what is going to be very exciting growth and development over the next several years, and signing an agreement of this size proves our ability to attract the highest level of sophisticated developers into the ZIPS Franchise system.”
ZIPS’ success lies in its one-price model. A customer can have any item of clothing dry cleaned for $1.99. It doesn’t matter if the item is a necktie, a wedding dress or a pair of pants, the price is $1.99, three times less expensive than the industry average. Garments are cleaned on-site, allowing for same-day service.
According to Davidson, ZIPS’ environmentally friendly process also contributed to their decision to sign the development agreement. “In an industry that often coincides with negative sentiments in regards to eco-friendliness, ZIPS Dry Cleaners strives to become a leader with sustained efforts to minimize harm on the environment through technology and strict standards,” he added, noting that ZIPS creates 90 percent less waste than most operations. “We want to go above and beyond the basic standard of the industry. We want to be the leaders in efficient, technological and eco-friendly dry cleaning.”
To augment the company’s growth, ZIPS is actively seeking multi-unit franchisees interested in joining a brand with almost no competition and “green” field territories. Goldberg estimates there will be 50 ZIPS Dry Cleaners open and operating by the end of 2015 and as many as 80 by 2017. The growth will likely stay on the East Coast, but will push outside of the current footprint in the Mid-Atlantic region.
For more information, please visit www.321zips.com.
Founded in 1996 and franchising since 2006, ZIPS Dry Cleaners’ successful business model is based on a concept revolutionary to the industry and clearly in high demand to today's dry cleaning customer – dry cleaning that is ready for pick-up the same day it's dropped off and all for a flat-rate price of $1.99. Headquartered in Greenbelt, MD, ZIPS operates 40 stores in the Mid-Atlantic region. For more information, visit www.321zips.com.
SOURCE ZIPS Dry Cleaners