Prim (YC S13) Does Your Laundry. Pickup, Wash, Fold, Delivery, Awesome
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The point of this is that pizza by the slice is a culture that comes about and continues to exist for historical reasons, namely that Manhattan (in particular) is densely populated and people walk a lot, which has a bunch of other consequences. You can't just replicate that.
Also in NYC we have wash and fold laundromats. I walk five blocks to work and pass four of them on 8th Avenue. They're open 7 days a week (one from 7am-11pm every day). They will pick up your laundry and drop it off or you can drop it off and pick it up yourself.
Typically you pay $0.60-1.00/lb (plus something per load) for this and drop it off in the morning you get it back the same day. There are historical reasons for this but again it survives due to cultural and infrastructure reasons.
So something like this doesn't really work in low density car-dominated locales like the Valley.
I'm a little confused by Prim because ultimately they're just a courier service for clothes that subcontracts the cleaning to local laundromats. Okay...
But I question the demand for this given the economics and different culture.
This also highlights to me the benefits of living high-density as lots of things become possible. Effective public transport for example.
But, think about what happens if this actually works out. Think about the amount of time that will be returned to people, at scale. Think about the amount of capital that will be freed up. Think about the amount of resources that will be more efficiently allocated. Having a washing machine in every household, if you step back, seems more than a little wasteful. Imagine giant uber-laundromats, akin to Amazon's fullfillment centers, that squeeze the last bit of efficiency out of the problem of ingesting dirty clothing on one end and spitting out freshly pressed, super-clean items on the other, and the logistics therein.
It's only a first-world problem because it costs $25 a load, which is absurdly expensive for most families. But what if it were $2.50? $0.25? Free if you watch an ad on your TV? Then it becomes truly disruptive.
Having the ability to do your own laundry (especially with small kids) is pretty basic.
That's not a given without running the numbers. Whole picture statements like these get complicated in a hurry. Manufacturing 1000 small household washing machines creates jobs and so on.
The work to me seems to be such a big factor in this story that all other things being equal you're going to have to make the case either by ignoring a huge number of factors or you're going to have to go by a model that just focuses on the major component of the operation itself (washing).
Household washing machines last quite a long time (10 years or more), are relatively cheap, maintenance free and two steps away from the point of origin of your washing.
Commercial machines are expensive, require frequent maintenance due to increased use, may or may not be more energy efficient and require trucking around washing.
I don't think you can say that the commercial machines are more efficient due to their reduced number because that may not be where the majority of the expense is located.
If you are a freak (like me) - you actually track down a local laundromat, and burn a couple hours on a Saturday Morning doing your laundry to save the company $200, but 95% of business travelers just throw it on the company tab.
My advice to Prim - If they haven't already, reach out to Casto Travel (Typical corporate travel agency) - and every similiarly focussed travel agency, and see if they can get traction with the business travel market. You won't make any friends with the Hotels, but when I see a $250 laundry invoice for a single bag of laundry, I can't help but think that's a market ripe for disruption from below.
Where is your $100 going for getting your laundry done?
Perhaps once you’ve made a lot of money you could afford to optimize for where the need is greatest instead of reliability and fund tech startups tackling problems less familiar to their founders or founders from different backgrounds. This will probably be more risky but greater needs should produce greater rewards, right?
Are founders overly homogeneous?
1. Separate white clothing from non-white clothing. 2. Place white clothing in washer and add soap. 3. Place white clothing in dryer. 4. Place non-white clothing in washer. 5. Remove white clothing from dryer. 6. Place non-white clothing in dryer. 7. Remove non-white clothing from dryer.
That's all they're doing for people besides giving them a little soap. It's about 5 minutes of work, so around $300/hour if they're efficient, assuming one bag per customer. This is a scam YC if I've ever seen it.
It's 5PM on a Wednesday. I need to do the laundry because I have a client meeting tomorrow and they usually look at me funny when I wear crumpled tee shirts that smell kinda funky. I could do one of two things:
1. Work for an hour, generating $100, and spend 20% of that getting someone else to do my laundry. (Plus, I get to drink beer when I'm working at my desk, and I don't get to drink beer at the laundromat.)
2. Do the laundry.
My scenario, since I own a house with a washer and dryer: It's 5PM, I realize I need clean clothes for the next day. I spend 2 minutes gathering them up and putting them in the washer, then go back to my beer, or whatever else I'm working on. An hour later, I spend 60 seconds loading the clean clothes into the dryer. 30 minutes after that, give or take, I spend 5 minutes folding them and putting them away.
No scheduling. No waiting for SMSs and pickups. No giving strangers keys to my home. $25 still in my pocket (and given the time I spent, I paid myself a $180/hr rate in that savings).
But hey, if they can make a business out of it, more power to them. Doesn't hurt my feelings any.
Also, it costs me about $2.50 to do a load of laundry (washer + dryer), which is basically what it costs you (see: http://michaelbluejay.com/electricity/laundry.html). And it's in my building.
So I'm not sure which concept crystalizes this notion for you, but it's not one based in reality.
Because the parent commenter implied it takes an hour of full time work to do laundry, which implies having to go to a laundromat.
But yeah, plenty of apartments in cities have washer/dryers.
Basically, $2/1000 gallons of water & $0.10/kWh for electricity (I did not bother calculating for gas dryers) were the most recent US averages I could find, and that was rounding up (e.g., electricity was actually > $0.09 but < $0.10).
I used this calculator[2], and plugged in appropriate values where I could find most current data.
[1] https://news.ycombinator.com/item?id=6107020 [2] http://michaelbluejay.com/electricity/laundry.html
Even with lowball estimates, my cost for washing is double yours - 30+c/kWh... sigh.
For a single guy (which means probably everything is cotton and colorfast) it's maybe 10 minutes because nobody expects you to actually iron anything. For women (who actually think about their clothes and whose clothes are more complicated in terms of mixed fabrics, special handling) it's still only 25 minutes or so. That's the whole point of having a washing machine, it's a time-saving appliance. If you do go to the laundromat you may not be able to drink a beer, but on the other hand you can kick back and read.
I mean, there's nothing wrong with using a laundry service, which is why most laundromats offer wash and fold. But then again if it's 5pm on a Wednesday you have loads of time to just buy a new t-shirt on the way home from work.
Context switches are expensive. Moreso for some of us than others. Laundry can easily kill an hour of my productivity.
1. Work for an hour, generating $100, and spend 20% of that getting someone else to do my laundry.
I know you're just an entry level freelancer, but $25 is actually 25% of $100.
Let's say he works 8 hours a day for $100/hour. That's $800 a day. For 5 days a week, that's $4000.
Let's say he does 2 laundry a week, that's $50 which is 1.25% of his salary.
No brainer.
rdouble: thanks. I hope I can learn from your "expertise".
Also, there's more to life than money, although I understand how one could become obsessed with it if people making $100+/hour can't afford a place with their own washer/dryer in-unit.
Where is $100 an hour entry level? Wowsers...
So, hypothetical you, how frivolous would you rate this company, when it has just told you that you can probably now afford to send your eldest daughter to any school that will take her?
If you happen to own one of the laundromats that Prim doesn’t want to use you will see a reduction in your business. There is a saving grace for that situation however, you could apply for a job at Prim.
To put it another way: they don't have to create more dirty laundry, they just have to successfully sell people on "You've always thought that poor people use the laundromat, middle class people use their own washer, and rich people have hired servants, but guess what, people just like you can actually outsource laundry without any of the squicky associations you have with hiring domestic help. It's as easy and natural as ordering a pizza."
The problem these guys are going to have is that the quality of third party wholesale laundry is poor, always. Generally, what I see happening is that you have a mom & pop cleaner business who operates for years doing their own stuff. Then they grow / have equipment troubles / retire and bring their kids into the business / etc and move to either a centralized laundry plant model or outsource some or all of the cleaning.
Once that happens, your shirts get lost, buttons get crushed, etc.
So you have a premium service dependent on third parties for service delivery -- who usually suck. Hopefully they'll find a solution to those issues.
I never even though to just outsource to existing laundromats / dry cleaners. Ha!
It also just generally frustrates and disappoints me that so many brilliant young developers and entrepreneurs spend their time fixing textbook first world problems instead of addressing the poverty, disease, crime, and unrest which still plagues the world.
As rising high school senior, I often struggle with this -- the question of whether to get rich any way I can and then make my mark on the world (a la Bill Gates), or whether I should strive for my money-making to also be genuinely (in my opinion/worldview) beneficial for mankind.
After making his fortune, Bill is now working to better the world by using it to power his charitable foundation. If you're really confident then both tasks are within your reach. Don't listen to the nay-sayers who'd rather we all work as volunteers for the Peace Corps
Don't get me wrong. I have tremendous respect for Bill -- I look up to him and give him a LOT of credit for his recent work and humility. But I don't think Bill did "both". He definitely fell squarely into the first limited category: being a ruthless capitalist to get rich, and then trying to figure out how to actually bring some tangible good into the world with that money. (See also Andrew Carnegie)
In any case, I didn't really mean other countries in my comment. There is a great deal of crime, starvation, poverty, and disease in this country.
"Charity starts at home."
It is true developers/entrepreneurs might have more disposable income here in SF than other cities, but we also have a startup for anything you need. I like the ability to pick and choose what I am willing to pay somebody else to do. Startups should make people's life less shity; I'd say Prim accomplishes that.
The former made it so that women no longer had to go to the market once per day. Instead, they could do one week's worth of shopping and store everything in the fridge.
The washing machine made it so that they no longer had to spend hours everyday washing clothes.
With all this free time, they could now start working outside the home. So they joined the workforce.
Bottom line: Do not be so quick to dismiss an idea. Things are often more complicated than they seem on the surface and can make a much bigger impact than you think.
How about restaurants? Why should people eat out when it's cheaper to cook at home?
If founders listen to people like you, nothing will be built.
This is not a case of a new product being upmarket before working its way downmarket. It's a case where something that exists at rock-bottom prices everywhere else is being introduced to the Valley at a premium, because for some crazy reason the SF/Bay hasn't figured out laundry by now.
This feels like a business that solves a Bay Area Problem. The question is how many other geographies are there where there is sufficient demand, insufficient development of local alternatives, and the income level to support this kind of pricing.
I think it's safe to say that this sort of service doesn't stand a stone cold chance in hell in a place like NYC, where laundromats are everywhere, pick-up-drop-off services a dime a dozen, competition fierce, prices low, and being VC-funded with a cool mobile app doesn't earn you many (if any) points.
You find having someone else do your laundry ridiculous. That's fine. I find every dwelling having its own laundry infrastructure similarly silly.
Given that there is already a robust wash-and-fold industry in New York which, to a large degree, already offers delivery, this start-up appears to be doing what tech does best. It has found an existing, de-centralised value chain and is using technology to make it work better.
I'm sure that living in Peoria is a fine choice, but you can't expect the world's startups to cater to you there. And that's OK.
I don't think the commenter was remarking on the lack of personal catering he experiences from SV startup land.
Startups in SV are a subset of startups in the world, and my argument applies to most of them (perspective: I don't live anywhere near SF/SV). Targeting a demo with a need and means makes sense no matter where the company is founded. If Prim had started in NYC or London or Hong Kong, would that change any of the logic here? Or do you think the commenter above would say, "oh, targeting the 20-something tech crowd with too much disposable income is OK, as long as you're not in Silicon Valley"? My point is that it makes perfect sense for Prim to target the demo it does-- nothing to do with SF. That the commenter thinks this is a problem specific to a certain region doesn't affect the argument that it's not a problem at all.
> I don't think the commenter was remarking on the lack of personal catering he experiences from SV startup land.
He's certainly complaining that a certain demographics (which I'm guessing includes him, though I am not sure, and it's not really relevant) don't get catered to by SV startup land. My point is that this isn't a good reason for bitterness.
The original commenter was neither complaining about the world's startups, nor about lack of personal catering.
I suppose I read your comment as far more specific than you intended.
What if you found out that their goal was to reduce the total number of washers, dryers, and irons in the United States? What if washers/dryers/irons are extremely inefficient and that by reaching scale PRIM reduces consumption?
It's a longshot, I know, but try to be a little less negative.
In India, these services already exist but have no mobile platform.
Its really unfair to for anyone on the sidelines to criticize the man in the arena.
Be the change you want to see in the world: if you feel they are solving the wrong problems, go solve the right ones.
Viagra is now used to save lives.
The foldit project proved video gamers can solve complex protein folding problems.
Birth control pills were initially sold to fix first world problems and is now a leading technology in giving women control of their reproductive systems.
Maybe Prim starts here, but none of us know where it will end.
50+ years ago James Lapeyre Senior stepped on a piece of shrimp and saw the shelling come off the meat. He built the first shrimp peeler. As he commoditized the world's shrimp industry making it massively popular among the rich and then scaling it to make it price friendly, he realized that the conveyor belts that fed the shrimp peeler with shrimp were rusting.
He then went on to form a half a billion dollar modular plastic conveyor belt technology that is used by 60,000 clients. Before dying he had about 130 patents in all sorts of areas. The first digital magnetic compass etc...
Startups that make interactions with businesses less anxiety-provoking tend to get my money.
Take Uber for an example: there are Taxis all over SF. But hailing one is intimidating. So I'd rather push a button.
The difference in fees don't matter much to me. I'm paying Bay Area rent, remember! The money I spend on laundry and taxis and food delivery and whatever is basically a rounding error - too small to meter.
Still. $800 over 2.5 years vs $9K over 2.5 yrs.
Or, to be a tad more accurate, $0.76/load vs $25/load.
That's an interesting meter you have.
In the same way that I know I can cook dinner at home for just a few dollars, I still go out to restaurants several times a week and spend $20 or more on a meal. Sometimes I'd juat rather not cook, and I won't really notice the difference in the price, at least not in any long-term sense.
Same's worked with home cleaning. Established dinosaurs aren't moving quickly enough or don't understand what users want in sites/apps in many cases, IMO.
I would expect there to be others in other parts of the city. I could be wrong :)
--edit-- It looks like they've been doing it for 21 years!
I'm rarely home (nor does my apartment or building have machines), the wash & folds close to me are known to lose laundry, and I absolutely don't have time to sit around and wait for my laundry in a laundry mat (you know, startup taking up all my time).
This service is maybe $5 more expensive than taking it to a wash & fold yourself, so it's a no-brainer.
Which means the price might not be sustainable once the venture capital funding runs out, and would have to be raised to cover the company's real expenses.
Think about it:
- Prim is probably paying as much as anyone else would for the laundry services. (Why would a well-rated laundry service give Prim a discount from their usual rates? A laundry business probably has pretty slim margins, and a good one probably can get plenty of customers without offering discounts.)
- Can the extra $5 pay for the cost of the person who is picking up and delivering the laundry (a truck driver probably gets much more than minimum wage), the fuel and maintenance of the trucks, insurance, office space, computers, etc. and still provide profit for Prim?
Do the people running this business know anything about actually washing clothes? What makes you think they could set up and operate a commercial laundry themselves and make a profit doing it? These are a couple of young Stanford grads who originally wanted to do an "in-video advertising platform".
"discounted rental space..."
Why would someone rent them commercial space at a discount?
"and hybrid or electric cars to further cut down costs..."
I don't think cars are economical for doing laundry pickups. How many 20 pound laundry bags can you fit into a car before having to go back to the laundry to drop them off? That would waste a lot of driver time, which is probably much more expensive per hour than gas.
Funny, isn't it?
Look, I applaud anyone out there hustling for business. And in that sense, this is a very interesting small business idea. But I'm not sure how it needs (deserves? earns?) VC funding. It isn't terribly novel (there are 4 or 5 SF competitors listed in the article), there's no barrier to entry and I don't fully understand how $25 can cover all courier/labour costs without it using minimum wage labour.
Yet, somehow people are making the leap that the path leads from from here to replacing all home washers and driers with large, centralized, industrial laundromats, with hybrid electric logistics, all run by solar power? Interesting.
I think this is a tough thing to scale. But I've been wrong before.
And they definitely couldn't be doing something clever to increase profits.
They must not know anything about "actually washing clothes".
I think the SV deadpool is rife with founders who spent too little time thinking about operational costs and margins.
Just sayin'.
I mentioned HCs and ECs as a way to save gas. They can have their own solar charging station, completely becoming independent until Tesla releases an e-truck.
That would depend on how many different pickups/dropoffs the drivers can get per units of time/fuel.
I wonder if it would be cheaper to crowdsource laundry service, like an airbnb for laundry. My washer is unused all day and it would be awesome if I could rent it out. My roommate tends to be at home too during odds times of the day and probably would be willing to do loads if it meant getting paid a nice fee.
My first thought with these services is always "that's cool!". I'll save time, won't have to bother with some boring task etc, no more inconvenience! Same reaction with Instacart. Then I questioned that reaction. The store where I buy all my food is roughly a 100m away from my apartment, and it takes me roughly 10 minutes to get there, buy food and get back. Yet I still find it inconvenient. And after I get rid of that inconvenience, there will be something else that will start to bother me, a smaller inconvenience than the last one, but still bothersome. So where does it stop? I always think of those kids you see around, whose life has been completely removed of all unpleasantness by their overprotective parents, and who are spoiled/irritating beyond belief. Will we all turn into that?
Expanding on that, we probably won't all turn into that in the near future, because the inconvenience that we'll have removed will be taken care of by another human being, who in turn will take on all the unpleasantness. So there will be a class of people who do all of the "boring" work so the top class can "do what they want". It's already long established in things like house-cleaning, gardening etc. And the argument I get into is, why do "we" get to do what we want, and "they" get to do the work we (and in most cases they) find a waste of time. The counter-argument I get is it's a job, people get paid, and people can make any work enjoyable for themselves, even if it's picking up groceries/laundry for others. And I argue that if they can make any work enjoyable for themselves, why the hell don't we make picking up groceries/laundry enjoyable for ourselves? Or is making a boring task enjoyable again reserved for that other class of people, who don't have the means to avoid it?
This is quite a tangent, and I still think it's a cool idea, we're all working on projects which serve to remove pain-points for people, and abstracted away, you could argue my points for any business in the world.
Still, I'd like a start-up that instead of shifting my inconvenience to other people, removes my feeling of inconvenience itself. Once someone teaches me that, I'll be set for life. Maybe we can revive Marcus Aurelius and give him a few million dollars.
You don't need anyone to teach you this, you already know. All you need to do is pay attention.
You'll get unhappy if you think of your trip to the grocery store as an unpleasant thing you need to "get over with" so you can do... what exactly? Laze on the couch? Is that your perfect day? All tasks become pleasant when you put your full attention into them. The suffering only occurs when you wish you were doing something else.
I sometimes think what I'd do if I were a billionaire. I'd buy a huge yacht and fill it with models. And lots of property everywhere. But then maybe I'd spend all my time managing my yacht, my properties, and my portfolio. Hold on, that doesn't sound like fun at all. Maybe I'd hire managers for the yacht and the properties... then I'd spend all my time managing the managers. Doesn't sound like fun either.
Maybe I'd sit on a beach and do nothing. But then I could do that right now. Ta.
http://www.theonion.com/articles/unambitious-loser-with-happ...
A program that instills resiliency into people (a dual n-back for virtue) would change humanity forever. I could see it happening through future versions of the Oculus Rift.
They still have to go home and do their laundry.
Funding and celebrating startups should evaluate the value that is offered to users and to the people who staff the companies. There's a lot of workers who are going to get the shit end of the value proposition here.
a start-up that instead of shifting my inconvenience to other people, removes my feeling of inconvenience itself
I don't think getting a stoic to do your laundry will have the desired effect. I get what you're saying. But this is a matter of right tool for the right job. Marcus Aurelius for figuring out if you should do your own laundry or use Prim. Laundry services for doing the laundry if Marcus says it needs doing.
This kind of dynamic is not with hard to beat I think.
Are you or aren't you describing the whole of non-medical, non-moon landing human technological progress? (Yes, 'progress' is a loaded word, but depending on your perspective, that may be the point.)
Neolithic Rev. onward, it's been specialize, optimize, specialize, optimize. What's Excel do that you can't do with an abacus?
It will probably come down to unbelievable consistency, ease of use / UX and customer service. As long as pricing is reasonable, you can win biz if the aforementioned is awesome. Have you looked into using a provider that uses non-toxic, eco-friendly detergents? Gotta push that hard and can run a premium level for it.
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The one difference is "subtle implementation details."
Another is very slick marketing spin. The people who make the big bucks are not those who invent a new thing. It is those who present it in the right light, as a total seamless solution that solves your problem in an exciting way.
Yes, most good ideas have precedents. I think the value of iPads and Dropbox can be assessed with qualitative and quantitative analysis in meaningful ways. With Prim, however, the subtle details belie a more problematic relationships with users and workers.
Back of the envelope calculations (sorta):
Let's say I have 4 loads of laundry per week--colors, whites, towels, sheets & blanket/comforter. A low-end top-loading washing machine and dryer cost $400 each, new. So, in 12 weeks Prim has cost me more than buying a washing machine already. Average national price from a quick search at the EPA puts water cost at $2/1000 gallons; power is about $0.10/kWh. The cost-per-load at home runs users about $0.76, or $160/yr.
Given that a washer and dryer might run me around $800 (excluding tax) for low-end options, we're looking at around 525 loads to recoup the machine cost, or 131 weeks of laundry (2.5 yrs). In those 131 weeks, we've recouped the machine expense and spent an additional $400 in laundry costs. So, we're $1200 invested into doing our own laundry at home.
Average pricing at laundromats indicate that doing 4 loads will cost me less than the price of an additional load with Prim, or about the price of that additional load when including gas to get to the laundromat if I'm driving myself (which adds maybe $1-2 per week). In those 131 weeks, we're out about $1,965 (using the Prim extra load cost as our expected laundromat cost for 4 loads per week).
Cost with Prim over those 131 weeks? $9,170. $7,970 more than doing laundry at home with a machine the user owns and can take anywhere that allows them their own machine. Or $7,205 more than relying on a laundromat if one doesn't have such a residence.
I can think of a lot of things a user can do with $7-8K that can have a qualitative impact on each user's life. That's no small chunk of change. As another commenter remarked, Prim is betting entirely on users spending (hopefully) disposable income in a way that is of dubious personal and social utility.
Outsourcing such mundane chores for the sake of profit exacts an unbalanced price--users are losing a significant amount of money for which they receive no quantifiable return, and those employed to do their chores are left with mundane work that (hopefully) provides a subsistent standard of living. It is the commodification of chores by questionable assignment of non-deterministic values for which users and workers alike are paying an unreasonably high price.
I'd be very interested in understanding the metrics by which 'great value to users' is assessed and determined by YC, as I recognize this is merely a cash assessment. Moreover, I'd be really interested in determinations of value that incorporate some notion of improving society and people's lives in a qualitative way that isn't solely reliant upon subjective measurements of convenience and relying on statements about how much productivity is lost when doing laundry--which is highly dependent upon a dubious and dismissible premise that laundry is done during typical productive/working hours.
Obviously, if users want to throw $7-8K away on having someone do their laundry for them, and someone stands up to take that money, they're going to do it. But assigning increased convenience by offloading a mundane chore onto another human, who is getting far less out of the deal, as 'great value to the user' feels very wrong.
Moreover, the business costs seem to far outweigh the revenue potential. Assuming that a Prim employee is making minimum wage, it will take about 4 users with 4 loads of laundry per week to pay his/her salary. Or, if it's users who only need a load per week, that's about 12 single-load pickups. I presume Prim covers vehicle/gas costs to make these pickups, or are Prim employees showing up to people's residences (and, gasp, possibly having a key!) with their own vehicles, thus forcing employees to shoulder the transportation costs? If, as a user, I was having Prim do my laundry, the revenue of my 4 loads per week for 2.5 years would only cover about 28 weeks of salary at minimum wage. To stick around for the 2.5 years I need them compared to doing it myself, the employee costs is going to be just shy of $40K, and that doesn't include all the other business expenses. Just to pay one employee, Prim needs about 540 users doing 4 loads per week for 2.5 years, and I'm pretty sure that person is going to be unable to make all the pickups, much less complete all that laundry. Are there really that many people out there who want to overpay a company to complete a chore they can do in their free, non-productive time, to make Prim a viable business?
Disclaimer1: I have laundry running in the background while I'm writing comments on HN. Disclaimer2: I am idealistic. Disclaimer3: You're smarter than I am, undoubtedly know all of this, and are privy to information I am not. Thanks if you read this far. :)
I think it would have been hard for him to do this over a video call or have the same confidence in his diagnosis if he were not able to do these 'tests' even if his diagnosis were the same.
I myself would find it hard to feel comfortable with diagnosis that I receive over a video session. In fact unless the whole pipeline for transmitting sound from one end to the other is very good, the doctor might miss some vital clues. I say this because I once saw him mention a faint whistling sound in my wife's breathing from a few feet away (which we had not noticed until he pointed it out to us). How could he notice something small like that over a video call? How could a patient be confident that the doctors are not missing something like that over the call?
I wouldn't mind receiving consultation regarding legal, financial or technical (Programming?) matters over a video call but I don't see being comfortable receiving medical consultation through a video call.
[Edit: replied to wrong post earlier, deleted that and pasted here]
My parents (suburban middle class family) still use the service to this day.
How do they justify it? The milk is better quality then anything that's mass produced in the grocery store (and my parents still go to the grocery store regularly) and doesn't contain all of the growth hormones. I would argue it is very niche though.
Of course, a $3.00 delivery fee hardly seems extravagant compared to Prim charging ~33x the average cost of completing a load of laundry in one's home.
Any reason they don't just buy organic milk?
*Disclaimer: I've been working on the same model as Prim for a few months and will be launching in a major city in the next few months. The economics are there, even on a small scale. Scaling up is where things get really interesting.
If it's not a laundry robot, I'm horribly unimpressed.
Purple Tie does laundry at $1.69/lb (10 lb minimum, so $16.90 minimum) and also does pick-up at home.
How is this better?
I also notice a similar prejudice among commenters here. Come on people, this is basic economics.
What am I missing?
Why does it need a Y-Combinator backed-startup? Can't wait to see a job posting asking for a "full-stack engineer". This is a typical laundry business: there's hundreds of them everywhere, all "startups" (in the original non-techy sense) who make money. They don't need a Techcrunch article, or any of that hype.
(Obviously YC is smart enough to give this a thought, curious to know what they think)
Current online laundry services are physical laundry spaces, that are leveraging the internet for the area around them. I guess no one has done it at a larger scale yet.
But the question is on the margins and prices. Sending a truck around is no joke and it costs money. You clearly see it because Prim drops USD 10 after the first bag. That is huge (40% discount guys).
How would I go about this? Create a scheduling service. Tell people their price drops if they find other people in the neighborhood. Tell them you make it cheaper if they schedule a day of the week. Reduce the requirement. 1 bag is big for a single person, but maybe half bag no, and what about if you say, ok, if you find another half bag 0.5 km from you we come anyway?
Look at this 2 dimensions: price and quantity. You can reduce price, you can reduce quantity (the half bag), you can reduce both. Then apply these 2 dimensions to a group purchasing model. You get benefits all over the place: incentive for customers to invite other customers, no risk in running on negative margins and better deals with the laundries.
You really can play a lot with this once you look at the real aspect of the problem, which is logistics. I would love to hear your comments on this guys, this is an issue many similar start ups face.
You need to drop it off, and you need to pick it up.
My bag of laundry that I did for $15 ($5 washing Machine, $10 Dryer, on medium - so 1 Hr, would have been $10 if I had used it on High) - would have cost me $60 if they had washed it for me - And I had to both Drop it off, and come pick it up.
There was a very large queue of laundry waiting to be completed.
Prim should immediately look at expanding into Singapore - there is clearly a market for this service - and I have every expectation that something more convenient than having to drive your laundry over to a laundromat would be a big hit - at least with the people who drop their laundry off at Thompson Plaza.
You don't need any VC money to do this....this is like running a baby sitting service....
Is there a path to this where a large home services company is formed as a roll up of all of these types of services? Once the actual services and logistics models are proven and ironed out, it would at least on the surface appear to be many major benefits to a roll up: additional scale economies from logistics / transportation, cross-training and utilization of the service workforce, single platform for payment, cross selling services, and of course your run of the mill shared services among legal, HR, accounting, etc. I think to me the point on cross training and utilization of the service workforce is especially poignant, as these services see a lot of demand volatility, so having multiple service lines help smooth out labor productivity.
This said: Prim is cheaper (like, half the price!), offers a guarantee, and deals with a third party laundromat, which is a good idea for scaling.
Cool.
Curing cancer is great. So is raising children. Exercising. Reading. Etc. But are we saying that a laundry service is only valid if it can be justified with time spent on something wholesome or saintly? Prim sounds quirky in that it's startup-ish, but basically it's a service that does your laundry. Some people don't want to do their own laundry and will pay money to have someone else do it. Simple.
Do people that start a business doing other people's laundry really need to justify themselves?
This is a news story because it has YC's name attached.
The objections and counterarguments, to me, provide valuable insight into what kinds of startups ought to be both celebrated and funded, as well as to gauging wider public reception for a service that is going to have to rely heavily on some significant pickup and economies of scale to not be a wasted investment.
That, and there are plenty of other social, economic, and environmental impacts a service like Prim poses that many, including myself, consider to be of significant concern and worthwhile evaluation in funding and celebrating such a service.
Also, that's really not what puritan means.
I meant puritan in a cultural sense. The kind of impulse that says you should be doing your homework or your chores, not sitting around playing Taki you lazy no good brat.
I find lack of concern for the variegated impacts any business has on social, economic, and environmental dimensions far more problematic than exhibiting and evaluating such concern. At least engaging the concern can allow someone the ability to assess such impacts in determining whether or not to fund and/or celebrate such a service.
I'm not objecting as such, but I do wonder what's novel about it. I suppose making national/international business out of it is quite novel as most operations of this type tend to stay small and local.
Having to spend 2.5 hours on weekends for laundry is a huge time sink for me. By the time I find a washer, find a dryer, and then run a second dry cycle because the first one didn't dry the clothes I've wasted good portion of my day on laundry. I can't leave my complex because then I'd be the neighbor who leaves clothes in the dryer all day. I'll have to checkout Prim!
Are laundry services really a chaotic market? Generally people use the laundry services available where they live (washer/drying in apt./house or in the building/development) or use a laundromat which is usually a local business. The vast majority of laundromats I have been to offer a wash and fold service, although pickup at home is less common.
> Also, you send them a picture of your key and they'll come in and get your laundry. That's both innovative and awesome.
Is this really that innovative? There have been personal cleaning services that will do this kind of thing since forever.
In one instance I had to change the delivery by a few hours since I wasn't going to be home and I got an instant response. Yin Yin personally delivered the washed clothes when I was home.
> I'm thinking of a third robot that interacts with our existing and totally fabulous washing machine and dryer robots instead of a human.
Right now, doing laundry in your own homes, it takes exactly 10 people to do 10 loads of laundry. We can reduce this to one or two people by centralizing all of this work to specialized workers, if not less.
If we go by the goal of fewer people spending less time doing menial labor, this is a clear win.
I think there may be marginal efficiencies over people taking their clothes to a laundromat in some cases. But I've never heard of anybody with washer and dryer at home using a laundry service. Typically they'll just hire a maid to do their laundry if they really need it.
While there are plenty of places that do this kind of thing, none are delivering great service at the scale they're shooting for.
No doubt this isn't the last service they're going to improve via service design.
And yeah, it's a solution to a first world problem that only really occurs to 20 something tech crowd people, but, in the end, there's a market, and they're serving it. Simple as that.
I'm guessing most employers who offer this service have people bring their clothes on site to be picked up (anyone with experience please weigh in). Your angle is to eliminate that piece, so that may be a good selling point.
I hope they fold better than his shirt expresses.
If they're not fussed about wearing clean ironed clothes for a photoshoot why should I trust them with my laundry.
One tangential phrase stood out to me: give them a copy of your key or send a photo of it.
Interesting.
I wonder how the competition with the wash and fold at the corner near me would work?
Not having to walk it over seems pretty nice though...
> We will bend over backgrounds to resolve your concerns.