Valley Village Laundromat has diversified into a side business as a U-Haul dealer, a combination that owner Somsak Asawalapsakun admits has no synergy. However, the entrepreneur decided to venture into truck rentals based on one solid business reason: great location. “We are looking to fully utilize our business, and our location has very good exposure to traffic next to a 7-Eleven,” he told the Business Journal. Asawalapsakun said many laundromats have tried to broaden their offerings in recent years, with some featuring mailbox rentals, others check-cashing services and a few convenience stores. “It all depends on the location of the laundromat,” he said. “If it’s convenient for customers, it can work.” The two business will share employees. His U-Haul outlet at 5351 Laurel Canyon Blvd. is open from 2 p.m. to 8 p.m. daily, roughly corresponding to the hours when employees work at the laundromat. Asawalapsakun said so far, the biggest challenge is renters who return the trucks to other U-Haul locations, a common problem throughout the industry. Based in Phoenix, U-Haul has a network of 1,600 company-operated stores plus 18,200 independent dealers, which together generated about $2.8 billion in revenue last year, according to the annual report of parent corporation Amerco. In describing the competitive landscape for self-moving, the report cites “convenience of rental locations” as the top factor. Also, a report published in March by business research firm IBISWorld found the self-moving rental sector has increased in industrywide revenue about 2.9 percent annually since 2011. “Growth in home purchases, which has been accompanied by a greater number of household moves, has expanded demand for industry services,” the report found. “Over the next five years, the industry is poised for stable growth.” Asawalapsakun said typical customers at his Valley Village store are singles or couples without children. “These people are living in surrounding apartments or condos, and they move around a lot,” he noted. “When they see our U-Haul available close to their location, that’s a good opportunity.” – Joel Russell
