At this point in our history, Americans own more now than they ever have. With the Holiday season over, people most likely have more stuff now than they did two months ago. Keeping items people don’t really need anymore is one reason 1 in 10 households now rent a self storage unit. Drive down the road in most towns and cities and you’d be hard pressed to not drive by a few storage facilities.
Self storage is used for many reasons and provides millions of people with a place to store their stuff if they are moving, downsizing, getting married, divorced or people who just want to hold onto their belongings but don’t have enough room at their current residence. Although storage units are relatively inexpensive, it still costs people money to store their items on a monthly basis.
In addition to monthly fees, there are certain add-ons a storage company can include to renters such as insurance. Other amenities like boxes, locks, tape and truck rentals can also increase the bottom line. Some of the bigger storage companies even draw customers in with a low monthly rate only to increase the costs significantly after the initial month.
The point is self storage facilities are profitable. A typical customer only believes they will need a storage unit for a month or two yet they end up staying 8 months on average. People tend to be emotional about their belongings when they could most likely go out and buy something new for cheaper. If a customer is storing a couch, chairs, table, bedroom set and a couple of boxes in a 10 x 10 storage unit for 8 months at about $110 per month, that brings in revenue of about $880 without any add-ons. For almost $900 a renter could buy new table and chairs, store the bedroom set and couch in a smaller unit and save money. The good thing for storage operators is renters seldom think in terms of how much it will cost if they are staying for 8 months.
The driving demand and length renters stay are two big reasons self storage owners are staying profitable. Even with the downturn in the economy, many self storage operators stayed above water and are looking good on the way out.
SelfStorageFinders.com provides self storage owners web marketing solutions on a pay per reservation basis. Be sure to check out our SEO Guide for Self Storage Operators to learn how to dominate SERPs in your city.
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