Deal or No Deal? How to Make the Right Self Storage Deals for Customers
Everyone loves a good deal, but when one goes awry, things dissolve quickly, especially on the consumer end. As an owner/operator, you want to maximize occupancy at your facility. Meaning at some point, you’ll have to contemplate creating a deal, coupon, or incentive to entice renters. Maybe you’ve offered a discount in the past that backfired horribly, creating more harm than good for your facility and staff.
Make no mistake: today’s self-storage renters are armed with more information and are savvier than ever before. You have little opportunity to fool them, nor should you want to, because they’ll post their personal horror stories (unfounded or not) faster than you can say, “first month’s rent free”.
When done the right way, making deals for your customers benefits both them and your facility, and can be an incredibly effective self-storage marketing tactic, while potentially earning a life-long tenant. Before you get red in the face from haggling with a customer racing you the bottom, read on.
In this post, you’ll learn:
- When to entice customers with a self-storage deal
- When NOT to make a self-storage deal
- Where to find the Linkmedia 360 self-storage team to get help with creating deals to impact self-storage marketing and occupancy
Deal: When to Make a Self-Storage deal for Customers
Before creating an offer that pleases both your customers and occupancy goals, consider these factors:
- Coupons and offers your local competition entices their customers with
- Seasonal occupancy trends
- Gaps in your current unit inventory
- Offers your self-storage facility has previously ran
- Which locations have lagging sales/occupancy
- Your facility’s current occupancy level
- Operational expenses
While we provided numerous considerations to make, it’s better to handle the heavy-lifting early and forecast the strategy ahead of a promotional offer or discount before rollout. That will enable your team the ability to articulate the specifics of a deal to prospective renters with confidence. It’s important to communicate any stipulations of the self-storage deal with your team, so you’re all on the same page. Also indicate the wiggle room that’s acceptable when negotiating with a prospective renter to close out a deal. A keen understanding of your facility’s operational expenses will help you calculate a safe margin for discounting.
Not looking to reinvent the self-storage deal wheel? Use historical data to compare the success of previous offers. If you’re confident an offer will be successful again, you can at least look to your data to justify your assertion.
Keep seasonality trends in your region and across the industry in mind, so the timing of a discount reflects the occupancy needs of your facility. Of course, regardless of the season, lagging sales is a healthy indicator to switch things up.
Use the factors we provided to help narrow the opportunity potential for creating a self-storage deal to entice customers. Offering the right incentive could provide the motivation prospective customers need to dial your number and convert into a renter
No Deal: When Your Facility Shouldn’t Offer a Self-Storage Deal
Knowing when to ‘fold em’ in life is important, and this is especially true concerning self-storage deals. One of the easiest ways to quickly turn a customer into an enemy is by refusing to redeem a discount. Granted, the customer isn’t always right, and there are situations where you or your staff will have to put its foot down. Our friendly tip about articulating the specifics of a self-storage deal come into play here. The savvy customers we mentioned in the beginning? They’re researching how to get the best deals from your facility.
To keep your self-storage staff profitable and ethical when making deals, DON’T do the following:
- Offer a discount in the spring/summer (your busiest seasons)
- Add processing fees without communicating them to the customer
- Bait and switch storage unit pricing to lock in a renter
- Add insurance fees on a unit without communicating it to your customer
- Cave to match the price of a premium unit to a customer because your competition is offering a deal
Your facility will limit its profitability if it offers deals when it doesn’t have to. The self-storage marketing space is competitive, but your facility doesn’t have to race your competition to the lowest price to strike a deal. If you or your staff gets pushback regarding price, communicate both the value and the benefits a specific unit will have for a customer’s belongings. It will help reframe the reason behind why that customer is renting in the first place and could quell tempers by taking that angle, instead of simply matching the price of a competitor’s unit.
Knowing when to walk away from a self-storage deal can be tricky, but understanding the value of your units while communicating them to your customer will help your facility stay profitable in the short and long-term.
The Big Deal: Where to find the Linkmedia 360 Self-Storage team at SSA Orlando 2018
Self-storage marketing changes rapidly, and no one understands that more than our team. We’ll be attending SSA 2018 in Orlando, Florida from March 14th-16th. The team will be discussing emerging opportunities like optimized voice search that will impact marketers both now and for years to come.
Stop by booth 126 during the dates above and visit with us. In addition to showing you real-time examples of voice search, you could be the lucky winner of a Google Home Mini. Not that the sunny skies of SSA Orlando 2018 aren’t incentive enough.
Let’s chat about how your facility is handling making self-storage deals with customers. Is your facility “Kind of a Big Deal” when creating self-storage deals? Or do your offers backfire spectacularly?
We’re happy to lend our expertise and industry insights to guide your way to self-storage deal success, regardless of how you answered the previous question. Learn more about SSA Orlando 2018 here.
Not attending SSA Orlando 2018? Don’t fret. Your facility can still contact us and we’ll be happy to help. And don’t worry, it isn’t a big deal to help your facility out.