The next 30 years of Self Storage

Welcome to the property management blog, our windo into the world of property management.

Carol Shipley of United Stor All was a part of the panel presenting to the opening session at the recent Self Storage Association conference in Las Vegas. The conference celebrated the 30th anniversary of the Self Storage Association. She was asked to make some comments on what the next thirty years might look like.

She was kind enough to allow us to post her notes. As Self Storage becomes more and more accepted as a “sweet” class of property management, you might want to take stock in Carol’s comments.

WHEN I ENTERED THE INDUSTRY IN THE MID-80’S, WE WERE STILL TRYING TO FIGURE OUT EXACTLY WHAT CLASS SELF STORAGE FELL INTO – REAL ESTATE OR RETAIL. MANY OF OUR FACILITIES WERE STILL BUILT IN THAT “FIELD OF DREAMS” WHERE WE ALL BELIEVED IN THE “IF YOU BUILD IT THEY WILL COME” PHILOSOPHY.

BUT WE HAVE ALL HAD TO CHANGE OUR ATTITUDES COMPLETELY. THAT ATTITIDE DID NOT LAST LONG IN SUCH A DYNAMIC INDUSTRY. MANAGERS USED TO BE KNOWN AS “WATCHMEN”, THEIR RESIDENCE CONSIDERED A “WATCHMEN’S QUARTERS”. I’M NOT EXACTLY SURE WHAT A WATCHMAN DID IN THE EARLY DAYS, OTHER THAN WATCH THE RENTERS COME AND GO AND ACT AS SECURITY FOR THE SITE. FOR IN THE BEGINNING, THIS WAS ALL THEY HAD

I CAN REMEMBER VISITING STORAGE FACILITIES WHERE I WOULD WALK IN THE FRONT DOOR AND THERE WOULD BE NO ONE IN THE OFFICE. I’D HERA FROM SOMEWHERE “I’LL BE RIGHT THERE”, AND EVENTUALLY THE WIFE WOULD SAUNTER OUT IN HER UNIFORM OF THE DAY. AND SURE ENOUGH, IF YOU DROPPED BY AT THE END OF THE DAY, YOU COULD SMELL WHAT WAS ON THE MENU FOR DINNER THAT NIGHT.

THINGS HAVE CHANGED A LOT AND THEY WILL CONTINUE TO CHANGE. MANAGEMENT TEAMS ARE STRONGER AND MORE AGGRESSIVE. MANY COMPANIES TODAY ACTUALLY REQUIRE THAT THEIR MANAGERS DRESS IN UNIFORMS AND GO OUT AND BEAT THE BUSHES FOR NEW BUSINESS.

WE HAVE DONE A GOOD JOB OF INCREASING OUR PROFESSIONALISM IN OUR PRODUCT DESIGN AND BY INCORPORATING SERVICES SUCH AS

TRUCK RENTAL, CONFERENCE ROOMS, POST OFFICE BOXES, MOVING SUPPLIES, SHELVING UNITS AND MORE.

BUT OUR MANAGERS OF THE FUTURE WILL NEED TO BE EVEN MORE PROFESSIONAL IN MY OPINION. CUSTOMERS TODAY EXPECT A HIGHER LEVEL OF SERVICE THAN EVER BEFORE – AND THAT WILL CONTINUE TO BE THE CASE IN THE FUTURE. OUR MANAGERS WILL HAVE TO OPERATE MORE LIKE TRAVEL AGENTS, CREATING AN ITINERARY FOR THE CUSTOMER, AND BEING THE CENTRAL POINT FOR ARRANGING PACKING AND MOVING SERVICES, DIRECT SHIPPING PACKING SUPPLIES, SUPERVISING DELIVERY AND PICK-UP OF CUSTOMERS GOODS. THEY WILL BE THE LOGISTICS AGENTS FOR THEIR COMMERCIAL CUSTOMERS WHO USE OUR STORAGE FACILITIES AS A FULFILLMENT CENTER FOR PARTS AND MATERIALS. OUR MANAGERS OF THE FUTURE MUST BE INTERNET SAVVY AS THAT IS WHERE MOST OF THEIR BUSINESS WILL COME FROM.

WE MAY SOON REQUIRE THAT SELF STORAGE MANAGERS HAVE A COLLEGE DEGREE EITHER IN BUSINESS, MARKETING, LOGISTICS OR SYSTEMS MANAGEMENT.

IN THE FUTURE WE WILL NEED TO ENHANCE OUR CURRENT SERVICES TO INCLUDE WIRELESS INTERNET ACCESS IN OUR OFFICES, INTEGRATED OPERATIONS WITH COMPANIES LIKE THE UNITED STATES POST OFFICE AND FEDERAL EXPRESS WHERE WE ARE NOT ONLY

ACCEPTING DELIVERIES AND SUPPLYING P.O. BOXES, BUT OFFERING A FULL LINE OF SERVICES.

TECHNOLOGY HAS FORCED US TO CHANGE THE WAY THAT WE DO BUSINESS NOW, AND WILL CONTINUE TO EFFECT CHANGES UPON US. THE SELF SERVICE KIOSK IS ONE CHANGE THAT WE ARE BEGINNING TO SEE MORE OF. THIS LITTLE AUTOMATED RENTAL MACHINE WILL ALLOW FACILITIES TO OPERATE 24 HOURS/DAY, OR EVEN WITHOUT MANAGERS IN SOME CASES.

WE WILL SEE MORE USE OF BIOMETRICS AND ELECTRONIC ENTRY SYSTEMS AT OUR FACILITIES. EVEN YOU AS THE OWNERS AND OPERATORS WILL BE SUBJECT TO A FINGERPRINT OR RETINAL SCAN TO

GAIN ACCESS TO YOUR OWN SITE!

TODAY WE HAVE WEBSITES THAT ALLOW CUSTOMERS TO PAY THEIR BILLS AND MANAGE THEIR ACCOUNTS, AND EVEN RESERVE OR RENT UNITS. IN THE FUTURE THEY WILL DO ALL THIS AND MORE: LOG INTO A WEB CAM THAT ALLOWS THEM TO “PAN AND SCAN” THE CONTENTS OF THEIR OWN UNIT; SEND IN AN AUTOMATED REQUEST FOR DELIVERY OF ITEMS FROM THEIR UNIT; CONTROL THE INVENTORY OF THEIR UNIT WITHOUT EVER SETTING FOOT INSIDE THE STORAGE OFFICE. THIS MEANS CONTINUED CHANGES FOR THE WAY THAT WE DO BUSINESS!

HOW WILL OUR MARKETING PROGRAMS DIFFER IN THE FUTURE? WE HAVE GONE FROM LITTLE TO NO MARKETING, TO A COMMUNITY AND LOCAL MARKET FOCUS IN MOST CASES. I THINK WE WILL ALL HAVE TO RAISE OUR LEVEL OF THINKING TO MORE GLOBAL MARKETING, AND WILL HAVE TO BE PREPARED FOR THINGS LIKE COMPUTER BASED LOGISTIC AND FULFILLMENT BUSINESSES TO OPERATE OUT OF OUR FACILITIES. THIS MEANS MORE AGGRESSIVE AND PROFESSIONAL MARKETING OF NOT JUST YOUR STORAGE FACILITY, BUT YOUR INCREASED SERVICE PROGRAMS FOR YOUR CUSTOMERS.

OUR YELLOW PAGES WILL BE A THING OF THE PAST IN 20 YEARS AND WE WILL HAVE TO FIND NEW WAYS TO REACH OUR CUSTOMERS – MUCH OF WHICH WILL BE VIA THE INTERNET.

OUR SIGNAGE WILL BECOME MORE DYNAMIC AS WE SEEK WAYS TO COMMUNICATE OUR NEW SERVICES TO PROSPECTIVE CUSTOMERS – LIKE USING PLASMA SCREENS TO SHOW VIDEOS OF THE USES FOR OUR PRODUCT.

BUT HERE’S A QUESTION FOR YOU – WHAT WILL WE BE CALLED? WE HAVE ALREADY GONE FROM AMERICAN MINI WAREHOUSE TO MINI-STORAGE TO SELF SERVICE STORAGE TO SELF STORAGE – WHAT’S NEXT? CYBERSTORAGE? MICROSTORAGE? OUTERSPACE STORAGE?

OR MAYBE WE’LL ALL BE KNOWN AS PUBLIC STORAGE OR EXTRA SPACE STORAGE?

WHO KNOWS WHAT OUR ARE NAMES WILL BE. I’M RATHER PARTIAL TO UNITED STOR ALL RIGHT NOW.

ONE THING WE CAN ALL COUNT ON IS THAT THINGS ARE GOING TO CHANGE.

THE BIG QUESTION IS, WILL THERE STILL BE A PLACE FOR US? — FOR THE MORE TRADITIONAL, DRIVE-UP STORAGE UNIT? ABSOLUTELY.

WE RECENTLY PURCHASED A FACILITY IN FLORIDA THAT STILL HAS CHAIN LINK FENCING AS UNIT WALLS. I HAVE VOTED TO NOT CHANGE A THING AT THAT FACILITY, AS THERE’S SOMETHING TO BE SAID FOR DOING THINGS THE OLD FASHIONED WAY, AND IT IS A COMFORTING FEELING TO KNOW THAT WE ARE IN A BUSINESS THAT

COMES IN MANY SHAPES, SIZES AND COLORS THAT ALL SEEM TO WORK.

-Carol Shipley

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