n the current market, self-storage renters may be looking for facilities to maximize their storage as they upgrade their homes rather than seeking a way to downsize their house size and cost of living. In fact, 21 percent of self-storage renters in the market have an annual income of $125,000 or higher, and the average income for renters across the U.S. is estimated to be $84,000.

As the incomes of renters increase, so do their wants and needs for expansion of space from life events such as family planning or the undertaking of new hobbies.

While creating exceptional customer service is essential for the experience of renting a unit at a self-storage facility, there are several other factors that come together in order to capture customer conversion and gain retention in this competitive market. By dissecting a real-data survey and obtaining industry insight, here are key components to consider when targeting high-income customers to rent a unit in a self-storage facility.

According to the Self Storage Association’s 2023 Self Storage Demand Study, rentals in self-storage are trending among millennials and Gen Z, totaling up to 32 percent of the entire customer base across the U.S. Older generations, however, have a much higher male customer base, whereas the younger generations cater to both men and women equally.

See Gender Chart.

“High-end people,” says Diane Gibson, owner and president of Cox’s Armored Mini Storage, “I would say they store a lot of their decorations. They might have artwork, if they’re a dealer of some sort. I would say, for the most part, the high-end people might have a business that they have to keep records or something that might be considered high-end, and they could be moving.”

“Almost 40 percent of move-ins report having too much stuff as their reason for storing, especially high-income [customers], who tend to have more toys,” adds M. Anne Ballard, president of marketing, training, and development services for Universal Storage Group. See 2022 U.S. Consumer Self-Storage Market by Future Renters Chart. Respondents of the Demand Study reported using self-storage units for these top items:

• Indoor furniture
• Clothing
• Household supplies
• Kitchenware
• Holiday seasonal items
• Pictures/photos/paintings
• Collectible objects related to hobbies
• Tools
• Outdoor/seasonal furniture
• Major appliances

According to the SSA’s 2023 Demand Study, the majority of self-storage tenants drive fewer than 20 minutes to their units, and almost all renters are content with their travel time to their self-storage unit.

See Travel Times Chart.

With that said, self-storage units are often located in major cities, especially near highly populated intersections and freeways.

When accessing the property, high-income clients appreciate easy accessibility. Elevator access, drive-up access, and drive-up parking are all accessibility features that are predominantly requested by younger renters.

The most common states for self- storage units to be located are Texas, Arizona, California, Florida, and New York.

The utilization of premium features may create a local advantage for self-storage facilities who may encounter fellow competition. In the SSA’s 2023 Demand Study, customers have reported that there are 10 features they are most likely to pay extra for when seeking out self-storage solutions:

• Individual security alarms
• Pest control
• 24/7 access to unit
• Electronic gates at entrance
• Air conditioning
• Emergency call buttons
• Flexible contracts
• Fire sprinklers in unit
• Tools to assist loading/unloading
• Drive-up parking in unit

“All of our facilities offer to pay online, reserve online, rent online, and they can lease online,” says Gibson.

Self-storage facilities can also take advantage of the following technological features to innovate the customer experience:

• Electronic locks
• App access
• Doorbell notifications via cell phone
• Call center accessibility for after hours

Other features, such as the following four amenities, may also create a sustainable lead above other competitors in the region. See 2022 U.S. Consumer Self-Storage Market by Generation Table.

CLIMATE-CONTROLLED UNITS
Designed to protect sensitive, valuable items such as antiques, fine art, and wine collections, this feature will create versatility in terms of the types of items that are able to be stored within the spaces. These units ensure that items remain in pristine condition by regulating temperature and humidity levels.

CUSTOMIZABLE SOLUTIONS
Flexible space options allow customers to adjust their storage needs according to the size and type of their belongings. This flexibility accommodates a variety of special requirements, from seasonal wardrobes to large-scale furniture.

ON-DEMAND SERVICES
Busy, high-net-worth individuals value time-saving options. Regular maintenance services, for instance, can be set up and ensure that stored items remain clean and in good condition.

PROFESSIONAL PARTNERSHIPS
Movers, home organizers, and concierge services can elevate the customer experience. These partnerships allow for seamless integration of services, ensuring that customers have a one-stop solution for all their storage and organizational needs, increasing satisfaction and loyalty.

For those who are leaving their personal belongings in a different location other than an immediate home, privacy and security can easily move to the top of mind. When addressing any security or privacy storage concerns, it’s best for self-storage businesses to take preemptive measures for their customers. “They all have to buy insurance,” says Ballard, “and we have a limitation of value clause in the lease, and the software is encrypted as well.”

One thing to note is that items, regardless of listed value, can’t be given guaranteed security. “We don’t guarantee security for anybody, and that’s pretty much standard throughout the country. We do what we can. We have security cameras. A lot of our sites have gates, access controls, and the managers watch. We do everything that we can, but you can’t 100 percent guarantee that,” says Gibson.

Ballard and Gibson note that there is no specific marketing strategy or channel used only for high-income clientele. The following marketing initiatives, however, have proven to be effective when reaching out to new and existing customers.

EMAIL MARKETING/NEWSLETTERS
Building and maintaining a subscriber list with current and potential customers will allow direct communication to inform of special offers, facility updates, and storage tips. This method will increase the potential of higher conversion rates.

PAY-PER-CLICK (PPC) DIGITAL ADS
These ads can be a highly effective way to drive traffic to your self-storage business and convert potential customers when you utilize high-intent keywords, location-based targets, and compelling ad copy.

COMMUNITY ENGAGEMENT
Sponsoring or participating in local events, such as festivals or farmers markets, will help increase brand awareness and connect with the community in order to deepen relationships. And don’t forget to pass out your facility-branded swag! Even upscale tenants use notepads and writing utensils, and most would likely appreciate unique items such as screen touch gloves, power banks, stylus pens, or other tech gadgets.

LOYALTY PROGRAMS
Long-term renters could be given access special benefits, such as reduced rates or premium features during extended use of the facility.

LOCALLY TARGETED ADS
Use geo-targeted ads to reach potential customers in local areas. Focus on people searching for moving, downsizing, or home renovation services.

REFERRAL PARTNERSHIP PROGRAMS
Partnering with local real estate agents, moving companies, and contractors can help refer customers to the self-storage facility. A referral incentive program may also prove to be valuable in new customer capture, and referrers can be rewarded with discounts, freebies, and other incentives.

To attract high-income self-storage customers, facilities must offer more than just space. Key strategies include premium features like climate-controlled units, customizable solutions, and on-demand services. Convenient access, such as drive-up parking and elevators, is essential.

Partnering with concierge services, organizers, and movers enhances the experience, while technologies like app access and electronic locks appeal to clients seeking convenience and security. By focusing on these elements, self-storage businesses can effectively capture and retain high-income customers in a competitive market.