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29 Jul 2024

The Technological Lag in the Self-Storage Industry: Myths and Misconceptions

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Mason Shaw

American Storage South & KISS Solutions

The self-storage industry has long been a staple of American life, providing a solution for individuals and businesses needing extra space. However, unlike other asset classes, such as hospitality and travel, the self-storage industry has been slow to adopt technological advancements. This reluctance to modernize is often justified by outdated assumptions about tenant demographics and expectations.

The Technological Landscape in Hospitality and Travel

To understand the gap, it is essential to look at the technological advancements in the hospitality and travel sectors. These industries have embraced technology to enhance customer experience, streamline operations, and increase profitability. From mobile check-ins and keyless room entry in hotels and Airbnb to sophisticated booking systems and personalized travel recommendations, technology has revolutionized these fields.

Key Technological Advancements:

  1. Mobile Apps and Online Booking: Most hotels and travel agencies offer user-friendly mobile apps that allow customers to book rooms or flights, check in, and access services seamlessly.
  2. Artificial Intelligence: AI is used for personalized customer service, chatbots, and data analysis to improve offerings.
  3. IoT (Internet of Things): Smart rooms with automated lighting, temperature control, and entertainment systems are becoming standard.
  4. Contactless Payments: Facilitating quick and safe transactions without the necessity of a support staff to intervene.

Self-Storage: A Technological Laggard

In contrast, the self-storage industry needs to adopt similar technologies faster. Many facilities still rely on manual booking, billing, and customer service processes. The reasons often cited for this lag include the perceived simplicity of the service, cost concerns, and a belief that the typical self-storage customer does not demand or require high-tech solutions.

Common Technological Shortcomings:

  1. Manual Booking Systems: Many facilities still use manual entry systems, on-site managers, and some still have yet to convert to e-leasing agreements.
  2. Limited Online Presence: While there has been a shift to self-storage utilizing comprehensive websites with online move-ins, mobile apps are becoming the current strategy for these consumer behaviors, and self-storage operators are still hesitant to invest in mobile applications.
  3. Traditional Security Systems: Outdated surveillance and access control systems.
  4. Inefficient Communication Channels: Reliance on phone calls and in-person interactions rather than digital communications.

Demographics and Expectations: Debunking Myths

One of the primary reasons for the technological stagnation in the self-storage industry is the misconception about tenant demographics and expectations. It is often believed that the typical self-storage customer is not tech-savvy and does not use smartphones, mobile apps, or subscription-based services. However, this belief is increasingly unfounded.

Evolving Tenant Demographics:

  1. Increased Smartphone Usage: According to the Pew Research Center, 85% of American adults own a smartphone. This includes a significant portion of the population that uses self-storage.
  2. Millennial and Gen Z Customers: These younger generations are accustomed to digital interactions and expect seamless online experiences.
  3. Rise of Remote Work: The pandemic has accelerated the shift towards remote work, increasing the need for self-storage as people reorganize their living and working spaces.

Changing Expectations:

  1. Convenience and Accessibility: Modern customers expect to be able to book, pay, and manage their storage units online or through custom mobile applications.
  2. Enhanced Security: With increasing digital security awareness, tenants prefer facilities that offer advanced surveillance and access control systems.
  3. Subscription-Based Services: There is a growing preference for subscription models that offer flexibility and ease of use, much like other services they are accustomed to, such as streaming platforms and meal delivery services.

The Pandemic’s Impact: A Catalyst for Change

The COVID-19 pandemic has further highlighted the need for technological advancements in the self-storage industry. With social distancing measures and heightened concerns about health and safety, customers are more inclined to use contactless and digital solutions. The pandemic has also driven home the importance of agility and adaptability in business operations.

Pandemic-Driven Changes:

  1. Contactless Rentals: The demand for no-contact rentals and digital lease agreements has surged.
  2. Remote Customer Service: The need for robust online customer service platforms, including chatbots and virtual assistants, has become evident.
  3. Digital Marketing: With reduced foot traffic,online marketing and digital presence have become crucial for attracting and retaining customers.

Moving Forward: Embracing Technology in Self-Storage

The self-storage industry must prioritize adopting technology to bridge the technological gap and meet modern tenant expectations. This involves updating existing systems and rethinking the overall customer experience.

Steps Towards Modernization:

  1. Mobile Apps: Invest in user-friendly mobile applications that allow easy booking, payments, and unit management.
  2. Invest in IoT: Implement smart security systems, remote management systems, climate control, and other IoT solutions to enhance facility management and customer experience.
  3. Upgrade Online Platforms: Ensure websites are optimized for search engines, mobile-friendly, and offer comprehensive online services.
  4. Leverage Data Analytics: Use data analytics to understand customer behavior, optimize pricing strategies, and improve service offerings.
  5. Enhance Access Control: Invest in keyless entry solutions to avoid unnecessary physical maintenance and have peace of mind through digital reporting on all assets.

The self-storage industry’s reluctance to embrace technology is rooted in outdated tenant demographics and expectations assumptions. However, the reality is that modern customers, influenced by technological advancements in other sectors and the shift in lifestyle brought about by the pandemic, are ready for a more digitized self-storage experience. By acknowledging and adapting to these changes, the self-storage industry can enhance customer satisfaction, streamline operations, and remain competitive in an increasingly digital world.


Mason Shaw is the Operations Manager for American Storage South, which owns facilities in the surrounding Charlotte area. In addition, she is the Product and Sales Manager for KISS Solutions. A software solutions company she helped co-found with Robert Kapp, Owner of American Storage South. KISS Solutions offers automation and technology platforms to help run the daily operations of self-storage facilities. For more information about KISS Solutions, email team@kisssolutionsusa.com . To reach out to Mason, email her at mason@kisssolutionsusa.com

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