CROSS Training – Components of Revenue Optimization for Self Storage

Below is an on-going project I have developed over many years in the Self Storage business. The principles outlined have served me very well in this industry throughout the years and I have decided to make them available to the public. Many of these principles are already widely in use as I have trained others on these methods and they have been adopted by many other organizations in one form or another from private facilities to national REITs.

Components of Revenue Optimization for Self Storage

 

       Introduction                                                         2                        

       Components                                                       3

       Occupancy                                                         5

       Rate Management                                             8

       Rent Increases                                                   11

       Putting It All Together                                        15

       Appendix                                                         16

 

 

 

 

 

 

 

 

 

 

 

 

 

A Business Management Success Program by Monty Rainey – www.montyrainey.com

© 2005 All Rights Reserved

 

 

 

 

 

 

 

 

 

Introduction

 

The business world lives and dies by the spreadsheet. Each year, projections are made on how a business will perform in the coming year. Stock prices rise and fall based on a business over or under performing those projections. CEO’s, RVP’s, District Managers and Store Managers are evaluated on their performance based largely on their ability to meet or exceed those projections. Like it or not, budget projections are the major metric used to measure business success.

When a company, region, district or individual store falls short of projections, we start looking for unforeseen circumstances to pin the shortfall on. Economic conditions, market changes or new competition are used to lessen the culpability of falling short of budget expectations. Certainly in business, there will always be situations where these unforeseen circumstances are legitimate, but through revenue optimization, these extenuating circumstances can be minimized or even overcome.

CROSS Training – Components of Revenue Optimization for Self Storage – is designed to help you meet or exceed budget projections through the proper utilization of the various components of revenue management.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

COMPONENTS

“A good engineer thinks in reverse and asks himself about the consequences

of the components and systems he proposes.” ~ Helmut Jahn

 

 

Spreadsheets are necessary tools for any type of business. Spreadsheets are report cards to tell us where our business has been as well as projections for where we believe our business is going. The formula is simple:

            Gross Income

 –    Expenses

= Net Income

 

With increasing Net Operating Income (NOI) as the goal, the formula for success is equally simple; either increase Gross Operating Income (GOI), lower expenses, or both. Often the primary focus is on lowering expenses. Every business wants to “trim the fat” by keeping payroll down, eliminating overtime, and reducing other operating expenses. The problem with lowering expenses is that there is only so much that can be cut or reduced from a budget. Running any business costs money. You can certainly do things to minimize those expenses, but controlling expenses is a lot like controlling your weight. While you don’t want to be carrying around unnecessary weight and sometimes going on a diet is critical to maintaining good health, you can also overdo a diet. Reducing weight too much can eventually become just as unhealthy as being overweight.

 

You certainly want to find and maintain your best “fighting weight” when it comes to expenses, but if you really want to make the most of your NOI you’re going to need to find ways to maximize income. That comes through the proper management of the components of revenue optimization.

 

As noted architect Helmut Jahn suggests, if our goal is to increase Net Operating Income, we must take a look back at the contributing factors. Since we are already taking the necessary steps to keep expenses in check, that leaves us with increasing revenue as our best option for maximum revenue.

 

Many industries have the ability to increase revenue by introducing new products or services. Unfortunately self storage isn’t one of those industries. Let’s face it, since the introduction of Climate Controlled spaces, the self storage industry remains virtually unchanged. Ours is a business sector that does not readily lend itself to innovation of a dramatic scale. We may be innovative about business process, but the end product remains virtually the same. A 10×10 space at your property is identical as a 10×10 at a competitor’s location. While it is true that you can see moderate increases through the addition of truck rentals, insurance enrollment or increased merchandise sales, for the most part if you want to increase topline revenue you have to do so in other ways. For self storage, the primary means of increasing revenue must come through the components of revenue optimization.

 

There are really only three primary components of revenue optimization – increased occupancy, rate management and rent increases. Think of these three components as a three-legged stool. If one leg is removed, the stool will topple and maximum optimization becomes impossible. While focusing on any one of these three components may help to improve revenue and enhance your bottom line, each of these components should be built upon equally, creating a balanced approach, if you want to get the most out of each of your store locations. Before we look at each component individually it’s critical to consider mindset and where you really want to be in your market. When it comes to things like raising rates and sending out rent increases, fear can become a major factor and one that must be contained. To truly maximize revenue potential takes courage and tough decisions from the leadership positions.

 

Everyone wants to be a market leader. Becoming a market leader takes a lot of effort. It means you must be willing to work harder than your competitors. It means you have to train your people to be better business managers. It means you have to commit to maintaining your properties for cleanliness and overall condition. These and a host of other issues come into play if you want to maximize revenue. If you’re going to ask customers to pay you more than they might pay a competitor, there must be a compelling reason behind it.

 

There may only be three main components of revenue optimization for self storage, but truly effective revenue optimization means committing to being the best in the industry in every area. If you want to be the best – the market leader – these secondary issues must also play a major part in your overall business plan.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OCCUPANCY

 

In my years in self storage, I’ve found a lot of people that want their properties to be 100% occupied. This is flawed thinking, at least in the long term. While there may be short term situations where your properties will reach 100% occupancy such as hurricanes or other natural disasters, college students storing for the summer or some other short term seasonal rush, maintaining occupancy that approaches 100% can be damaging to the long term revenue opportunities of your business.

 

Let’s look at other industries for a moment. Suppose near your home, there is an intersection with two competing convenience stores – one of which you frequent most often. Suppose you ran down to the store to pick up milk and they were out of the 2% milk you usually buy, forcing you to either purchase what you don’t want or go across the street to their competitor. A few days later you stop in for eggs only to find they are sold out of eggs as well. Once again, you visit their competitor. Then you stop again to fill up the car with gas only to find their tanks are empty. Once again, you go across the street to the competitor. At some point along the way, you will replace your convenience store of choice with the competitor. Your favorite convenience store could not meet your needs and has now lost you as a loyal customer.

 

The same is true in our business. If we can’t meet a customer’s needs they will go elsewhere. Now all of the money we have spent on marketing to get that customer through our door in the first place is all for naught. To make things even worse, for as hard as we worked to get that customer to come to us for their needs, we will now have to work twice as hard to ever regain their business.

 

I want you to begin thinking about each specific storage space type as a product on a shelf. For example, you may have 5×10 dry spaces with drive up doors, 5×10 dry spaces in a hallway, and 5×10 climate controlled spaces. These would be 3 different products and in a perfect world you should always have 1 or 2 of each type available so you never have to risk losing a potential customer because you don’t have what they need or want. If they find your shelves empty you run the risk of losing them to a competitor.

 

This may sound counter-productive to you and in the short term, it may be, and there will hopefully be times when you do run out of a specific space type for a short period, but in the long term, always having one or two spaces of each type available will improve your bottom line because you won’t be losing potential customers because you were unable to meet their needs. Once you gain a customer, you potentially gain a customer for life. The same thing applies when you lose one.

 

When I discuss this principle I am often asked, “Then what is the perfect occupancy for my store?” The answer varies depending on the unit mix. Suppose you have a facility with 500 total spaces and 25 different space types. In a perfect world if you had 1 or 2 of each type available to rent, you would have 25 – 50 spaces available at all times and your optimum occupancy would be between 90 – 95%. Of course there will be exceptions to this as well. In the example I gave above with the three different types of 5×10 spaces, you might get by for a short time with only 5×10 dry spaces in a hallway or you may be able to up-sell a few customers to climate controlled spaces, but sooner or later you are likely to lose a rental (or multiple rentals) because you don’t have what the customer wants.

 

There might be other factors that come into play as well. For example, even though a 10×20 and 20×10 may be different types, they are essentially the same space just with a different layout. If the customer is looking for 200 square feet of storage, you can meet their needs with either space.

 

So if the optimum occupancy for a property is in the 90 – 95% range, how do you go about maintaining that level of occupancy? Remember earlier when I said occupancy is one of the three main components of revenue optimization and how each component must work together for a storage facility to maximize revenue? This is where occupancy ties into the other two components; rate management and rent increases.

 

Occupancy is going to have a large bearing on how you set your rates and how aggressive you are with rent increases. Your percentage of occupancy should be in direct proportion to market rates. If occupancy is low, rates should be low when compared to competitor’s rates and you will want to be very conservative with sending rent increases. When occupancy is high, rates should be higher than your competitors and now is the time to be more aggressive with rental increases.

 

There will almost always be situations where a property’s unit mix is out of proportion with its market. For example, you may have a property with 20 different types and have one or two spaces available for each type but one. That one type, let’s say 5×5 dry spaces, were overbuilt for the market and you have 40 total 5×5’s and 20 available to rent. Being only 50% on that space type you will want to adjust your rates down to be competitive and will not want to send out rent increases to any of your existing 5×5 customers. That is assuming converting some of these spaces to another size is not an option.

 

But before we begin lowering rates on those available 5×5’s we need to consider two other things – demand and capture rate. Is there good demand on that space type and what kind of success have you had at the current rate? If your demand tracking shows that over the past 60 days 10 customers inquired about a 5×5 space and you only rented to 3 of them, obviously your rate is too high for the market. On the other hand, if you have rented to 8 of those 10 customers, you may be positioned exactly where you want to be. If you rented to 9 or 10 of those same 10 customers, you should consider raising rates as you are likely leaving money on the table. In most cases I consider a capture rate of 70 – 90% as correctly positioned. This allows for those customers who are “just looking” or who may not be ready for storage but will come back and rent later.

 

Low occupancy = low rates, which in turn means few opportunities for rent increases.

High occupancy = high rates, which in turn means ample opportunities for rent increases.

 

While the primary focus here is on the overall occupancy of a facility, don’t forget to look for exceptions. A facility may only be operating at 70% occupancy but may be 100% occupied on 10×10 dry spaces. While that means it is probably time to look at lower rates on all other sizes and avoiding rent increases, for your 10×10 spaces you will want to be leading the market on price and considering 10×10 customers for rent increases.

 

We will examine how this all works together in much greater detail in rate management and rent increases.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RATE MANAGEMENT

 

 

The second component of revenue optimization for self storage is rate management. Sam Walton built an empire on low prices and while that might be great for Walmart, it’s probably not so great for your self storage facilities.

 

Being correctly positioned on prices is critical to the overall success of any business and self storage is no different. Back in the day – when the Yellow Pages were the primary source for marketing – I once saw an independent operator place what had to be a very expensive full-page ad complete with sizes AND PRICES! The day the ad came out, that operator was locked in to those prices. What a critical mistake that was.

 

Here is a simple truth in self storage; if prices are too high – occupancy will suffer; if prices are too low – you’re leaving much needed profits on the table. Maybe “once upon a time” it was acceptable to have stated rates locked in for a year or more, but with today’s technology it is imperative that you react to the market quickly if you want to maximize revenue.

 

Every self storage facility is really a micro-market of its own and effective rate management is all about finding what your market will bear. While you may have a facility in one demographic where there exists the ability to lead the market, a facility across town with a different demographic may be entirely different. Taking time to learn the intricacies will pay off with big results in the long term.

 

How do we determine what our market will bear? One way; and a word of I caution here – this is probably not a very accurate measure of what your market will bear, but a good starting point; is to gather competitor rates. The reason why I say this is probably not a very accurate measure of what your market will bear is because people (i.e. competitors) tend to panic and panic is often followed by the over-reaction of lowering rates. Where there may be situations where lowering rates is warranted, there are also times when – if you will stay the course – your competitors may gather some “low hanging fruit” but you will reap a bountiful harvest.

 

Here’s an example of what I’m talking about. I had two stores in a college town. Each year we reached 100% occupancy when college would let out. There simply wasn’t enough storage available in town to meet demand, but building more storage for a 3 month rental season just wasn’t prudent. Each year, building up to the college rush in May, competitors would begin to panic and would lower rates. It was like a chain reaction – one store would drop their rates and this would drive down rates all over town. My store managers would react to it and beg me to let them lower rates. I knew, no matter how low rates went, there still wasn’t enough storage space to meet the demand, so each year we would stay the course. Everyone else in town may have reached 100% occupancy a week before we did, but we were easily gathering 20 – 30% higher rates than our competitors.

 

Let’s look at some examples for making sound rate management decisions.

 

Size

Total

Available

Occupancy

Rate

Comp 1

Comp 2

Comp 3

Comp 4

5×5

20

2

90%

$32

$25

$30

$35

$40

 

In this example, you have your 5×5 spaces priced mid-range of your four closest competitors. Let’s say we’ve maintained this rate for the past 60 days and our demand tracking shows we have had 10 inquiries for 5×5’s and have rented to 6 of those inquires for a 60% capture rate. While that capture rate is low, you only have 2 spaces available to rent and 2 of your competitors are charging higher rates than you. If you keep the current rate of $32, you will be losing money on those last two spaces. In this case, a $5 increase to $37 is well warranted. You’re still $3 below your highest priced competitor but have increased revenue potential on those two spaces by more than 15%. Raising your current rate on this space type will also have a bearing on rent increases but we’ll address that later.

 

A quick word here about setting rates – market studies indicate customers are more apt to purchase specific prices. Your rates should always end in $4, $7, or $9. Don’t ask me why, but customers tend to like those numbers better. Enter a little thing known as pricing psychology. According to numerous pricing psychology studies, prices that end in 0, 1, 5 or 6 are absolute poison to consumers. A most common pricing mistake is ending your price in 0 or 5 because it’s just ‘easier’ to work with these number, when in fact 0 and 5 are the most common price barriers. Consumers most often place one of these numbers on a mental barrier they consider “too high”. Subconsciously a consumer may think paying $50 for a specific item is too high but would be willing to pay $49.99.

 

It’s also worth noting that a variety of internet based pricing studies have found that when 3 different prices are offered for the same item – one high, one medium and one low – the high and low prices both outsell the medium price by more than 4 to 1. That’s certainly something to keep in mind when comparing competitor prices.

 

Also, because we read numbers from left to right, we encode a price like $7.99 as $7 – especially if we read too quickly. It’s called “left-digit effect”: “We encode it in our minds before we read all the digits,” says Vicki Morwitz, Research Professor of Marketing at the Stern School of Business at New York University and president of The Society For Consumer Psychology.

 

There is ample information available through books and the internet on pricing psychology, but if you really want to save yourself some time, just go to your local supermarket. The grocery business operates on razor thin profit margins, so every penny counts. Just walk down the aisles and notice the price points of the products on the shelf. Grocery corporations spend millions of dollars studying and perfecting pricing psychology and having just the right price points.

 

Let’s take a look at a few more examples.

Size

Total

Available

Occupancy

Rate

Comp 1

Comp 2

Comp 3

Comp 4

10×10

60

1

93%

$129

$132

$110

$92

$105

 

In this example, competitor 1 is slightly above our rate but we are well above all other competitors. Since you only have one space available it might be tempting to raise rate on this one, you are already approximately 20% higher than your other competitors. There may be other variables to consider before raising this rate such as time of the month (you may have other 10×10’s coming available soon) or seasonal changes. If you do make the decision to raise this rate, remember your pricing psychology. Although $132 is not a horrible rate, $134 would be a better choice.

 

Size

Total

Available

Occupancy

Rate

Comp 1

Comp 2

Comp 3

Comp 4

10×10

80

16

80%

$104

$110

$113

$112

$104

 

With 16 spaces available and only 80% occupancy, you’re going to want to take a very close look at capture rate. You’re on the low end of the range of market pricing, but you’ve also got quite a few spaces that are not bringing in any revenue. If, through tracking demand and capture, you discover that over the past 60 days at this rate you’ve been capturing only 60% of your rental opportunities, even though you are at the bottom end of the market rates, you may want to consider dropping even lower. It’s all about balance – when you are below 90% occupancy or have more than about 5 spaces available to rent – capture rate becomes even more important that price. Low revenue is better than no revenue.

 

On the other hand – if over the past couple of weeks you’ve had very good and a high capture rate of 80% or more – you may want to consider a small bump in rates. Just watch this very closely and be prepared to drop the rate back down if you start missing opportunities.

 

Rate management is not an exact science, so don’t spend endless hours trying to get it ‘just right’ because you never will; and even if you did, tomorrow market conditions will change. The key to rate management is having a quick reaction time to trends. When occupancy is high – inflate your rates to maximize revenue even if it means you might miss some opportunity. When occupancy is low – focus on capture rate. Keep it above 80%. When capture rate is high – see if the market will support higher rates. When capture rate is low – adjust prices down to avoid losing rental opportunities.

 

Let’s look at one last extreme example;

 

Size

Total

Available

Occupancy

Rate

Comp 1

Comp 2

Comp 3

Comp 4

5×10

100

50

50%

$51

$45

$50

$55

$60

 

In this example we have half of our inventory of 5×10 spaces making zero revenue. We also have a terrible price point that we definitely want to adjust either up or down. We are also more or less in the middle of market pricing. First indication would be that we need to lower this rate and in most cases that would be correct. The obvious exception would be maybe college is about to let out or there is a hurricane approaching and you know these spaces will be in very high demand. Short of this – this rate does most likely need to be lowered.

 

As stated earlier – low revenue is better than no revenue. Let’s get those 50 empty spaces producing for us. Maybe we initially drop this rate to $47 or $49. Through tracking we find that we are still only capturing about 50% of our opportunities. We have a competitor at $45, so I recommend making something drastic – say down to $37 or $39 so we can achieve a capture rate of 80% or more. We don’t want to be losing opportunities with this many spaces available.

 

Once we have a capture rate above 80% and space type occupancy above 80%, then we can begin to raise those rates back up to match or even surpass competitors rates. When that happens, and eventually it will, that’s when the third component of revenue enhancement – rent increases – come into play.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RENT INCREASES

 

Mention rent increases to a manager that is not well trained in revenue optimization and you will probably get a deer in the headlights reaction – instant panic. Their mind is immediately flooded with visions of an angry mob of protesters banging down their door. They envision a scene from the Grapes of Wrath with families loading their possessions to move on. In reality, this just isn’t accurate. When customers receive rent increases, they complain to the manager. Many of them will threaten to move out, but in reality, very few of them actually do.

 

I have personally tracked the effects of sending out rent increases with four different self storage companies in three different states and have found the results virtually the same in every instance. I have found that on average each month, approximately 6 ½ – 7% of customers will vacate. At most storage facilities, that’s just the natural attrition rate. Of course there will be months where this number will be higher based on seasonal events, but over the course of a year, the average will be somewhere between 6 ½ and 7% of customers that received no rent increase. For customers that did receive rent increases, I have found that this number increases only slightly over the next 3 months after receiving this rent increase to about 7 ½% and only in very rare instances up to around 8%. The reality is, send out 100 rent increases and over the next 3 months, 21 – 24 of these customers will vacate, but without the rent increase, 18 – 21 of them would have vacated anyway.

 

Rent increases causing some sort of mass exodus is nothing more than a perception issue and here’s why; when customers vacate, they usually do so without much fanfare. If they do bother to tell the manager they are vacating, it is cursory. “We no longer need the space. It’s been nice. See you later.” The manager hates to lose them, but for the most part, their vacating is accepted as natural attrition. Now enter the rent increase letter. Many of the customers who receive them will be vocal. They will give the store manager an ear full about how unfair it is to treat good customers this way and can’t they do anything about this and who do I need to speak to and finally – I’m moving! Many might threaten to vacate, but very few actually will.

 

But after this negative interaction with the customer, the manager is focused on these customers and every time the store manager comes to work to find another vacated space, he or she is going to relate that to another angry customer vacating because of a rent increase when in reality, it wasn’t, or if it was, they were probably going to vacate anyway.


Now, here’s the thing that many people have a difficult time wrapping their brain around. Sometimes, having a customer vacate is a good thing when it comes to revenue optimization. Let me explain. If your current rate on a space is $99 and you are at or near 100% occupancy on that space type, and a customer is only paying $72 – if you give that customer a $7 increase (slightly less than 10%) and that customer does in fact vacate – you’re probably going to re-rent that space to someone else at $99 for an increase in revenue of $27.

 

When sending rent increases, always try to keep the new customer rate below your current rate if possible. You’re store managers will love you for it as this gives them an easy out. “Yes Mr. Customer, we did increase your rent to $79, but you are still well below the current rate. If you rented that same space today you would be paying $99, so you are still well below what everyone else is paying.” Now this customer is going to walk away with the idea that even though they received a rent increase, they’re still getting “special treatment” for being a long term loyal customer.

Can rent increases be damaging to your business? Absolutely, but not if you are sensible about making rent increases work for you and not against you. I have a few “rules of thumb” when it comes to sending out rent increases.

          Avoid excessive increases – try to keep rent increases less than 10% of the customer’s current rent. 3 – 5% is optimal. Only go above a 10% increase in extreme circumstances.

          Once per year is enough – unless there are special circumstances which we will discuss later.

          If space type occupancy is low, don’t increase. If you’ve got a space type that is below 80% occupancy, think twice before giving those customers rent increases. Remember, low revenue is better than no revenue.

          Don’t raise rent on new customers. You’re trying to build a relationship with a new customer and hopefully develop them into long-term customers. Sending a rent increase to a customer that has been with you less than 6 or even 9 months is sending the wrong message.

 


In a perfect world, all of our customers would respect our properties and our managers and would pay on time. Ours is not a perfect world. There will be ‘problem customers’ from time to time. For many problem customers we just want to get their attention and try to salvage the relationship. For others, we reach a point where we know we are better off without their business. These are extreme and hopefully very rare situations. Both of these type customers – the ones we want to get their attention and the ones we want to encourage to go away – can be dealt with appropriately with rent increases.

 

I once had a major corporation renting a space from me they used as a satellite warehouse for vending machine parts. It was a small space and their employees were in and out of the space several times a day. The floorboards of their service trucks must have been littered with an assortment of nuts, bolts screws and others miscellaneous small metal objects. Each day I spent 10 – 15 minutes picking up these items from in front of their space, along with other trash they left behind. My attempts to encourage these workers to be more respectful of other customers and try not to leave these potential tire hazards behind fell on deaf ears. They simply didn’t care. Enter the rent increases.

 

After several months of getting nowhere with them, I sent their company a rent increase.  A few months later, after no sign of improvement, I sent them another. Then another. Then another. Finally, after they were paying nearly double what every other customer in that space type was paying, I received a phone call from their accounts payable person asking why so many rent increases. I explained the issues I had been having with their employees. The problem was solved instantly and I was making nearly double the normal revenue on that space.

 

The point I want to make is this – time is valuable. If your store management team has to spend an exorbitant amount of time on one particular customer, that is time they have to take away from doing other tasks and that one particular customer should be compensating you, your store team, and your company. Extra effort requires extra pay. Just because they are a paying customer does not mean they should get a free pass. Don’t mistake what I’m saying with poor customer service. You’re still going to give the customer exceptional customer service, but if they require special attention, why shouldn’t they pay for it? It’s really no different that charging an extra fee for something like 24-hour access, dumpster usage, or any other additional services you may be providing.

 

The other type of ‘problem customer’ is that customer that simply cannot be pleased no matter what you do. They are impossible to deal with and abusive to your staff, but not to the point that they have warranted an immediate eviction. I’m certain everyone that has ever worked in self storage for very long knows of a few customers that are really better off just being someone else’s customer. A rent increase can be a suggestive way of encouraging this person to become a former customer. Of course, it goes without saying; this should be an absolute last resort and only in very rare and extreme circumstances.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PUTTING IT ALL TOGETHER

 

When you cut through the minutia of things and boil it down to its essence, our mission is quite simple – to generate the maximum amount of revenue for our business. We work very hard to meet our customer’s needs and provide them a well maintained property and exceptional customer service. In return, we want to build strong company where we can maximize our potential providing higher revenues which equate to better pay and benefits and a more secure company overall.

 

I believe this three-pronged approach of occupancy, rate management and rent increases will enable any storage property to maximize potential revenue, but I cannot emphasize strongly enough that this must be a balanced approach. That is not to say there will not be times when your primary focus will be on any one of the three components, but over time a balanced approach to all three components will make any property a success.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPENDIX

 

Rent Increase Cheat Sheet

 

            Opportunity Above Paid Rate                                     Opportunity Above Current Rate

 

OAP

OAC

Paid rate

Under Current

Occupancy

Increase

Paid rate

Above Current

Occupancy

Increase

<$50

<$10

80%

$3

<$50

<$7

85%+

$3

>$10

$3

$50-99

<$7

85%+

$3

<$10

85%

$3

$100-$150

<$7

85%+

$3-5

>$10

$3-5

$150+

<$7

85%+

$3-7

<$10

90%

$3-5

>10

$3-5

$50 – 99

<$10

80%

$3-5

>10

$3-5

<$10

85%

$3-5

>$10

$5-7

<$10

90%

$5-7

>$10

$5-9

$100 – 150

<$10

80%

$5-9

$10-$30

$5-9

>$30

$7-9

<$10

85%

$7-9

$10-$30

$7-9

>$30

$9-14

<$10

90%

$7-9

$10-$30

$9-14

>$30

$12-14

$150+

<$10

80%

$5-9

$10-$30

$5-9

>$30

$7-14

<$10

85%

$5-9

$10-$30

$9-14

>$30

$12-17

<$10

90%

$5-9

$10-$30

$9-17

>$30

$14-19

 

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About montyrainey

Public Speaker and District Manager. Mission: To empower and inspire others professionally, personally and spiritually to elevate their lives to a higher level.
This entry was posted in Management, Policies & Procedures, Revenue Management, Self Storage and tagged , , , . Bookmark the permalink.

2 Responses to CROSS Training – Components of Revenue Optimization for Self Storage

  1. marc Goodin says:

    M,

    That was one of the best explanations I have read on rental rates as a whole. Thanks for sharing.

    • montyrainey says:

      Glad you liked it Marc. There is an accompanying Power Point presentation on my LinkedIn profile page that you are welcome to use for training purposes.

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