Top 3 Self-Storage Tech Trends in 2022
These are the top tech features operators need to embrace to streamline everything from leasing to accounting, marketing, and management.
Image by Mohamed Hassan from Pixabay
Over the past decade, the self-storage sector has become an attractive investment option and turned into a highly competitive industry. As the pandemic has proved the sector’s recession-resistant nature, investors’ appetite for self-storage has further increased. The self-storage industry has seen significant capital crossover from other real estate sectors as investors have looked to diversify their portfolios.
In a highly competitive market, having self-storage properties with the latest technology can make or break how well a portfolio performs. Self-storage operators must embrace advanced tech to streamline everything from leasing to accounting, marketing, and management. Below we explore some of the must-have tech features which might improve property performance and consumer experience.
1. Online Leasing & Mobile Apps
A successful business starts with a strong online presence and a highly optimized website. As the tech-savvy Millennials and Gen Zers are on track to becoming the number one self-storage users, having the option to search, lease, and pay for a self-storage space online can attract a large customer base. Some of the benefits of online rentals include less reliance on staff while the ability to lease a self-storage unit is given 24 hours a day, seven days a week.
To make the process even more seamless, mobile applications are another addition to consider. These apps can allow customers to pay the bills, see move-in and move-out dates, report an issue by posting a photo and monitor their units. And last but not least, these apps can provide valuable consumer data, which can help operators track customer behavior and preferences.
2. Kiosks
Besides an online presence, self-service kiosks are another way to streamline customer service and experience. Self-service kiosks allow customers to rent, pay the bill or access a unit after business hours and allow property managers to keep track of all operations. Kiosks can also be an important tool for customer support, as they can be equipped with user guides, frequently asked questions, and other information. It can also be an easy way to connect with customer service through video calls. Kiosks can also serve as marketing tools by displaying marketing materials, providing virtual tours, and acting as paperless brochures.
3. Smart Locks & Keyless Entry
Security is one of the most important aspects to consider when it comes to self-storage and smart locks that implement Bluetooth and biometric access can provide advanced protection. Bluetooth proximity can be installed on a self-storage unit, and these locks detect the customer’s device and unit-specific Bluetooth signals. This usually requires a mobile app and only works if the device’s owner or user is nearby.
Biometric technology is another technological innovation that ensures that customers can store their belongings securely. This technology relies on people’s unique characteristics such as fingerprints, voice, and even retinal patterns, to boost security.
Related Questions
What are the most important tech trends for self-storage businesses in 2022?
The most important tech trends for self-storage businesses in 2022 are the use of cloud-based software, mobile apps, and automated access control systems. Cloud-based software allows businesses to store and access data from anywhere, while mobile apps provide customers with easy access to their accounts and the ability to make payments. Automated access control systems allow businesses to monitor and control access to their facilities, as well as provide customers with a secure way to access their units.
According to Storage Newsletter, cloud-based software is the most important trend for self-storage businesses in 2022. This software allows businesses to store and access data from anywhere, as well as provide customers with easy access to their accounts and the ability to make payments. Additionally, mobile apps are becoming increasingly popular, as they provide customers with easy access to their accounts and the ability to make payments. Automated access control systems are also becoming more popular, as they allow businesses to monitor and control access to their facilities, as well as provide customers with a secure way to access their units.
In addition, Storage Newsletter also mentions that artificial intelligence (AI) and machine learning (ML) are becoming increasingly important for self-storage businesses. AI and ML can be used to automate processes, such as customer service, marketing, and inventory management. Additionally, AI and ML can be used to analyze customer data and provide insights into customer behavior, which can help businesses better understand their customers and improve their services.
What are the benefits of using technology in self-storage businesses?
Using technology in self-storage businesses can have a number of benefits. Smart technology can help reduce energy costs by ensuring heating or air conditioning systems are only used when necessary. Additionally, proptech can reduce property management costs, as tenants can submit maintenance requests with a few taps. Replacing interior and exterior lighting with LED bulbs can also have a huge impact on lowering energy costs, and is linked to higher office leasing renewal rates.
For more information, see this article on the top 3 traits for a self-storage property manager, and this article on self-storage net operating incomes.
What are the most innovative technologies for self-storage businesses?
CubeSmart has focused on technology and innovation in their properties, such as 24-hour video surveillance, code-controlled gate entry, and individual unit alarms. Additionally, CubeSmart offers features such as online payments, extended access hours, and a wide selection of packing and moving supplies. Other innovative technologies for self-storage businesses include climate-controlled units, mobile access, and automated payment systems.
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What are the potential risks of using technology in self-storage businesses?
When using technology in self-storage businesses, there are a few potential risks to consider. First, there is the risk of data breaches and cyber-attacks. Self-storage businesses store a lot of sensitive customer information, such as credit card numbers and personal information, which can be vulnerable to hackers. Additionally, there is the risk of technology failure, which can lead to lost data and downtime. Finally, there is the risk of technology becoming outdated, which can lead to a lack of features and functionality.
It is important to be aware of these risks and take steps to mitigate them. This includes investing in secure technology solutions, such as firewalls and encryption, and regularly updating software and hardware. Additionally, it is important to have a backup plan in place in case of a technology failure.
How can self-storage businesses use technology to increase efficiency?
Self-storage businesses can use technology to increase efficiency in a variety of ways. For example, they can use proptech to ensure heating or air conditioning systems are utilized only when necessary, lowering everyone’s energy costs. Other proptech can reduce property management costs, if a tenant can tap a few buttons to submit a maintenance request. Additionally, replacing interior and exterior lighting with LED bulbs can have a huge impact on lowering property energy costs. This not only leads to lower bills, but it’s also linked to higher office leasing renewal rates. Self-storage businesses can also use technology to reduce staffing costs, as they don’t always need on-site staff.
What are the best practices for implementing technology in self-storage businesses?
When implementing technology in self-storage businesses, it's important to consider the local market conditions. Look at population and job growth, the number of homeowners or renters in the area, and the proximity to university campuses, residential areas, or businesses. It's best to look at these metrics within a 3- to 5-mile radius of the facility. Additionally, consider investing in proptech that can help both you and your tenants save on costs. Smart technology can ensure heating or air conditioning systems are utilized only when necessary, lowering everyone’s energy costs. Other proptech can reduce your property management costs, if a tenant can tap a few buttons to submit a maintenance request. Even something as seemingly minor as replacing interior and exterior lighting with LED bulbs can have a huge impact on lowering your property’s energy costs. This doesn’t just lead to lower bills, but it’s also linked to higher office leasing renewal rates.