Short-term vs. long-term storage? It's safe to say that there's not a universal answer to this question. It all depends on your preferred style of doing business since both are good for different situations. First, it's important to determine what your needs are, in order to decide which one would pay off more. We can offer a couple of tips on what kind of storage would suit both you and your wallet best.
Sometimes, long-term storage might be an easier solution for clients, as most companies offer all kinds of facilities for this kind of storage. Also, there is an option of movable pods, where companies can pick up a pod and bring it to their facility. Finally, they can move it to any location the tenants choose. Then, the tenants choose one of these categories. They are considering long-term storage if they are:
Some companies offer discounts for long-term storage. For self-storage owners, this might pay off less than short-term storage. While it might seem like a steady flow of capital for self-storage owners, it might bring less revenue on a monthly basis. However, the revenue is more secure with this kind of storage. Once tenants sign a contract for a longer period of time, the self-storage owners feel more secure since they know what to expect. However, that raises the question - in general, is it smart to compromise security over money? There are cases in life when it’s better to stay on the safe side, for example, when choosing self storage software . However, in some cases, the unpredictable environment that the short-term storage option might include can be more lucrative.
In most cases, short-term storage is the best option for a time frame of a couple of months, hence the name. People in need of self-storage unit try to predict all the expenses that they are going to have and opt for short-term or long-term storage. They know how to calculate the expenses. Nowadays you can get your moving estimate online . They make the final decision based on the period of time for which they need storage. Short-term storage is useful for the tenants who want to store their belongings somewhere temporarily so that they can have them moved later on. The tenants who usually choose this kind of storage are:
The reason it pays off for clients is that the payment plans are more flexible. Generally, they don't have to pay for a couple of months in advance and they can choose other units if their needs change in the meantime. Other than that, they can also choose the insurance level on a monthly basis. Most importantly, a month-to-month contract would give them a chance to cancel anytime. For that reason, it's important to get new clients, which is much easier with self storage marketing.
For self storage owners, the short-term storage business is quite unpredictable. They can never know when the tenants will choose not to continue with the services. Finally, short-term storage units are usually more convenient because they are usually more accessible. The tenants usually have access to the unit, meaning they can take their items whenever they want. That is one of the reasons why for self storage owners there is a lot more hassle involved with this kind of storage.
Generally, short-term storage might be a more lucrative option for self storage owners in the short run. However, after a certain period of time, some tenants choose not to extend their contracts. Also, there is a lot more job involved with finding new clients so often. Besides, self storage owners usually provide clients with regular access, which takes them a lot of time. The time they could be spending on getting new customers or running their business smoothly providing long-term storage. But, if the owners have enough capacity and clients, it could really pay off for them. Luckily, with legacy pricing, there are ways to retain your customers, so that's one less thing to worry about.
On the other side, long-term storage usually does bring slightly less revenue on a monthly basis. For some, when deciding on short-term vs. long-term storage, that's the key factor. Often times, with long-term storage there is a steady flow of revenue. Even more, the self storage owners don't need to spend that much time hassling with new potential clients. The clients that might not even need self storage unit for more than a month.
Regarding, the long-term vs. long-term storage debate, which one pays off more to the storage owners? To some extent, it really depends on the storage owner's style and business dynamic. Some people like the amount of work that short-term storage usually demands. Others enjoy a more secure life that doesn't bring them that much stress.