For most of our facilities, in 2020 & 2021, what do you think was the number one source of new leases?
If you guessed the internet, you are close.
In fact, for some facilities, it was, in some quarters.
But as a portfolio, what is the number one source of our new lease?
Yes, you guessed it….” Drive By.”
Location, Location, Location
If you think about it, it makes sense.
What is your trade area for any specific facility?
Let’s say it is five miles or less for most storage facilities.
In other words, you can send a drone up at most locations and see most of your potential customers. It doesn’t get any more localized than that.
Now, at any given time, let’s say between 10% and 13% of the people in your trade area need storage.
What are they going to do?
They will go to Google (or some other search engine, primarily Google).
Now, if they have driven by your facility and recognize it, they will be consciously or subconsciously drawn to dial your number or go to your website directly from Google.
If someone has driven by your facility, recognize it, it makes them feel safer reaching out to you because we would all rather touch we have so0me control. You are recognized where some other project might not be.
That is, in my opinion, why it is important to have a highly visible location.
Now many today say the internet is the great equalizer. You can advertise online and get people to come to your facility.
True, and there is no upside in me winning any argument here.
But in my opinion, if you are going to get someone to drive by my highly visible facility to go to your storage project they have never seen, you are most likely going to have to incentivize them to do so.
And that usually means lower rent.
Perhaps not always, but usually.
So, all I am saying is to realize that most humans will choose the known over the unknown.
If you are a recognized project because people who live in your trade area recognize you because they have driven by you before, and in some cases, daily, you are more likely to get the first call or hit.
When they move in, we ask them how they heard about us; they will say something like, “I drive by you all the time.”
We hear that 20% to 48% of the time, even when they went online to start the search for storage.
Stand Out
So, make sure you stand out.
How?
Well, visible roll-up doors are my number one suggestion.
Then, great signage.
We had one conversion, where we had lots of glass so you could see doors. We also placed two manikins in one of the tall glass corners of the building facing the traffic. They were “Storage Stan” and “Lucy Lock.”
I thought it was the dumbest idea, but boy was I wrong.
Customers constantly wanted their pictures taken with these manikins.
We spent what I thought was a fortune in the first few years on their wardrobe. They had outfits for every season and for special events, like the Derby (it was in Louisville).
Probably the best marketing idea we ever did.
Crazy, but it worked. Especially Lucy.
But they were always visible to the traffic, and that is when I began to realize how critical drive-by truly is and how much people can pay attention to your facility because they see it all the time.
Wen sold that project, and I no longer see Stan and Lucy. I guess they retired. Too bad, but I’m not complaining because my exclusivity to be in that market is up next year.
Remember, being visible is still critical, in my opinion. Take advantage of that fact. But now, you still have to show up online where people in your trade area look for storage.
With those two things going for you, you have the best chance of getting that first call or hit.
Then it is up to you to convert.
