Have You Heard About Implied Affordability? 🤔

GM Store Nation,

December is not a good month to be a self storage owner….

Every year I start worrying about the amount of Sq Ft going out our facility!

2023 is nooooo different 🫣

We are currently OVER 2,000 sq ft down so far …. (Excluding Mansfield) 🥹

My family regularly sees me cry in December 😂 … There’s no shame guys 😊

** I’m joking BTW, I try and take an aerial view and know that its the self storage tide …. Still bloody hard though 🥲

Yesterdays Stats …

TAKINGS -

WILLERBY:

BEVERLEY:

CLOUGH ROAD: 

WREXHAM: 

MANSFIELD: 

• 1 Reservations

• 1 Move Ins

• 8 Move Outs

Lets … Do … This …

Here's what coming your way today :-)  😎 🎯

🤐 A Self Storage Tip - “Do you know the Implied Affordability of your town / City 🤔”

🤝 3 Self Storage News Stories

🧐 Yesterday’s figures for each facility

🥸 1 Meme of the day

Self Storage Tip - 💡 💰 🤑

Implied Affordability 

Do you know the Implied Affordability for your town / City / Area??

What the heck is Implied Affordability I hear you ask?? 

Implied Affordability is a term I believe came from America 

In simple terms, it’s knowing how much your customers can afford to pay for storage

Luckily for us … As ever, our trusty American mates have done the heavy lifting for self storage operators 

The implied Affordability for a household is 6.5% (This data comes from a report in America)

This means that most customers won’t question the cost of self storage if the cost is below 6.5% of the household income 

So for example … 

If the average household income in Mansfield is £40,000 (for an example only)

We know they can afford 

40,000 X 6.5% = £2,600 Per Annum 

2,600 Divided by 12 = £217 Per Month 

Anything over this amount they may start questioning if they should have it and can they can afford it

Anything below this amount and they don’t question it 

Why is this important …

2 reasons 

1 - It’s super important when starting up, it massively helps to project how much you can charge and therefore helps with cashflow etc 

2 - It helps with your revenue management. Knowing the sweet spot you can then act accordingly, if you want to be aggressive and aren’t too concerned if people leave then it doesn’t matter if your increases exceed the Implied Affordability 

If however you don’t want to upset the apple cart then you can make sure your increases don’t go above the Implied Affordability ratio  

I personally love this … The more information and data I can get to help run my business the better 

Dont get me wrong … I dont think this is an exact science but it helps

This little beauty I learnt from Fred, Founder of Hold Storage (And Attick) 

Industry News -  🧐

• 1 - Big Yellow £300 MILLION REFINANCING

• 2 - Shurgard Self Storage S A : opens new self storage in Chiswick, Inner West London

• 3 - The Evolving Role of Customer Service in Self-Storage

The fun bit - My business .... Bare Butt Naked! 😲 🤫 🤭

Willerby (Hull) My big site -

• 1 Reservations

• 0 Move Ins

• 4 Move Outs

Month to Date -

• MINUS 1065 Sq Ft

Reservations so far this week = 1

Move Ins so far this week = 0

Clough Rd Figures .... The Automated Site

• 0 Reservations

• 1 Move Ins

• 1 Move out

Month to Date -

• MINUS 810 Sq Ft

Reservations so far this week = 1

Move Ins so far this week = 1

Beverley … My Baby (First site)

• 0 Reservation

• 0 Move Ins

• 2 Move Outs

Month to Date -

• PLUS 205 Sq Ft for the month

Reservations so far this week = 0

Move Ins so far this week = 0

Wrexham's Figures (Indoor) ... My First Acquisition

• 0 Reservation

• 0 Move Ins

• 1 Move Outs

Month to Date -

• MINUS 350 Sq Ft

Reservations so far this week = 1

Move Ins so far this week = 0

Mansfield Figures - My New Site

• 0 Reservation

• 0 Move Ins

• 0 Move Outs

Month to Date -

• PLUS 2250 …. WHOOOPPPPPP!

Reservations so far this week = 0

Move Ins so far this week = 1

Meme / GIF of the day - 👀 😂 

Health and Fitness ... Move More = Live Longer - 🏋️‍♀️ 🏃

Weekly goals -

• Gym - 4 times …. 20,000 steps per day

• Run - 25 k

• Boxing - 0

Results so far -

• Gym - 0

• Run - 0k … Ive been poorly ok 🤔

• Boxing - 0

Yesterday’s Steps - 8,121

Loads of self storage love,

Dean ❤️ 🙃