Choosing the Right Management Fit | Self Storage Virtual Workshop

Gabfocus Episode 76 | Choosing the Right Management Fit

Could you be making more money with a different self storage management style? This session dives into the different options and which one fits which type of business. You might be doing way more work running your self storage facility than you need to!

We'll be digging into all the self storage management types, along with the pros and cons of each, so you can make an educated decision on what's best for your facilities! Get real advice from real operators on how third-party management, remote management, direct management, and more can help your facility turn out better revenue.

Featured Speakers: Brad North
Moderators: Tommy Nguyen & Melissa Huff

Category: Operations
Focus: Owners & Operators
Aired: September 25, 2025
Duration: 1:04:52

Overview

If you don't have time to watch the whole session, here are some of our favorite parts:

00:00 - Introduction
7:00 - What are the different self storage management styles?
10:00 - How did you decide on the management style for your first self storage facility?
12:50 - What is the difference between owner-operated and third-party managed?
17:20 - What are the benefits of third-party management?
25:30 - What are the pros of onsite management?
31:20 - What are the pros of remote or hybrid management?
35:40 - How can you still provide great customer service at a remote self storage facility?
38:40 - How does onsite management or remote management affect your marketing?
42:50 - How does handling maintenance and facility upkeep change when you are remote versus onsite managed?
44:50 - What is the best way to mitigate customer tension when transferring to remote management?
46:55 - How should you evaluate your business needs when deciding on a management style?
49:50 - What are the signs you may need to change your self storage management style?
51:00 - What’s the best way to work with your third-party management vendor?
51:40 - What green & red flags should you look for third-party management vendors?
53:40 - How can you audit your third-party management vendor?
54:40 - How can you incentivize managers to get more Google reviews?
59:10 - How can you handle the entitlement process and what should you watch out for?
1:00:40 - What are the 3 most important things to consider when choosing the right management fit?

Gabfocus Takeaway

All self storage facilities, the markets they are in, and the people who own them are different, so there's not a one-size-fits-all approach when it comes to self storage management. Start with identifying the needs of your specific business, along with how involved you would like to be, before weighing the pros and cons of different management setups and making a decision. Even if you choose to go with a third-party management company, it's important to stay tuned into your business to make sure its meeting the goals you set with your management partner.

What are Gabfocus Sessions?

Gabfocus Sessions are virtual workshops for self storage owners, managers, and operators. Brought to you by the team behind Gabfest: StoragePug and Lighthouse Storage Solutions.

Each session features hand-picked industry pros who will dive deep into relevant topics surrounding our industry, share best practices, and explore trends in the market. It's our hope that these sessions help you navigate your self storage business better during these uncertain times.

Want to learn more about self storage? Join us on select Thursdays for Gabfocus.

Questions Answered in this Session

What are the different self storage operations methods?
What are the different self storage management setups?
What are the pros and cons of each operations management style?
What are the cons of each operations management style?
How can each of those different styles affect the following?
1. Customer service?
2. Sales and marketing?
3. Necessary facility upgrades & additions?
4. Staff needs?
5. Move-ins and move-outs?
6. Facility upkeep?
7. Technology?
8. How would being third-party managed vs. owner-operated influence these operations styles?
What are the signs you may need to change your management or operations style?
How do different management styles play out for hands-off owners?
How do different management styles play out for owners with 1-2 facilities?
What traits should you look for in a third-party vendor?
What tips do you have for transitioning into a new management style?
How should you audit/keep up with your management or operations partners?
What are the 3 most important things to consider when choosing the right management fit for your business?

Resources from this session

Awesome Quotes

“Once your operation is in place, you can become more dynamic with your pricing, but that requires data. You need some method of being able to record the data that you need to know whether your price is in the right place - whether you need to move it up or start giving some concessions.” - Warren Lieberman

“I never want to downplay to what someone else is doing. I'm better than they are, then I'm going to be worth a higher price. That's what value is. If you go out to a restaurant and get really good service, would you go back? Yes! What if it was pricier? You'd still go back because you got better service and a better product.” - Jim Mooney

"It's good to be informed on your competition. I don't want to ignore them, but I don't want to respond too strongly to them either." - Warren Lieberman

"We did a survey of 10,000 facilities on their pricing. We found out that two-thirds of those operators didn't change the price of a single unit of the course of a month." - Warren Lieberman

“Rate increases and value pricing are the number one ways to grow your revenue.” - Jim Mooney

"Tenants in more convenient units tend to be less price sensitive." - Warren Lieberman

"The size of the unit is only one aspect of what people are willing to pay for." - Warren Lieberman

Highlights

Foundational marketing strategies to have in place - whether leasing up or stabilized:

Website
Set up listings (Yelp, Google My Business, Apple Maps)
Social Media
Establish Local Partnerships

Lease up marketing strategies:

Lead Generating Strategies (like digital ads)
Aggregators (Sparefoot, Storagefront, etc.)
Awareness Campaigns (like billboards, flyers, and sponsorships)

Your average customer value
Find the average stay length of all tenants. Next take your economic occupancy and divide by how many units you have. That will tell you what the average customer pays.

Multiply the average length of stay by what the average customer pays, and that's the average value of a customer.

For example, if a customer stays for 12 months and pays $100 per month, then their value is $1,200.

Your average lead value

Figure out your closing rate (or conversion rate) i.e. how many leads do you turn into tenants? Multiply that by your average customer lifetime value to figure out what your leads are worth.

Pro Tip: see which lead sources are converting the best. It may be that certain sources have a higher conversion rate, so those leads are worth more to you than a source that barely converts.

Typical Lease-up timeline

According to our panelists, it's typical to see a 3-4% increase each month, putting your facility at 36% after the first year, and 72% after the second.

Alternately, you can look at your lease up goals through the lens of your units, aiming for 20 units rented per month.

For Nick and StorageMax, they pro forma their economic occupancy at 85% with their sweet spot at 92%.