Gabfocus Episode 23: Heating Up
Dealing with competition and over-saturation in your market
Whether there's a big REIT in town or your market is feeling a little crowded, dealing with competition is tough. How do you set yourself apart? How do you make sure new customers are choosing you without dropping your prices? In this Session, we talk about strategies and tools you can use to stay competitive - no matter your market.
Featured Speakers: Stephanie Winfree & Jim Ross
Moderators: Melissa Huff & Tommy Nguyen
Category: Marketing & Operations
Focus: Owners and Managers
Aired: February 18, 2021
Duration: 1:08:26
Highlights
If you don't have time to watch the whole Session, here are some of our favorite parts:
- At 7:00, Stephanie talks about how much has changed in her market since 2004 and the impact of more facilities opening in her city (and on her street).
- At 10:11, Stephanie shares how she incorporated grassroots marketing back into her efforts to reach her community. "I shop at your grocery store."
- At 11:05, Jim tells us that the way you grow you occupancy is simple: "Marketing, Marketing, Marketing" and to "quit being lazy." He insists that we've had it too good for too long, and that the operators that want to stand out need to focus and develop a plan.
- At 14:30, Jim shares the secret of "competition alliances" and how competition means there's a demand in your market.
- At 16:35, Tommy sums up the top strategies for dealing with your competition.
- At 24:00, Stephanie talks about how a big competitor price drop made her rethink pricing strategy. “It’s one thing to hold out, it’s another thing to hold on too long.”
- At 32:00, all our experts (and attendees) weigh in on what your "brand" really is and how much it matters. "Your brand is what people say about you when you're not in the room."
- At 40:50, Jim breaks down what it means when the big REITs come to town and how you have to step up every dimension of your business and operations.
- At 42:25, Melissa reminds us that there's a lot that a smaller operation can do better and faster than a bigger company or REIT
- At 51:38, Jim and Stephanie discuss why they would or wouldn't pay for leads or use Sparefoot
- At 58:30, Stephanie talks about how growing competition and what different types of self storage entities mean for the industry. "Those who are hungriest will survive. It's becoming a market that's sink or swim."
Question of the Week
We asked our experts: What’s the most important thing I can focus on to stay competitive in my market?
"Put yourself in the customer's shoes. Do exactly what a customer would do to rent a unit. Put your finger on the pulse of your market, and everything else will start to fall in place from there. If nothing else, know your market." - Jim Ross
"Focus on your facility. What's sad? What's tired? Does your landscaping need to be done? Is there fencing that needs to be repaired? If your place is sad to look at, they're not going to stop in. If it's warm and welcoming, they'll want to." -Stephanie Winfree
"Back up and take a big picture look at yourself. Is what you're presenting about your facility consistent wherever someone would find you? Have you been focusing one area too much and neglecting others? Take a step back and make sure everything is connected and going the same direction." - Melissa Huff
Gabfocus Takeaway
Self storage competition is growing everywhere, and if it hasn't started in your city, it will. But, this isn't something to be afraid of, if you're willing to put in the work. More facilities opening in your market means that there's demand for storage, so you need to get out there and be excellent.
The good news? The tools and strategies you need are available. In fact, as a smaller operation, you can implement and adjust your tools and strategies way easier than a bigger company or REIT. Use this to your advantage!
The big two quotes of the Session were "don't be lazy" and "accept change." Operators who are willing to work hard can find success, even in a crowded market, if they are also willing to pay attention and adapt with the ebbs and flows that an ever-changing industry demands.
