As more people are getting into RVs, the need for safe places to store them is growing. This article will look into the ins and outs of RV Storage Facility Occupancy. We’ll explore what affects how quickly these storage places fill up, the planning needed, real examples, numbers, tips to speed up the process, challenges, and what the future might hold for RV storage spaces. Our focus will be on how to make the most of RV Storage Facility Occupancy, as we share first hand experience.

Factors Influencing RV Storage Facility Occupancy:

In understanding the occupancy dynamics of RV storage facilities, several key factors come into play. From the location’s appeal to RV owners and the facility’s size and offerings to the effectiveness of marketing strategies and the influence of seasonal variations, these elements collectively shape the occupancy rates within these storage spaces. Let’s delve into each factor to unravel their impact on RV Storage Facility Occupancy.

Location and Regional Demand:

1. Proximity to Popular Travel Destinations and RV-Friendly Routes:
   • A strategic location near popular travel destinations or along routes frequented by RV enthusiasts can significantly influence occupancy. RV owners often prefer storage facilities that are conveniently located, reducing the hassle of transportation and making it easier for them to access their vehicles. Many of our customers come to us because they saw the facility from the freeway. No amount of marketing can compete with that kind of exposure.
2. Regional Variations in RV Ownership and Seasonal Demand Fluctuations:
   • Understanding the demographics and preferences of the local RV community is crucial. Different regions may exhibit variations in RV ownership rates and seasonal preferences. Facilities should adapt their services and marketing strategies to align with the unique demands of each region, taking into account factors such as climate and local events that influence RV usage. Being located in a city with a fast growing population is hugely positive. Differentiating from the competition is also important. We tend to focus on outdoor storage precisely because everyone else seems to focus on covered and enclosed storage.

Facility Size and Capacity:

1. Number and Type of Storage Spaces Available:
   • The capacity of an RV storage facility is a fundamental factor influencing its occupancy levels. Obviously, attaining full occupancy is more difficult on a 500 space facility than a 200 space facility. And in theory, the size of the facility has been determined by studying the market demand and competition. In addition, offering different types of spaces (open, covered, or enclosed), and offering different sizes of spaces will help in accelerating occupancy.
2. Amenities and Services Offered (e.g., Security, Climate Control):
   • Beyond size, the quality of amenities and services provided significantly contributes to a facility’s appeal. Enhanced security features, such as surveillance systems and secure access controls, instill confidence in RV owners. Climate-controlled storage options further safeguard vehicles from environmental damage, making the facility more attractive to owners who prioritize the well-being of their RVs.

Marketing and Promotion Strategies:

1. SEO Optimized Website
   • It amazes me that even large RV storage facilities rank poorly in Google searches. But, perhaps that’s not so surprising when those facilities are already full. Nevertheless, having a Search Engine Optimized (SEO) website is key to ranking well in Google. Getting into this would require an entirely different article, but let’s just say that you want your website to be in the first page when people search for RV storage facilities in your area. That’s because you want the most organic traffic to your website that you can get. Below is how our website’s performance has improved over the last year on our newest facility.

1. Effective Advertising to Target RV Owners:
   • Crafting compelling and targeted advertising campaigns is essential for reaching the RV owner demographic. Utilizing various channels, including digital platforms, social media, and traditional advertising, ensures broad visibility. Highlighting the facility’s unique selling points, such as security measures and convenient location, can be particularly effective in attracting potential customers. We like using Google Ads, Yelp and Craigslist for digital marketing. We also send mailers to specific target neighborhoods. And we love a big banner visible from the freeway.
2. Promotional Events and Partnerships with RV Dealerships:
   • Hosting promotional events and forming partnerships with RV dealerships can create valuable exposure and foster a positive reputation within the RV community. Collaborating with dealerships allows for mutual referrals and endorsements, increasing the likelihood of RV owners choosing the storage facility for their needs. We’ve visited all the local dealers and handed them out stacks of business cards. We’ve also brought pastries to RV dealer sales events held at the county fairgrounds.

Seasonal Variations and Peak Periods:

1. High Demand During Vacation Seasons:
   • Understanding the seasonal nature of RV travel is crucial for anticipating demand peaks. Vacation seasons often witness a surge in RV usage, leading to increased demand for storage solutions. Storage facilities can tailor marketing efforts and operational readiness to align with these peak periods, ensuring optimal occupancy and customer satisfaction. The end of Summer is a great time to get new customers. We opened one of our facilities a bit too late (October) for these customers, but still managed to get a couple of customers per week through the winter months.

By addressing these factors comprehensively, RV storage facilities can refine their strategies, enhance their offerings, and ultimately optimize their occupancy rates.

Planning and Preparation for RV Storage Facility Occupancy:

As mentioned earlier, understanding the market and the competition is crucial to the projecting the leasing up period. This is where utilizing a feasibility consultant can be helpful. However the investor can dive even deeper into studying the competition. I like using the clock feature in Google Earth to see what newer RV developments achieved in terms of occupancy. Keep in mind that this isn’t entirely accurate as many spaces could look vacant, but they are actually occupied. Nevertheless, here are a few screenshot to help illustrate this approach.

RV Storage Facility Near Completion

RV Storage Facility During Lease Up. Notice the smaller spaces appear to be leasing faster than the larger spaces.

RV Storage Facility Near Full. This last aerial image was taken 8 moths later than the 2nd aerial image.

Additionally, when studying the market and competition it is important to give careful consideration to the unit mix and type. We’ve noticed a tendency for newer RV storage facilities to provide large spaces (40 feet long and more). We also noticed a newer facility that was originally designed to include 75′ long spaces and later re-designed for much smaller spaces. At the same time, we’ve noticed a sales trend for smaller RVs. As such, we designed our facility with a maximum space length of 35′ and 25% of our spaces being 10×25 or smaller.

So far, our research seems to be paying off, as our smaller spaces seem to be leasing up faster than our larger spaces. And let’s not forget that we can charge higher rates per square foot on smaller spaces than larger spaces. Meanwhile, our competitors continue to develop new facilities with larger spaces.

Having said that, it is a good idea to incorporate some flexibility into the the unit space design. At our facility we have the ability to combine back to back spaces to offer larger sizes. For example, we can combine two 12×20 back to back spaces to offer a 12×40 space, or we can combine two 12×35 back to back spaces to offer a 12×70 space. See also 12 RV Storage Facility Design Tips for Maximum Profitability

Below is one of the mix compositions we considered earlier on. As we got smarter we trended toward smaller spaces. The only exception is that we changed our 11′ wide spaces to 12′ wide, but that was mostly related to a reduced drive isle width and our space layout being at 90 degrees.

Case Studies on RV Storage Facility Occupancy:

At our first facility our feasibility study and underwriting suggested that we could expect to attain an occupancy of 85% within a year. That may seem fast, but consider that this was only a 182 space facility in a market with significant demand for the product we are offering. We also opened the facility during the slower months and had deploy additional marketing capital to overcome this challenge. See also RV Storage Feasibility Study: Everything You Need to Know

At the end of the day revenue is more important than occupancy. During initial leas up it is common to have introductory promotions. We began by offering 50% off for three months. A few months later we reduced that from three to two months. Obviously, this had an impact on revenue. The good news is that during underwriting we included even more conservative assumptions. In other words, despite our promotions we are ahead of our projections when it comes to revenue.

Tips for Accelerating RV Storage Facility Occupancy and Boosting Revenue:

1. Effective Marketing and Advertising:
   • Leveraging digital platforms and social media (Google, Yelp, Facebook, Craigslist, etc).
   • Utilizing referral programs and discounts
2. Incentives and Promotions:
   • Early-bird discounts and promotions for new customers (i.e. 50% off for the first three months)
   • Loyalty programs for existing clients. We don’t offer this yet, but in one occasion a customer asked if we had any promotions for existing customers. In this situation we offered the customer an additional month at the 50% discount rate.
3. Collaborations with RV Dealerships and Clubs:
   • Building partnerships for mutual benefit. We’ve sent customers looking for covered RV storage to the new facility across the freeway. And I am sure they are sending customers looking for more affordable storage to us.
   • Tapping into existing RV communities for customer referrals. Developing relationships with RV dealers, RV repair shops, etc is extremely valuable.
4. Streamlining Administrative Processes:
   • Implementing user-friendly online registration. As shared before, we use Tenant Inc for facility management software. And we’ve customized it to keep the website simple and provide an easy user experience. Our customers like it and tell us about it when they leave feedback. See also Which Facility Management Software Is a Better Choice for RV Storage Facilities: StorEDGE vs. Tenant Inc?
   • Efficient paperwork processing for quick customer onboarding. Everything our customers do is online. In fact, all of it can be done with a smart phone. Customers like this and this leads to positive reviews, which improves our social media scores and Search Engine Optimization (SEO)

Conclusion:

As the RV market continues to grow (RV Industry Poised for Significant Growth in 2024) developers will continue to reap the benefits of increased RV Storage demand. Among other things, developers must consider the time it takes to fill an RV storage facility. This is a complex interplay of location, planning, marketing, and adaptation to market dynamics. By understanding these factors and adopting strategic approaches, RV storage facilities can not only optimize their fill times but also ensure sustainable growth in a thriving industry. As the RV community continues to expand, the importance of efficient and customer-friendly storage solutions becomes paramount, making it essential for storage facility operators to stay ahead of the curve in maximizing RV Storage Facility Occupancy.