Why per unit size?
A facility is not one block with one occupancy figure: small units can be full while large ones stand empty. Changing one price for the whole facility leaves money on the table for popular sizes and scares customers away from sizes with vacancies. That is why you look per unit size, and with several facilities, per size per facility.
A simple example
Say you have four sizes. Occupancy drives the advice:
| Size | Occupancy | Current price | Advice |
|---|---|---|---|
| 5 m² | 96% | €79 | +5% |
| 10 m² | 91% | €149 | +3% |
| 15 m² | 84% | €209 | no change |
| 20 m² | 76% | €279 | −3% or promotion |
New and existing tenants
Dynamic pricing mainly affects the price for new tenants, the street rate. For existing tenants you use rent increases: you announce them in advance and they take effect per contract. That keeps things predictable for tenants.
Pitfalls
- Steering on occupancy alone: a full facility with heavy discounts can earn less than a slightly emptier one at street rate.
- Changing too often: tenants and staff need to be able to explain prices.
- Uncontrolled discounts: route discounts through an approval flow.
- No measurement: after a change, look at revenue and occupancy per size.
Dynamic pricing in TheStorageControl
TheStorageControl gives price advice per unit size based on occupancy and demand, next to revenue and occupancy per month. You decide whether to apply the strategy. Rent increases are prepared from the contracts overview, and discounts go through an approval flow with an audit log.
