A Case Study with SafeKeep Storage

SafeKeep Storage is a mid-sized self-storage company operating in Davao, Philippines. They have 3 facilities around the city (one near downtown, one in a suburban area, and one near the airport).

Their units range in sizes from small (4×4 meter, suitable for boxes) to large (10×20 meters, for furniture or business surplus). They offer features like drive-up access, 24/7 security (CCTV + gated access), and climate-controlled sections for sensitive goods.

Rentals are month-to-month, and customers can pay online or in person.

Initial Problem

Action Taken

In the first quarter of 2025, SafeKeep began to notice several issues:

  1. Low Occupancy / Under-utilization

    • Particularly in the suburban and airport-adjacent facilities, a high portion of storage units (about 40-45%) were vacant, especially the larger units and climate-controlled ones.

  2. Customer Churn and Poor Awareness

    • Many customers rented for 1-2 months then moved out, often because they found more affordable or more convenient options elsewhere.

    • Marketing reach was weak: SafeKeep was known locally, but people in newer subdivisions or outlying areas did not know about their facilities or what differentiates their offerings.

  3. Operational Inefficiencies

    • The booking/rental process had friction: paperwork was manual, payments sometimes delayed, access control at some sites was old-style, making security management labor intensive.

    • Maintenance of climate-controlled units (for temperature and humidity control) was inconsistent, leading to customer complaints about dampness or insufficient cooling during hot months.

  4. Pricing Strategy Issues

    • Prices for larger and climate-controlled units were high, but many potential customers perceived them as overpriced relative to benefit.

    • Discounts and promotions were ad hoc, often uncoordinated, so they didn’t consistently drive occupancy.

In response, SafeKeep rolled out a set of improvements starting in April 2025:

  1. Market Research & Targeted Marketing

    • Surveyed local households and small businesses to find what prevented use of self-storage (cost, awareness, convenience).

    • Identified a target segment: small businesses in e-commerce needing storage + residential customers downsizing or renovating.

    • Launched digital marketing campaigns (social media, Google Ads) targeting specific zip codes where occupancy was lowest.

  2. Improved Pricing & Promotions

    • Introduced tiered pricing: smaller “basic” units cheaper, “premium” units (climate-controlled + drive-up) at higher rates, but with clearer value communication.

    • Offered 1-month free on premium units for new customers in under-utilized locations.

    • Introduced loyalty discount for customers who rent 3+ months.

  3. Enhancing Customer Experience & Operations

    • Upgraded facility access control: Installing automatic gates and electric opener in sites where physical security was lower.

    • Improved climate-controlled unit maintenance: regular checks, improved insulation, better HVAC systems.

    • Digitized the rental process: online booking + payment; digital contract signing; automated reminders for payment and lease renewal.

  4. Facility Optimization

    • Reconfigured some large, under-used premium units into smaller units (by partitioning) to match what customers were asking for.

    • Improved signage and visibility from major roads to drive awareness.