It may seem unusual, but a newly defined sector or rather industry has grabbed the attention of many of the top magazines and newspapers in the current decade. With its root into the ancient Chinese traditions, modern self storage sector has been growing at an annual rate of 7-8% per annum. Initially growing in the US, these units have contributed to the Gross Domestic Ratio (GDP) of UK and Australia to an appreciable extent. Britain has seen a growth of 8% in the number of storage units in the last year. But these units are not only familiar with high-profile economists or the governments, but also with the common families because they are the ones who create the demand for these units in the first place.
What are they
To explain it in simple words, a good economy makes its inhabitants be able to consume a certain amount of commodities which are very modest to the minimum standard of living requirements. Sometimes these commodities are consumed over the limit, thereby, adding to the inventory section in the national income accounting. To put it in other words, every person, with a high purchasing power, has some items in their house which they cannot store in their house at a certain point of time. This is why self storage facilities Perth firms provide offer extra, large storage spaces available for rent to these consumers.
What creates the demand for these storage units
In developed countries like Australia, Britain or USA, an average worker commonly has two features – they have high purchasing power, and they are very mobile. Since most of them cannot store their excess stuff as sometimes they need to travel for work from one place to another, they rent a storage unit from any of the self storage facilities in Perth, and keep all the items which they do not want to carry with them. This has created an increase in demand for storage units. One out of every ten American has occupied a unit from the 50,000 storage units in the USA.
The services they provide
There are many benefits of hiring units for self storage in Perth, which are as follows –
- Storage units of various sizes ranging from the ones to store documents, pictures, etc., to the spaces to keep a boat.
- Security is the main concern which is attended to duly.
- Self storage units to fit every consumer’s pocket.
- Online and offline customer services to hear all customer’s concerns.
To know more about the self storage facilities, check out http://perthmetrostorage.com.au/.
The basic business model
It is a common question to ask as to how can the business of these facilities be sustained. Firstly, the land for constructing these units is bought from previous tenants at a very cheap rate since these units are located outside the city mostly. Secondly, the background of the demand for these units is explained before. This raises the rents of each unit. Thirdly, if a customer violates the terms of the contract, like defaulting on rents, the items of those units are auctioned for sale.
A popular show called ‘Storage Wars’ was started in the US where participants compete to get a unit at a good price and then sell the items in it to make a profit.
To sum it all up
The precious points can be narrowed down to a few conclusions – storage sector is definitely a consumer oriented industry which has seen a robust performance and high growth in the developed countries.