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Articles from 2003 In April


Online Payment and Reservation Technology

Article-Online Payment and Reservation Technology

There is no question the Internet is becoming a standard medium for Americans to research companies and products, learn about services and conduct business. By the end of 2002, more than 136 million had access to the Internet. It is predicted that by the year 2004, the number of Internet users will jump to more than 164 million, making the Internet the fastest-growing communication tool in the history of American business.

Another interesting statistic is, in 2002, 48 percent of all Internet users in America had purchased a product or service online. That number is expected to grow considerably over the next three years. The fears Internet users once had about purchasing goods and services online are dwindling. Many are finding the Internet to be a convenient and simple way to make purchases. The Internet is growing and is here to stay. The numbers are there to prove it.

Some self-storage owners and operators are still questioning how the Internet can benefit them and their businesses. Many use the Internet as a simple "electronic billboard" that merely provides information about their companies and facilities. But the real power of the Internet is in allowing customers to conduct business with your company 24 hours a day, seven days a week. Until a business can offer e-commerce, it has not harnessed the full power of this tool.

E-commerce, or conducting business with customers over the Internet, is important to more than 50 percent of all Internet users. Internet-related studies show this number will continue to increase rapidly over the next three to five years. This rapid growth will generate a higher demand for companies to offer e-commerce transactions. Implementing e-commerce now, and teaching employees how to manage these transactions and promote these capabilities, is a key ingredient to future success of any business.

E-Commerce Transactions

Taking a new rental online is more than just securing a potential customer's name or lead from a website. It is allowing the customer to see available inventory and shop prices, educating him about self-storage, and then renting him a unit of his choice using a credit or debit card. The customer should be e-mailed an electronic receipt or confirmation showing the new-rental transaction, just as he would receive a confirmation when purchasing airline tickets online. The customer can then present the confirmation at the facility and complete the transaction by signing the rental agreement and obtaining an access code for the gate.

Once a customer has rented a storage unit, he should be given the opportunity to make payments as conveniently as possible. Paying online is a very efficient method. Online banking and bill paying has become one of the most popular uses of the Internet. Allowing customers to make payments via the Internet is a key to providing better customer service and improving cash flow. E-commerce also gives the storage facility a competitive edge by providing this convenient payment method.

Providing online rental and payment technology allows customers to conduct business with the facility 24 hours a day, seven days a week, 365 days a year. The customer is no longer confined to conducting transactions with the facility during business hours at the self-storage location. Payments can be made at his convenience, wherever the customer may be.

Implementing and Processing E-Commerce

There are a variety of methods to enable a website's capabilities to include e-commerce transactions. There are vendors specific to self-storage that enable facilities to offer e-commerce to their customers. One provides e-commerce services by linking a facility's website to a transaction server specifically setup for self-storage. Through this server, potential customers can view the current availability of units or merchandise for sale at a specific facility. The prospect can then make the decision to rent a unit or purchase merchandise by using a debit or credit card. Payments are handled with the same efficiency as new rentals. An exchange of data and transactions between e-commerce service companies and management software systems makes the integration of online transactions seamless.

Another option enables facilities to offer online rentals and payments through online property-management software, tying transactions to a facility's website. There are also third-party products that were not designed specifically for the self-storage industry but can provide e-commerce services. Banks and other financial institutions may also offer online shopping-cart services or links to transaction servers when you secure a credit-card merchant account.

A potential drawback with shopping-cart service providers is it may be hard to adequately demonstrate which size unit the customer may really need or the availability of a facility's units in real time. It is also difficult to make a payment through a shopping-cart application since no product is being purchased. The most common reason for selecting an industry-specific e-commerce service is it can accommodate the very specific needs of our industry, such as showing unit or merchandise availability and taking a payment for monthly rent.

Maintaining a Facility's Data

One of the key features of any system must be its ability to show and update the number of units and amount of merchandise available, including appropriate pricing and discount information. This data should be easily managed through a simple browser interface or an integrated process with your property-management software. With either method of updating a website's information, the process should be easy to change while maintaining database integrity.

For most facilities and operators, it is not reasonable to purchase costly computer hardware to host a secure web server or incur the costs of qualified personal to design, maintain and update a website and database. It is more cost-effective to out-source this vital service to ensure the facility's data and transactions are hosted by a qualified and experienced company that can maintain the security of the server.

The current generation of 14- to 25-year-olds is being raised and well-trained on the use of the Internet. This generation will demand the convenience and flexibility of renting and paying for self-storage units online. Operators adapting to this new generation of commerce will have the marketing advantage over their technically lagging competition. The Internet is here to stay.

Karen Genualdi is a marketing representative with Scottsdale, Ariz.-based PTI Integrated Systems Inc., which offers a complete, integrated management-control system for self-storage. For more information, call 800.331.6224; visit www.ptiaccess.com.

Rick McGee is the president of Online Self Storage Inc., which provides online reservations and payments, websites and online-directory services to the self-storage industry. For more information, call 520.407.7999; visit www.onlineselfstorage.com.


PTI Integrated Systems

8271 E. Gelding Drive
Scottsdale, AZ 85260
Phone: 800.331.6224; 480.991.1295
Fax: 480.991.1395
E-mail:sales@ptiaccess.com
Web: www.ptiaccess.com

Contact: Business Development

Product(s): TaskMaster, Master Security, Falcon 2000, SiteMaster Graphics

Software Type: Management software

Price Range: $495-$4,000

Designed specifically for storage? Yes

Current version on market since: January 2003

New version to be released: June 2003

Demo: Available via CD or website.

Tech support: Available 24/7. Includes 30 days free support and a standard per-call premium of $540 annually. Support hours are 8 a.m. - 5 p.m., Arizona time, for the toll-free number and e-mail. Support is available via cell phone after hours, 24 hours a day.

TaskMaster is a user-friendly, Windows-based management-software program designed to handle all aspects of the self-storage business. The customer-based system simplifies management of collections on delinquent accounts, assigning multiple rentals, consolidation of billing, and a one-step payment process for multiunit customers. TaskMaster manages merchandise sales, inventory, insurance and other income; and provides infinite customer history with demographic profiling for use as a marketing tool. Automatic functions are available for daily processing of rents, late fees, default correspondence, credit-card processing, FTP/e-mail, accounting exports, and extensive reporting capabilities for accrual and cash accounting. The software's Home Office System enables management to access a facility's real-time data from a remote location. It offers a variety of reports to manage finances, marketing and budget forecasting. The Master Security System is a computer-based security-management system that runs with TaskMaster. It tracks security within a customer's account and controls all security devices. Falcon 2000 is the Windows-based computer interface between the facility operator and the standalone Falcon Security System. It is user-friendly and conveniently retains infinite history of access for easy reference.

On Loyalty and Perserverence

Article-On Loyalty and Perserverence

On Loyalty and Perserverence

DEAR INSIDE SELF-STORAGE,


Besides being a great manager, Sherry is also a gifted cook. The tenants know every holiday she will whip up batches of brownies, breads and cookies. Former tenants still stop by for coffee and cookies and to visit honey.

Would anyone believe a mini-storage manager has been on the same property for more than 15 years, runs it as a single manager, helps operate two other mini-storages, and still keeps occupancy levels high?

Sherry Langley is such a manager. She took over management of Danforth Mini Storage in Edmond, Okla., in February 1987. Sherry had some experience managing apartments but knew little about self-storage. However, she figured it would be easier to manage self-storage than an apartment building. The job of managing a run-down facility can be overwhelming, even for an experienced team. It was surely a challenge for a single woman on her own.

But Sherry took it on, managing the property from an office with a salvaged desk and a worn-out chair. She kept the office open seven days a week, operated without a computer or golf cart, and often waited weeks for bills to be paid or a payroll check to arrive. This was the way Danforth Mini Storage was run until its foreclosure in 1992.

I nearly made the biggest mistake of my life that year. After purchasing the facility, I realized Danforth was a good property with a lot of potential. But I didn't think a single woman could run a 55,000-square-foot facility by herself. I was going to replace her with a management couple. I gave her a couple of months' notice because I had yet to find a replacement. But I soon realized Sherry was the best part of the purchase.

Danforth Mini was in a great location but had been neglected by the former owners and needed a lot of attention. Over the next few years, under Sherry's diligent supervision, driveways were repaired, buildings were painted, and new fencing and a wrought-iron entrance gate were installed. She also added road signage and landscaping. In 1998, a complete remodel of the office/apartment was completed. Some customers still ask if this is a "new" property and are amazed when they hear it is 20 years old.

Of the many good attributes with which Sherry is blessed, her super memory is among the most notable. I don't know if it is "photographic," but I do know she knows all 462 of her tenants, their unit numbers and probably what they put into the units years ago. She also remembers repeat customers who return years later-they are always impressed she remembers them.

Sherry keeps the property clean. She sweeps the units, repairs doors, cleans roofs, maintains beautiful flowerbeds and often can be found helping customers load or unload. She's also a first-rate businesswoman. She is an experienced dead-beat chaser and can track anyone. Collections are just not a problem, and if you don't pay, she takes it personally. Even though she is only 5 feet tall, with a size 4 1/2 shoe, she can evict a 6-foot, 200-pound man and somehow have him smiling on the way out the gate.

Sherry does have one weakness--her miniature poodle, Honey. Many customers drop in the office just to visit the four-legged co-manager. In fact, last Christmas, Honey enjoyed treats and gifts from nearly 20 tenants.

Besides being a great manager, Sherry is also a gifted cook. The tenants know every holiday she will whip up batches of brownies, breads and cookies. Former tenants still stop by for coffee and cookies and to visit Honey. When new customers come in and ask, "Are you the lady with the dog, or are you the lady that makes great brownies?" we know a happy customer has referred them.

With three new facilities recently opening within three miles of Danforth, Sherry has managed to keep occupancy up. Not only does she run this property successfully, she also helps out every day at two other facilities in nearby Edmond.

There are a couple of things about Sherry I can't seem to change. She just refuses to take a vacation (she says she loves her house and customers and doesn't want to leave). And, after 11 years, she still calls me Mr. Howard instead of Bill like everyone else. Guess I'll just have to put up with this because, luckily, she refuses to change!

Sincerely,
Bill Howard
Owner, Danforth Mini Storage
Edmond, Okla.

Software: Choosing a Vendor and Tech-Support Package

Article-Software: Choosing a Vendor and Tech-Support Package

Recent growth in self-storage development has spawned the birth of new software packages. Our industry is perceived as lucrative for the software provider and new vendors appear often. Many soon find out they cannot make the big money and quick gains they anticipated, and they quickly disappear. Some discover software for other industries can be a more profitable venture. Unfortunately, these companies will have made some sales in the interim, thus leaving those customers "hanging out to dry" with no support or enhancements.

The advent of new companies has contributed to the wide range of cost differences in management-software packages. Prices range from a few hundred dollars to several thousand. Low-end packages are just that--low-end. They sell for $400 or $500. What they provide is little more than billing software. The fact of the matter is the rest of the programs out there should be able to run the operations of the storage-rental office.

The decision of how much to spend on software should be based on the individual needs of the business. The information the package provides should be what the owner needs. Features should be weighed against cost. If I have one facility with 400 units, I probably do not need a web-based system with five networked computers in the office. On the other hand, if I am responsible for 50 storage sites, I may want to consider the features more intricate programs provide.

Cost differences are sometimes tied to the amount of features and benefits the product provides, but not always. Some high-priced programs warrant the price tag, based on all that is contained within. However, some may not. It is also quite possible mid-priced packages may provide all the owner requires and more.

It should be kept in mind that for a software company to supply a quality product and support, it needs to charge enough to cover its costs of running the business. If the purchase price is so low the company is unable to stay operational, everybody loses. It should be a win-win relationship between purchaser and provider.

Be on the lookout for gimmicks and freebies. That old adage, "You get what you pay for" holds true here. Like Shakey's Pizza founder, Sherwood Johnson, used to say, "Those who sell their product for less know what their product is worth."

Choosing the Right Package

Begin by building a list of unique needs. Start with the basics. How does the program take care of the day-to-day operations, such as taking payments, move-ins, move-outs, transfers, etc.? If you are not sure what to look for in a package, talk to operators who use different software. Tradeshows are a great place to find out what other people do. Keep in mind that what's right for one of the big self-storage conglomerates may not be right for your smaller operation. Also be aware that software sellers will try to tell you what is important based on what is contained in their programs. What is truly important is how you want to run your business, not how they say you should.

Some packages will accomplish specific functions slightly different than you expect. Do not necessarily rule these out solely for that reason--unless you feel the differences are crucial. No package will function exactly as you envision. You have to decide which features are deal-breakers. Look for overall flexibility and functionality in the program.

Identify the packages you want to review, then request demos and literature from each manufacturer. As you review trial software, compare it to your list of needs. Document questions to ask. Evaluate those items that are important to how you want your rental office to operate.

Compare the system operation with your lease agreement. Does it print at the appropriate time during the transaction? Can you print more than one copy? Is it customizable so you may have your own lease inherent in the system? New facilities should make sure their lease agreement complies with state self-storage laws. Consult an attorney.

Choosing the right package should be made based on your skills, knowledge, experience and involvement as an owner. If the package is right for the business but is not your manager's first choice, the needs of the business should take precedence. Make your own comparisons. If you have an existing site, find out how current customer data will be entered.

Finally, make an implementation plan. Set a "magic date" to go live. Make it comfortable, not hurried. The users of the program will need to get up to speed. Some owners will make the change at the end of the financial period, that is, at the end of the month, quarter or year.

The Vendor Relationship and Tech-Support

It is imperative to identify vendors with tenure and experience in self-storage. Some companies market to other industries. Others are small or new, and do not have the resources to support their product on a full-time basis. In some cases, growth happens so quickly support staffing does not keep up. Core institutional memory can be lost as personnel changes. This can affect the quality of tech support.

As your operational needs change, the program will need to adapt. Make sure changes can be easily made at the site. Ask for and review the system documentation. The quality of the manual can tell you a lot about the company. Has it taken the extra time it takes to finish the task?

The amount of training offered can also tell you how committed your vendor is to the overall success of your business. Is there a tutorial or training database? Scheduled school or training classes are now being conducted by many suppliers. Some can recommend outside help for training as well.

A quality software provider will help you with the initial setup of your site. This will make your life easier--and theirs, too. Updates should be offered on a regular basis. Many of the new features will be suggestions from existing customers. This shows the company recognizes the importance of having software that keeps up with the times.

As mentioned previously, you want a company that charges enough to be around for the long haul. This is true for support, too. In most cases, the companies who charge more for it provide better support. Beware of those who claim 24/7 technical support. The quality of help during nonpeak business hours will suffer. It may even affect the overall quality of technical help. Do not forget to ask about the original warranty period included with the purchase. Methods of support and hours are also important. Do they offer online help or users' groups? In which time zone are they located?

The software vendor should be well-respected in the industry. Talk to its customers. You want to have an ongoing, working relationship with the company you choose and the specific person with whom you deal. You can benefit from the self-storage experience of that person. The individual you work with should truly care about making your business more successful, not just about writing an order.

John Fogg is general manager for Sentinel Systems Corp. of Lakewood, Colo., which has been manufacturing self-storage software and security systems since 1975. Though he has worked in self-storage since 1986, Mr. Fogg has been with Sentinel for the past 11 years. He can be reached via e-mail at jfogg@sentinelsystems.com; call 800.456.9955; visit www.sentinelsystems.com.


SENTINEL SYSTEMS CORP.

1620 Kipling St.
Lakewood, CO 80215
Phone: 800.456.9955
Fax: 303.242.2010
E-mail: sales@sentinelsystems.com
Web: www.sentinelsystems.com

Contact: John Fogg

Product(s): WinSen Property Manager

Software Type: Management software

Price Range: $1,500-$2,600

Designed specifically for storage? Yes

Demo: By request or via website.

Tech support: Cost is $200 per quarter. Online support is available 24/7; phone support is available Monday-Thursday, 8 a.m. - 5 p.m. MST, and Friday 8 a.m. - 4 p.m. MST.

With the WinSen property manager, everything an operator does to manage his self-storage business is integrated, creating a comprehensive management and security system. WinSen Property Manager and WinSen Property Sentinel combine management and access systems into one easy-to-use program. For the first time, managers can operate from a single database for security and management, providing broader capabilities, more organized site information and greater flexibility in reporting functions--which add up to a more profitable business. WinSen comes with its own report-generating software called Crystal Reports, so data reporting can be customized and personalized to meet any accounting requirements. WinSen versions v2.11 and higher also incorporate automatic credit-card processing via IC-Verify. WinSen, produced by a company with more than 28 years in the business, is easy to use and comes accompanied by quality technical support.

Recognizing and Reducing Slips and Falls

Article-Recognizing and Reducing Slips and Falls

Self-storage owners should be concerned with recognizing and reducing liability exposures. One of the largest types of claims seen among insurance companies is the ever-popular slip-and-fall injury.

Judges are cracking down on storage owners who allow dangerous conditions to exist, contributing to such injuries. The awards juries give to injured parties seems to grow every year; therefore, it is important to take precautions. In this article, you will read some suggestions on how to recognize and prevent some potential hazards that could result in a slip-and-fall accident and tips on what to do if an accident should occur at your facility.

Awareness is one of the most important factors in protecting customers from falls and your facility from lawsuits. Be aware of your responsibilities under the law, potential hazards at your facility, and your need to do everything a responsible person should to prevent accidents. Court decisions usually favor those who take proactive measures against mishaps.

One of the best keys to prevention is to walk around your facility to determine what could potentially go wrong and what you can do to prevent those situations from occurring. For example, you may discover a large pothole outside of one of your storage units needs to be blocked off and covered, or a loose step or broken piece of concrete that could cause someone to trip. You may find less obvious risks, such as a worn or curled floor mat in the office of your facility, which, ironically, was intended to prevent slippage.

A careless employee can also create a potentially dangerous situation in the normal course of his work. For example, one of your employees could leave a wet floor unattended for a few moments while mopping. Courts have been known to hold management responsible for the actions of their employees in these situations. Once again, a preventive response is the key. In this case, advise your employees of a specific risk and enforce such policies as posting a "Caution! Slippery When Wet" sign in the area being cleaned.

Some storage owners find it beneficial to hold regular accident-training sessions with their employees. Enforce quality-control measures in your facilities and equipment, and keep documented records of all preventive maintenance conducted. Hire competent employees, and routinely monitor their performance. If you are not onsite every day, it isn't a bad idea to periodically drop by unannounced to spot any unforeseen risks.

No matter how carefully laid your plans may be, accidents still happen. If someone at your facility suffers an injury, take immediate action by first seeking medical attention for the injured person, then document all known facts surrounding the incident. If a trip to the hospital is necessary, make sure the injured party goes in an ambulance--do not use a personal or company vehicle to transport him. If possible, try to get a written statement from the injured person and take a picture or camcorder footage of the site where the accident occurred. Get all the following information in writing:

  • Name, address and phone number of the injured party
  • Date and time of the accident
  • Names of employees on duty and any witnesses
  • Details about what caused the accident (Was it caused by the tenant or a pre-existing hazardous condition?)
  • Information about when the site was last cleaned and inspected for hazards

Getting this information is crucial because it will help accurately reconstruct the events in case a lawsuit arises.

Secure yourself and your facility with adequate amounts of business-liability insurance to protect yourself from these types of incidences. A limit of $1 million should be considered the minimum amount of coverage for even the smallest facility. Remember to always check with your insurance agent or a legal advisor you can trust before making any changes to your current policy.

Universal Insurance Facilities Ltd. offers a comprehensive package of coverages specifically designed to meet the needs of the self-storage industry. For more information, or to get a quick, no-obligation quote, write P.O. Box 40079, Phoenix, AZ 85067-0079; call 800.844.2101; fax 480.970.6240; e-mail uif@vpico.com; visit www.vpico.com/universal.

BETCO Inc.

Article-BETCO Inc.

When partners Sam Sabri and Boyd Whitney formed BETCO Inc., they applied a single philosophy that has ensured the company's success and expansion: responding to customer's needs. Within two decades, the company has evolved into a single-source supplier for self-storage structures and components, and a leading provider for three major categories of metal-building products.

BETCO--the "Builder Engineering & Technology Co."--was established in 1984 in Statesville, N.C. The company designs and manufactures pre-engineered, prefabricated metal buildings for light industrial, commercial and agricultural use.

When the company broke ground in 1988 for its corporate office and manufacturing facility, it was the responsibility of Sabri to market the building components. The following year, the international division, which builds poultry and swine houses, was formed under Whitney. This division also provides low-cost housing to third-world countries.

During the 1990s, the company prospered, although business was limited to the eastern states. A 20,000-square-foot roll former and shipping building was added to the 80,000-square-foot Statesville facility in 1998. The addition allows the company to manufacture roll-up doors and hallway systems under the brand name BDH Doors & Hallways Systems.

Since all products were manufactured on the East Coast, shipping costs were prohibitive if building components were sold far from the source. In response to customer demand, the company expanded into the Southwest by opening a 75,000-square-foot plant and office facility in Bryan, Texas, in 2000.

To address the needs of self-storage owners on a budget, a no-frills building system was introduced in mid-2001 under the brand name SmartStorage. By making gutters, downspouts and insulation optional, owners with an eye on the economy can still purchase a well-made building.

Whether ordering a complete structure, no-frills building or components, customers experience superior service when dealing with BETCO. From initial contact with a sales representative to final construction, the company will guide an owner through all the stages. Field offices are located across the United States with trained sales reps who are familiar with all phases of building a self-storage project and local conditions.

Value-added engineering provides BETCO customers design services that save time and money, and provide a more efficient project and aesthetically superior building. Once products have been ordered, they are shipped at the customer's convenience using dedicated company trucks and specially designed trailers. Trained project managers and field superintendents are assigned to each project to ensure everything moves along smoothly and remains on schedule.

BETCO provides customers a variety of products designed and manufactured for superior performance, and many carry a 25-year warranty:

  • Structures up to 16 feet high with 14-foot roll-top doors can be built to provide RV and boat storage. Bays are 12, 15 and 20 feet wide for easy access.
  • The integrity of BETCO roof panels comes from their 3-inch structural standing-seam configuration with two secondary ribs attached with concealed clips and extended-life, stainless-steel-capped, self-drilling fasteners. Panels are 16 feet wide and made of 22- or 24-guage Galvalume steel.
  • The 30-inch-wide interior paneling is designed to be moveable, with interlocking joints for strength and durability. Protective screw-guard trim channels run along the top and bottom of partitions to eliminate possible interior snag points.
  • Trim and gutters, built of 26-guage galvanized steel, feature a flush built-in kickout that diverts water away from the building.
  • Exterior walls, columns and headers are made of 26-guage galvanized steel. Exterior columns and headers are made of 18-guage galvanized steel.
  • BDH doors and hallway systems are roll formed to a configuration that provides high wind strength and minimum flex.
  • Prepackaged metal buildings in 40- or 50-foot widths are available with four roof and side panels cut to length, in addition to a variety of customized trims.

For those interested in self-storage and wishing to learn more about it, a free CD-ROM or VHS video has been produced by BETCO. For more information, call 800.654.7813 or visit www.betcoinc.com.

European Self-Storage: Access Control and Security

Article-European Self-Storage: Access Control and Security

Two things have been made apparent at recent self-storage conferences: There is fantastic opportunity for development of the self-storage industry in Europe; and the guys in Europe are lucky they have a ready-made product available from their buddies across the pond.

Well, let's just acknowledge and agree with the first item and move on to No. 2. There is no doubt that after more than 25 years experience, the U.S. self-storage industry is a very well developed product and part of the fabric of life for the average American. Although it has not yet achieved a significant level of recognition in Europe, self-storage has a big advantage in being able to cast its eye to the established U.S. and Australasian businesses to learn from their mistakes and cherry-pick the best ideas.

This has provided knowledge for European operators about how to build and run a self-storage business. Operators are able to see first-hand the importance of user-friendly and efficient operation. Part of this lesson includes client perception of and the functionality of security systems.

Importing Technology From Established Markets

So do we have a ready-made product that can be imported from the United States? The answer is no. What we do have are various elements of a complete product that can be mixed and matched, but still need some European development to account for different cultures and languages. As far as access control and security goes, the technology is there, but it needs some adjustments to be used in Europe.

Access-control products that have been specially designed for the self-storage industry are imported from the United States, but the support of a European partner is essential for specifications, project coordination and technical support/service. This also applies to management software, except in this case, a couple of indigenous products have been developed. Dutch self-storage users do prefer to see Welkom, toegang is toegestaan on an entry keypad, and a comma in place of a full stop makes a major difference in accounting.

Going to Market

The U.K. self-storage industry is on its way toward 350 facilities and is, therefore, one or two steps ahead of the emerging markets led by France and Holland. Individual European markets comprise a healthy mix of corporate entities and new startups. There is also a new breed of pan European enterprises led by City Self-Storage.

It is very pleasing to observe the friendliness and camaraderie among European self-storage operators, with only a little bit of competitive edge creeping in as certain geographical areas become more populated with stores. Competition focuses a business and generates thoughts toward differentiation and added value for self-storage users. Self-storage operators are thinking more toward the future, and some are playing catch-up on facility operation. Differentiation and marketing can include branding, positioning, pricing, site-operation, etc.

Added Value

One thread running through all these considerations is access control and security. One comment I heard recently was that these features, in normal circumstances, are a "grudge buy," falling into the same category as insurance; but this is not the case in self-storage. Access control and security systems provide added value to a facility--not just quickly recoverable costs, but an investment for the future. On what scale is this investment? The total investment in a facility in the United Kingdom, for instance, may be between £2 million and £4 million. Access control and security, including individual door alarms, may cost £15,000 to £50,000. This is the price for features that are paramount in the interface with a client and enhanced by customer-friendly service.

Access Trends

There is a trend in the European self- storage industry to allow 24-hour access. A self storage user wants to come and go as he pleases, whenever he pleases, and feel his property is well-protected. The question of 24-hour access may be considered in terms of fact or perception. Would a self-storage client like such access to his personal property? In most cases, the answer would be yes. Would he turn up, having paid for the privilege? Who knows? It's a bit like my gym membership!

Planning for Installation

When do we need to think about access-control and security systems in the planning of a new facility? These systems are usually the last items to be installed, so maybe it should be sometime during construction. But people flow is only one important aspect of an efficient and user-friendly facility and needs to be planned in the early design stage. Then there are the optional extras to consider: tape or digital CCTV recording, lighting, lift controls, telephone interface, music/intercom, etc.

Those people involved in the design, supply and construction of self-storage can make a difference. Once they decide how a facility should operate, it's up to other people to make it a success. Everyone contributes, from the site-manager to the technical-support team. Although the European self-storage industry will still keep a close watch on the development of access-control and security systems developed in the United States, expect to see it develop its own systems to accommodate the requirements of each region and country.

Barry Rimmer is general manager of PTI Europe Ltd., based in Middlesex, England. The company is the exclusive distributor of PTI equipment and software for access-control systems designed for the self-storage industry. Mr. Rimmer has a degree in architecture, with a background in engineering, and has spent many years traveling as an international sales and marketing executive. For more information, call +44 2088 926 317; visit www.ptieurope.com.

Choosing Records-Management Software

Article-Choosing Records-Management Software

This article reviews the basic features to look for when evaluating records-storage software packages, reveals some red flags to watch for, and discusses some of the "wow" factors in new technology that will allow you to compete with the big guys.

You're new to the records-storage industry. Now you need to find the right software package to help you manage your business. Odds are, if you do your homework, you will purchase one that will not only help you get started in records storage, but will allow you to grow into a big player in the future. The key is to be a savvy consumer. Don't get lost in features and techno-talk. Understand what you are buying and take a test drive. This is a long-term investment and should be purchased that way.

As a new records center just starting out or transitioning into records storage, you are probably thinking small--tracking, storage, a few deliveries and printing an invoice. But what happens when those deliveries go from 10 containers to 1,000, and your storage inventory goes from 500 containers to 500,000 containers, files, tapes and documents? You need to think big right from the start. You need to map your entire warehouse, not proceed row by row as your inventory grows. Similarly, you should strategically purchase a system right from the start, not just a piece of software. To begin, look for a fundamental feature you probably don't even know you need: business rules.

Business rules are the foundation of a piece of software. They drive the system and, if written correctly, provide flexibility while preventing costly errors. Some will tell you business rules are limiting. The fact is, well-written business rules limit mistakes, not flexibility. On the most elementary level, business rules will prevent you from having two containers with the same barcode. They will also ensure locations only hold a certain amount of boxes, every item belongs to an account and so on. These variables give you control of your inventory, ensure nothing falls through the cracks and, most important, that you get paid for everything you do. This is ultimately why you got into this business!

RED FLAG! One red flag to watch for is a program sold with many add-ons or modules. Software can be written two ways: completely integrated or piece-meal. A fully integrated package ensures each feature adheres to the fundamental business rules. This is a far more complex form of software development but will ensure the user is protected from critical mistakes. The add-on approach offers a quick fix. Many records-storage software providers have created add-ons to their products to handle web access, etc. This is a dangerous approach. Any add-on not driven by the core business rules leaves the end user open to errors. Don't take this chance.

When looking at the purchase price of your software, include all of the modules. Do not have an "I don't need them today" attitude--you will need them tomorrow. Think of this like buying a car--it looks inexpensive until you added the air conditioning, power locks and other extras. The same goes for record-storage software. Right in the beginning, add in the web access, reporting package and routing package. Then compare apples to apples.

Selecting Software

Now that we have the fundamental elements out of the way and you know to include any modules into your system price, you can look for the necessities: work orders, invoicing, account set-up, tracking, scanning, searching, reporting, etc. Looking at features is a baffling, mind-numbing process. Your best bet is to take a virtual walk through the system. Ensure you understand how you can use it. Try using menu items, look for simple tools such as icons and scroll bars. Make sure these items are consistent. Does each screen follow the same pattern? This will cut down on the learning curve

Next, lift the lid and take it for a test drive. You might think you are going to set up an account, set up a department, set up rates, add boxes, deliver boxes, complete data entry, try to run an invoice--the things you will do every day in your business. There is one problem: This assumes you know what you are doing. If you are starting from scratch, it will all become a blur and, at the end of the process, you will be more confused than when you began. Ask your vendor to see a few processes. For example, pick up a scanner and say, "So, I want to scan boxes. Show me what to do." Then try it yourself.

Most important, you need to ask a lot of questions--questions about automation. Do charges and services tie together automatically or is manual data entry required by your employees? The more manual billing required, the more money you will lose, guaranteed. You want complete automation. The same goes for warehouse scanning. Do you pick up your scanner and go, or do you have to upload or download programs? Again, you want automation. What does the scanner capture and what do you have to hand key? Each vendor will tell you what will appear on an invoice, but how does the information get there and how do you ensure it is accurate? The best way to understand it is to see it firsthand. Don't let a salesperson sell you what he thinks is the best piece of software--let the software sell itself.

The next thing to look for is item-number pricing. The larger software providers sell their packages based on number of items. This means you pay one price if you have 5,000 items and another if you have 500,000. This type of pricing allows the new user to get into records storage fairly inexpensively and compete with the big guys.

RED FLAG! The danger lies in the term "item." An item in one system may mean a box, file, tape or document--any item you may track. In another system, it may mean just boxes. This little variable makes a huge difference. It could mean your price going up in two months or two years. Make sure you understand the true definition of item.

Specific Features

There are two features you must have that are not glamorous but remain necessities: automated backups and technical support. With the nation's red and green alerts, disaster and recovery is on everyone's mind; and at a records center, if you lose data, you are out of business. Your records-storage software must have the ability to back up, and this feature should be preferably automated.

In a nutshell, you want the ability to back up your system when it is live and also maintain transaction logs. A live backup allows you to complete the process while users are still working vs. stopping your operation. Transaction logs capture all the activities performed throughout the day automatically. If you go down, just apply the last transaction log and you are up and running. This is quick and easy.

With regard to technical support, you've got to have it--it is that simple. Life is just not predictable. Technical support is, therefore, not an optional feature. Budget this into your cost of doing business.

Now you get to the "wow" stuff, the features that make you stop and say, "now that's impressive." These are the features that will impress you as well as your prospects. They will make you look less like you are selling storage space and are truly an information manager. Your larger customers are most certainly looking for the latter.

Take a look at your clients' web access. What is the limit of what you can do? Is it a link into a live database or a replicated database--in other words, a copy of the database? Take a look at the point-to-point tracking, referred to by different names by different vendors. Customers are always impressed when they see a list of all their specific boxes come magically out of the printer. Today, printing and scanning has gone one step further. Picture this: With the use of the new 2-D barcode and a Windows Pocket PC scanner, a driver can scan the barcode on a tote and each of the items within it is listed and verified for delivery. One outer scan can list the 200 items in the tote, all without ever lifting the lid.

These same scanners also use wireless communication. With wireless access to a network, users no longer have to place their device in a cradle for communications. Access points that support radio communications will allow users to send and receive scanned information. Multiple users can communicate at the same time through access points at distances of 100 feet or greater. This means no lines to send or receive data and increases in labor efficiency. As you can see, technology has gotten pretty sophisticated, and there is a large range of options out there. Look at the price of each. Are they included? Are they add-ons?

Final Considerations

With all software, technology changes rapidly and you never want to be left behind. Ask each vendor about upgrades. How often are upgrades produced and how much do they typically cost? Are they included with the price of technical support? Upgrades can turn out to be an unforeseen expenditure, so do your homework in advance.

Generally speaking, there is not a major records-center software company out there that does not have a quality product. But the features, pricing and all around support will make the difference. Talk to current users to cut down your learning curve. You might consider attending a conference hosted by PRISM International (www.prismintl.org), the association to which the majority of records centers belong. Attend one conference and you will learn more about the available software products than you could ever find out on your own. Finally, visit software-vendors' websites. Look at what each company has to offer and what resources are available to you. You can do a lot of homework before ever talking to a salesperson.

Purchasing records-storage software is one of the most critical decisions you will make with regard to getting into the business. This one item will be just as important as your real estate. Lose a box and you diminish the integrity of your services. Do it more than once and you will tarnish your reputation. Therefore, doing research is paramount.

It is difficult to compare vendors. Many will do what is called "feature dumping," or listing features that often do more to confuse than inform. Call the vendors. Let each perform a live demo for you. See it and then try features yourself. Ask key questions, look for red flags, and understand the pricing and technical support you will receive. Then take the time to learn how to use the software in the beginning, not when you are too far down the road. Once you know the facts and have test-driven the software, the purchase will make itself. Now if only you could find someone else to help pay for it--for that you are on your own!

Anne Sommi Edmonson is the director of marketing for O'Neil Software Inc. For more information, e-mail oneilnj@comcast.net.


O'Neil Software Inc.

8 Mason
Irvine, CA 92618
Phone: 949.458.1234
Fax: 949.206.6949
E-mail: sales@oneilinc.com
Web: www.oneilsoft.com

Contact: Ian Thomas

Product(s): RS-SQL, RS-Web, RS-Mobile

Software Type: Management software, records-management software

Price Range: From $1,195

Designed specifically for storage? No

Current version on market since: 2000

New version to be released: Within the next six weeks. Will introduce a document-management feature, 2-D barcodes, wireless communication and more.

Demo: Available through website, via e-mail, or by calling 949.458.1234, ext. 280.

Tech support: Now includes company's exclusive E-support. Cost is $370 per year. Available 6 a.m. - 6 p.m. (PST) in United States; 6 a.m. - 6 p.m. (GMT) in United Kingdom; 6 a.m. - 6 p.m. (QLD) in Australia.

With more than 20 years of experience in records-storage solutions and offices worldwide, O'Neil users number greater than 700 in more than 46 countries throughout the world. The company's comprehensive RS-SQL records-storage software includes consistent upgrades, enhancements and unmatched features. It is also available in a small-business edition that includes software, hardware, how-to guides and training. Other O'Neil solutions include barcodes, laser scanners, printers, industry education and more. Subscribe to the company's free industry magazine, The Strategic Partner, via e-mail or the website.

The Internet and Self-Storage

Article-The Internet and Self-Storage

It has been stated that the Internet is a solution looking for a problem. And while some companies seem to have found a niche--a problem to solve--on the World Wide Web, many others have tried and failed. What about self-storage? Do we have problems the Internet can solve?

I don't know that we should call renting spaces a problem, but it is certainly a priority. And many self-storage companies are finding that having a website for their facilities helps rent spaces. They don't yet generate a lot of inquiries, but they do generate a few each month.

When you think about it, the Internet opens up your advertising range to, quite literally, the whole world. And who knows where your potential renter is coming from? A storage facility in Australia reported renting to a customer in Russia who was in the process of moving Down Under. People on the move have always played an important part in the self-storage business. Now, the Internet allows them to shop for storage before they even pack up the furniture.

On the local front, potential customers are more likely to use the web to gather information and then pick up the telephone and call the site. In that case, you want to be sure you have a web presence so you can be considered along with everybody else. Nowadays, some people will go to the Internet instead of the Yellow Pages. So be sure your web page puts all your facility's pertinent information, such as location and telephone number, where it's easy to find.

Staying Connected

A different problem occurs when your renters move again. You mail delinquency notices and the post office returns them because the address is no longer valid. Don't give up. If you collected an e-mail address, the Internet can help you here, too, because e-mail addresses usually don't change even when mailing addresses do. In most states, e-mail does not qualify as legal notification, but it may actually reach the occupant, get your rent collected, and get a correct mailing address to which you can mail the legal notices.

E-mail can also solve some in-company communication problems. Reports can be automatically e-mailed to a corporate office or site owner on a regular basis--much easier than fax copies or regular mail. For managers who travel a lot, e-mail becomes an easy method of communication. If you're very busy or in a different time zone, it's convenient to review memos and reports and reply to them on your own schedule.

Efficient Enterprise

Besides new features, many processes that have had to use dial-up modem connections in the past will operate more smoothly with a faster, always-on Internet connection. We've seen a great improvement in credit-card processing when a modem connection was switched to DSL. With a modem, every time a customer pays with a credit card, the modem must dial a number and make a new connection. Transferring information must proceed at the speed of the slowest modem and, because the credit-card industry must accommodate some pretty old equipment, its modems are typically quite slow.

Further problems can develop because telephone lines used by modems can be noisy, causing data transfer to be slow or not to work at all. And, if you're processing a whole batch of rent charges, the modem may lose the connection after a period of time and you have to start the whole process over again. With a broadband connection such as DSL, the connection is always on, so there is no waiting while a connection is made, no noise to interfere with data transfer, and the speed is more than 10 times that of a modem. Many problems that were thought to be inherent to credit-card processing disappear when a better connection is made available.

Avoid the Hazards

What's the down side? Many storage owners are concerned about viruses, and no wonder. Viruses certainly get a lot of press these days, and there's no question they can cause damage to your files and waste time with the clean-up process. But there are some companies that specialize in virus protection, and they do a very good job of it. You can subscribe to McAfee or Norton online virus protection for about $35 per year. These companies make it their business to stay on top of virus scares and notify you when they have an update. It only takes a minute or two to update and you're protected from the latest hacker.

Or is it your own employees spending too much time on the Internet that concerns you? While access to the web can be beneficial for purchasing supplies or gathering other kinds of information, it is not necessary for any of the processes discussed above. A browser (such as Microsoft's Internet Explorer) is required to surf the web, and browser programs can easily be removed from your system. Ask your local computer technician about removing browsers and preventing employees from reloading them.

So, you've decided to get connected. What's next? You will need a broadband connection. The most affordable options are DSL or a cable TV connection. Either will do a good job for you, and that's a good thing because you usually have to take whatever is available in your area. For DSL, you must be located within a few miles of the telephone company's office. For a cable TV connection, your local cable company must have upgraded their equipment so it can offer Internet services. The cost after installation for either of these connections runs about $50 per month.

The World Wide Web is the fastest growing technology in history. It can help you grow, too.

Ramona Taylor is president of Space Control Systems Inc., a provider of Windows-based management software for self-storage. For more information, call 800.455.9055; visit www.spacecontrol.com.


Space Control Systems Inc.

206 Providence Mine Road, Suite 118
Nevada City, CA 95959
Phone: 800.455.9055, 530.265.3133
Fax: 530.265.6504
E-mail:info@spacecontrol.com
Web:www.spacecontrol.com

Contact: Steve Quinn, Gilbert Bohen

Product(s): NX.gen

Software Type: Management software, online management/accounting software, online-payment technology, online-reservation technology

Price Range: $1,980+

Designed specifically for storage? Yes

Current version on market since: 10 months

New version to be released: July 2003

Demo: Available via phone, e-mail or Internet request.

Tech support: Available via phone, e-mail or fax, 7 a.m. - 6 p.m., from $50/month and up.

Space Control's all new NX.gen is a powerful web-enabled storage-management software. It uses Internet technology to connect an owner to his facilities anytime from anywhere. Reports can be e-mailed automatically, or a user can log on to receive current and historical information for individual or groups of sites. Customers can make payments or reservations online. NX.gen provides total rate management, automatically adjusting move-in rates based on supply, demand, time of year and occupancy levels. It can also automatically increase occupant rents on the move-in anniversary or any date the manager chooses. The program is simple to use. The customer's entire history is displayed on a single screen, including balance and paid-to date for easy tracking. Every charge, payment, late letter, rent increase or returned check is shown, including who made each entry.

A Note to Buyers and Sellers

Article-A Note to Buyers and Sellers

"It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of light, it was the season of darkness, it was the spring of hope, it was the winter of despair, we had everything before us, we had nothing before us, we were all going direct to heaven, we were all going direct the other way..."

Charles Dickens' famous opening line from A Tale of Two Cities can be used to describe a typical sale between two parties in a real estate transaction. In other words, one party's gain is typically the other's loss. There is, however, an unusual situation that exists when buyer and seller can both win.

Today, we have the happy circumstance in which buyer and seller can achieve their goals in a sales transaction without hurting the other's position. Clearly, positive economics do not resolve all of the differences that may occur in a real estate deal. However, given reasonable expectations and a measure of goodwill, the current economic climate will allow buyers and sellers to more quickly find common ground. Let's take a look at why this unusual circumstance exists today.

Financing

I'm sure most would guess low interest rates have something to do with our pleasant plight. While this does not come as a surprise, understanding the rarity of the low rates and the magnitude of their impact is worth more than a cursory nod.

Interest rates have been at historic lows and have continued to fall under pressure from the Federal Reserve to encourage the recovery of the economy. The Fed has cut rates 11 times without stopping to even take a breath. Fortunately, these actions appear to have worked their magic and reversed (or at least slowed) the recession before it had its usual run of malaise. This effort by the Fed has driven interest rates to their lowest levels in many years.

But now we hear the Fed may be having different thoughts about the direction of interest rates and may well begin to raise them in the not too distant future. To see what this change in rates means to potential buyers, we will construct a typical sale to show how lower interest rates will make the buyer more enthusiastic about a property:

Details About Our Sale Cash-On-Cash Return
Revenue $315,000 Loan @ 6.25% 18.40%
Expenses $105,000 Loan @ 7.50% 15.40%
NOI $210,000 Loan @ 8.50% 13.00%
Cap Rate 10.5 Loan @ 9.50% 10.50%
VALUE $2,000,000
LOAN $1,500,000

As these results illustrate, the return to a buyer is about 41 percent higher on the same deal when interest rates are just 1.75 percent lower. The best part is this increase in return costs the seller nothing, i.e., the buyer and the seller both benefit.

There is also a valid argument that there are more buyers for properties providing a 15 percent return than for properties with a 10 percent return. This increase in the number of potential buyers results in a much faster sale. While not all owners are busy doing this math, many buyers I spoke with at the Inside Self-Storage Las Vegas Expo had this formula in mind. I'm sure this happy convergence of positive economics had a lot to do with the exceptionally large attendance at the show.

In addition to low interest rates, there is also an availability of financing for quality self-storage facilities. Although underwriting of loans has become much more difficult and thorough, funds are still available. Because of troubles in other types of real estate, lenders are becoming more cautious and concerned about real estate in general. This disappointing performance by other real estate types may ultimately affect the availability of lending for self-storage.

Confidence

So far, the recession has appeared to minimally impact the self-storage industry, giving potential buyers confidence in the ability of self-storage properties to produce consistent returns. This trend is reflected in the foreclosure percentages for various types of real estate, with self-storage being the lowest by a very wide margin. Reducing general uncertainty in the market helps buyers and sellers achieve their respective goals in a transaction. An increase in realistic confidence benefits both, without a cost to either party.

Recession Recovery

If there is no war and the recession is really over, potential buyers can look forward to possible increases in rental rates and occupancies. Given the expected turnaround in the economy, this allows buyers to be optimistic about the future. Clearly, the seller is not penalized in the transaction because of this fortuitous turn of events, and the buyer will benefit by "buying at the bottom."

Let us revisit our hypothetical transaction and see what just a little optimism would do to the buyer's pro forma for next year. Even if the recovery is not vigorous, a reasonable assumption might be a 3 percent increase in occupancy and rental rates. With such assumptions, the revenue would increase by $18,900, the NOI would increase to $228,900, and the cash-on-cash return increases even more. These returns will cause most serious investors to pay attention.

Competing Investments

With the stock market having given investors a harsh lesson over the last couple of years, they remain anxious about the future security of their stock investments. Likewise, other types of real estate are out of favor because of the effects of 9/11 and the real estate recession. Thus, investors are very intrigued with the real cash flow and the security of self-storage investments.

One of the great advantages of a self-storage investment is an investor can "see" and "feel" it and easily understand the underlying business. A self-storage investment is a lot more intuitive than a hedge fund or a manufacturer of Internet routers. In other words, most investors don't need Arthur Andersen to explain the numbers.

All Good Things Come to an End

Alas, my friends, it is my sad duty to report this unique time will come to an end. Interest rates will go up, lenders will be difficult, buyers and sellers will be back to fighting over the same dollars, doubt will surface again, and the promise of future gains will be less certain. I wish I could predict exactly when this would happen, but I can't. However, my guess is it is somewhat sooner than later. Buyers and sellers will be asking, "Why didn't I do something in 2003?"

I also have to tell you that despite the best of times, the positive economic situation will not make a jewel out of a bad property. Although buyers have incentives to purchase, buyers have not suspended common sense or forgotten how to run the numbers (or contact someone who does). The chances of a seller finding "the greater fool" are about the same as Linus finding the Great Pumpkin. It is a great time for a fair deal, but these good times won't make just any deal work or a deal work at any price.

Michael L. McCune has been actively involved in commercial real estate throughout the United States for more than 20 years. Since 1984, he has been owner and president of Argus Real Estate Inc., a real estate consulting, brokerage and development company based in Denver. In January 1994, he created the Argus Self Storage Real Estate Network, now the nation's largest network of independent commercial real estate brokers dedicated to the buying and selling of self-storage facilities. For more information, call 800.55.STORE or visit www.selfstorage.com.

Taking the Plunge

Article-Taking the Plunge

Are you among the tens of thousands of storage facilities that have yet to purchase Windows management software? In the early 1990s, software choices were DOS management software or DOS software with a Windows face. Then Bill Gates and Windows became the wave of the future and software companies tripped over themselves in a rush to make their first Windows offering. These first Windows products were sometimes incomplete and unreliable. Only the brave dared to install version No. 1.

This opened the door to a flood of new-to-market software vendors that, while lacking the industry knowledge, brought Windows programming expertise. The mighty DOS companies had to write better Windows programs or perish. The road to the 21st century is littered with software companies that could not make that transition.

Decent management software can analyze your unit mix and rental rates. Computerized operations free your manager to provide increased customer service. But Windows management software makes it possible to electronically collect your rents and automatically reduce your operating expenses, and gives instant remote access to your business files.

Today, you may be happily using a DOS program on an older computer, but the winds of change are closing in. Computers from the late 1990s have an average operating life of about five years so, eventually, your computer will die. Microsoft's latest version, Windows XP, often refuses to let DOS management software operate. Yet Windows XP is what you will find on most new computers. If you do not make the transition to Windows now, you may soon find yourself in a panic search for new software.

If you are currently using DOS management software, the natural choice is to upgrade with the same software company with which you are familiar. However, familiarity does not ensure this is the best choice. Other things to consider include price, usability, reputation, support and expandability. Let's examine each of these.

Price

The advertisers in this issue have prices ranging from free to $5,000. Price does not automatically infer value, and you must be careful. At one end are the companies that ask high prices, even after your trade-in value. At the other extreme are companies that offer their software for free, believing a happy customer will return to purchase future products and services. Most companies are somewhere in between. Just don't forget about hidden costs, such as the ones outlined below.

No one buys a car without paying more than the advertised price. This is why you should always ask the company for the total at-my-door cost to have exactly what you need. For example, if you want your management software to integrate with a security system, ask if that is included in the quoted price.

Some companies price their software based on the maximum number of tenants they allow you to track. One day, you might add partitioned shelves behind the counter and rent that space as mail boxes, or you might use phase-two land for RV storage. These income sources also count toward your maximum number of units. Will the version you are considering allow that growth? If not, what is the price to upsize, and for how many years will the company guarantee that price? Then there is the cost for shipping, taxes and any required extras. Once you know the real purchase price, you will be better prepared to compare your software choices.

Usability

No software package is worth a penny if your managers require extensive training to use it. The functions of a good software should be obvious. Controls should be clearly labeled and easy on your eyes. If you have just installed a demonstration CD, consider not looking at the user's manual until after you have tried to take a payment and perform a move-in. What was your experience? Will your employees be able to navigate the software? Like any business tool, management software must be fully used to realize its full value.

Reputation

A company with a brand name is one with a reputation to uphold. While it cannot guarantee your happiness, it does mean the vendor has one more reason to seek your satisfaction. Fancy sales materials only imply the company has a good marketing department and an expensive advertising budget. A shiny promotional packet is no substitute for a quality product. Look to companies that offer innovative features, as they are investing in their future and yours.

Companies with large market share are likely to be around to supply your future needs. They can afford to hire programming and support talent to bring innovations to their current and future versions. If you don't know which software is popular, ask other facilities what they use and if they are pleased with the product. Facilities outside your market will be more candid with their views since you will not become their competitor.

Support

The best support is that which you don't need! What is really necessary is easy-to-use software with a reputation for reliability. Otherwise, you could lose thousands of dollars in employee productivity as they repeatedly call technical support trying to get the software to fulfill its promise. A software company that offers a year of unlimited support is a company that is confident in its product. And if you ever need support, the technicians should be available on weekends and holidays.

When you purchase management software, you may also receive several other programs required to use the management product. As such, you are investing in the integrations between these products. For example, several management software programs offer a credit-card feature. If that feature requires you to install another company's processing software, you will have two companies to deal with if you experience erroneous or missing charges. Likewise, if your software has an invoice e-mailing feature that requires you to use Microsoft Outlook, you will have to call Microsoft for e-mail support if a problem arises.

Your management software may also have third-party integrations with your report writer, access control and Internet-based reservation feature. There may be products from half a dozen independent companies that were installed by your management software. Each time a new vendor becomes involved, a new potential point of failure is introduced. This is especially true if you unintentionally alter or update any of these integrated programs. Before you buy, ask your software provider who will support these third-party products should a problem arise.

Expandability

When your business plans are fully realized, you will grow to have a larger facility and possibly several locations. Will the software vendor be able to accommodate that growth? For example, does the company offer the ability for the manager at your first facility to remotely make reservations at your second location? Can you access your site data at any time from anywhere? Does the software offer rent collection at the access gates and via the Internet? In short, does it offer the products today you may need tomorrow?

The management software you choose will have a substantial impact on your ability to remain competitive. If your employees can use the full benefit of your software, you will have a wealth of marketing tools at your fingertips. When you choose management software, you are investing in your future.

Doug Carner is on the Western-region board of directors for the Self Storage Association. He is also the vice president of QuikStor Security & Software, a California-based company specializing in access control, management software, digital video surveillance and corporate products for the self-storage industry. For more information, call 800.321.1987; e-mail doug@quikstor.com; visit www.quikstor.com.


Quikstor Security & Software

Sherman Oaks, CA 91423
Phone: 800.321.1987; 818.922.2000
Fax: 818.501.5785
E-mail:sales@quikstor.com
Web:www.quikstor.com

Contact: Doug Carner

Product(s): QuikStor

Software Type: Management software, accounting software, online management/ accounting software, online-payment technology, online-reservations technology

Price Range: Free and up

Designed specifically for storage? Yes

Current version on market since: January 2002

New version to be released: January 2004

Demo: Software is free.

Tech support: Video assistance 24/7; phone assistance daily.

Labor-saving, feature-rich management software. Built-in interactive multilevel help systems. Automatic online rent collection with the industry's lowest banking fees (1.59 percent plus 30 cents for credit cards and only 21cents for checks). Postage-saving automatic e-mailing of payment receipts and delinquency letters. Integrated, digital tenant photography. Complete accounting through QuikStor-Quickbooks integration. Automatic off-site data backups. Same-day data conversion from current management software. Pay-at-the-gate access keypads. Weather/vandal-proof keypad enclosures with intercom and hidden-camera options. Rentable wireless door alarms for storage units and recreational vehicles. Customer self-service reservation/ payment kiosks. Corporate enterprise software gives instant and simultaneous access to a site's data from anywhere in the world. Call-center option allows for multisite and/or after-hours reservations. Free NSF check-collection service. Secure, better-than-DVD resolution, digital video surveillance. Low-light, wireless and wire-free digital cameras. Turnkey software, security and installation packages. QuikStor's exclusive modular design allows customer to purchase only the software and security he needs and expand as his needs grow. On-staff licensed contractor and engineers. ISO-9000 certified production.13908 Ventura Blvd.