The self-storage market provides storage units or lockers for both business and personal uses. Used to temporarily store belongings, possessions, or records that need to be kept for future use but not needed in the owner’s primary living or working space. Self-storage units provide customers with 24/7 access to their personal storage needs without making unnecessary long-term commitments and typically range in size from 5 square feet to over 1,000 square feet.
The global self-storage market is estimated to be valued at US$ 55843.56 million in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
The increasing space constraints in urban residential areas is expected to drive the growth of the self-storage market. With the rise in urbanization and the cost of residential properties in major cities, people are compelled to downsize their living spaces resulting in limited storage area at homes. Self-storage units allow homeowners and renters to safely store their belongings that are not regularly needed and free up storage space in houses and apartments. This is expected to boost the demand for self-storage facilities across major cities. Further, the growing trend of uprooting jobs and requiring frequent relocations due to job transfers is also propelling the need for temporary, cost-effective storage solutions. Self-storage services provide flexibility in terms of duration of rentals allowing consumers to rent storage units only for the duration required, thereby saving costs otherwise incurred in renting larger living spaces with unnecessary storage area. This also reduces long-term commitments making it an attractive option for consumers frequently on-the-move for work.
Segment Analysis
The global self-storage market can be segmented based on type and end user. Based on type, the market is segmented into climate-controlled self-storage and non-climate controlled self-storage. The climate-controlled self-storage segment dominates the market and is expected to continue its dominance over the forecast period. This is because climate-controlled units provide protection for valuable items from temperature and humidity fluctuations. Based on end user, the market is segmented into personal and business. The personal segment holds the largest market share owing to increasing migration and small household sizes.
PEST Analysis
Political: Favorable government regulations regarding construction of self-storage facilities are boosting market growth. Some regions provide tax benefits to self-storage infrastructure development.
Economic: Rising disposable income and dual income households are increasing demand for self-storage. Smaller living spaces are prompting people to rent off-site storage units.
Social: Changing lifestyles and busy schedules leave less time for home maintenance. This is increasing reliance on self-storage for possessions not frequently needed. Downsizing homes is another driver.
Technological: Operators are using smart technologies like temperature/humidity control, digital locks, and web/mobile apps for storage management. This enhances security and allows remote access.
Key Takeaways
The Global Self-Storage Market Size is expected to witness high growth. The global self-storage market is estimated to be valued at US$ 55843.56 million in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030.
The Asia Pacific region dominates the self-storage market and is expected to witness fastest growth over the forecast period owing to rapid urbanization, increasing disposable income, and changing lifestyles in emerging countries like China and India.North America also holds significant market share.
Key players operating in the self-storage market are Duke Energy Corporation, EON SE, Enel SPA, Electricite de France SA, and Iberdrola SA, General Electric Company, Siemens AG, Andritz AG, Mitsubishi Heavy Industries, Ltd, Voith GmbH & Co. KGaA, and Ansaldo Energia SpA.
Key players operating in the self-storage market are focusing on partnerships, acquisitions, and expansion strategies to strengthen their foothold. For instance, Duke Energy partnered with Cummins to develop hydrogen fuel cell solutions for stationary and backup power applications. Iberdrola is investing heavily in renewable projects across geographies. Siemens received an order from MHI to supply wind turbines for offshore projects in Japan.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
