4 Ways the Parking and Valet business can reach their Target Market

In a relatively short amount of time, businesses like Uber, Lyft, Bird Scooter and Lime Bike were able to meet the needs of the traveler who refused paying for parking and travelers who loathed the dreaded “find-a-parking-space” problem that comes with traveling into urban areas. Recently LA Times and San Diego Union Tribune published an article about the impact of Uber and Lyft on the parking industry with Ace Parking claiming a 5-50% reduction in parking. Despite their ups and downs, these businesses have still managed to create a new industry standard. These ride share apps and scooter options create a “easy transportation” which is disrupting the market and reducing the need for a parking spaces. These companies have successfully done this for some years now and more threats to the market are sure to come.

Now its time for the parking and valet business to reinvigorate the “car-come-and-go” or parking service industry.

This blog will offer some suggestions for how the valet and parking businesses can add value to a quickly evolving market. We hope this opens your mind to new ideas and will help you to attract local nearby drivers looking to park.

Add Extra Car Services

The services you add to your menu should lead a customer to park with you over Uber-ing, Lyft-ing, or parking with a direct competitor. Any services you chose should add incremental value. This would essentially be adding a benefit that would help your customer enjoy their parking experience even more. Some examples are:

  • Front Door Drop Off
  • VIP Services
  • Highlight the security of your parking location
  • Details and washes
  • Fluid Topping
  • Vacuuming
  • Rewards memberships
  • Offer flowers or chocolates as a service

As long as you are concentrating on value from the customer’s point of view, any benefit you provide can have a fee when it is valued enough. In reflecting on adding value, your goal is to brainstorm to make sure your services are as attractive as possible. Try to find ways to provide more with optional services and of course service fees. When everyone wants the additional service, you can add it to your standard fees.

Listening to client feedback is another way to add value to your services or strengthen the value of your service packages.

Customer feedback is essential because customers know what they want and tend to be in tune with what your competitors are doing. Also, when clients do not seem to recognize a value you provide, feel free to add operational changes to your staff’s routine.

For example, valet staff could ask if customers would like to know about additional services on a routine basis with all new clients. This can also be occasionally added into the conversational mix with regular patrons. Another example, “Hey Bill, welcome back, the other day you said your wife’s birthday is quickly approaching. I understand you are busy, would you like us to help by having a dozen roses ready in your car when you leave today?” This could be a great value of service to a busy person who already made a statement the day prior they are in the market for a gift and time is their other pain point. Listening is key, and clients want a relationship with their service providers, paying close attention to client needs can unlock more avenues for revenue with clients who already trust your service.

Partner with Non-Competing Businesses

If you partner with the right business at the right locations, you can create an experience that will add value for your customers and help to generate more revenue for you.

For example, if you partner with a local business, you can offer a promotion that combines the two services together for added convenience to your customers. Another example, you can provide jazz festival attendees who bought their tickets via the ticket company you partner 10% off valet services. This promotion can go for a night or for the length of time the jazz festival takes place. A promotion or on-going partnership like this can add revenue and visibility for both businesses.

Find Customers with Mobile Advertising

You can use location-based advertising via Google Nearby and Bluetooth Low Energy (BLE) to access locals who might be seeking parking. With Google Nearby, you can craft a message about your parking service that will appear on a potential customer’s mobile device via a Google Nearby alert. A message like this can easily target people who are looking for your service, and added value will keep them as a customer.
(Bluetooth Low Energy) BLE requires mobile users to have their GPS on, and their Bluetooth enabled. You can offer a “free valet” option to attract nearby customers looking for parking. This may help to attract a market share from Uber or Lyft, because the younger market are constantly looking at their phones, you may be able to get their attention.

Study The Competition

By studying other ideas that have suddenly gotten attention, you can learn about some ideas or processes that may work for your business. Let’s look at the startup company StearClear as an example.

SteerClear’s goal was to provide a ride home for you and your car when you are too intoxicated to drive home. However, this simple idea was not enough to sustain the life of the business. Although the business was featured in publications like Entrepreneur and Tech Crunch, it only reached 1.1 million dollars in investments (according to CrunchBase). Nowadays, the company’s website is defunct and going to Stearclear.com redirects to a case study about the former business.

While StearClear can be studied as a failed attempt within the startup community, it does reveal a possible pain point for a parking and valet company to take on as an opportunity. The SteerClear app page still gets comments that the service is not available in their area.

How will you deal with customers that parked with you but become too intoxicated to drive home?

Aiding the customer who is “prepared to drive, yet unfit or unable to drive home” can be a area of service only you can fill. After all, who wants to Uber away from their car just to come back and drive it home the next morning? Providing flexible options for your customer is ideal to adding value. Also, offering a service like this that looks out for a customer’s well being and keeping the roads safe is an ethical business move on your part.

Therefore, one may conclude that adding a “SteerClear” type service to your valet and parking business could be your parking business’s new revenue model, but hopefully we just have more responsible drivers.

We hope you have enjoyed reading about some ways the parking and valet business can add value and stand out among the competition. The key is to study the customers, listen to their needs. Try to view the service as a relationship and come up with creative ways to keep them coming back to your business while at the same time seeking ways to attract new business. Good luck with your marketing endeavors!

Parking Management Market Industry Forecast 2016-2021

Parking Management Industry Forecast

 Parking Management Industry Overview

MarketsandMarkets forecasts that the Global Parking Management Market is estimated to grow from USD 3.03billion in 2016 to USD 5.00billion by 2021, at an estimated CAGR of 10.6%. An increase in the number of vehicles across the world is impelling the demand for an effective system to find solutions to parking concerns. The issues of traffic congestion are rising at alarming rates across the world, impelling the need for effective and flexible park-assist solutions. According to industry data, 30% of traffic congestion occurs due to vehicle drivers struggling to find parking space. This, in turn, is magnifying the necessity of smart and efficient parking systems and valet parking operations. Today’s intelligent parking management systems are capable of providing convenience to the drivers, as well as simplifying and automating the business operation and administrative functions of the parking site owners.

The escalating adoption of park-assist systems at avenues such as corporate campuses, airports, and shopping complexes, among others is projected to energize the market growth.

Parking Management Growth Projections

The table to the right highlights the expected parking management revenue from 2014 to 2024. The parking management market is estimated to grow from $1,517.6 million in 2014 to $8,630.76 million in 2019.

Why is Parking Technology Triggering Growth?

Parking management systems are apt for the smart transportation environment. It automates the parking management functions by providing solutions such as access control, revenue management, parking enforcement and permit management, security and surveillance, automated valet parking, and parking guidance and slot management. These solutions result in efficient parking management in terms of automating and easing parking payment method for the vehicle drivers, saving their time, and also increasing vehicle holding capacity of the parking garage.

The high growth rate in the registration of new cars will open the window of opportunities for parking management business. The ongoing and upcoming smart city projects will create room for intelligent parking management systems across the nation.

The market is expected to grow in tandem with the growth in vehicle ownerships and parking facilities development. Need for smooth traffic flow, business benefits to the parking site operators, and decreasing hardware and connectivity costs are the key drivers for the parking management industry.

 

Parking Management Technology AdvancementParking Technology Advancements

The ongoing and upcoming smart city projects are creating business opportunities for smart parking management systems nationwide. License Plate Recognition based technologies are gaining high popularity in the parking management sector. The major License Plate recognition based parking management solutions such as Automatic Vehicle Identification and Pay-by-Plate are expected to experience high adoption rate reducing the market share of the traditional technologies used in parking access control and parking revenue management.

The world is moving towards intelligent transportation systems, which is broadening the space for smarter ways of parking. With advanced parking management systems, the parking spots operators can offer their customers various parking conveniences such as minimal time wastage, cashless and contactless payment options, enhanced vehicle security, and options for pre-booking parking spots. The parking management systems are also useful for ensuring security through vehicle and cargo surveillance, vehicle registration, and dynamic parking tariff management. These customer-centric and business operation-centric advantages are making parking management system extremely lucrative. The major companies who are focusing on the parking management sector are Parking Technology Services, StreetLine, ParkWhiz, SpotHero, ParkingPandaLuxe, T2 Systems, SKIDATA, and various others.

Episode #09: How To Start a Valet with Vicki Pero of Marlyn Group LLC

We are thrilled to have Vicki Pero on today’s episode! Vicki is the Principal of Marlyn Group LLC, a parking service consultancy company that offers comprehensive operations and proprietary best practice resources for private and public organizations. Vicki has seventeen years of operations and administration experience with national parking companies.

On this episode of The Valet Parking Podcast, Vicki shares her expertise on how to start a valet and the operations and systems needed to run it successfully.

You’re going to want to tune into this episode because Vicki shares how to build solid structure programs for new and experienced owners. You’ll also find out how customer development can help increase the value of your services.

Listen to This Interview to Learn:

  • The common request from valet parking operators
  • How to attract and retain valet employees
  • Why on-boarding programs are a must for a valet business
  • How to REDUCE the high turn-over rate
  • The process for opening a new valet location
  • Where to look for help in taking your business to the next level
  • The future of the valet industry with technology and Green initiatives

Mentioned in This Interview:

 

Episode #08: Technology and Parking Consultation Services with Cristina Lynn

We are pleased to have Cristina Lynn of Parking Consultants on the show. Parking Consultants is a consultation service company for a wide variety of businesses such as universities, hospitals and local government parking authorities based in Australia.

On this episode of The Valet Parking Podcast, Cristina shares her expertise in the field of business consulting  on topics of investments and the customer service experience.

Tune in to hear Cristina’s invaluable advice for parking lot investments and what auditors are typically looking for. You’ll also learn how human customer service will always trump the advancement of technology in the industry.

Listen to This Interview to Learn:

  • How Cristina got involved in the industry
  • Insider information on how Parking Consultants advise their clients
  • The criteria for managing a parking lot
  • Examples of above and beyond customer service
  • Technology trends
  • Mystery shoppers and how you can utilize this method to improve your parking lot

Mentioned in This Interview:

Quote:

“A bad experience never returns for business.”

Episode #07: Investing In The Parking Lot Industry with John Roy of JNL Parking

parkinglots (1)Today, we are excited to have on the show, John Roy of JNL Parking, a company that provides parking lot broker services. He’s also an investor, a certified parking professional, and an operator in the parking industry.

On this episode of The Valet Spot, John share his expertise in the field of investing and increasing the value of parking lots.

Tune into to find out detailed information about which parking lot features and services have the best return on investment. You’ll also find out how to communicate effectively with a parking lot owner so that the doors of opportunity may open and start you on your parking lot investment journey.

Listen to This Interview to Learn:

  • John’s history in the parking lot and real estate industry
  • How to increase the value of a parking lot
  • What “Triple Net Lease” means and how it’s applied
  • Tips on how an operator should interact with an investor
  • How technology is changing the parking lot industry

Mentioned in This Interview:

Episode #06: Why Free Parking Does Not Work and What to Do About It with Donald Shoup

In trying to park free ourselves,we’ve ended up paying for everyone else’s parking

Donald Shoup is a Distinguished Professor of Urban Planning and the author of “The High Cost of Free Parking.” He is a certified guru and is often referred to as “The Godfather of Parking”. Alasdair invites him on to the show this week to share his wealth of information in the field of parking and urban planning to explain exactly why free parking simply does not work.

This episode will go in to great detail about the logistics, as well as the community impact of parking systems. You will also find out how mismanaged parking and parking demand can impact the way that an entire city works.

Listen to This Interview to Learn:

  • How Donald ended up studying in the field of urban parking
  • Parking is the single biggest land use in almost every city
  • The climate of the parking infrastructure in Los Angeles
  • The connections between mismanaged parking and other city problems
  • Three recommendations Donald makes to improve the future of parking policy

Mentioned in This Interview:

Episode #05: Mastering Recruitment with Bart Bement

HiringBart Bement is the CEO of FastWorkforce.com. In addition, he founded and built a transportation staffing company from start-up to employing nearly 2000
employees a day. Alasdair invites him on this episode to share some of his knowledge about recruiting and managing staff in the valet industry.

This interview will help you navigate the hiring process, and make sense of the confusing abyss that hiring can create. You’ll also see a step by step method for optimizing your website.

Listen to This Interview to Learn:

  • Powerful ways to reduce your turnover rate
  • How to give prospects the feeling of what it is like to work for your company
  • The importance of engaging applicants quickly
  • How to get the right people on your team and the wrong people off
  • How to create powerful job listings and attract the right kind of prospects

Mentioned in This Interview:

 

Episode #04- How To Build A Lead Generation Machine with Taylor Pearson

taylorTaylor is the marketing manager for The Valet Spot. He joins Alasdair on this episode to share some awesome insights into what the most successful valet companies can do to grow their online presence.

This interview will help you create a lead generation machine on your website, even if you’ve never had a website before. It includes a step by step method for optimizing your website.

Listen to This Interview to Learn:

  • 8 steps for optimizing your website for generating leads.
  • 3 ways to build an effective website on the cheap, even if you have no idea how to code.
  • Why putting yourself on your website is crucial.
  • The two key points of contact to have on your website.
  • How to best build trust right on your website.

Mentioned in This Interview: