Parking Management Market Size, Share, & Trends Analysis Report By Solution, By Service, By Deployment, By Parking Site, By Off-Street Parking Site, By Application, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global parking management market size was valued at USD 4.23 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 11.1% from 2022 to 2030.  The rising number of vehicles across the world, growing demand for an effective traffic management solution, and rapid development of smart cities are contributing to the growth of the market. The COVID-19 pandemic compelled a decrease in growth activities as many countries imposed strict restrictions by announcing a complete lockdown. Additionally, the government of several nations invested heavily in their healthcare systems to help identify the signs of the virus and stop the spread, which included restriction measures such as no crowding of public transports stations and vehicles that hindered the growth of parking management for a short period. However, the ease in travel restrictions currently is expected to propel the market demand, as most of the places are opening with full occupancy which will push the demand for parking management. 

The rise in parking management makes cloud-native parking management also rise up to the occasion, with parking operators running their infrastructure on the cloud owing to multiple benefits such as easy scalability and a pay-as-you-go model. Poor parking management can lead to issues such as traffic congestion and noise pollution; thus, to avoid these problems and enhance the brand reputation, organizations implement parking management. The increase in the use of smartphones, GPS, digital payment, and cloud services is projected to drive market growth over the forecast period.

Technological advancements such as the Internet of Things (IoT), parking sensors, and electronic payment methods are additionally supporting the growth of the market. Firms are trying to deliver an enhanced customer experience and offer hassle-free parking that can help them gain a competitive advantage over others. With the help of real-time data and analytics, organizations can allocate spaces, provide access control, and reduce administrative overhead spent on parking. Additionally, parking management gives customers a sense of security as parking on the street is not considered to be the safest option, but with parking management, there can be an increase in the number of customers and the time they spend at any outlet.

Parking management is a cost-effective and reliable solution that reduces the time spent by drivers in finding available car park space and traffic congestion. Furthermore, the increased adoption of electric vehicles compels city authorities to implement charging stations to push the demand for parking management higher. Parking management helps businesses in reaching their maximum potential by offering them space optimization. Features such as hassle-free booking, simple navigation, seamless customer experience, live reports, and parking enforcement options are anticipated to fuel the demand for parking management.

Parking management helps in customizing and reserving parking spaces as per company guidelines and staff requirements. The focus is rapidly shifting from hardware to digital solutions as hardware solutions had multiple concerns relating to security, obstructive parking, and unallocated spots. Currently, office-centric parking solutions, also called employee parking software, are witnessing significant growth due to the increased capacity they can offer without having to increase the actual space. Further, advantages such as easy implementation, better Return on Investment (ROI) via advanced technology, customization, cost-effectiveness, and increased safety will support the growth of the parking management market.

Solution Insights

The revenue management segment accounted for the largest market share of over 25% in 2021, owing to multiple benefits such as optimizing smart inventory prioritization, demand-driven dynamic pricing, and continuous monitoring and re-modeling. The segment utilized advanced analytics to predict and recommend future prices every day based on historical data, algorithms, and business rules. Revenue management can include services such as digital payments, audit and verification of transactions, client banking, and comprehensive reporting. Additionally, revenue management also helps facility providers to compare their prices with the price of other competitors and help them manage their pricing strategy.

The parking reservation management segment is anticipated to grow with the fastest CAGR of 12.6% over the forecast period. This is majorly due to the shortfall of parking spaces in residential and commercial places; with the help of these solutions, drivers can pre-book spaces and avoid the hassle. Reservation management systems comprise equipment and software such as cameras, parking meters, wireless sensors, and automatic gates, among others, that help in the smooth flow of traffic and security. Firms implementing this solution can have various advantages, including better customer experience, customer loyalty, reduced operating cost, and less human intervention, which are expected to also fuel the parking management market growth.

Service Insights

The support and maintenance segment accounted for the largest market share of over 40% in 2021. This is due to the need for training and support required by employees while the implementation and after the execution of the parking management systems. The support and maintenance segment also includes enhancement services for mobile applications that improve the compatibility of apps with the latest Operating System (OS) version. The software and equipment used for parking management require preventive maintenance to avoid downtime and ensure that systems are running as smoothly as when it was first installed, which is expected to drive the growth of this segment further.

The system integration and deployment segment are expected to grow with the fastest CAGR of 12.4% over the forecast period owing to benefits such as customization, add-on features, and centralized data management techniques. Features such as digital signage, license plate recognition, and quick upgrades without having to change already installed hardware can help in elevating customers’ experience and additionally provides a competitive advantage. System integration and deployment facilitate import of payments, demographic import, export of receivables, vehicle owner retrieval, and user authentication.

Deployment Insights

The on-premise segment accounts for over 60% of the market share in 2021, owing to its various benefits, including enhanced security, reduced chances of downtime, and better accessibility. Organizations have better control over the data as data does not leave the organization’s premises leading to better data protection. The on-premise deployment can have a decisive advantage, especially when it comes to compliance issues. Additionally, many firms rely on this type of deployment due to enhanced reliability; in case of network failure and if the internet connection is interrupted the employees can still access the data and avoid downtime.

Cloud deployment is expected to grow with the fastest CAGR of 11.7% over the forecast period. This is due to many advantages, such as ease of deployment as cloud solutions do not require hardware installation, easy customization that allows organizations to implement tailor-fit solutions according to their needs, and ease of scalability. Many organizations do not want to invest heavily in the infrastructure right in the beginning; instead, they prefer a model where they can scale up as per the requirement. The cloud deployment provides a pay-as-you-use model where firms only have to pay for what they use; it is one of the most crucial factors driving the growth of this segment.

Parking Site Insights

The off-street parking site segment holds a market share of over 70% in 2021 due to the increased number of vehicles on the street, posing infrastructural challenges. Off-street parking plays a huge role in traffic management and is often preferred as it is a faster, easier, and more reliable solution. Additionally, this solution requires low installation and maintenance costs which are expected to fuel the segment growth. The off-street parking site has a defined architecture with defined sensors, communication protocols, and software. The rise in smart cities initiatives is also propelling the demand for off-street parking sites. Furthermore, the rise in digital payment techniques and smartphones penetration is supporting the growth of this segment.

The on-street parking site segment is anticipated to show a significant growth of CAGR of 12.9% over the forecast period as it reduces the obstructive and chaotic parking on streets leading to more pleasant public spaces, and better conditions for walking and cycling, and better access to public transport stops and stations. Moreover, on-street parking sites reduce the on-street parking saturation and the urgency of parking supply investments. An efficient on-street parking site makes off-street parking facilities more financially viable, and it reduces the burden on common property resources, which will drive the growth of this segment. The off-street parking segment is further categorized into two sub-segments naming lot parking and garage parking. Both the parking lots and garage parking incorporates slot enforcement, self-serve checkouts, and monthly parking pass programs that make the whole parking scenario hassle-free and systematic.

Application Insights

The government segment accounted for over 55% of the market share in 2021. This is due to the need for developing safe, clean, and efficient public carpark facilities across the city. The urge to reduce the burden on public property by efficiently utilizing the available resources government is taking several initiatives. For instance, in October 2021, the South Delhi Municipal Corporation (SDMC) launched a mobile app that aims to provide user details of vacant parking spaces. It will allow users to reserve available parking slots by paying online, furthermore, the government is planning to link this app with other initiatives such as Fastag, Vahan app, and the traffic police’s e-challan.

The commercial segment is expected to grow with the fastest CAGR of 12.6% over the forecast period. This is due to multiple factors, including maximizing the space of the available area, enhanced security and protection for vehicles, and extra revenue. Commercial parking management is important for many firms as it enhances user experience by saving customers’ time and effort in finding free parking spots. Commercial parking management includes digital signages, online payments, self-ticketing solutions, electric vehicle charging stations, and car-sharing. Additionally, automated reporting is one of the key factors that is driving the growth of the segment as organizations can capture and identify visitors’ detail and their duration of stay, which help organizations in understanding customers and serving them better in the future.

Regional Insights

The North America region dominated the market by accounting for over 35% of the market share in 2021. The increase in the number of vehicles in countries like Canada and the U.S. is demanding a smart parking solution to reduce traffic congestion. Moreover, the rise in the adoption of smartphones and the introduction of mobile apps for finding parking spaces provide convenience for users; thus, they are rapidly adapting to modern parking solutions. The increased commercialization in the region and the urge to offer customized user experience is propelling the demand for parking management across the region.

The Asia Pacific region is anticipated to witness a CAGR of 12.3% in the forecast period. The rising interest of the government in developing smart cities and increased demand for systematic and smooth flow of traffic are promoting the growth in this region. The Asia Pacific region is experiencing rapid growth in industrialization and urbanization, which will support the growth of parking management even further as industrialization needs smart transportation and logistics. Besides, the number of municipalities is increasing in developing countries such as India, South Korea, and China, which supports smart techniques to handle the traffic.

Key Companies & Market Share Insights

Market players are investing in research & development activities to support growth and enhance their internal business operations. Companies can be seen engaging in mergers & acquisitions and partnerships to further upgrade their products and gain a competitive advantage in the market. Moreover, the government is taking various initiatives to solve the problem of traffic congestion across the cities, and many private players are expanding their geographical presence to gain more market share.

Some of the prominent players operating in the global parking management market include:

• 3M Company

• Amano Corporation

• Cubic Corporation.

• IBM Corporation

• Kapsch TrafficCom.

• Siemens AG

• Skidata

• Swarco Corporation

• T2 Systems

• Robert Bosch GmbH

Parking Management Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global parking management market report based on solution, services, deployment, parking site, off-street parking site, application, and region

• Solution Outlook (Revenue, USD Million, 2017 - 2030)

  • Access Control

  • Security & Surveillance

  • Revenue Management

  • Parking Reservation Management

  • Valet Parking Management

  • Others

• Service Outlook (Revenue, USD Million, 2017 - 2030)

  • Consulting Services

  • System Integration and Deployment

  • Support and Maintenance

• Deployment Type (Revenue, USD Million, 2017 - 2030)

  • On-premise

  • Cloud

• Parking Site (Revenue, USD Million, 2017 - 2030)

  • On-Street

  • Off-Street

• Off-Street Parking Site Outlook (Revenue, USD Million, 2017 - 2030)

  • Garage Parking

  • Lot Parking

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Transport Transit

  • Commercial

  • Government

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • South America

    • Brazil

  • Middle East & Africa