Smart Parking Systems Market Size, Share & Trends Analysis Report By Hardware (Cameras & LPRs, Smart Meters, Signage), By Software, By Service, By Type, By Application, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global smart parking systems market size was valued at USD 5.75 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 21.2% from 2022 to 2030. Due to the COVID-19 pandemic, countries across the globe have experienced varying degrees of lockdowns and many governments have also issued policies to stimulate economic recovery. Cities are experiencing a steep drop in traffic congestion. According to SpotHero, Inc., a U.S.-based smart parking solutions provider, since mid-March 2020, the demand for parking systems has decreased by 90% across the U.S. This decline is expected to adversely impact the growth of the market in the country as well as across the globe, at least for a short duration.

However, post the COVID-19 pandemic, people are expected to use their vehicles for solo travel and avoid shared mobility, including public transportation. This is expected to significantly impact the traffic congestion in numerous metro cities across the globe. The demand for smart parking systems, which can assist city administrations in efficiently managing dispersed parking spaces and helping drivers find available parking spaces, is also expected to rise with increasing traffic congestion. The capability of these systems to provide the necessary flexibility and scalability is further expected to fuel the growth. However, the lack of awareness regarding the benefits of smart parking is the main restraint for the growth of the market during the forecast period.

The rise in the implementation of integrated automated solutions, combined with the advancements in wireless and digital payment technologies, is expected to contribute to market growth. Technologies utilized to implement these systems include Machine-to-Machine (M2M) communication, data analytics, advanced sensors, smart parking meters, and mobile applications for slot reservations and online payments. These technologies are designed to determine whether a parking lot is empty or occupied and evaluate and transmit the information to mobile and web applications. These advancements in technologies are expected to drive market growth.

The rise in poor traffic management leads to concerns regarding vehicle overcrowding and congestions in urban areas, which are the primary causes of air and noise pollution that can choke economic activities. The smart parking system provides real-time data details that can help to tackle these problems and determine the availability of parking lots. Furthermore, these systems can significantly reduce vehicular emissions as drivers unnecessarily do not have to loop around city blocks seeking parking spaces.

Growing environmental concerns, traffic congestion, and the population are causing governments around the world to look forward to the development of smart cities which will effectively improve the quality of life while aiding authorities in saving resources. As such, favorable government policies in this area are projected to contribute significantly to market growth. For instance, in April 2021, the Australian government announced funding of USD 50 million to cover the implementation of smart parking across the country.

Hardware Insights

The smart meters segment held the largest revenue share of over 40% in 2021. The world is witnessing increasing urbanization, and there is a need for on-street parking spaces across various cities globally, which led to the widespread use of parking meters. These meters track free spaces and record the number of vehicles that are parked with the help of sensors and mobile applications. Most people park vehicles on the streets for long hours. This has compelled governments to deploy smart parking meters, which also help appropriate payments for on-street parking slots.

The cameras & License Plate Recognition (LPR) segment is anticipated to emerge as the fastest-growing segment during the forecast period. This can be attributed to the growing use of LPRs for vehicle surveillance as they greatly reduce the workforce required or amount of time to achieve these tasks. Increasing technologies such as image processing and human-computer interaction have led to cameras being increasingly deployed in smart parking systems for detecting the entry and exit of vehicles in a parking site.

Software Insights

The parking guidance system segment accounted for the largest revenue share of over 75% in 2021. These guiding systems have gained traction in the market as they assist with vacant slots, provide parking guidelines, number of available spaces, duration of availability, and help them in saving their time. These systems can guarantee easy expertise for vehicle drivers as they monitor the standing ultra-sonic sensors and electronic signs and provide a user-friendly graphical interface for drivers.

The analytics solutions segment is poised to exhibit significant growth over the forecast period. The growth can be attributed to the ability of the parking sensors fitted on several structures such as light poles to thoroughly collect reliable information about occupied and vacant spaces. This information is collected in real-time and transmitted to end-users using an analytics solution and ensures security and safety at parking sites in case of emergencies and contingencies. Furthermore, it decreases management costs and limits the cases of illegal parking in an area.

Service Insights

The engineering service segment led the smart parking systems market with a revenue share of over 60% in 2021. The increasing adoption of autonomous and semi-autonomous cars, especially in developed countries, can be attributed to the growth of the segment. These cars require specifically designed parking lots and garages with robotic engineering facilities and installations of custom-built instrumentation and solutions. Autonomous vehicle manufacturing hubs such as Canada and Germany are expected to witness widespread adoption of smart parking systems in the near future.

The consulting service segment is expected to witness significant growth over the forecast period. These services provide different management needs, such as learning the use of a smart parking application or customizing a parking space according to the requirement of the operator or user. These services also offer easy and hassle-free parking to drivers and operators. Moreover, these services enable easy operation, maintenance, and customization of facilities depending on customer requirements, along with smart parking systems.

Application Insights

The commercial segment dominated the market with a revenue share of over 40% in 2021. The increased adoption of smart parking systems at shopping malls, sports complexes, corporate buildings, and theaters, among other public venues, is anticipated to strengthen the growth of the commercial segment over the forecast period. Furthermore, a high level of convenience and mobile payment options offered by smart parking systems are also expected to fuel the growth of the commercial segment.

The transport transit segment is expected to witness significant growth over the forecast period due to increased travel by airplanes. Airport authorities worldwide offer the facility to book or reserve parking spaces through their website and mobile apps. Several airport ticket vendors such as Ryanair are offering the facility to reserve parking spaces at the airport while booking airline tickets, thereby expected to propel the growth of this segment over the forecast period.

Type Insights

The off-street segment dominated the market in 2021 and accounted for a revenue share of over 70%. The growing rise of off-street parking can be ascribed to the increasing number of companies providing applications for using spaces for parking in single slots. Furthermore, to manage the parking issues, several smart city initiatives are demanding better parking space utilization using smart, sensor-based vehicle detection technology. The increase in the number of industries that require adequate parking and smart detection facilities are also contributing to the growth.

The on-street segment is anticipated to reach goals using a variety of tools which includes the spaces where parking is allowed and prohibited by designing parking spaces and facilities and signs. The segment is further expected to avail benefit from the large-scale use of smartphone applications that allow users to track the accessibility of parking spaces in real-time. Furthermore, the increased focus of companies globally on providing smart parking solutions enabled with sensor-based technology for tracking vacant parking slots as people prefer parking on the streets is one of the key factors to drive the growth of the segment.

Regional Insights

North America held the largest revenue share of over 35% in 2021. The increasing number of vehicles is expected to grow the regional market for smart parking systems over the forecast period. Civic authorities of the U.S. and Canada are making efforts to reduce traffic congestions, which has been getting more severe with the growing demand for vehicle ownership. The governments are also undertaking initiatives along with the service providers to the increase adoption of smart parking systems, which provide safe and legal parking for commercial and private vehicles. Furthermore, the increasing adoption of smart cities initiatives is driving the implementation of smart parking systems in the region.

The Europe region is expected to expand at a significant CAGR over the forecast period, owing to government initiatives supporting intelligent parking systems as a part of the efforts to reduce pollution. Moreover, concerns related to inadequate parking spaces are also one of the major drivers for the growth of the market in the region. For instance, the International Road Transport Union (IRTU) participated in an EU-funded study that revealed that the lack of secure and safe parking areas is a significant concern in Europe, wherein 90% of transport operators and drivers stated that the current parking supply is insufficient.

Key Companies & Market Share Insights

The key industry participants include Cisco Systems, Inc.; Altiux Innovations; Siemens AG; SKIDATA AG.; Robert Bosch GmbH; Amano McGann, Inc.; BMW AG (ParkNow GmbH, Parkmobile LLC); and ParkMe, Inc. Leading companies are offering innovative solutions and hardware equipment to stay ahead of competitors. In response to the increasingly varying needs of parking lot management, smart parking market players are strengthening their collaborations with parking lot management firms. For instance, in November 2021, Park Assist introduced its Parking Guiding System (PGS) to The City of Hollywood’s Nebraska parking garage. The system and the parking garage will offer ParkMobile and Pay-By-Plate payment options for residents and guests. Some of the prominent players operating in the global smart parking systems market are:

• Altiux Innovations

• Amano McGann, Inc.

• Amco S.A.

• BMW AG (ParkNow GmbH, Parkmobile LLC)

• Cisco Systems, Inc.

• CivicSmart, Inc.

• Deteq Solutions

• Flowbird

• gtechna

• INDECT Electronics & Distribution GmbH

• Kapsch TrafficCom

• Libelium Comunicaciones Distribuidas S.L.

• Meter Feeder, Inc.

• Mindteck

• Municipal Parking Services, Inc.

• Nedap N.V.

• Park Assist

• ParkHelp Technologies

• ParkJockey

• ParkMe Inc.

• Robert Bosch GmbH

• Siemens AG

• SKIDATA AG

• Smart Parking Ltd.

• SpotHero, Inc.

• Swarco AG

• Urbiotica, S.L.

Smart Parking Systems Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the 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 smart parking systems market report based on hardware, software, service, type, application, and region:

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

  • Pucks (Wireless Sensors)

  • Cameras & LPRs

  • Smart Meters

  • Signage

  • Parking Gates

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

  • Parking Guidance System

  • Analytics Solutions

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

  • Consulting Service

  • Engineering Service

  • Mobile App Parking Service

• Type Outlook (Revenue, USD Million. 2017 - 2030)

  • On-street

  • Off-street

    • Garage Parking

    • Lot Parking

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

  • Commercial

  • Government

  • Transport Transit

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

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia

    • Singapore

    • Thailand

    • Philippines

    • Hong Kong

    • Vietnam

    • Indonesia

  • Latin America

    • Brazil

  • MEA