The Space Race: Maximizing Profitability From Your Parking Facilities

The last several years brought big disruptions to many businesses across the country, but those requiring in-person customers, such as those in the revenue-generating parking industry, felt the impacts more acutely than others.

However, according to several studies, the parking industry has continued to make a strong rebound in both revenue and a complete recovery of pre-COVID vehicle miles traveled. In fact, according to a National Parking Association Study, there has also been a 150 percent increase in event parking revenue. 

At the same time, the parking industry continues to face challenges in the years ahead, including labor availability and fluctuations in the number of vehicles needing parking with office re-openings.

This blended recovery has led many in the parking industry to increase capital investment in technology and automation. Fortunately, recent advancements in self-service equipment and payment and transaction technology are giving parking lot management companies more options to keep up with customer expectations and streamline their operational costs. 

This article will explore the challenge and showcase some of the new solutions parking facility operators can use to keep their competitive edge.

Challenges on the Road to Parking Lot Recovery

Customers can face a range of different self-service and payment options depending on the parking lots that they visit. Options can include: 

• “Honor box” systems that depend on customer integrity (and the threat of fines and towing) for compliance.
• No-tech lots that rely solely on onsite hourly employees to be present to execute all transactions and to count and reconcile cash balances each day.
• Outdated solutions that deliver a customer experience that is marred by delays, malfunctions, and the inability to accommodate newer payment methods.

In order to optimize profits in a time of fluctuating demand, parking operators need to find new ways to streamline operations while also providing an easy, quick, and intuitive experience that keeps customers coming back. 

Self-Service Kiosks Offer a New Solution

Modern payment and transaction technology, such as integrated self-service kiosks, deliver a number of benefits, especially the security, automation, and uptime that your customers expect. 

Some of the other prominent benefits include:

• Improved Customer Experience. Newer systems can support customers’ preferred payment methods, whether cash, credit, validated tickets, or tenant cards. Systems can also help to support new loyalty programs for frequent customers.
• Reduced Overhead. With smarter, user-friendly systems, parking operators can reduce or eliminate the need for onsite attendants. Or lots with multiple attendants can offer customers a choice of interacting with a live attendant or an automated system.
• Increased Profitability. Improved technology enables operators to replace honor systems or extend hours of operation to capture revenue 24/7/365. 
• Increased Uptime. Routine and proactive upkeep is critical and many newer payment and self-service equipment offer new opportunities for remote management, cash management, and service triage, helping to reduce the negative impacts of software updates, system resets, and other care functions.
• Improved Safety. Replacing attendants or aging systems with an automated system can reduce the threat of robbery — and the accompanying dangers.
• Dynamic Pricing. Remotely managed systems can also help lot managers to experiment with pricing strategies like dynamic pricing based on peak usage times or prorated charges. 

Getting Started with Your Transformation

While new payment technologies and automation offer tremendous benefits, there’s a lot to consider when making the transition. That is where having a trusted, experienced full lifecycle services partner makes all the difference.

A customer-first approach will help your business to answer key questions like:

• What kind of payment and transaction technology do you need? 
• Is our current equipment infrastructure compatible with the latest hardware and software technology?
• Which payment and transaction technologies best fit your customer preferences?
• What level of service and support best fits your operational requirements?
• What are the potential cost savings and operational improvements that can be expected with solutions like self-service kiosks?

Partner with the Best Services Provider in the Business

Lean on a services provider to develop smart, efficient, and more profitable ways to handle, manage, and record transactions. As an OEM-agnostic provider, our team takes a consultative approach that is focused on helping you find the solutions that are best aligned with the specific needs of your business and your customers’ evolving expectations – today and into the future.

Ready to take the next step toward revolutionizing your parking business? Then get started by contacting the team at Burroughs today.