Golden Rules of Car Parking
When you own a commercial car park, there are 9 golden rules of Parking you should know about.
A Car Park is Not a Destination
A Car Park is an essential community service for which customers pay for convenience, but it usually is a grudge purchase. As an essential community service, the best way to market is to connect with the local community.
Every Car Park is Unique
Even Car Parks located next to each other can have different drivers, different reasons and need a different approach to maximise revenue. For instance, 43 Butterfield St, which is a new build with new equipment, is a different Car Park to 20 Butterfield St nearby which is old with 1,400 bays and a walkway into the hospital.
Car Parks Sell Air
Once time passes, revenue opportunity is gone, so it is important to ensure processes and controls are continually reviewing revenue, yield, leakage and equipment.
Never Set and Forget
Car Parks need continual love and attention, regardless if it is leased by an Operator or ran in house. The Car Park services your community, and a bad experience is hard to forget. Besides, parking is a habit, so once customers change their habits, it is hard for them to go backwards.
Parking is Basic Economics
Think Supply vs. Demand. Tap into and drive the demand with a limited supply, then increase the price. Operators aim to fill the Car Park, then drive the yield through price. Car Parks provide quick feedback, therefore a price increase will see a reaction within a few weeks, and you'll know if you need to change again.
Rule of Thumb
80% of your Car Park revenue comes from organic customers, whereas Operators generally add a 20% value.
Parking is a Habit
People are creatures of habit, in particular when it comes to parking.
Consider Customers Parking Decision Making
Almost every survey says the same thing, the triggers for customers choosing one Car Park over another are:
price
convenience
safety
cleanliness
ease of payment, and
availability of parking.
Think Outside the Box
If intuition says it isn’t right, do not listen to Operators who are trained in the same mould! Challenge them to think outside their bubble and their own world to come up with an innovative solution to any parking pain point.
Parking Asset Advisory exists to help Owners and Managers maximise their parking asset, because we have the expertise, insider tips, and we know car parks best—especially for commercial real estate.
As independent experts we work to create a win/win/win for everyone involved because, we know, this is the way to maximise your parking asset:
A win for the Customer so they park at your asset
A win for the Owner knowing your asset is maximised
A win for the Operator so they look after your valuable asset.
Our services exist to solve your parking problems, some of which you are not even aware you have.
