Parking Lots & Garages
Competitive Landscape
Demand is driven by the occupancy rates of commercial real estate: large buildings require parking spaces for commuters, customers, and related area industry. The profitability of individual companies depends on operational efficiency and customer service. Large companies have advantages in relationships with large property managers and owners, and economies of scale in operating efficiency. Small companies can compete effectively by catering to customer needs and operating a desirable location. The industry is labor-intensive: average annual revenue per employee is about $75,000.
Opportunities
Expanded Ancillary Services - Adding services that complement parking, such as shuttle services, meter collection, valet parking, and auto servicing, can help parking facility managers deepen client relationships. Offering...
Business Challenges
Dependence on Commercial Real Estate Market - Occupancy in urban buildings is a major driver of the parking facility management industry, as higher occupancy yields more cars and higher collected fees. As...