Smart parking solutions make parking spaces easier to find but the real value is in the data, analysts say.
Eleven per cent of public parking spaces globally (on-street and off-street) are now smart, and the figure is expected to increase to 16 per cent by 2023. This is according to a new report from IoT Analytics.
The analysis predicts that market spending on smart parking products and services will grow at a CAGR (compound annual growth rate) of 14 per cent and reach at least $3.8 billion (£3 billion) by 2023.
Smart parking technology enables parking operators to remotely and automatically monitor parking occupancy rates in real-time. There are various types of smart parking products that make up a complete end-to-end solution. These include vehicle detection sensors; cameras with automated vehicle licence plate recognition capabilities; smart parking meters; smart payment for parking; and digital signage and navigation apps for parking assistance.
However, according to IoT Analytics: “The real innovation of smart parking solutions is beyond the obvious. The real value lies in the parking data generated, that when combined with other stakeholders’ (e.g. merchants, city agencies, delivery firms) data, processes and systems yields real innovation in smart city settings.”
The real value of smart parking solutions lies in the parking data generated, that when combined with other stakeholders’ data, processes and systems yields real innovation in smart city settings.
For example, understanding driver patterns and behaviour can help city planners optimise the flow of traffic and reduce congestion – adapting parking fees accordingly can encourage or discourage motorists into or away from certain areas (e.g. city centre) at peak times (e.g. at Christmas or during rush hour).
Knud Lasse Lueth, IoT Analytics Managing Director, said: “Parking is an area where IoT sensor technology is making a tremendous difference – both for the user experience as well as for parking space management and enforcement. Whether you look at New York, San Francisco, Berlin or London, most major cities, especially in Europe and in the US, have started to deploy various new smart parking solutions in the last five years. Most of these installations now use a combination of vehicle detection sensors, pay-by-app options and, in some cases, navigation assistance.
“Our research shows that the penetration rate of these smart parking spaces is still quite low but solutions are popping up in most major cities now – another proof of how pervasive and important IoT technology has become.”
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