Global Smart Parking Market - Industry Trends and Forecast to 2031

Global Smart Parking Market, By System Type (Guided Park Assist, Smart Park Assist, On-Street and Off-Street), Component (Hardware, Software, and Services), Sensor Technology (Ultrasonic Sensor, Radar Sensor, Image Sensor), Vertical (Government, Commercial, and Corporate), Solution (Security and Surveillance, Parking Reservation Management, Valet Parking Management, License Plate Recognition) - Industry Trends and Forecast to 2031.

Smart Parking Market Analysis and Size

The smart parking market is used for the implementation of sensor-based parking systems in urban areas. These systems utilize sensors embedded in parking spaces to detect the presence of vehicles in real-time. This data is then relayed to a centralized platform or mobile application, allowing drivers to quickly locate available parking spaces. Smart parking solutions reduces the time spent searching for parking and minimizing traffic congestion, which contributes to provide improved traffic flow, reduced emissions, and enhanced overall urban mobility.

Global smart parking market size was valued at USD 6.29 billion in 2023 and is projected to reach USD 24.21 billion by 2031, with a CAGR of 18.35% during the forecast period of 2024 to 2031. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Report Scope and Market Segmentation

Market Definition

Smart parking refers to the integration of advanced technologies, such as sensors, data analytics, and mobile applications, to efficiently manage parking spaces. It aims to optimize parking utilization, reduce traffic congestion, enhance user experience, and promote sustainability by providing real-time information about parking availability and facilitating convenient payment options.

Smart Parking Market Dynamics

Drivers

• Rising Technological Advancements Improve Operational Efficiency

Technological advancements enable the deployment of sophisticated smart parking technology, consisting of sensor networks that accurately detect parking space occupancy in real-time. Furthermore, IoT integration allows for seamless communication between sensors, parking meters, and mobile applications, facilitating efficient parking guidance and management. AI-powered algorithms analyze parking data to optimize space utilization, predict parking availability, and improve overall operational efficiency. As these technologies continue to evolve, they drive the development of smarter, more interconnected parking solutions, fueling the growth of the smart parking market.

For instance, Siemens' collaboration with AUTOParkit exemplifies the role of technological advancements as a driver of the smart parking market. Leveraging advanced automation hardware, electrification, and digital tools, the collaboration aims to enhance the efficiency and functionality of fully-automated parking garage systems. This initiative aligns with the market's trajectory towards integrating cutting-edge technologies to optimize parking space utilization and improve the overall parking experience.

• Growing Urbanization Increases the Demand for Efficient Parking

As cities become increasingly crowded, the demand for efficient parking solutions escalates. This surge in urban population density amplifies challenges such as traffic congestion and limited parking space availability. Smart parking solutions, equipped with sensors, IoT, and data analytics, enable cities to better utilize existing parking infrastructure and provide real-time parking availability information to drivers, addressing the parking woes associated with urbanization. Moreover, as urbanization continues, the smart parking market is poised to expand further to meet the evolving parking demands of densely populated urban areas.

For instance, the increase in urbanization, as indicated by the United Nations, with 55% of the global population residing in urban areas in 2018 and projected to reach 68% by 2050, correlates directly with the rising number of vehicles on the road. This surge in urban population density intensifies challenges such as traffic congestion and parking shortages, necessitating the adoption of smart parking solutions to optimize parking resource management and alleviate urban mobility issues.

Opportunities

• Growing Invests in Smart Parking Projects due to Increasing Government Initiatives

Government initiatives often include investments in modernizing parking infrastructure through the deployment of smart parking solutions. Governments implement policies and provide funding to encourage the adoption of technologies such as sensors, data analytics, and mobile applications to optimize parking space utilization, reduce traffic congestion, and enhance overall urban mobility. Such initiatives create favorable regulatory environments and financial incentives for both public and private stakeholders to invest in smart parking projects, catalyzing market growth and innovation in the smart parking industry.

• Rising Environmental Concerns Promotes the Demand for Smart Parking Solutions

Smart parking solutions play a pivotal role in mitigating these issues by reducing traffic congestion and associated emissions. Through optimized parking management, these solutions contribute to improving air quality and minimizing carbon footprints. Additionally, smart parking supports the use of alternative transportation modes and seamless intermodal connections, aligning with sustainable urban mobility initiatives. As municipalities and urban planners prioritize eco-friendly urban development, the demand for smart parking technologies and solutions continues to rise.

Restraints/Challenges

• High Initial Investment Hampers their Scalability of Smart Parking Solutions

The deployment of smart parking infrastructure requires substantial upfront capital for installing sensors, communication networks, and backend software systems. This financial barrier is particularly challenging for smaller municipalities, businesses, and parking operators with limited budgets. As a result, the cost-intensive nature of smart parking solutions hampers their scalability and accessibility, slowing down market growth and innovation in the industry.

• Limited Awareness Limits the Adoption of Smart Parking Solutions

As many potential users, including consumers, businesses, and municipalities, may not fully understand the benefits and functionalities of smart parking solutions. This lack of awareness can result in slow adoption rates and reluctance to invest in new technologies. Additionally, insufficient education and promotion efforts by smart parking providers may further exacerbate this issue.

This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Developments

• In October 2022, PT PP (Persero) Tbk, an Indonesian investment and construction company, collaborated with LG CNS from South Korea to spearhead a smart city project for Indonesia's forthcoming capital, Nusantara. This collaboration reflects the industry's move towards integrating advanced technologies to enhance urban development and efficiency
• In July 2021, Westfalia Parking launhced the Westfalia Parking app, a comprehensive solution aimed at optimizing automated parking facilities. This innovation prioritizes efficiency and safety by offering a contactless experience along with features such as vehicle tracking, aligning with the growing demand for seamless and secure parking solutions in urban areas
• In May 2021, ParkMobile collaborates with the City of Miami Beach, launching contactless parking payments via their app. This partnership streamlines the parking process for residents and visitors, minimizing the reliance on physical payment methods and improving overall convenience
• In March 2021, Parkopedia collaborates with Amazon Alexa, launching voice-enabled parking search and reservation capabilities. Users can effortlessly find parking spaces, check availability, and book reservations using voice commands through Alexa-enabled devices, enhancing accessibility and ease of use in parking management

Smart Parking Market Scope

The market is segmented on the basis of system type, component, sensor technology, vertical and solution. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

System Type

• Guided Park Assist
• Smart Park Assist
• On-Street
• Off-Street

Component

• Hardware
  • Sensors
  • Cameras
  • Parking Meters
  • Digital Guidance Signage
  • Others
• Software
  • Parking Management Platforms
  • SDK/API
• Services
  • Consulting
  • Integration and Support Services
  • Device Management Services

Sensor Technology

• Ultrasonic Sensor
• Radar Sensor
• Image Sensor

Vertical

• Government
• Commercial
• Corporate

Solution

• Security and Surveillance
• Parking Reservation Management
• Valet Parking Management
• License Plate Recognition

Smart Parking Market Regional Analysis/Insights

The market is analyzed and market size insights and trends are provided by country, system type, component, sensor technology, vertical and solution as referenced above.

The countries covered in the market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the market due to a robust infrastructure of automotive facilities, facilitating the adoption of smart parking solutions. North America hosts a significant concentration of major players in the smart parking industry, driving innovation and market development. This combination of established automotive infrastructure and the presence of industry leaders positions North America as a frontrunner in shaping the trajectory of smart parking technologies on a global scale.

Asia-Pacific is expected for notable growth attributed to several key factors. These include heightened government initiatives aimed at raising awareness, an upsurge in automotive facilities, growing research endeavors, abundant untapped markets, and a substantial population base. These combined factors create a conducive environment for significant advancements and expansion within various industries, particularly in automotive and related sectors, positioning the Asia-Pacific region as a focal point for growth and development.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points such as down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Smart Parking Market Share Analysis

The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.

Some of the major players operating in the market are:

• Robert Bosch GmbH (Germany)
• Continental AG (Germany)
• Valeo (France)
• AISIN SEIKI Co. Ltd. (Japan)
• Siemens (Germany)
• Cubic Corporation (U.S.)
• Amano Corporation (Japan)
• Kapsch TrafficCom AG (Austria)
• AppyWay (U.K.)
• Smart Parking (Australia)
• TKH Security B.V. (Netherlands)
• Nedap (Netherlands)
• Urbiotica (Spain)
• SWARCO (Austria)
• Klaus Multiparking (India)
• IPS Group Inc. (U.S.)
• IEM SA (Switzerland)
• DONGYANG PC. Inc. (South Korea)
• Altiux Innovations (India)
• ParkMobile LLC (U.S.)
• ParkMe, Inc. (U.S.)