Smart Parking Systems Market to Register 16.1% CAGR during 2019–2024

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According to a report by P&S Intelligence, the global smart parking systems market is projected to reach a value of $9.1 billion by 2024, rising from $3.4 billion in 2018, advancing at a 16.1% CAGR during the forecast period (2019–2024).

A major issue with buying a vehicle is parking-related concerns. As per the industry experts, about 30.0% of traffic congestion is the result of people searching for parking spaces. This has further led to a surging amount of traffic congestion on roads, along with growing number of vehicles, particularly in major cities. In addition to this, various people do not follow parking rules and park their vehicles in an incorrect manner, thereby leading them to pay parking fines. It is because of these reasons that various countries are making use of smart parking systems.

Smart parking systems make use of internet of things (IoT) and send data about occupied and free parking spaces through web or mobile applications. The IoT-device is located in every parking place and the user receives live updates regarding all parking spaces that are available, therefore can choose the best one. These systems are primarily being utilized in smart cities.

Smart parking systems are located on-street and off-street parking sites, between which, the demand for off-street parking systems was higher in the past. Because of improved payment and ticketing process, these solutions facilitate easy pay-and-park process. Moreover, off-street parking solutions provide parking for both long and short durations, owing to which they are utilized more. Governments of several countries are further investing heavily for the development of smart cities, which is predicted to result in the growing adoption of these systems in the coming years. Service, hardware, and software technologies are included under smart parking systems, out of which, the demand for hardware technology was the highest in the past.

This is primarily attributed to the important role of hardware components when it comes to detection of vehicles in parking slots. For example, smart meters are utilized extensively in both on-street and off-street parking systems, since they enable the continuous collection of large volumes of data for further processing and analysis. When geography is taken into consideration, North America made the largest use of smart parking systems in the past. The growing adoption of smart parking systems in the region is primarily ascribed to the fact that civic authorities are increasingly deploying these systems for decreasing traffic congestion on roads.

As the number of vehicles on roads in urban cities has increased, there is pressing need for making use of advanced technologies to make the flow of traffic smooth. Within the region, the U.S. has been the largest user of smart parking systems up till now. Other than this, the demand for these systems is also expected to increase considerably in Asia-Pacific, thereby making the region the fastest-growing smart parking systems market in the coming years. This is due to the increasing requirement for connected and automated vehicles and rapid development of smart cities.  

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