Parking Lots and Garages Market Opportunities and Strategies to 2033

This report describes and explains the parking lots and garages market and covers 2018-2023, termed the historic period, and 2023-2028, 2033F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global parking lots and garages market reached a value of nearly $87.2 billion in 2023, having grown at a compound annual growth rate (CAGR) of 5.07% since 2018. The market is expected to grow from $87.2 billion in 2023 to $113.1 billion in 2028 at a rate of 5.35%. The market is then expected to grow at a CAGR of 4.08% from 2028 and reach $138.2 billion in 2033.

Growth in the historic period resulted from the rising number of vehicles globally, expansion of smart city projects and increasing government support Factors that negatively affected growth in the historic period include expensive parking spaces.

Going forward, strong economic growth in emerging markets, rise in public-private partnerships (PPP) in infrastructure development and rising urbanization will drive the market. Factors that could hinder the growth of the parking lots and garages market in the future include shift towards public transportation.

The parking lots and garages market is segmented by type into airports and rail, hospitals, hotels and restaurants, shopping centers, privately owned and other types. The privately owned market was the largest segment of the parking lots and garages market segmented by type, accounting for 33.2% or $29 billion of the total in 2023. Going forward, the shopping centers segment is expected to be the fastest-growing segment in the parking lots and garages market segmented by type, at a CAGR of 6.70% during 2023-2028.

The parking lots and garages market is segmented by site into on-street and off-street. The off-street market was the largest segment of the parking lots and garages market segmented by site, accounting for 65.4% or $57 billion of the total in 2023. Going forward, the off-street segment is expected to be the fastest-growing segment in the parking lots and garages market segmented by site, at a CAGR of 5.56% during 2023-2028.

The parking lots and garages market is segmented by technology into smart parking using IoT, automation and unautomated. The smart parking using IoT market was the largest segment of the parking lots and garages market segmented by technology, accounting for 48.7% or $42.5 billion of the total in 2023. Going forward, the smart parking using IoT segment is expected to be the fastest-growing segment in the parking lots and garages market segmented by technology, at a CAGR of 6.17% during 2023-2028.

North America was the largest region in the parking lots and garages market, accounting for 43.6% or $38 billion of the total in 2023. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the parking lots and garages market will be the Middle East and Africa, where growth will be at CAGRs of 7.43% and 6.75% respectively. These will be followed by Asia-Pacific and South America, where the markets are expected to grow at CAGRs of 6.11% and 5.95% respectively.

The global parking lots and garages market is fairly fragmented, with a large number of players operating in the market. The top ten competitors in the market made up 10.2% of the total market in 2023. LAZ Parking Ltd. LLC was the largest competitor with a 3.4% share of the market, followed by PARK24 CO.,LTD. (Puke 24 Co., Ltd.) with 2%, Reimagined Parking Inc. with 1.8%, Abm Industries Inc. with 0.9%, Indigo Group SAS with 0.7%, Amano Corporation with 0.6%, Tokyo Tatemono Co., Ltd. with 0.2%, Ace Parking Management Inc. with 0.2%, Sp Plus Corporation with 0.2% and Nippon Parking Development Co., Ltd. with 0.1%.

The top opportunities in the parking lots and garages market segmented by type will arise in the privately owned segment, which will gain $7.7 billion of global annual sales by 2028. The top opportunities in the parking lots and garages market segmented by site will arise in the off-street segment, which will gain $17.7 billion of global annual sales by 2028. The top opportunities in the parking lots and garages market segmented by technology will arise in the smart parking using IoT segment, which will gain $14.8 billion of global annual sales by 2028. The parking lots and garages market size will gain the most in the USA at $9.9 billion.

Player-adopted strategies in the parking lots and garages market include focus on strategic acquisitions to develop business expertise and introducing new services through strategic partnerships.

To take advantage of the opportunities, the analyst recommends the parking lots and garages companies to focus on innovative online platforms for parking rentals, focus on urban parking infrastructure investments, focus on cloud technology for parking management, focus on shopping centers for growth opportunities, focus on off-street parking segment, focus on smart parking using IOT for market growth, expand in emerging markets, focus on strategic partnerships for business expansion, provide competitively priced offerings, participate in trade shows and events, continue to use B2B promotions and focus on urban population.