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To break the deadlock of “parking difficulties,” expanding new parking capacity is crucial, but leveraging smart parking to optimize existing resources is even more important.
Release date:
2020-09-17 16:36
Source:
Parking Bang
To thoroughly examine this major, intractable issue in urban development, the report analyzes the underlying causes of the recurring problems of “difficulty finding parking” and “disorderly parking,” conducts field investigations and interviews on parking‑lot construction and management practices in Beijing, Jiangsu, Guangdong, Chongqing, and other regions, and distills lessons learned from a number of well‑managed parking‑lot projects.
“Five minutes by car, half an hour to park.” You hear this all the time among car owners in big cities—often, the only difference is whether finding a parking spot takes “a long time” or “even longer.” In first- and second-tier cities, many drivers have been through the wringer: by “battle,” they mean the relentless scramble for parking spaces. Some even prefer taking the subway to driving, calling it “green commuting”—but the real reason is simple: they don’t want to leave their car parked outside, only to come back and find their spot gone.
However, these are merely subjective observations reported by individual car owners. From a macro perspective, the difficulty of finding parking—viewed as a pressing issue affecting people’s livelihoods—exacerbates the mismatch between the growing number of vehicles and the limited availability of parking spaces, giving rise to serious social challenges.
How many parking spaces are still needed? According to international experience, the ideal ratio between the number of parking spaces and the number of privately owned cars is… 1.1~1.3 Meanwhile, according to the assessment of Cheng Shidong, Director of the Urban Transportation Center of the National Development and Reform Commission, the overall parking space shortfall has now risen to… 80 million Around, accounting for the ideal proportion of 35%。
Under the immense pressure of a severe shortage of parking spaces, additional aggravating issues have emerged—such as the information asymmetry between drivers and parking facilities, which leaves some areas parched while others are flooded.
Professor Don Shoup of the UCLA Department of Urban Planning has previously proposed a theory of urban congestion, arguing that… Thirty percent of vehicles on city roads are searching for parking spaces. “If they can pinpoint locations promptly, they could alleviate one-third of traffic congestion.”
Moreover, the lack of parking spaces often leads to widespread illegal parking—vehicles are frequently parked on sidewalks, basketball courts, and landscaped lawns. This not only disrupts residents’ daily activities but also poses significant safety risks due to traffic congestion and inadequate oversight, while simultaneously hindering the development and implementation of smart city initiatives.
China’s car ownership per thousand people is only More than 180 vehicles , and with developed countries 500–800 vehicles still remains at the level of Two-thirds The gap is significant, and there is considerable room for growth. However, in reality, the share of automobile consumption in China’s total retail sales of consumer goods has remained at… for many years. 1/10 However, the urban parking crisis has made some local governments hesitant to implement liberalization policies and stimulate consumption, while urban residents have become less inclined to purchase cars, thereby slowing down or even curbing automobile spending and domestic demand. This, in turn, has imposed certain constraints on urban development. The difficulty of finding parking has thus become a major impediment to the rapid growth of China’s cities.
With the support of national policies and relevant government departments, the smart parking industry experienced explosive growth in 2015. In recent years, driven by strong market demand and increasingly robust policy support from higher-level authorities—such as the Central Economic Work Conference held at the end of last year— Emphasize strengthening urban parking infrastructure development. , and this year’s Government Work Report proposed “ Promote automobile consumption and vigorously address the challenge of parking shortages. ”。
However, with a long history of backlog and an ever‑accelerating growth in vehicle ownership, urban parking‑lot development has been steadily gaining momentum—yet it still hasn’t managed to pick up speed enough to close the gap between where we are and where we need to be. Why is that? The answer is simple: those weighed down by red tape can’t move fast; to get moving, they first have to clear away the “mud” and the “water.”
Taking the case reported by People’s Daily as an example, a self-built parking lot located in the Three Gorges Square commercial district of Chongqing generates an average daily profit of 40 yuan per space. If the vacancy rate remains below 30%, its 96 spaces could yield annual revenues of one million yuan—appearing quite lucrative. In reality, however, this two‑story parking facility cost over 10 million yuan to construct; even setting aside operating and labor expenses, it would take at least ten years to recoup the investment.
High costs, low profits, and long payback periods are the primary reasons why private capital remains on the sidelines and has yet to enter the parking‑lot development sector.
In the property management industry, parking lots Parking fees account for a large share of operating revenue and are rife with loopholes, Managing these longstanding, complex issues has always been challenging. On the other hand, even when newly built developments comply with regulations by providing 1 to 1.5 parking spaces per household, residents often remain unconvinced. They prefer street parking because it’s free and convenient, and they’re willing to risk fines rather than use the designated parking facilities—resulting in… “Illegal on-street parking—weak demand—low revenue, slow development—widening gap” A vicious cycle.
In recent years, an increasing number of cities have placed greater emphasis on parking issues, and relevant authorities have introduced policies from multiple angles—planning, construction, land use, pricing, infrastructure, and law enforcement. Efforts to strengthen enforcement, raise the cost of illegal parking, and tighten restrictions on on‑street parking are now being pursued in tandem. These multifaceted measures aim to encourage residents to park their vehicles more responsibly, thereby alleviating traffic congestion and reducing risks. However, effective implementation will require substantial human resources, while the integration of dynamic and static traffic data generates massive volumes of information, posing significant challenges for management.
Why is it still so difficult to park, even when parking spaces are available? The reason lies in the lack of timely real-time information exchange between parking facilities and drivers, resulting in… Information gap Although navigation apps provide assistance, when demand is particularly high in certain areas, they can still direct drivers to locations marked “parking spaces full,” failing to meet user needs and contributing to traffic congestion. Meanwhile, parking facilities often experience underutilization during off-peak hours; even when many spaces remain vacant, they fail to effectively attract drivers seeking parking, resulting in unnecessary waste of parking resources.
① Increase the mandatory parking‑space allocation standards to ensure that no new deficits are incurred, while simultaneously focusing on older residential neighborhoods to gradually address existing shortfalls—through measures such as reorganizing existing resources to create additional parking spaces, exploring coordinated parking‑space sharing in the surrounding area, and constructing multi‑level parking garages.
③ Relevant departments should adopt a long-term, holistic perspective, elevate the priority of parking‑lot development, and ensure effective implementation—such as streamlining approval processes, emphasizing meticulous management, optimizing regulatory services, and enhancing governance effectiveness.
This service is called “ Parking Space Manager ", can provide " Find a parking space ”, “ Rent a parking space This service was launched to the public in March this year, as workplaces resumed operations following the pandemic, by JieParking, the integrated smart parking service platform under Jieshun Technology. With the increase in privately driven vehicles after work resumed and growing demand for parking spaces, the service proved to be a timely solution, helping to alleviate urban parking challenges to some extent.
As shown in the search results for “find parking,” the recommended parking lots are… Distance to the destination, address, number of available parking spaces, and total number of parking spaces Moreover, there are clearly defined pricing tiers to help drivers make informed choices, so they no longer have to worry about arriving at the entrance only to find that all parking spaces are occupied, nor do they risk getting a ticket for parking on the roadside. And they certainly won’t have to spend endless time circling the streets in search of a spot.
Meanwhile, the “rent a parking space” feature is ideal for office‑going drivers with fixed commuting routes; they can use this function to… Quickly locate parking lots with ample available spaces, then subscribe monthly to reserve idle spots during your preferred time slots. , to meet their parking needs for commuting during the workweek and resolve the challenges of parking when driving to work.
Without disrupting the city’s existing urban fabric, Jie Tingche’s “Parking Space Manager” can fundamentally break down barriers to parking‑space information sharing, enabling intelligent management and control of parking facilities and regional parking resources, thereby achieving… “People, vehicles, parking lots, spaces, and charging stations” integrated as a single system. Intelligent management.
There is another case, which is… China’s first hospital parking reservation and sharing system, “eYueTing,” has been launched. Last year, the system was already implemented at three pilot hospitals in Shenzhen. Patients can book parking spaces online when making appointments, so they no longer have to worry about insufficient hospital parking; nearby parking lots have also been integrated, offering discounted rates to make it more convenient for those driving to medical appointments. Hospitals have long been a major hotspot for urban parking challenges, and this initiative not only streamlines parking for residents but also helps ease traffic congestion on hospital‑adjacent roads, delivering tangible benefits to the public.
2. Cost reduction, quality improvement, and revenue growth under the cloud‑hosting model: By significantly lowering costs, private enterprises are more inclined to invest in parking‑lot development.
As mentioned earlier, high costs, low profit margins, and long payback periods are the primary reasons why social capital remains on the sidelines and has yet to enter the parking‑lot construction sector. At present, the majority of operators of urban parking facilities in China are private enterprises, to the extent that even government‑funded parking projects often adopt various public‑private partnership models.
Innovate investment and financing models, guide demand in a scientific and rational manner, and ensure that investments are “well‑directed” and “quickly recouped.” , thereby stimulating the enthusiasm of social capital and enterprises to actively engage in urban parking facility development; at the same time, Optimize the management and operational model of parking facilities to reduce administrative costs and enhance service quality, while diversifying revenue streams to swiftly turn existing parking lots profitable and enable newly built facilities to reach profitability at an early stage.
The cloud‑hosted model is a brand‑new management and operational approach that has emerged in the smart parking industry in recent years and has been thoroughly validated. With Jie Parking · Cloud Hosting For example, in Cost reduction On the one hand, it has enabled front‑end operations to move away from physical booths, migrated computing to the cloud, and digitized invoicing, thereby reducing labor costs, equipment expenditures, and routine operational consumable expenses. Secondly, Improve quality , build multi‑scenario, fast payment and passage capabilities, leverage AI and 24/7 online customer service to enhance customer experience, thereby improving operational quality; Increased revenue On this front, it helps parking facilities reduce vacancy rates and boost turnover, eliminates loopholes in traditional fee‑collection systems, and generates additional revenue through services such as parking‑spot finding, rental, and reservation.
To motivate corporate operators of parking facilities, it is necessary to… Respect market logic , in order to Commercial thinking is accelerating the development of smart parking. Cloud‑hosted services not only deliver significant revenue growth for parking‑lot operators but also upgrade the underlying infrastructure, elevate the level of smart‑parking services, and provide drivers with a more convenient, higher‑quality experience.
3. Bringing smart parking to life: Integrating parking solutions into everyday local services and unlocking a diverse array of convenient, lifestyle‑enhancing scenarios.
Developing smart parking requires, beyond upgrading hardware and software and optimizing parking facilities, a greater emphasis on enhancing urban residents’ adoption of smart parking services. Acceptance level , otherwise “Illegal on-street parking—weak demand—low revenue, slow development—widening gap” This vicious cycle will exacerbate this livelihood-related contradiction.
With smart parking, municipal service agencies will in the future gain a… Dynamically updated urban information collection portal By leveraging these information units, future cities will operate more efficiently and conveniently, while thriving with vitality.
Improving people’s livelihoods, boosting consumption, and stabilizing investment all require strengthening the development of parking facilities. However, Urban parking lots need to be expanded, and smart parking solutions must keep pace.
Under the impact of the COVID‑19 pandemic, public acceptance of services such as barrier‑free access, unmanned operations, and seamless payment has been rapidly increasing, and the concept of smart, unattended parking has become highly sought after within the industry. Since the beginning of this year, the state has encouraged greater efforts in “new infrastructure” development, and the Government Work Report has also called for “boosting automobile consumption and vigorously addressing the challenge of parking shortages.” As a result, the smart parking sector is poised to gain momentum, advancing through both practical and innovative approaches, with sustained, long‑term commitment, to help resolve urban parking challenges, accelerate the pace of smart city construction, and jointly build a better future for our cities.
Source: Jieshun Technology
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