As passenger transportation services dwindle on demand, valet companies are forced to adapt – Tech News



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LOS ANGELES: The rapid rise of carpool services, such as Uber and Lyft, took a big lead over the companies that rely on people who have to park their cars. Now, they face a choice: continue to shrink or innovate.

The correct parking lot, based in Woodland Hills, has seen a 70% drop in valet parking since it first appeared six years ago, said Brandon Helfer, the company's president. In addition, there was a 30% drop in restaurant attendance and a 25% drop in marriages.

"In some discos, we used to park 60 or 70 cars a night," Helfer said. "It got to the point where we were parking between 10 and 20."

Nightclubs and restaurants, once pillars of the industry, are no longer reliable sources of revenue, said Helfer. At the pinnacle of the industry, valet companies had the habit of turning such a profit on the concerts, they would pay the owners of the premises for the right to operate there.

Now the roles have been reversed. These same places often have to pay the parking companies if they want a valet presence at the front.

The company of Helfer is far from being the only one affected. Parking expert Casey Wagner, who is organizing a webinar of the National Parking Association on the growth of the sharing economy, said the figures indicate that parking services, rental of cars and taxis take a big importance.

Proper Parking – founded in 2012, the year Uber deployed his services to Los Angeles – was born in a world already familiar with ride-hailing services. He is openly confronted with change in the industry, finding new ways to take advantage of his parking services and change those that fail.

To begin, this means diversification.

"Back in the day, our business philosophy was to get as many bars and nightclubs as possible, but now we're moving toward valet parking," says Helfer.

Proper parking praises a lot in Los Angeles. Generally, the company uses the properties as simple and paid parking lots, but when the season is good, it turns them into a different type of moneymaker.

In October, Proper Parking turned 9 of its asphalt grounds into pumpkin parcels filled with hay called Jack O 'Lanterns Pumpkins. Come Christmas, he runs tree sales operations there nicknamed Mr. Jingles Christmas trees. It may be difficult to move the monthly tenants to parking, but Helfer said the hybrid lots drive up profits.

"You have to be creative," said Helfer. "Unless your lot is right next to the Staples Center, you need to find ready-made ways to generate revenue."

Proper parking is not the only branching out; Deep-rooted societies throughout Southern California are searching for answers. This year, the Union-San Diego Tribune reported that Ace Parking, the San Diego-based parking giant, saw a 50% drop in cart traffic and a 25% drop in traffic valetiers.

"The entire parking industry is changing," said Mike Estey, spokesman for the International Parking Institute. "We are no longer just parking professionals, we are professionals in parking, transportation and mobility."

These three buzzwords encompass a range of challenges facing the industry. Uber and Lyft have shaken things up in recent years: Autonomous cars – which do not need to be parked near a person 's destination, since vehicles can simply be parked. away after the runners are out – are about to wreak havoc on the status quo.

There is also the crucial problem of "sidewalk management": the policies of local governments on who can use the 39 Precious space on the roadside.The curbside space can be used for driving, paid parking, free parking, drop-off areas, valet parking areas and trucks. food but he can not accommodate all these things at once. Decisions about priority people affect all players in the transportation industry.

"We are moving from parking to a broader set of responsibilities," said Estey. "We need to understand how people move in urban areas."

A report released by the International Parking Institute identifying the reasons for a dramatic change in the parking industry revealed that 62% of parking professionals surveyed factor.

In addition, half of the responses indicate that there is a demand for mobile apps that provide real-time information on the price and availability of parking. Helfer agrees.

For lots with monthly car parks – in an office, for example – Proper Parking offers an app to speed up the process. If anyone in the lot plans to lunch at noon, he can get him into the system from his phone and wait for his car to wait. He will even get them a text that thanks them for parking with Proper. The company currently uses the system in just two batches, but plans to implement it in others for an additional fee.

"Many accounts are looking for this type of service, especially those with techie tenants," Helfer said.

With an on-site employee and fixed parking spaces, the concept should be able to avoid the pitfalls of failed and techno-powered valet booties. Startup Luxe raised US $ 75mil (RM301.47mil) on the promise to deliver an app that would send a valet to the location of a rider at the touch of a button, but parking shortages and thin margins drove the business into the ground.

Helfer firmly believes that the valet is here to stay, noting that a clean and ready employee to pick up the keys is an important part of the picture for some places, especially in Los Angeles. But companies unable to meet the growing needs of the tech-savvy driver, he said, will be the first to leave. – Los Angeles Times / Tribune News Service

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