A mobile app idea is good enough to invest in if it solves a problem. But, is this the case with parking mobile apps? Should you invest in building a mobile app that solves parking-related problems? Well, it is very crucial to validate an idea before investing in it. So, let’s do that!
As per a report, to find a suitable parking space, drivers in the US spend an average of 17 hours a year. And this hunt for parking space costs $345 per driver in terms of the time involved, fuel exhausted and emissions released.
Here is the list of top 10 cities of the US, where drivers spend the highest number of hours in a year in search of a parking spot.
If you are a budding entrepreneur, you must be thinking how you can solve this big problem and generate good revenue out of it. The solution is by building a robust parking mobile app that provides good value proposition to the people who are juggling with the parking problems.
Now that you know your “Why” It is time to find “How.” How you can build such a Parking Mobile App? To find an answer to this question, let’s dig in and develop a deeper insight into what these parking mobile applications are all about, how they work and what is the best way to build this kinda app.
If you are also planning to build a profitable parking mobile app venture, you must first get a hold of how it would work for the user. Users of a parking mobile app follow these simple steps to book parking slots for their vehicle in no time:
Considering that now you have a general idea of how parking mobile apps work, let us discuss the business model of parking applications and find how the business of parking mobile apps operates.
To build a successful venture based on a parking mobile app, you need to first explore what are the operational business models of your competitors in the segment. There are three most common business models based on which parking mobile applications are developed. These are:
Parking mobile apps based on this business model gives its users the basic utility of finding a parking space near their vehicle location. Users of such parking apps do not get the facility to pre-book a parking space before they arrive at the spot.
However, even such apps can be of great help in finding a vacant spot in a crowded parking area. Also, this category of parking apps is found to be the most suitable for building a minimum viable product of any new app.
BestParking, Parker, ParkingRhino are some examples of parking mobile apps that work under this business model.
2.Navigation and Booking Based
This is the most popular category of parking mobile applications available in the market. Users of such apps can find a parking space and book the same before arriving at the spot to park their vehicles. Also, the in-built navigation functionality in the app guides its users to the pre-booked parking spot.
In these type of apps, users are given a range of payment options which includes payment by cash, card or various other digital payment gateways. The users also get the convenience of extra parking time or navigational assistance in driving their vehicles out of the parking space.
SpotHero, ParkMe, ParkWhiz are some of the parking mobile apps that use this type of business model for their operations.
3.Complete Parking Service
This category of parking applications give a complete parking solution. Although a high-cost business model, it can put an end to all parking woos of its users. This is the reason why users readily register for such service apps.
A user of such apps can pre-book a parking space in a location of their choice and also for the time they require the parking. A valet comes to take the car keys from the users and parks it at the selected place.
Again, after the time for parking lapses, the valet brings back the car to the owner and gives back the keys. To enhance the trust for the service, users are given the option to look into the valet credentials and review details.
Luxe, ParkAlto, NEX Valet are examples of apps that operate using this type of business model.
After discussing the popular business models of parking mobile apps, now let us move ahead and learn how a business based on a parking mobile app generates its revenue.
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The success of a business model can be determined based on the enhanced user experience it provides to its customers. This, in turn, is responsible for growth in revenue generation. For a parking mobile app, there are four possible streams of revenue generations. These include the following :
1.Commission Per Booking
This is a major source of revenue for a parking mobile app based venture. For every booking done for a parking space in a particular parking area, the parking owner charges a certain amount from the user. A part of this amount is returned to the parking app owner as a commission fee for using the app’s platform to take bookings.
Another major revenue source is paid subscription. You can give your parking app users an option to pay for subscriptions to monthly plans for making advance bookings. This way users can avoid making payments every time they use the parking app. Thus in addition to giving a higher customer experience, you can also increase your revenue with subscriptions.
Another great way to make money through a parking mobile app is by giving your users reward points for the continuous use of parking services through your app. This may attract a loyal user base towards your application and in turn, you can ensure sustained revenue collection.
4.Marketing and Branding for Parking Owners
A parking app business can also make some extra money by carrying out a marketing campaign for the parking lot owners. You can charge a certain amount from a parking owner for giving them priority listing on your parking application.
Now that we know about the possible ways to make money through a parking application venture, let us now learn about the features of such parking mobile apps.
If you are planning to build a parking mobile app, you must ensure that you are adding value to a daily commuter’s convenience. This is possible by integrating user-friendly features in it that can help them navigate through the crowded parking places and find a parking space in no time.
To build a parking mobile app successfully, you need to develop three components for addressing everybody’s needs effectively. These include:
The user panel of your parking mobile app will help users search for a parking location nearby and book the same with just a click on their mobile screen. In order to give your users a seamless parking experience, you must include the following features in the user panel of your app:
Registration– This is the most basic feature of a parking app. With this functionality, users can register into the application by filling in his/her details. To enhance user experience you should consider giving your app users the option to log in through social media or email accounts while registration.
Track Location- With the in-built GPS navigation functionality in your app, users can track their vehicle location at a given time and get an idea about the distance between the vehicle location and the available parking space.
Also, you can add location tag functionality in your parking app, so that users can tag their favorite parking spot in a given location and book the same the next time they use the app.
Search Option- This is another feature that will define your parking mobile app’s user engagement. The search feature in a parking app lets its users find available parking in a particular location, city or a particular parking area and select the same as per their convenience.
Estimated Time – To give your parking app users an idea of the estimated cost, your app should give users the option to feed the arrival and departure time from a parking spot. Based on the time difference, the charges for which the parking spot is occupied is intimated to the user.
Booking Option- This is the most important feature of the parking mobile app. This feature enables users to book a parking spot before they finally reach. You can add the price comparison functionality to this feature so that users can select the most suitable parking space under budget.
You can give your app users the option to book a parking spot well in advance if they plan to visit that very spot in the near future. This way you can enhance the user experience and thus ensure increasing engagement level.
Payment Options- To give your app user’s a complete parking service experience you should integrate maximum payment options to book a parking spot. This should include cash, card payments, and other digital payment gateways.
Parking History- This feature in the parking app lets users keep track of their most frequently used parking spots and the cost paid for the same. This way the users can utilize the parking history and book the same spot again
Ratings & Reviews- This feature can be the most useful one in maximizing user engagement. Rating and review feature lets users give their feedback about the app experience every time they book a parking spot through the app. It can also help users in deciding which choice they should make based on the review a particular parking space has received from fellow users.
The parking owner panel allows the parking lot owners to accept the booking requests and get access to the information regarding the parking spot they need to allot after a booking is accepted. Some of the features of the parking owner panel may be the same as those mentioned in the user panel features. Let’s have a look at all of them:
Registration-A parking lot owners can register into the parking app and create an account by using their social or email account credentials.
Add Parking Slots–Through this feature a parking owner registered on your app can manage the number of parking slots available in their parking area.
Manage Pricing-This functionality enables the parking owner to manage the price charged for the parking slot based on the total time for which the booking is made and the demand for the spot. They can also charge for parking according to the type of vehicle parked.
Check Bookings- The parking owner can check how many bookings have been made in their parking area. This way they can decide on accepting or declining a parking request based on the pendency of prior user requests.
Accept Payments– The parking owner registered on your parking app can get the payment dues from the admin via an integrated payment gateway, every time a user books a parking slot in his/her parking area.
Reviews And Ratings-The parking owner can make use of the rating and review feature to improve upon the user satisfaction from their service.
The admin panel of a parking mobile app is usually a web application, which is used to manage the operational side of the user and parking owner panel. It gives an overview of the application functioning, facilitates payment clearance, and helps in utilizing user’s data for marketing purposes. The features of an admin panel of a parking app include:
User Management- This lets the admin manage user activities that include the number of app users, their transaction history, payment details, etc to give users a seamless and hassle-free parking experience.
Parking Management- This functionality helps the admin manage parking owner related aspects like registering a particular parking owner into the application. The admin can also manage the cost being charged by the parking owners from the app users.
Manage Bookings-This functionality makes it possible for the admin to manage the user bookings for parking spots based on the demand, the price charged for the booking and the number of parking spots.
Manage Payments- The admin can also manage the payment part of the app through this feature. Thus, the admin can keep a tab on the number of vehicles parked, the user payment received, cost deducted and the final payment made to the parking owners.
Manage Offers- This feature lets the admin manage special offers and discounted bookings, curated according to the user’s likings. An admin can plan to send offers and discounts to app users from the admin panel within a single tap to increase app engagement. This feature will also help admins add more and more people to the parking app’s user base.
Besides the above mentioned must-have features in a parking mobile app, you can consider adding some high-end features like Push Notifications, Heat Map, Multi-language Support, Waiting list in your parking app to make it look more engaging.
Although high on cost, these features can help your parking app stand out in the crowd and this way you can gain a loyal user base. Now that we have understood what features a parking app gives its users, let us move ahead and try to figure out what technology stack is involved in building a parking mobile app.
When you start the process of building your parking mobile app, one of the most important considerations should be the technology stack that you will have to use. The tech stack of your future app will ensure the utility and scalability of your parking app.
So, let us have a look at what technology goes behind in building a parking mobile app like Spothero:
For a successful business strategy based on the development of a parking mobile app, we recommend you to first build a Minimum Viable Product of your mobile application.
On the basis of our experience in the development of such apps, we advise you that the most profitable approach is to first develop an MVP and then go on integrating additional features once your parking becomes popular. This is the best possible way through which you can bring your parking app in the market when you consider the cost and growth possibilities.
Now that you know what technology tools are employed in the development of a parking app, let us straightway find out how much does it cost to build a parking mobile app.
Frankly speaking, giving an exact amount for building a parking mobile app is difficult for anyone. We are saying this because the cost generally varies according to the requirements of a client, the business model of the app, features he/she is planning to add and the tech stack we will have to use.
Usually, the cost estimation is dependent upon the hours required for the app development process. Also, this hourly cost of development varies depending upon the country in which you are planning to carry out your app development. However, to give you a rough estimation of the total cost involved in building a parking mobile app, we can say that it comes somewhere around $30,000-$40,000.
So, all set to bring your own parking app in front of the world. Let us together build the most robust parking app ever built in the market. If you still have some unresolved queries related to building parking mobile apps, you can always contact us. Share exactly what are your requirements with parking application development, experts in our team will do their best to bring your ideas into realization.