Global Automated Parking System Market By Component (Hardware and Software), By Automation(Fully Automated, Semi-Automate), By End User (Commercial, Residential, and Mixed-Use), By Platform (Palleted and Non-Palleted), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2023-2032

Report Overview

The global Automated Parking System (APS) market was valued at USD 1.8 Billion in 2022 and is expected to grow by USD 5.2 Billion in 2032. Between 2023 and 2032, this market is estimated to register a CAGR of 11.4%.

Automated automobile parking systems, also referred to as mechanical systems, are designed to cram as many cars into a small space as possible. Automated parking systems increase capacity and use less room by stacking automobiles vertically at various levels, comparable to a multi-story garage.

Drivers aren’t needed since APS uses mechanical mechanisms for moving cars. APS also serves as an automated storage and retrieval system for automobiles.

The number of automobiles on the road has increased significantly in many major nations, causing parking problems and traffic congestion that are fuelling a global need for parking solutions.

An automated solution also boosts convenience for car owners or drivers by automatically parking the vehicles in available spaces in the system. In addition, the shortage of parking spaces and increasing traffic in metropolitan areas are propelling the market expansion for automated parking systems.

Key Takeaways

1. Market Growth: The global Automated Parking System (APS) market was valued at USD 1.8 Billion in 2022 and is projected to reach USD 5.2 Billion by 2032, with an estimated Compound Annual Growth Rate (CAGR) of 11.4% between 2023 and 2032.
2. Smart City Initiatives: Growing smart city initiatives from governments are driving market growth, encouraging developers to use automated solutions in high-rise structures and luxury projects. The real estate industry is expected to experience significant growth during this period.
3. Traffic Congestion: Increasing traffic and a lack of parking spaces have led to traffic congestion in major cities, costing over USD 45 billion annually in fuel, time, and pollution. Automated parking systems offer a solution to these issues, reducing the time spent searching for parking spots.
4. Complexity and Quality Control: The complexity of building automated parking systems and concerns about quality control can be restraining factors in the market. Manufacturers must address these challenges and adhere to regulations to ensure system safety and quality.
5. IoT Technology: The adoption of IoT technology for improved mobility and transportation is creating new business opportunities in smart cities, including the use of automated parking systems. Such systems enhance parking management, making it convenient for drivers.
6. Automation Level: Fully automated parking systems dominate the market due to customer demand for convenience and the increasing use of luxury vehicles. Semi-automated systems have limited growth due to space constraints.
7. Component Analysis: Hardware components, including microcontrollers, sensors, and motor drivers, hold the majority of the market share. Software components are also growing as they play a crucial role in system operations and parking management.
8. Platform Types: Palleted systems are currently dominant, clarifying the movement of vehicles in the parking space. Non-palleted systems are expected to grow at a greater CAGR, offering advantages such as reducing parking and retrieval times and adapting to the size of vehicles.
9. End User Analysis: The commercial sector leads in terms of revenue share, driven by the increasing need for parking spaces at shopping centers and office buildings. The residential sector is also growing, especially in high-end residential areas.
10. Regional Analysis: Europe leads in automated parking system market revenue, with smart city development and a focus on reducing emissions driving adoption. North America, APAC, Latin America, and the Middle East & Africa are also significant regions in this market.
11. Key Players: Market leaders such as Robotic Parking Systems Inc., KLAUS Multiparking GmbH, and Westfalia Parking focus on R&D and long-term potential. The market includes established players like Fata Automation, Siemens, Xerox Corporation, and more.

Driving Factors

Growing Smart City Initiatives from Government to Set a positive trend for market growth

Due to the growth in the market, high-rise structures and luxury projects are motivating more developers to use automated solutions. The real estate industry will experience a significant compound annual growth rate during this forecast period.

Traffic congestion has been caused by an expanding fleet of commercial vehicles and personal cars due to a lack of parking spaces, as well as time spent searching for empty spots which contribute to air pollution and emissions.

Fuel, time, and pollution cost over USD 45 billion annually. Parking infrastructure is being put under increasing strain as populations increase – leading to infrastructure expansion in major metropolitan areas. Sales of cars in urban areas increased due to improved lifestyles and higher per capita incomes.

There are far more cars on the road than available parking spaces within cities. To make people more efficient with their spaces these car parking systems are becoming popular worldwide. They offer greater benefits, higher capacity, higher ROI, and reduced CO2 emissions while searching for vacant spots.

Restraining Factors

High Complexity of the system and issues with quality control

The construction of an automated parking system is complex and requires careful consideration. The system requires both hardware and software components that may fail, and cause serious damage. In some cases, the driver of a defective vehicle was handed the keys by the automated system without his knowledge.

Accessibility to spaces within such systems is essential, moving from one space to another without safety can result in injuries. These factors may hinder the growth of the automated parking market.

Without regulations to control automated parking system operations, quality control can become a serious issue for manufacturers. High-quality automated systems require substantial investments; while many consider investing in an upgraded capacity system with custom capacity will not give them better returns, they choose the option for cheaper alternatives. Authorities must take action to guarantee the quality of automated parking systems through regulations and mandates.

Opportunity

Smart city projects increasing globally, spurring IoT technology adoption for improved mobility and transportation. Smart parking solutions like automated parking systems have opened up new business opportunities around the world. Smart cities feature parking management systems that make it simple, flexible, and efficient for drivers to park.

Xerox Corporation (US) developed a smart grid to assist drivers with parking; with this app, drivers can find an available spot quickly using their smartphone. Parking sensors in bays register the space as occupied once it has been parked. Drivers pay for parking with a mobile application that lets them extend time on the meter and pay with cash.

In Oslo, Norway there is also an equivalent sensor grid system that reduces traffic and improves environmental standards by having fewer cars on city streets and thus lower carbon dioxide emissions.

Trending Factors

The demand for effective, secure, and convenient parking solutions in metropolitan areas is expected to increase over the next few years, driving the market trend for automated parking systems. Automated parking systems park and retrieve vehicles without the assistance of a person using technology like sensors, cameras, and robotics.

By removing the need for drivers to maneuver through crowded parking lots, these systems can greatly reduce the amount of space required for parking, increase efficiency, and improve safety.

Further, as automated parking systems can be made to include EV charging stations, assisting in addressing the challenges of EV charging infrastructure in urban areas, the adoption of electric vehicles (EVs) is anticipated to increase demand for them.

By Automation Level Analysis

The fully automated parking segment commands the largest market share in the automated parking system industry. Customer demand for convenience and comfort, an increase in the number of luxury vehicles, and a rise in the use of fully automated parking facilities by the residential segment will all contribute to the segment’s dominance during the projection period.

The semi-automated segment has low growth and low penetration. Due to limited space for parking vehicles, the segment’s growth will be negative during the forecast period. The semi-automated system has a minimal beginning installation cost and is easy to maintain. In an open space or a building’s basement semi-automated parking solutions can be used. The parking structure is based on lifting and moving a pallet that holds the car.

By Component Analysis

In the components segment, the hardware segment holds the majority of the market share. This segment consists of hardware and software. Microcontrollers and GSM modules, radio frequency modules, displays, motor drivers as well as ultrasonic sensors, and DC motors are the major hardware components.

Parking system projects use this hardware in various ways depending on budget; guidance systems, web-based solutions with sensor recognition license systems, mobile parking solutions, RFID solutions, and more features can be added to the APS according to the requirements. Overall, the hardware market share is expected to remain dominant during the forecast period.

The software segment is projected to grow at an impressive rate over the forecast period. Software plays a pivotal role in system operations, controlling, managing, and orchestrating movements related to parking and retrieving cars.

Parking sensors provide information using analytics that allows users to determine vacant and occupied spaces more accurately than manual methods can do. As more automated parking solutions become available, the software segment will gain momentum.

Platform type Analysis

Based on the platform type, the automated parking system market is divided into palleted and non-palleted. The palleted segment is dominated by the highest revenue share.  This solution clarifies the movement of vehicles in the parking space as the vehicles cannot be moved or lifted without the driver.

These parking options are predicted to expand in the future as they improve cityscape, rise vehicle security, and have a higher parking density than traditional car parks. These methods reduce the complexity of transportation systems by not requiring changes in car size.

Over the course of the forecast period, the non-palleted sector is anticipated to grow at a greater CAGR. These methods eliminate the need to move empty pallets and increase system efficiency by directly lifting, moving, and parking the vehicle in available spaces.

These solutions remove the deficiency of palleted solutions, cut down on parking and retrieval times, and automatically adapt to the size of the vehicle. These factors are anticipated to impulse market expansion in the years to come, along with the increasing number of cars globally.

End Use Analysis

The commercial segment is the leading segment in terms of revenue share. This can be attributed to an increasing need for parking spaces at shopping centers and office buildings due to increasing traffic and pollution problems. Automated parking systems have many benefits in solving these problems; they offer optimal space utilization and better security, and it is expected that demand will grow rapidly within this section.

The residential sector is expected to experience a substantial growth rate during the forecast period. This growth is primarily attributed to the increasing number of residential buildings and the use of APS in high-end residential areas around the world.

Furthermore, sales have seen an impressive surge lately due to factors like rapid urbanization, rising disposable income, and higher purchasing power. With the growing demand for vertical parking spaces in shrinking urban spaces, automated parking systems will become even more prevalent.

Key Market Segments

By Component

• Hardware
• Software

By Platform

• Palleted
• Non-Palleted

By Automation

• Fully Automated
• Semi-Automate

End User

• Commercial
• Residential
• Mixed-Use

Regional Analysis

Europe accounted for the majority of automated parking system market revenue, driven by rising residential and commercial property demand as well as smart city development. Countries within this region are adopting automated parking systems which save space and reduce emissions. With advanced infrastructure present, public and private sectors alike are encouraging each other to adopt automated solutions to solve parking issues.

Key Regions and Countries

• North America
  • The US
  • Canada
  • Mexico
• Western Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Portugal
  • Ireland
  • Austria
  • Switzerland
  • Benelux
  • Nordic
  • Rest of Western Europe
• Eastern Europe
  • Russia
  • Poland
  • The Czech Republic
  • Greece
  • Rest of Eastern Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Australia & New Zealand
  • Indonesia
  • Malaysia
  • Philippines
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Colombia
  • Chile
  • Argentina
  • Costa Rica
  • Rest of Latin America
• Middle East & Africa
  • Algeria
  • Egypt
  • Israel
  • Kuwait
  • Nigeria
  • Saudi Arabia
  • South Africa
  • Turkey
  • United Arab Emirates
  • Rest of MEA

Key Players Analysis

Robotic Parking Systems Inc. and KLAUS Multiparking GmbH are two market leaders putting an increased focus on R&D to uncover long-term potential. Westfalia Parking recently hosted a seminar on Automated Parking to further discuss these topics.

Wohr Parking System Pvt. Ltd. was one of the speakers who discussed topics such as how developers or architects can find automated parking vendors, how users can use contactless technology during COVID-19 to pick up their cars from a park, and how automated parking can enhance safety and welfare.

These companies include Robotic Parking Systems, Inc., CityLift Parking, Nissei Build Kogyo Co., Ltd., and Westfalia Parking; each having established long-term supply arrangements with well-known builders and governmental organizations through partnerships, supply agreements, and innovative product development as key market entry strategies. Many of the world’s major players are involved in automated parking systems today.

Market Key Players

• Fata Automation, Inc.
• Fehr Lagerlogistik AG
• Unitronics 1989 RG Ltd.
• Klaus Multiparking GmbH
• Westfalia Technologies Inc.
• Amano Corporation
• Flowbird Group
• IBM Corporation
• Robotic Parking Systems, Inc.
• Siemens AG
• Skidata Gmbh
• Streetline, Inc.
• Swarco AG
• T2 Systems
• Xerox Corporation
• City Lift Parking, LLC
• Wohr Parking System Pvt. Ltd.
• Park Plus, Inc.
• Other Market Key Players

Recent Development

• July 2021- Westfalia Technologies, Inc. is the leading automated parking and storage solutions provider. Westfalia Introduced the launch of the parking App, an all-in-one parking solution for consumers that enhances automatic parking facilities’ efficiency, security, and convenience.
• March 2021- Westfalia Technologies, Inc., a main provider of automatic parking systems (APS) and logistics solutions for warehouses and distribution centers. (Westfalia) announced the introduction of a fully automatic charging function for electric vehicles.

Report Scope