“Tough times don’t last. Tough entities do.” - Mr. Arun Jagatramka, Managing Director - Gujarat NRE Ltd.
PCI newsletter, April 2009.
Inside this newsletter: Are you maximising your car park earnings? Could your car park benefit from a face lift? Green Car Parks - An Oxymoron? Focus on: Airports What’s happening at PCI
Are you maximising your car park earnings? In view of the current economic climate we know you will be looking for even more ways to generate maximum revenue from your existing assets. Your car parks are no different! An easy way to check the financial and operational health of your car park is to undertake an independent performance review. By way of example, following such a review, a client’s monthly car park revenues increased by 20%; as a result of another operational review we were able to increase annual revenues by over $80,000. Here is our 10 point questionnaire. Whether you have a commercial, retail, healthcare or mixed use development, ask yourself these questions and discover areas for improved results:
Are your fees and permanent parking rates in need of review? Are they in line with your competitors? Have you assessed the impact of the proposed parking levy increases in NSW on your parking rates?
Is the agreement with your current operator due for renewal within the next 6 - 12 months? Is there conflict in relation to your current manager and surrounding car parks?
Is your car park looking tired, are there broken lights, dark corners, accumulated dirt? Are car bay and wayfinding markings faded or non-existent? Is signage confusing or downright wrong?
Do your customers regularly complain about not being able to find their car at the end of their visit?
Do you and/or your operator have a comprehensive marketing plan for your car park? Have you explored any added value services such as car wash (waterless?) and additional revenue sources such as advertising?
Would increased efficiency resulting from alternative services such as valet and stacked parking give greater access to new clients and improve tenant occupancy rates of your property?
Are valuable parking spaces taken up by non customers (eg. commuters or people working/visiting nearby buildings) thus creating pressure on your parking supply?
Is the equipment installed in your car park more than 7 years old? Are you missing out on operational efficiencies which could result in savings in personnel and other costs?
Are there areas in your car park currently under-utilised, perhaps because customers don’t know how to get to them?
10. Does your car park reflect the image of the rest of the building or the development and make the right statement to your existing/potential tenants and their visitors? If you have answered yes to any of the above questions, you need our expert and independent advice!
OUR GUARANTEE. At PCI we have developed a Performance Review Program that can be tailored to meet your needs. By identifying areas of revenue leakage and operational inefficiencies and by creating real opportunities for profit maximisation we GUARANTEE we will increase the net income from your car park by at least the amount of our fee, or we will limit our fee to the amount of additional net income we are able to generate (excluding international travel costs).
Click here NOW to register your interest - you have nothing to lose!
Could your car park benefit from a face lift? Property owners and managers are always looking for opportunities to increase the value of – and earnings from – their existing portfolios. As a result of the current economic climate we are noticing a larger number of refurbishment projects being undertaken. Faced with increasing population and growth in vehicle usage, many retail centers with car parks designed ten or more years ago, are finding it difficult to provide sufficient and high quality parking for their clientele. Car parks are beginning to be recognized as an integral part of the property, rather than an add-on service. Therefore, ease of access and availability of spaces can be major deciders for customers choosing to shop at a particular centre. It is not uncommon for a customer to drive for 30 minutes to shop at a stress free location. Additional issues arise when the shopping centre is located in the vicinity of office buildings and public transport hubs, resulting in valuable parking spaces being taken by local workers and commuters. We all know the old cliché, “the car park is your customer’s first and last contact with your business”. Driving around a dark concrete shell for half an hour looking for a parking space need not be how customers
perceive your Centre. Parking Consultants International’s experienced consultants have assisted many clients in creating more value within their portfolios in addition to attracting and retaining more clientele. Depending on the nature of the property, PCI would perform a review of the car park identifying all areas that could benefit from improvement and refurbishment, such as layout design and traffic flow, signage, lighting, painting, line marking, level and area identification and technology. For example, electronic parking guidance systems are becoming increasingly popular in large and boutique centres in order to assist customers in finding available spaces more quickly and efficiently (and consequently improving space utilisation, turnover and thus revenues for the owner). If you want to find out more information on refurbishments for your property, either visit the ‘Refurbishments and Upgrades’ or ‘Signage and Wayfinding’ sections on our website, or you can email Grant McLean or Cristina Lynn directly. >> BACK TO TOP.
Green Car Parks - An Oxymoron? On the subject of improving the bottom line of your car parking assets, you may be interested to read the article published in two parts by Parking World Magazine (September and November 2008) written by Cristina Lynn. In the article she outlines several initiatives that can be undertaken to improve the environmental footprint of your car park whilst rationalizing operating expenses and improving your customers’ parking experience. Whilst greatest benefits are derived at the planning and design stages, there are still improvements that can be made to existing car parks to minimize energy costs and CO2 emissions. You can read the full article, as published in Parking World Magazine, on our website: ‘Green Car Parking’. If you want any more information about Green Parking initatives you may also wish to contact Cristina or the PCI team by email at firstname.lastname@example.org
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FOCUS ON: AIRPORTS Airport monitoring report 2007 - 2008 In December 2008, the Australian Government published the National Aviation Policy Green Paper to map the strategic development and regulation of Australia’s aviation industry, including a review of price regulation of airport services and fee structures at airport car parks. Of significant interest and impact to our industry, the paper proposed the re-introduction of car park price monitoring at Australia’s five major airports by the ACCC. The benefits of the proposed monitoring changes appear to be quite clear – greater transparency, accountability and consistency amongst the operators, reasonable profits, dispute resolution procedures and minimum service quality. The end result will be a fair price paid by the clients at a reasonable rate of return to the investors. These processes also improve the governance structure of the operators, as there will be an external and independent authority balancing profits against charges. Airports need to devise a parking strategy that will allow them to justify the rates being charged and future increases in those charges. The strategy needs to be as objective as possible, by relating parking prices to the cost of alternative travel to/from the airport, current parking prices charged in the CBD (or other commercial centres) and prices charged at other similar facilities. The ACCC issued its Airport Monitoring Report 2007 - 08 on 30th March 2009. For a more in-depth analysis of the impact on the industry, the implications for both the operators and the consumers, and how the government plans to implement and monitor car park pricing, visit the full article on our ‘News’ page on our website here. >> BACK TO TOP.
PCI has recently been engaged to carry out consulting projects at the following Australian airports: Melbourne, Canberra, Hobart, Darwin and Brisbane. The following case study highlights the work we have carried out at Darwin International Airport….
Darwin International Airport case study Background Darwin International Airport (DIA) requested PCI’s assistance with regards to the development of a parking strategy for the airport (passenger terminal, commercial and general aviation) over the next 20 – 25 years. This entailed identification of issues relating to the parking “offer”, both quantitative (size, product mix, pricing, location) and qualitative (look and feel). PCI had previously been involved with Darwin Airport in 2006 having conducted a feasibility study and a tender for equipment which resulted in the installation of access control equipment to manage the car parks under a pay-on-foot system.
The brief The brief provided by the client was to develop a detailed car park strategy that would allow DIA to project future parking demand from the various users of the airport facilities to be incorporated into its Master Plan. The strategy needed to take into account other stakeholder issues and objectives, including interaction
of the car parking with the road system and development of commercial sites. In detail, PCI carried out the following procedures: • Conducted questionnaire surveys, intercept interviews and focus groups to gain an understanding of the issues being faced by users of the airport car parks (staff, hire car companies, passengers, meeters and greeters, general aviation). Results were summarised and analysed to arrive at the quantitative and qualitative issues surrounding car parking on site. • Identified potential locations for the future development of car parks and provided detailed design alternatives, including proposed capacities, location of entries and exits and internal traffic flow
• Forecasted car parking demand under a number of scenarios and assumptions • Prepared a pricing strategy
The results PCI worked in close collaboration with DIA management representatives in order to present an overall car park strategy and to develop specific tools to manage and monitor future demand for parking at the airport.
“Engaging PCI to assist the Darwin International Airport with its overall car parking strategy has produced some of the most tangible and relevant results of our Major Development Plan process. PCI displayed a keen grasp of our immediate, short and long term plans and needs and used this understanding to transcend the “gobbledy gook” trap of strategy papers and delivered the real goods. Outstanding value, excellent insight and very professional...Thank you PCI!” Jeff Makeiff, Property & Commerce Manager, February 2009 >> BACK TO TOP.
WHAT’S HAPPENING AT PCI Grant McLean joins PCI team Grant has 25 years of Traffic Management and Parking Industry experience and brings considerable knowledge to our team in respect of automating car parks, including access control equipment, signage packages, wayfinding and parking guidance systems. Grant’s experience includes seven years with the Roads and Traffic Authority (Traffic Signals) where he was involved in all aspects of traffic signal maintenance, installation and team management. Since then Grant has spent seventeen years directly involved in the provision and design of technology
solutions for commercial and non commercial car park operations. Grant has held several senior positions with technology suppliers and manufacturers of car park management systems and with one of the main car park operators in Australia, where he was responsible for the design and management of technical infrastructure projects. His extensive experience, dedication and friendly communication have afforded him a high level of respect in the industry at all levels >> BACK TO TOP.
Cristina Lynn appointed Treasurer of the Parking Association of Australia Cristina Lynn, Managing Partner of Parking Consultants International, has been recently appointed to the role of Treasurer of the Parking Association of Australia. As a Chartered Accountant, she will bring to the role not only her extensive financial skills and experience but also the stringent code of ethics and professional principles inherent in membership to the ICAA. The Parking Association is considered the key representative body for the industry and comprises a range of members including a broad cross section of local government and statutory authorities, property owners, parking
operators, service providers and suppliers to the parking industry. Her appointment to the role of Treasurer on Management Committee entails responsibility for the administration of the Association’s financial affairs, in conjunction with the Association’s secretariat. Cristina will also be involved in the organisation of the Association’s next convention to be held in Sydney in November 2010. This appointment confirms Cristina’s long term commitment to the development of the parking industry in Australia. >> BACK TO TOP.
Other bits and blogs Stay in touch with the latest industry news at PCI’s Car Parking Blog As part of our website update, launched last September, PCI is now proud to be able to provide a blog of news and information to the parking industry. Stay in touch with the latest updates on the industry, as they happen. To subscribe, simply enter your name and email address into the relevant data box on our website’s home page. Alternatively, you can register to sign up for the blog by emailing us at email@example.com
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