Premium Parking Case Study
Case Study
Premium Parking
Driving Demand During COVID-19 with Demand-Responsive Pricing
Summary
During the COVID-19 pandemic, parking operators struggled with decreased demand. Premium Parking’s New Orleans garages that used online sales channels and JustPark’s Automated Yield Management (AYM) solution were able to buck the trend and preserve revenue.
The Challenge
Navigate pandemic-driven drastically reduced parking demand and identify effective strategies to maintain revenue.
The Solution
Pricing Optimization
JustPark’s AYM software automatically changes rates to capture demand and has increased revenue by 163% on average. Higher rates during peak hours capture revenue opportunities while controlling occupancy levels, whereas lower rates during off hours help create a competitive advantage.
The Results
Retained Revenue
At Premium Parking’s garages in New Orleans, locations that used online sales channels and automatic demand-responsive pricing were only down 22% in revenue compared to an average 77% drop across the United States in the first eight months of 2020.
In Conclusion
Premium Parking’s results are consistent with a recent doctoral study by Todd Tucker that showed online sales channels created additional demand for parking rather than just moving existing demand online. Premium Parking’s adoption of JustPark’s AYM solution and online sales channels enabled its New Orleans garages to minimize revenue losses during the pandemic.
Learn More
With integrated payments, devices, and business intelligence, JustPark is paving the road to a brighter digital future. On that road, JustPark customers are driving away from cash, quickly and seamlessly.