Getting started, why don’t you tell us a little about yourself?
I am a conundrum. I was born and raised in New York until I was thirteen. My folks knew I would be up to no good so they decided to move to Norwalk, Iowa. I went from 8th grade class of 2000 to a town of 2500! Then after university I moved back to New York City. I was an investment banker and in finance for fifteen years, then decided to repent and join the park service before getting into Fintech.
How did you get started in the parking industry?
A friend I had known for 40 years was involved in a small parking start up and convinced me to do the capital raise for their funding, then convinced me to join the company. It was at this time that I met Brett Harwood.
What are the biggest challenges facing this industry?
Parking is a derivative transaction. People don’t buy parking to park, they buy parking in a pursuit of another experience, shopping, traveling, etc. As such, it is often overlooked, whereas people will buy their plane ticket and hotels six to eight weeks in advance, but they’re booking their parking two to five days in advance or driving up to the airport and hoping for the best. Our goal is trying to integrate that purchase decision or reservation at the time you are booking your travel tickets or using Expedia. Parking is the first and last touch-point on any given experience.
How did you come to be a part of On Air Parking?
I had met Brett Harwood and Patrick Murray at a conference. I was introduced to Pat, we became fast friends, and coming out of the pandemic, Pat and Brett were thinking about where this company should go beyond discount airport parking. They reached out to me to see if I would be interested in helping to solve this problem. I could not think of a more fun group to work for.
Can you provide an overview of the current state of the parking industry and any notable trends or developments that have emerged in recent years?
I think, at its core, there is a structural imbalance between parking spaces and the number of people that need to park. So at any given time there’s going to be an excess inventory within the market. This extenuating challenge had been compounded by the pandemic and sustained due to the flexibility that comes out of hybrid work scenarios, such as working from home, the office, or a mixture of both.
What are some ways On Air Parking has stayed a step ahead of the competition?
Coming out of the pandemic, we knew there was a swell of interest for travel. There was demand to travel again. We clearly saw that bubble, and with that much demand, there isn’t that much of a need for deep discounted parking, which has traditionally been our value. So we decided to step back and figure out where we could enhance the value proposition for the consumer and the operator.
We did a couple things. First, we moved to a tiered pricing system that would allow operators to better monetize their spaces. Then, we began to test branded parking, where we would maintain blind, unbranded, or discounted parking for operators that needed to optimize occupancy, while also giving consumers the choice to select premium parking at well-established operators. The consumer, then, has the choice of either buying the unbranded space and finding where it is later, or paying up and selecting the “Marriott” of fine locations, for peace of mind.
We also developed and published a mobile app to make it super-convenient for individuals to book their parking. We’ve spent a lot of time quantifying the amenities and user experiences that are most important for our consumers. For example, being able to identify and highlight facilities with great shuttle service, or being able to identify facilities that are well-lit, enclosed, or have good safety. Our desire is to provide the best in class experiences, as opposed to just the cheapest lot.
How has technology, such as mobile apps and automation, impacted the way people park and manage parking facilities?
The growth and popularity of mobile apps in parking has created some consumer fatigue. They may have one app for airport parking, one app to park on a city street, and three apps to park at parking garages. We believe the commoditization of parking apps will force technology cleaners such as ourselves to expand our offerings and become one universal parking app.
What innovations do you see on the horizon?
We will continue to expand the markets we serve while also introducing city center, events, and monthly parking. We have also launched a sister site called Off Peak Parking to help monetize unused inventory. In many cities, you’ll have folks that may be assigned one parking spot in their building so they’re spending thirty minutes to an hour in their neighborhood driving around until they find a spot, when the doctor’s office closes at 5pm and that lot is sitting there empty.
It's very messaging up front is about what it is and what it isn’t. “Off peak” is 7pm to 7am. This is just a better proposition for folks who only need parking at night or on weekends.
How does the parking industry adapt to changing transportation trends, such as the growth of electric vehicles?
We try to identify the amenity services available to our partners and promote them. We are clearly seeing more and more of our partners offering EV charging, and what we’re more interested in is how we make sure it can be booked and enforced in a seamless experience for the user through the app. We’re looking for more partnerships with these providers for a seamless user experience. We do have an app called Park vs. Ride to allow people to see what the cheapest option is for them.
Given the seasonal nature of travel and fluctuations in demand, how do you manage capacity and occupancy challenges in off-airport parking facilities, especially during peak travel times?
We work closely with our partners to understand occupancy and collaborate on pricing strategies. Where we have experienced service interruptions due to facilities being oversold, we often work to introduce Ocra as a solution, which is a technology for facilities that may have a challenge managing their inventory.
Do you have any advice or caution for anyone starting out in this industry?
Like most industries, there is always room for efficiency with technology, but you need to approach it with a deep understanding of the nuances of the industry. There is value to institutional knowledge. You need to understand the dependencies that create your pain points. With parking, your pain points are nuanced and beyond a mere “consumer experience.” There’s a backdrop of regulatory and operational legacies that need to be considered.
What nugget of wisdom would you give to budding entrepreneurs overall?
Go for it! As for your idea or dream, you should absolutely pursue it. Invest the time to research your market thoroughly and fail forward and fail fast. You’ll learn sooner!
Any parting thoughts?
Our greatest goal is to provide transparency in what we do and a great user experience for our customers. We want to hear from you!