AI, Transforming Parking Operations for the Future, How to Prepare

Artificial intelligence (AI) is reshaping industries across the globe, and parking operations are no exception. Traditionally seen as a mundane aspect of urban life, parking is now undergoing a radical transformation, thanks to AI. From enhancing the efficiency of parking management to improving the customer experience, AI is making parking smarter, more convenient, and increasingly integrated into the broader landscape of smart cities.

How AI is Revolutionizing Parking

1. Automated License Plate Recognition (LPR) Systems: One of the most significant impacts of AI in parking is the development of automated license plate recognition (LPR) systems. These systems use AI-powered cameras to scan and identify vehicle license plates as they enter and exit parking facilities. By automating this process, LPR systems eliminate the need for physical tickets or payment booths, streamlining operations and reducing the potential for human error.
   • Impact: LPR systems enable faster and more seamless parking experience, reducing congestion and wait times. They also facilitate automated billing, where drivers can be charged automatically based on the duration of their stay, improving revenue collection for parking operators as well as increasing traffic flow in and out of the facility.
   • Recommendations: LPR technology “ups” the parking game, however efficiencies and streamlining sometimes comes at a price. In this case, the price is privacy.  A license plate is not considered personal information, however collecting personal information associated with a license plate from a third-party is major privacy concern. Collection of information on an individual without a person’s consent can cause a wide variety of issues such as non-compliance with regulations, breach in customer trust, and the need to mitigate declining public relations.  Transparency and proactive analysis of operational changes are critical to lowering your risk of these negative outcomes.
2. Smart Parking Guidance Systems: AI-driven smart parking guidance systems help drivers find available parking spaces quickly and efficiently. These systems use a combination of sensors, cameras, and AI algorithms to monitor parking space availability in real-time. The data is then relayed to drivers via mobile apps or digital signs, guiding them to the nearest available spot.
   • Impact: By reducing the time drivers spend searching for parking, these systems can significantly decrease traffic congestion and lower carbon emissions. Additionally, they enhance the overall customer experience by alleviating the frustration associated with finding parking in busy areas.
   • Recommendations: The collection of behavioral data, where people are parking, how often, and any other location data is valuable for the parking industry.  Ensure the data collected, stored, and processed cannot be associated to an individual and if it does that you hold that information for shorter periods of time or “sever” the association or deidentify the data so that the information stored cannot be use inappropriately or accessed by unauthorized individuals.
3. Predictive Analytics for Parking Management: AI’s ability to analyze vast amounts of data has given rise to predictive analytics in parking operations. By analyzing historical data on parking patterns, AI algorithms can predict future demand for parking spaces with high accuracy. This allows parking operators to optimize pricing, allocate resources more effectively, and anticipate peak times.
   • Impact: Predictive analytics enable more dynamic and flexible pricing models, such as demand-based pricing, where rates are adjusted in real-time based on current demand. This not only maximizes revenue but also encourages more efficient use of available parking spaces.
   • Recommendations: Work smarter, not harder…we have heard this before.   Predictive Analytics make parking work smarter.  Analytics are powerful and can help drive decision making, but the optimal value comes from when the analytics help you drive to a specific goal.  Define your goals and standards with documented operational policies.
4. Enhanced Security and Surveillance: AI-powered surveillance systems are enhancing security in parking facilities. These systems can detect unusual behavior, identify potential threats, and even recognize vehicles associated with criminal activities. By integrating AI with existing security infrastructure, parking operators can provide a safer environment for both vehicles and pedestrians.
   • Impact: Improved security measures increase customer trust and satisfaction, making AI-enhanced facilities more attractive to users. Additionally, these systems can assist law enforcement in quickly identifying and responding to incidents.
   • Recommendations: Video surveillance opens up privacy concerns.  Some states have specific requirements surrounding CCTV and video surveillance.  Ensure publicly posted signed are displayed throughout the location where CCTV and video surveillance are present informing individuals that they are being recorded and for what use. 
5. Integration with Autonomous Vehicles: As autonomous vehicles (AVs) become more prevalent, AI will play a crucial role in integrating these vehicles into parking operations. AI-driven systems can communicate with AVs, directing them to available parking spaces or designated drop-off and pick-up points. This integration is key to managing the future of urban mobility, where AVs will interact seamlessly with parking infrastructure.
   • Impact: The rise of AVs will likely change the demand for parking spaces, particularly in urban centers. AI will be essential in adapting to these changes, ensuring that parking facilities can accommodate both traditional and autonomous vehicles efficiently.
   • Recommendations: Although the use of autonomous vehicles are not commonplace, we cannot neglect the need to potentially integrate AVs into parking operations. Assess the impact of introducing new and potentially critically impactful solutions into operations by conducting a risk assessment, privacy impact assessment, and cost benefit.  Something sexy doesn’t make it a good business decision.

The Benefits of AI in Parking Operations

• Increased Efficiency: AI reduces the need for manual intervention, streamlining operations and reducing the potential for errors. Automated systems can manage parking facilities 24/7, ensuring consistent service.
• Improved Customer Experience: By making parking easier, faster, and more secure, AI enhances the overall customer experience. Drivers can find parking spaces quickly, pay seamlessly, and feel confident that their vehicles are secure.
• Better Resource Management: AI allows for more precise allocation of resources, whether it’s adjusting staffing levels, optimizing parking space usage, or setting dynamic pricing strategies.
• Environmental Impact: Reducing the time spent searching for parking decreases fuel consumption and lowers emissions, contributing to a more sustainable urban environment.

Challenges and Considerations

While AI offers significant benefits, there are also challenges to consider:

• Privacy Concerns: The use of AI in parking often involves the collection and analysis of personal data, such as vehicle information and location. Ensuring that this data is handled responsibly and securely is crucial to maintaining public trust.
• Implementation Costs: Upgrading parking facilities with AI-driven technologies can be expensive. Parking operators must weigh the initial costs against the long-term benefits.
• Adaptation to Change: As AI continues to evolve, parking operators will need to stay agile, adapting to new technologies and changing consumer expectations.
• AI Governance: AI is sparking heated legislative discussions. We will see more regulations being developed in the upcoming years that will focus on the use of AI and impacting individuals’ rights. Stay on top of current AI regulations and make informed decision on the AI you implement as it may need adjustment as new regulations are enacted and enforced.

Conclusion

Artificial intelligence is driving a new era in parking operations, bringing greater efficiency, enhanced security, and a better experience for drivers. As cities grow and the demand for smart solutions increases, AI will continue to play a pivotal role in shaping the future of parking. However, as with any technological advancement, it’s essential to address the associated challenges, ensuring that the benefits of AI are realized in a way that is secure, sustainable, and respectful of individual privacy. The parking garages and lots of tomorrow will be far more than mere places to leave your car—they will be dynamic, intelligent systems at the heart of smart city infrastructure.