Smart Parking Systems Market

Smart Parking Systems Market Summary

The global smart parking systems market size was estimated at USD 10.22 billion in 2025 and is projected to reach USD 53.38 billion by 2033, growing at a CAGR of 23.3% from 2026 to 2033. The market growth can be attributed to increasing government investment in smart city projects and initiatives to curb traffic congestion.

Further, advancements in Internet of Things (IoT), and significant investment by market players in R&D for innovative product development are anticipated to drive industry growth remarkably through 2030. The COVID-19 pandemic negatively impacted market growth in 2020, due to strict lockdowns imposed by various governments to curb the transmission of the virus. However, from early 2021, the market witnessed high growth due to significant investment by several governments in infrastructure development activities and the transport sector to improve the economy of the country, creating robust market opportunities.

Smart parking systems assist city administrations in managing dispersed parking spaces efficiently and drivers in locating available parking spaces to mitigate traffic congestion. Further, the growing technological advancements have led to the integration of transport systems, geospatial systems, and parking data from wireless sensors. The use of technologies such as smart parking meters, License Plate Recognition (LPR) cameras, and parking guidance systems for parking has facilitated the ease of vehicle parking, thereby reducing the wastage of time and fuel. These factors, along with the increasing global vehicle sales, are expected to drive the growth of the smart parking system market.

The growing urban population is likely to lead to an increase in the number of challenges faced by cities, such as traffic congestion. However, the development of smart cities is expected to offer opportunities for governments to address these challenges effectively. The governments of various countries, such as India, U.S., South Korea, China, Australia, Japan, Germany, and Brazil are launching smart city projects, creating a favorable smart parking system market outlook. For instance, in October 2022, an investment & construction company from Indonesia, PT PP (Persero) Tbk, collaborated with a smart industrial solution provider, LG CNS from South Korea, to plan the smart city project for Indonesia’s new capital Nusantara, supporting the industry trend.

The significant rise in automated parking solutions integrations, combined with the advancements in wireless and digital payment technologies, is expected to contribute to market growth. Technologies utilized to implement these systems include advanced sensors, data analytics, smart parking meters, and Machine-to-Machine (M2M) communication, along with mobile applications for slot reservations and online payments. These technologies are designed to determine whether a parking lot is empty or occupied and evaluate & transmit the information to mobile and web applications. These advancements in technology are expected to fuel the smart parking systems market growth.

Lack of awareness regarding the smart parking benefits is the main restraint for the growth of the market during the forecast period. Further, the smart parking solutions equipped with RFID tags face disruption in signals due to electromagnetic interference. Electromagnetic interference causes disturbance in the tracking signal, due to which vehicles are falsely detected. This is expected to create numerous challenges for operators and drivers in the forecast period. To tackle this issue, market players are collaborating with technology providers to develop innovative market solutions. For instance, in November 2020, Park+, a smart parking solution company, partnered with MyGate, a community & security service provider, to develop RFID-equipped smart parking solutions for the residential market.

Global Smart Parking Systems Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2021 to 2033. For this study, Grand View Research has segmented the global smart parking systems market report based on hardware, software, service, type, application, and region:

• Hardware Outlook (Revenue, USD Million, 2021 - 2033)
• Pucks (Wireless Sensors)
• Cameras & LPRs
• Smart Meters
• Signage
• Parking Gates
• Software Outlook (Revenue, USD Million, 2021 - 2033)
• Parking Guidance System
• Analytics Solutions
• Service Outlook (Revenue, USD Million, 2021 - 2033)
• Consulting Service
• Engineering Service
• Mobile App Parking Service
• Type Outlook (Revenue, USD Million, 2021 - 2033)
• On-street
• Off-street
• Garage Parking
• Lot Parking
• Application Outlook (Revenue, USD Million, 2021 - 2033)
• Commercial
• Government
• Transport Transit
• Regional Outlook (Revenue, USD Million, 2021 - 2033)
• North America
• U.S.
• Canada
• Mexico
• Europe
• UK
• Germany
• France
• Asia Pacific
• China
• India
• Japan
• Singapore
• Australia
• Latin America
• Brazil
• Middle East & Africa (MEA)
• KSA
• UAE
• South Africa

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