Parking Management Market is estimated to be valued at USD 5,282.5 Mn in 2025 and is expected to reach USD 8,538.2 Mn in 2032, exhibiting a compound annual growth rate (CAGR) of 7.1% from 2025 to 2032.
Increasing number of vehicles on the road is driving demand for smart parking solutions. The need for effective parking spaces and efficient utilization of available resources is also driving the market. Smart city initiatives are also expected to drive revenue growth for this market. Furthermore, high adoption of mobile applications is also projected to propel growth the market.
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Parking systems all over the world are using more and more artificial intelligence. This lets them find spaces in real time, use predictive analytics, and offer automated payment options. AI-powered platforms cut down on traffic and lower carbon emissions by making it easier for drivers to find parking. Studies have shown that emissions from idling cars can drop by up to 18%. Surveys show that 55% of people who live in cities prefer AI-powered parking apps because they are easier to use. 68% of drivers say they would use them if they made the process easier.
AI-driven parking management not only makes things better for drivers, but it also makes things better for operators by cutting down on illegal activity, making it easier to collect money, and helping smart city projects. As cities grow faster, AI is becoming an important part of modern parking systems. This makes it a key factor in the growth of the global parking management market.
For instance, in November 2025, Kochi unveiled an AI-powered smart parking system to help reduce traffic and make getting around the city easier. The technology helps drivers find open spaces, makes the most of them, and lets them pay online for a smooth experience. This project is a big step toward using artificial intelligence to modernize the city's infrastructure, which will make things easier and more efficient for both residents and visitors.
Based on Deployment, the Cloud-Based segment is expected to led the market with 63.2% share in 2025, this is owing to the rapidly growing demand for data-driven operations and various benefits offered by these services. This is leading to rise in adoption of use of web services via implementing Platform as a Service (PaaS), as it offers less complicated, quick, and simple application development. This in turn is leading to growing adoption of cloud-based parking management services, which is likely to boost the segment growth in the near future.
For instance, in March 2025, Orbility launched its SPARK subscription service, which uses a cloud-based model to change the way small-site parking is managed. SPARK is made for operators who want inexpensive, scalable solutions. The launch shows that Orbility is working toward flexible, data-driven parking systems that make smart management available to smaller facilities all over the world.
Based on Parking Site, the Off-Street segment is expected to dominate the global market over the forecast period and this is attributed to the rise in number of public spaces such as stadiums and malls leading to increasing demand for multi-level off-street parking systems.
For instance, in August 2025, Meghalaya's Urban Affairs Department started a "grant-in-aid scheme" to improve off-street parking facilities. The goal of the program is to ease traffic in growing cities by encouraging the building of multi-level parking lots in public places like malls and stadiums. The plan shows that the government is focused on making it easier to get around cities and find organized parking.
Based on Offering Type, the solution segment is expected to dominate the global market over the forecast period and this is attributed to the lack of parking spaces in commercial and residential areas. Using parking management solutions, drivers are allowed to pre-book spaces and avoid the hassle. Thus, the adoption of parking management solutions is growing all over the world.
For instance, in February 2023, Parqour announced the launch of its "all-in-one parking management solution," which is meant to make things easier for both drivers and operators. The platform combines reservations, payments, and access control into one system, which solves the problem of not having enough parking spaces. This new feature shows how much Parqour cares about making city travel easier and more efficient.
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North America is expected to gain dominating share in the global parking management market of 36% in 2025. Countries across the region such as the U.S. and Canada are witnessing growing number of vehicles on the road. The use and sales of passenger vehicles as well as commercial vehicles increasing in these countries. Along with all these factors, the lack of parking space in the region is creating huge demand for parking management. It has been playing an important role in maintaining the congestion-free cities and harmony across the region. These factors are in turn expected to drive growth of the market in the region.
For instance, in January 2025, the UK-based parking app JustPark made its way to North America, and its first stop is the University of Hawaii. The platform makes it easy for drivers to find, book, and pay for parking spaces online. JustPark's launch in the U.S. shows that there is a growing need for smart, app-based parking management solutions in cities.
Asia Pacific is also projected to show strong growth in the global parking management market over the forecast period. This growth can be attributed to growing implementation of various parking management strategies by companies and city municipalities in the countries such as China for making efficient and smooth parking systems.
For instance, in October 2025, Kakao Mobility started a "robot valet parking service," which uses self-driving technology to make parking in cities easier. The system uses robots to park cars automatically, making it easier and faster for drivers. This new idea is an important advancement forward for smart mobility solutions. It shows how automation can turn traditional parking management into a smooth, tech-driven experience.
In 2025, the U.S. parking management market is expected to be very competitive as more people are buying cars, cities are getting more crowded, and there is a push for smart city infrastructure. Airports, universities, and cities are all using cloud-based and automated solutions to make the best use of space, speed up payments, and cut down on traffic. With this high demand, the U.S. is the world leader in parking management.
For instance, in November 2025, the Department of Land and Natural Resources in Hawaii announced to add parking management systems to four more state parks. The goal of the initiative is to make it easier for visitors to get to the site, make it easier to collect fees, and cut down on traffic. The state is committed to improving park infrastructure and making the experience for residents and tourists more organized and efficient by expanding digital parking options.
In 2025, China's parking management market is anticipated to be very competitive because cities are growing quickly, more people are buying cars, and major cities are very congested. Government-backed smart city projects are making it easier for people to use automated, multi-level, and digital parking systems. China is one of the fastest-growing markets in the world because of the push for efficiency, lower emissions, and better use of space.
| Report Coverage | Details | ||
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| Base Year: | 2024 | Market Size in 2025: | USD 5,282.5 Mn |
| Historical Data for: | 2020 To 2024 | Forecast Period: | 2025 To 2032 |
| Forecast Period 2025 to 2032 CAGR: | 7.1% | 2032 Value Projection: | USD 8,538.2 Mn |
| Geographies covered: |
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| Companies covered: |
Siemens AG, DELOPT, Parkmobile USA Inc., Bond Traffic Solutions, Q-Free ASA, FlashParking, SAP SE, TIBA Parking, Amano McGann, Infocomm Group LLC, Nex Valet LLC, and Passport Inc. |
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Management of parking system mainly requires traffic management strategy, as it helps control the flow vehicles into a restricted or parking area. Traffic flows observed in modern cities are highly complex, which makes the traffic management a difficult task. The networking of each traffic control systems is important for making efficient and meaningful decisions for the entire system. Thus, the demand for traffic management solutions is increasing all over the world along with the need for saving fuel used in these scenarios. This in turn is expected to fuel growth of the global parking management market over the forecast period.
The adoption of Internet of Things (IoT) is increasing rapidly all over the world. This is further driving growth of the parking management platforms in several regions. Various devices equipped with IoT technology consist devices such as actuators, sensors, and smartphones that are connected in different environments. These devices, sensors, and gateways are connected through communication networks to cloud applications and services, and are centrally managed in the cloud. Such cloud-based solutions offer several advantages in parking management, which is leading to rise in adoption of these technologies all over the world. This is further likely to boost the market growth in coming future.
Increasing number of market vendors leveraging advanced technology in parking management is anticipated to create a lucrative environment for growth opportunities in the global parking management market over the forecast period. Increasing demand for parking capacity is likely to create challenge, as the scarcity of available urban spaces is growing all over the world. Thus, many of the major vendors in the market are focused on leveraging newer business models, advanced analytics, and experience engineering to boost the efficient of parking management systems with an urban optimization strategy fringing both dimensions of mobility and space. This is anticipated to create several growth opportunities in the market over the forecast period.
Moreover, increasing motorization across smart cities is expected to provide market players with multiple opportunities in the global parking management market over the forecast period. Due to increasing motorization, smart cities are facing traffic congestion, and are focusing on strategizing the implementation of smart parking management systems by development and deploying advanced technological solutions. Such plans of smart cities are likely to take place in the coming five years. Moreover, the parking management systems will be leveraging external ecosystems and will be involving bigger community. This in turns is anticipated to benefit the global parking management market.
In recent years, sectors such as automation, automotive, IT, and telecom are witnessing strong investments for the development of smart parking solutions to cater the rising demand for new, innovative solutions for parking issues. Various automotive OEMs are vertically integrating their product portfolio to become a mobility ecosystem enabler from being a standalone mobility provider. This is with interests in EV charging, car sharing, parking, and payment solutions. This trend is anticipated to continue in the global parking management market over the forecast period.
Currently, many parking spaces are locale-specific, and parking operations are managed within the facility perimeters. This is leading to rapid growth of Intelligent Parking Exchange (IPX). IPX is expected to be responsible for management of end-to-end parking services for multiple facilities in suburban or urban districts. This will be integrating a parking lot with other parking lots and will incentive a person near a congested parking facility towards moving to a garage nearby having lesser occupancy. Therefore, growth in IPX is anticipated to boost the market growth in the near future.
The parking management market is evolving into a data-driven segment of urban mobility, supported by rising deployments of digital payment systems, sensor networks, ANPR cameras, and integrated mobility platforms. Industry estimates place the global market value within the low-to-mid single-digit billion-dollar range, depending on whether vendors include hardware-only systems or full-stack smart-parking solutions. North America accounts for the highest concentration of commercial deployments, while Asia-Pacific, particularly India continues to scale rapidly due to urbanization and smart-city programs.
Technology adoption is reshaping revenue models. Sensorized parking, mobile payments, and real-time guidance contribute to measurable improvements in asset utilization and revenue per space. Integrating EV charging nodes into parking facilities is creating additional monetization opportunities, pushing operators toward multi-service models rather than standalone parking systems. Leading players across hardware and software categories such as Amano, SKIDATA, Flowbird, FlashParking, and Conduent are expanding through partnerships and API-based platforms that reduce deployment time and improve interoperability.
Despite strong demand, adoption barriers include high upfront retrofit costs, fragmented municipal regulations, and varying enforcement standards, all of which increase integration complexity. Overall, the market is progressing toward recurring SaaS, analytics, and transaction-based revenue models as cities prioritize efficient curbside management and digitally managed mobility ecosystems.
Definition: Parking Management is an important component of Location Efficient Development. It involves determining the type of parking that is most useful for the neighborhood. These strategies can improve access to destinations, reduce congestion, and reduce the need for vehicle travel.
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About Author
Ankur Rai is a Research Consultant with over 5 years of experience in handling consulting and syndicated reports across diverse sectors. He manages consulting and market research projects centered on go-to-market strategy, opportunity analysis, competitive landscape, and market size estimation and forecasting. He also advises clients on identifying and targeting absolute opportunities to penetrate untapped markets.
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