Showing posts with label airport parking. Show all posts
Showing posts with label airport parking. Show all posts

Tuesday, January 15, 2019

An Arabian Tarriance

Hi everyone,

After 3 years away in the Middle East, I’m back in New Zealand and back in the Parking Business again.  It was an education in the Middle East and over the next few weeks, I will detail some of the things I saw and learned while I was away.  Its sufficient to say that they do things differently there!

I managed Queen Alia International Airport parking while in Jordan.  Unknown to most Antipodeans, this is the number 1 airport in the region.  Yes, better rated than Dubai and wrangling for top spot with Abu Dhabi Airport.  QAIA were number 1, knew it and wanted to keep it that way.  The attention to detail and concentration on customer journeys was well known because of the stream of other airports visiting the site to see what they were doing so well.  QAIA parking was good.

I also spent time managing the car parking at King Khalid International Airport in Riyadh, Saudi Arabia.  Not as efficient as their middle eastern cousins when it came to understanding how parking worked, how it linked into the passengers journey and how to optimise the resource.  A lot of the issues were the way the management and the procurement processes worked in the Kingdom.  This is a storyt for another time.

I’m happy to hear from all of the readers of this blog and its good to be home.

Kevin


Wednesday, June 1, 2016

Auckland Airport's Futuristic Dreams

You are flying to Asia. You drive, perhaps by driverless car, to Auckland Airport, parking at the new multi-storey car park connected to the terminal. You check your bags in at the car park.

You read that right. Car park check-in. It's all part of a 30-year, multi-million-dollar vision - including a new runway, a railway terminal and hotels which will see more planes, more travellers, more retail shops, restaurants and bars, giving the airport the presence of a sophisticated precinct.

There will be heavy emphasis on comfort, convenience and what business jargon labels "a seamless experience" for travellers, with the airport of the future uniquely Kiwi in design, architecture, food and drink and shopping.

Checking in at the car park, likely to be achieved by 2022, is just part of that seamlessness as the airport prepares to meet the next wave of growth in tourism to New Zealand and of Kiwis flying overseas for business or pleasure (up by 5 per cent this year, according to official statistics).

Tourism, already overtaking dairy as our biggest industry with more than 3 million visitors and a spend now surpassing $10 billion, is poised to get even bigger, as Graham Matthews, general manager Airport Development & Delivery, illustrates: "We are currently handling just over 17 million trips a year, counting all arrivals and departures. By 2040, that will have grown to well over 40
million.  About 75 per cent of all trips into New Zealand come through Auckland.

"We might hit 25 million trips by 2025 - potentially sooner, given we are currently looking at around 8 per cent growth for this year. Furthermore, research shows that by 2030 almost 80 per cent of the world's middle classes - including the growing middle classes in China, India and South America - will be one plane trip away from New Zealand."

"That's a huge opportunity for New Zealand tourism. That's why Auckland airport has been working in with Tourism New Zealand and airlines on a travel, trade and tourism partnership which has encouraged a lot more airlines to fly here."

Matthews says future possibilities can be seen by looking at Ireland: "the same sort of land mass as us, an island like us, the same sort of population but four times the number of visitors, managed well and sustainably so the product doesn't get ruined."

The first phase of Auckland Airport's expansion is already under way: "It's the first of the building blocks over the next 18 months; it'll see our international emigration expanded, further streamlining customers' passage through security, with more retail shops and new seating areas.

"Then we will be adding more gates so we can park the increasing number of planes flying here. That will be completed by the end of 2018; the next big project will be a new domestic terminal joined to the international terminal - scheduled for 2022."

Further on, by 2044 and beyond, other plans for the airport include:

• better road and public transport links
• a rapid transit network, including space for a railway station
•a second runway and proposed extension

So when that traveller electronically checks in baggage at the multi-storey car park, he is beginning a process designed not just to smooth his way but to provide a sense of comfort and entertainment - making the airport far more a part of a holiday, for example, than it has been in the past.

"Streamlining is hugely important, of course, to cater for expected growth and enhance the travelling experience," says Richard Barker, the airport's general manager retail & commercial. "It's also a question of developing amenities like retail shops, restaurants and bars, so we capture the best of New Zealand and the best of the world in a Kiwi airport environment - unlike some airports round the world, where you could be anywhere."

New Zealand is not the only country gearing up for tourism growth. Global tourism is expected to increase by almost 4 per cent this year while retail shopping at airports is also a growing phenomenon.

Research by UK retail consultancy Verdict suggests the global airport retail market will near US$60 billion by 2019 - nearly 73 per cent higher than actual receipts in 2013. They say the increase will be stimulated by growing numbers of passengers and increasing prosperity in emerging markets pushing up traveller spend.

European airports like Vienna, Frankfurt, London's Stansted and many others are boosting food & beverage and shopping areas; Stansted has completed a $175m upgrade to increase space in the departure lounge and provide more shops to feed demand.

Barker says the airport is working hard, even as Phase 1 building is under way, to boost satisfaction levels and has already enhanced the retail presence airside: "We are already the biggest shopping mall in New Zealand on a sales per metre basis - more than Sylvia Park, although they beat us on actual volume.


"We are introducing building up a selection that outstrips what is available in 'high street' Auckland - like our Victoria's Secret outlet, New Zealand handbag label Saben, fashion label Ruby plus outlets like Benefit, Keihls, Urban Decay, Jo Malone and more."

Monday, March 18, 2013

Parking Operations Design - A Lesson

I had an interesting email conversation with a General Manager (names removed of course) of a major parking equipment provider the other day. It started out as a discussion on the article about supply and demand economics, or actually the theory of Constraints, and how to get to 100% occupancy. The discussion ended up with a summary of how I see the purpose of parking and how the purpose of parking serves the city. This is a sort of step by step guide to designing a city’s parking operation. These tips will also give you the ability to micro-manage parking.
 
Parking operations systems can be simple. Here are some of the basics;
 
  • The purpose of parking is to support economic activity. An economist will argue that even a visit to a park, University or Hospital has an economic impact. Christchurch City Council's Long Term Plan has some wording around 'Community Outcomes' for parking, but in the end, they all add up to mean, at its highest level, supporting economic activity.
  • Measure what is happening on the street. On-street parking is the bellwether of all activity in the city. Its the nervous system of the body of the city. If construction or retail picks up, it will be reflected on the street. If the area becomes dead, the street will tell you. You can measure the fact that a new off-street car park opened by the data you get from the on-street machines, and then you amend your prices. Measuring what is happening on the street will tell you how to approach your pricing. You also don’t need to purchase sensors to start with. You can measure occupancy and utilization (Utilization is occupancy over a period of a day). 
  • Set up zones or precincts of the right size and shape to affect the parking load or activity in the local area, be it a mall, a university or a commercial district. Christchurch has 16 (draft) zones. Having zones that are too big creates abstract pricing. Abstract prices will support activity somewhere in the city at some stage, but will be too high in some and too low in others. Prices must be just right ... all the time. Having smaller zones allows you to micro-manage your pricing and modern technology can now help you to micro-manage parking. Zones also allow you to set zoned permanent on-street parking or residential parking in certain zones only.  
  • Link pricing to occupancy. Managing your demand to 85% occupancy, not higher or lower. This will make sure that the retailers are happy as you can't get more customers into a retailers car park than the capacity of a car park. Extra cars are just people circulating and not shopping. Retailers rarely understand this. Retail's issue is one of capacity and management of that capacity, not price. If shoppers don't come, drop the price. If they do and its overcrowded, raise the price. You still cant get more customers in than the number of car parks, so price is irrelevant other than to maintain occupancy. 
  • Enforce to support parking operations. The purpose of enforcement is to support the parking operation's designed plan. If the plan is not right, it only hinders economic activity because too many tickets are issued. One of my mantras is 'your level of parking enforcement is equal to the level of mis-understanding of your parking operation'. Enforcement also gives you some good signals that the parking operation is not right, by the number of tickets being issued or a change in the number of tickets being issued. 
  • Get the parking decisions closer to the operation. Politicians generally only know about price when they deal with parking. They don't understand the other issues that make up the price. I'm not saying they don't want to know. They are busy people. So education is best so the best decisions are based on occupancy, not price.
  If you manage to get all of this past the politicians, you will have a fully functioning, parking operation that is responsive to the many detected changes in the city's on-street activities..... and it will support economic activity. Simple. The perfect parking operation is one designed to read and respond to on-street, off-street, public, private and institutional parking signals.
  
Technology must fit into this plan. The decision on the type of technology to buy is the last decision made. We sometimes get our priorities back to front by purchasing equipment without understanding the design of the parking operation nor the purpose of the parking, first.
  The key understanding that must be made here is that this system will work in Hospitals, Airports, commercial structures, on-street and shopping malls. When run well, it will enhance the customer experience and not hinder it. It will ensure greater use of the car parks and manage the peaks.
 
The bigger key message is that we often don't design our parking operations well in the first place nor do we re-design it when it needs help.
 
 
Kevin Warwood
Parking Operations Designer
 
 
 
These views are my own.