According to official Canadian government statistics, there were just under 800 parking lot operators and garages in Canada last year. The average income of those lots was just over $450,000/year with a profit margin that averaged out at 34.8%.
A surprising number of them operated at less than a 15% profit margin. The cost of their utilities (including telephone / telecommunications) ranged as high as almost 2% of their total revenue.
One of the things I’ve learned about this market in talking to lot operators across Canada is that they are underserved, and overcharged when it comes to the cellular backhaul for their pay stations. Traditionally, a busy lot will use about 20MB/month per pay station while being charged for a classic “big data” plan. Usually between $10.00/month at best to as high as $35.00/month.
With Citykinect Cellular, those same data plans can go for as little as $2.40/month per pay station.
The recent pandemic has shaken this industry as revenue went to near zero over the course of a week. We are all looking for ways to cut costs, and maintain service as our collective futures remain uncertain for when life and parking will return to normal.
For more information on what other companies are doing to save on their cellular plans, contact us.