How to lower Melbourne airport parking rates and boost profitability is one of the main difficulties confronting Melbourne-based parking owners and operators. At a time when operating expenses appear to be steadily growing, parking lot owners—both private and public—find themselves up against greater competition in localities throughout Australia. However, some methods may be used to lower expenses, draw customers, and lower the cost of parking facilities.
Cutting expenses and bringing in more money are the two apparent ways to boost profitability. On the other hand, it is far simpler to say these things than to accomplish them.
Cutting facility-related costs to reduce Melbourne airport parking rates
Cost-related facility reductions are a good place to start. Statistics highlight how crucial cost-cutting is as well as the difficult work confronting parking owners and operators. The cost of maintaining a parking garage has increased significantly over time. Given that Australia has faced the consequences of the pandemic, this is quite noteworthy.
The secret to reducing these skyrocketing Melbourne airport parking rates is to identify the most costly operational components. Each parking facility’s staff expenses are different and depend on a variety of variables, such as the degree of service offered, parking access and revenue management systems, and geographic location. Nevertheless, one of the most constant expenses that parking lot owners and managers face is the cost of personnel pay and benefits.
Technology for lowering Melbourne airport parking rates
Technology may provide many parking lot owners with a way to save money. The requirement for revenue control personnel at exits may be reduced or eliminated with pay-on-foot technology. And this allows drivers to pay at stations before getting back to their cars. In recent years, several buildings have even eliminated cash payments, forcing customers to pay with a credit card at pay-on-foot kiosks or in departure lanes. This has further reduced the need for personnel.
Costs associated with security
Increased labour costs may also be attributed to security. An external security company that maintains a presence within a parking complex will normally incur security charges. Many institutions don’t provide outside security, so they are spared from bearing this expense. A better standard of service is expected, automated cashiering is used, or the location is in a high-crime area, so security is more likely to be offered there.
Cutting down on security isn’t always a good idea, however. Before selecting whether and by how much to make cuts, parking lot owners and managers must assess their security requirements. Reducing security may have unintended effects, such as increased legal fees owing to greater liability and lost revenue if customers think the building is unsafe.
Maintenance and Melbourne airport parking rates
It is possible to save money on maintenance by using certain components. Lighting is perhaps the most crucial aspect since it often has the highest utility cost in a parking complex. This is particularly important to keep in mind for constructions that are below ground level or completely enclosed.
New LED choices provide much-improved visibility at a reduced price as lighting technology continues to advance. By converting to LED lights, parking lot owners and managers may save a lot of money. A further significant advantage of switching to brighter LED lighting is the promotion of safety and security within the building due to increased visibility.
Payouts and insurance claims
The last two factors that might hurt an owner’s bottom line are financing expenses and insurance claims. As the usage of credit cards has grown, so have banking costs throughout time. Automated payment systems may typically offset these expenses since they improve revenue management and drive down labour costs by eliminating the need for cashiers.
Auto damage claims, which are often reimbursed as operating costs since they frequently fall inside the deductible level, are normally the most difficult insurance claims. A continuous maintenance program may help to prevent non-valet claims such as paint damage to parked cars from broken gate arms, water seepage, drip damage, and damage from tiny bits of concrete landing on parked vehicles.
