Airport Business - 12

PARKING
AUTHOR Guy Barnes

ARKING,
ROFITABILITY &
IÑATAS

Oslo Airport is
implementing
a dynamic
pricing
strategy for
their 20,000
parking
spaces.
AVINOR

Emerging technologies
will release the hidden
revenue potential in
airport parking.
LIKE MOST children, my two boys love candy. Before
my eldest son's recent birthday party, my wife and I
prepared a piñata and left it unattended in the living
room. The boys were intrigued by the colorful papiermâché donkey, but much to our amusement, they had
no idea what goodies lay within. This blissful ignorance
meant the container remained largely undisturbed until
the moment of the event.
My area of expertise is revenue
management, and it wasn't long before
a connection to the piñata had formed
in my mind. For the uninitiated,
revenue management is the science

ABOUT THE AUTHOR
GUY BARNES

Guy Barnes is the Head of Global Sales,
Parking at IDeaS Revenue Solutions. Barnes
has a 25-year history of building successful
long-term partnerships with some of the
world's leading enterprise hotel groups,
working with clients at every stage of their
revenue journey. Today he is focused on
driving commercial growth for airports
through pricing and analytical solutions for
their parking businesses.

of understanding the demand for a
perishable product and determining the
optimal pricing decision, at any given
moment, to deliver maximum revenue.
In the early part of my career that
meant enabling hotels to sell every
room at the best possible price. Hotel
owners and managers cracked open
the proverbial piñata decades ago and
they understand that selling those
rooms at optimal prices will unleash
the sweetest returns for their business.
The hotel industry was an early adopter
of revenue management and they have
perfected those technologies and
processes ever since.
As I look at the business of

12 \ AIRPORTBUSINESS / MAY 2019

airports, I see quite a different picture.
Historically, airports have relied
heavily on the revenue from their
airline partners and in recent years,
retail space has grown in commercial
significance. In many cases, however,
parking has been viewed similarly
to how my boys saw the birthday
piñata - just sitting there, with few
appreciating the real potential within.
It has largely remained a consistent
but unexceptional money maker
- fundamentally the means to get
travelers to their f lights, and little more.
For air por ts, park ing is the
untouched piñata and the opportunity
to grow new revenue from parking is
immediate, significant and critical.

Why Revenue
Management?
A parking spot, like a hotel room, is
a perishable asset. If the price is too
high, the parking spot isn't filled and
it doesn't generate any revenue. If
it's filled at a discounted price when
the consumer is willing to pay more,
the business misses out on additional



Airport Business

Table of Contents for the Digital Edition of Airport Business

Inside the Fence
Industry Update
Parking, Profitability & Pinatas
Security by Design - New Security Technology and the Future of Airport Security Checkpoint Design
Washington Watch
A Vision for the Next Generation of Passenger Needs
Digital Signage Provides New Opportunities for Airport Retail
Totally Boggus
Executive Search Part 1: An Education on a Widely Used but Misinterpreted Topic
Know Your Needs for ARFF Equipment
American Aero's Journey to IS-BAH Stage III
Product Profile
Grounded in Safety...or Safety, Grounded?
Airport Business - 1
Airport Business - 2
Airport Business - 3
Airport Business - 4
Airport Business - 5
Airport Business - Inside the Fence
Airport Business - 7
Airport Business - Industry Update
Airport Business - 9
Airport Business - 10
Airport Business - 11
Airport Business - Parking, Profitability & Pinatas
Airport Business - 13
Airport Business - 14
Airport Business - 15
Airport Business - Security by Design - New Security Technology and the Future of Airport Security Checkpoint Design
Airport Business - 17
Airport Business - 18
Airport Business - 19
Airport Business - Washington Watch
Airport Business - 21
Airport Business - A Vision for the Next Generation of Passenger Needs
Airport Business - 23
Airport Business - 24
Airport Business - 25
Airport Business - 26
Airport Business - 27
Airport Business - 28
Airport Business - 29
Airport Business - Digital Signage Provides New Opportunities for Airport Retail
Airport Business - 31
Airport Business - 32
Airport Business - 33
Airport Business - Totally Boggus
Airport Business - 35
Airport Business - Executive Search Part 1: An Education on a Widely Used but Misinterpreted Topic
Airport Business - 37
Airport Business - 38
Airport Business - 39
Airport Business - Know Your Needs for ARFF Equipment
Airport Business - 41
Airport Business - 42
Airport Business - 43
Airport Business - American Aero's Journey to IS-BAH Stage III
Airport Business - 45
Airport Business - Product Profile
Airport Business - 47
Airport Business - Grounded in Safety...or Safety, Grounded?
Airport Business - 49
Airport Business - 50
Airport Business - 51
Airport Business - 52
https://www.nxtbook.com/endeavor/airportbusiness/marchapril2021
https://www.nxtbook.com/endeavor/airportbusiness/januaryfebruary2021
https://www.nxtbook.com/endeavor/airportbusiness/december2020
https://www.nxtbook.com/endeavor/airportbusiness/Airport_Business_November_2020
https://www.nxtbook.com/endeavor/airportbusiness/october2020
https://www.nxtbook.com/endeavor/airportbusiness/augustseptember2020
https://www.nxtbook.com/endeavor/airportbusiness/Airport_Business_June-July_2020
https://www.nxtbook.com/endeavor/airportbusiness/may2020
https://www.nxtbook.com/endeavor/airportbusiness/april2020
https://www.nxtbook.com/endeavor/airportbusiness/Airport_Business_February-March_2020
https://www.nxtbook.com/endeavor/airportbusiness/Airport_Business_December2019-January2020
https://www.nxtbook.com/endeavor/airportbusiness/november2019
https://www.nxtbook.com/endeavor/airportbusiness/october2019
https://www.nxtbook.com/endeavor/airportbusiness/augustseptember2019
https://www.nxtbook.com/endeavor/airportbusiness/Airport_Business_June-July_2019
https://www.nxtbook.com/endeavor/airportbusiness/may2019
https://www.nxtbook.com/endeavor/airportbusiness/april2019
https://www.nxtbook.com/endeavor/airportbusiness/februarymarch2019
https://www.nxtbookmedia.com