The Future for Parking is Pre-booking
Schiphol and Chauntry
lead the way
In this workshop we’ll look at ...
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Why airports should pre-book parking
Schiphol’s challenges
Schiphol/Chauntry case study
Benefits so far
Discussion
Airport Parking is:
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Not sexy!
15% - 35% of non-aeronautical
revenue for most airports
Less understood for its commercial
potential than other retail
A real opportunity to grow revenue
A mature market in the UK ......
Off-airport parking in the UK –
main characteristics
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Available low rent land close-by
Own reservations web-site
Prominent internet position for Airport
parking search
Customer focussed sales approach
VIP Service perception
UK Pre-booking history:
Industry perspective
Developed during 1990’s
 Competitive influences:
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◦ Off-airport suppliers
◦ Consolidators
Airports privatisation
 Low cost airlines
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UK Pre-booking history:
Consumer perspective
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Accessibility of the internet
Confidence to purchase on-line
Convenience of advance purchase
Space guarantee
Available choice = Lower prices
Does pre-booking at Schiphol
cannibalize roll-up?
Difficult to completely prevent
 Pre-booking volume more than
compensates
 Needs continual attention due to the
changing dynamics within the Airport
business
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Schiphol’s approach to minimising
cannibalization
Yielding = selling the right product to
the right customer for the right price
 Set pre-conditions – cancellation /
amendment fees, restrictions on
availability
 Target new markets – e.g. off-peak /
weekend promotions in short stay
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UK Airports today …..
Better positioned to compete
 Directly communicate with travellers
 Customers are the airport’s customers
 Provide a better service
 Offer flexible prices and different products to
improve yield & occupancy
 Have the potential to increase the value of
sales
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Create interest with special offers
•Products
About Schiphol ......
Pre-booking began in 2004
 Needed to address reducing volumes and
monopoly perception
 Specific service introduced - Smart Parking
 Objective to differentiate pricing
But still ....
 Off-airport competition proliferates .....
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25 competitors at 31 locations
With brand strength ......
...and even price comparison sites
Schiphol - why a new system for pre-booking?
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Extended reservation possibilities - multiple
product choice with varying capacities
Flexibility with CPMS connections – ability to
interface with any CPMS
Extended payment options – B2B credit
payment & iDEAL
Extended access options – Credit card, vehicle
registration, PIN no, Privium member
customer cards
Why a new system for pre-booking? (2)
Extended changing options – customer amend
and cancel plus secure login
 Flexibility in configuring master data – control
of all data and reporting flexibility
 Extended promotion functionality – multiple
simultaneous promotions by product
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Schiphol chose Chauntry Parkspace™
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To yield “off-centre” parking and better
compete with off-airport
To yield “centre” parking to optimise off-peak
and maximise occupancy
As a service to Privium customers
To capture customers early, for loyalty and
develop sales of other services
Pre-payment encourages commitment
Promotion functionality
“Greyed-out” products can encourage customer
join the Privium programme or book early
Product choice supported by an upgrade
option, encourage higher spend ....
Pre-payment and choice of car park access
Progress since October 2009
Over all the number of reservations is
growing.
At the off-centre car parks:
55% of transactions are pre-booked
Rises to 70% at holiday times
Number of pre-bookings per year Schiphol Parking
400000
350000
300000
250000
+40%
int ro product / price
dif f erent iat ions like
early bird and
non/ cancellable
200000
#
+6%
150000
+12%
+23%
100000
50000
0
2004
2005
2006
2007
2008
2009
2010estimate
2011estimate
Parkspace™ has allowed Schiphol to
introduce:
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Pricing based on lead time – Smart Early Bird
(33% increase on 2009)
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Pricing based on special conditions – Noncancellable Smart Christmas promotion
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Pricing based on lead time and parking duration
– Park & travel differential rates 1- 7 days and
8-15 days
Parkspace™ has also allowed Schiphol
to introduce:
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New products – Visitors and Excellence Parking;
Privium parking will soon follow
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Up-selling – Wider range of products encourages
up-sell. Some upgrades are available – more will
be introduced
2010
#bookings a day Smart/Park&Travel (moving average)
Smart campagne 2008
Smart campagne radio/tv
2007, 2008, 2010
winterweer
2009:
schiphol.nl
paar dagen
niet
benaderbaar
aanloop herfstvak en
winteractie mailing
2009
Smart camp 2009
meivakantie
zomervakantie periode
aswolk ijsland 2010
2007
7 per. Zw. Gem. (2007)
2008
7 per. Zw. Gem. (2008)
2009
7 per. Zw. Gem. (2009)
2010
7 per. Zw. Gem. (2010)
Remark: in general the peaks are related to school holidays, Smart TV
campaigns or direct mail. The lows are related to the Iceland ash cloud
and extreme Dutch winter weather.
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n
o
o
s
s
a
a
j
j
j
j
j
m
m
a
a
m
m
f
f
j
j
kerstvakantie
j
1.400
213
229
1.200
316
391
439
1.000
371
389 800
372
341 600
391
519 400
477
447 200
462
435
0
391
454
670
463
Number of bookings by lead time for parking duration 8-15 days
(period: fall break 2009)
450
400
Price smoothing needed to fill the gap after
Smart Parking is full or not bookable anymore
within 1 week before departure
# booked
350
300
250
200
150
100
50
lead time
Park and Travel 3
Number of bookings by lead time for parking duration 8-15 days
(period: fall break 2010)
450
400
9% increase in bookings within 1 week before
departure, but lead < 4 days still needs smoothing
300
250
200
32% increase in Smart bookings with lead
> 42 days=Early Bird Smart rate
150
100
50
lead time
Park and Travel 3
Smart Parking
70
67
64
61
58
55
52
49
46
43
40
37
34
31
28
25
22
19
16
13
7
10
4
0
1
#booked
350
Smart Parking
70
67
64
61
58
55
52
49
46
43
40
37
34
31
28
25
22
19
16
13
10
7
4
1
0
New features coming soon!
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iDEAL payment / Diginumber / licence plate
recognition for Privium members
Add-ons – cross-promoting and cross-selling
other products /services
Html email confirmation – will provide an
extra communication platform
Occupancy based rating and overbooking –
further enhancements to yielding
Cross promotion – Shopping
Voucher (Dublin Airport)
And more new features coming
soon!
Multiple Bookings – multiple bookings in one
transaction – for frequent flyers or groups
 Corporate Accounts – to pentrate new
markets (large companies, affiliates etc)
 Tied Commission – incentive to encourage
affiliates etc to grow sales
 Marketing questions – seek instant customer
feedback to optimise products
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How does Schiphol see the future
for on-line bookings
Better customer profiling from
customer data
 Pre-booked customer access by
boarding card or mobile phone bar code
 Building customer loyalty / targeted
offers by profile
The focus is on customer convenience
including ....
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Mobility with Chauntry Parkspace™
mobile phone application
In conclusion:
Pre-booking is fundamental to Schiphol’s objectives
of increasing revenue yield and market share
 Schiphol now has a pre-booking system with infinite
capability to meet the ever-changing and future
demands of its airport parking business and its
customers
 In Chauntry, Schiphol has a specialist independent
airport parking technology partner committed to
ensuring its clients have the very latest pre-booking
solutions
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THANK YOU
QUESTIONS
AND
DISCUSSION