How do consumers prefer to pay for their parking tickets?
Small change? Mobile or card payment? Modern methods of payment are challenging traditional ways of paying. At the same time, the options for paying for parking are now more diverse than ever. But progress is not gaining the upper hand everywhere in Europe. And there are various reasons for this. The findings of the survey commissioned by Riverty about the Future of Parking reveal a fascinating story of regional divides, with some clinging to tradition or habits with cash payments and others embracing the digital revolution with Free-Flow Parking solutions. The first article in our blog series attempts to answer the question: How do consumers prefer to pay for parking?
The gap between cash and digitalization
“Let's park here. Wait, do you have change for the parking ticket machine?” Car owners traveling in the DACH region may recognize these conversations personally. They are representative of everyday situations, such as the lack of payment options at the machine for cell phones and EC cards or even the lack of knowledge about modern barrier-free parking options without a parking ticket. In this context, our survey shows a clear regional divide between the countries of the DACH region (Germany, Austria, Switzerland) and the Nordics (Norway, Sweden, Denmark, Finland). In Germany, for example, 60% of respondents still prefer to pay with cash. In the Nordic countries, on the other hand, digitalization is leading the way: in Sweden, for instance, 40% of survey respondents already opt for app or online payments.
Mobile surge beyond cash payments & parking meters
Interestingly, the survey shows another discrepancy, between preferred payment methods and actual behavior. While cash dominates in the DACH region, many cite “habit” as a reason, indicating a willingness to use digital options. Apart from parking machines with cash payments, mobile payments (38%) and card payments (37%) are the most popular choice to pay for parking. The survey data paints a clear picture: mobile payments are on the rise, especially in the Nordic countries. Compared to our 2021 survey, the acceptance of mobile payments has increased significantly in Norway, Sweden and Finland. This trend underlines a growing familiarity with cashless transactions and offers new opportunities for parking operators, among others, and is in line with the general move towards a more digital and convenient parking experience.
Into the future of parking with mobile payments
Among other things, this opens up new opportunities for parking operators and is in line with the general trend towards cashless payment methods. The Nordic countries are also leading the way with the introduction of free-flow parking, a technology that uses automatic license plate recognition (ANPR) for a seamless parking experience. Our survey shows that 61% of respondents in Scandinavia have access to free-flow parking, compared to a significantly lower percentage in the DACH region. This trend reflects the Nordic countries' commitment to smart city initiatives and a more efficient cityscape.
The future of parking has begun
Nevertheless, the parking landscape is also undergoing exciting changes in the DACH region. Cash may still be here to stay in some regions, but the rise of digital payment and the growing popularity of free-flow parking paint a clear picture: convenience and efficiency are key. Our survey on the future of parking also looks at barriers in parking spaces, challenges for ANPR camera technology and the spread of free-flow parking from the Nordics to the DACH region. You can find out what this means for you in our white paper.
The future of parking has begun
Nevertheless, the parking landscape is also undergoing exciting changes in the DACH region. Cash may still be here to stay in some regions, but the rise of digital payment and the growing popularity of free-flow parking paint a clear picture: convenience and efficiency are key. Our survey on the future of parking also looks at barriers in parking spaces, challenges for ANPR camera technology and the spread of free-flow parking from the Nordics to the DACH region. You can find out what this means for you in our white paper.
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Free-flow parking: A profitable and efficient solution for your parking business
After working with innovative tech and payment solutions for parking for many years, I'm always looking for exciting new ways to improve the parking experience for operators and customers alike. Free-flow parking was an absolute game-changer when it entered the Norwegian market in 2017, and it continues to expand and provide parking operators across the world with business growth and opportunities.