NEW
YORK, May 20, 2024 /PRNewswire/ -- "We call it
Xtraspots (pronounced as extra spots), aiming to release the usage
rights of parking spaces," explains Charles Sepulveda Co-Founder
and President. Unlike other competitors who focus on partnering
with parking lots, Xtraspots targets privately owned vacant parking
spaces, including those at churches, office buildings, or private
residences.
The approach is similar to Airbnb: property owners provide their
address, photos, and open booking time slots on the platform, while
drivers reserve parking spots through the app. The parking rates
range from street parking to parking lots, reducing the cost of
finding parking for drivers and bringing additional income to
property owners. "We estimate that each property owner can earn
$300 in additional income per month,
while also saving drivers half an hour of early departure time,"
says Sepulveda.
Xtraspots' service may seem like a shift from Airbnb's
accommodation model to parking, but it's not entirely the same.
While Airbnb operates on a daily basis, urban parking is
predominantly short-term, often measured in hours. Thus, dynamic
pricing and increasing turnover rates pose technical challenges for
Xtraspots, setting it apart from competitors who primarily focus on
monthly rentals.
"Our solution is to design dynamic blackout periods," explains
Xtraspots' Chief Product Officer, Sander
Chen. Simply put, this means that consecutive booking
periods are not allowed. For example, if someone booked a parking
spot from 1:00 PM to 2:00 PM, the
adjacent time slots would be unavailable for booking. The actual
blackout duration depends on the demand at the time and the
proximity to peak hours.
In addition to the technical challenges, Sepulveda emphasizes
the importance of customer service. Since parking is an immediate
need, any issues or problems must be resolved immediately.
"Currently, half of our team serves as customer service
representatives to address issues promptly. Of course, in the
future, AI will automate this part," Sepulveda adds.
John Shahin, Chief Operating
Officer leading the effort to build partnerships with
municipalities around the Northeast, including parking lots,
highlights the importance of strong technology partner
relationships. "Collaborating with innovative technology partners
like Tonic3 and the Oyate Group is crucial to our mission. Their
expertise and support enable us to enhance our platform and expand
our reach, making parking more accessible and efficient for
everyone," says Shahin.
Since its launch on February 5th,
Xtraspots has onboarded approximately 300 property owners and
registered 500 members. The business model adopts a revenue-sharing
system and currently focuses mainly on New York as its primary service area, with
plans to gradually expand to other metropolitan areas in the
future.
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SOURCE Xtraspots