What is the Cost of SpotHero-like Parking App Development?

You drive your family to a cinema. They are excited about the special outing despite the city traffic. Finally, you arrive at the venue however, a problem arises.

You are making the second circle around the parking lot and can’t seem to find where to park the car. Now, you can see your family members getting impatient, so you park in the next empty spot you notice and go for your movie, but when you return, a parking ticket is waiting for you.

You have parked in a “No Parking” spot.

Well, you’re one of the many people experiencing the same issue. In 2015, Sygic stated that 80% of drivers experience parking problems. They have difficulty finding free spots close to their destination.

According to the study, over 25% spend 15 minutes or more finding free parking spots. But this is a small figure compared to some 4.2% who spend more than 60 minutes doing the same.

That can be frustrating, right? This uneasiness has made parking reservation mobile apps like SpotHero popular.

The number of downloads of SpotHero according to Crunchbase also confirms the problematic nature of parking. But it also shows how people are ready to accept some form of smart parking solution. In fact, the parking app market has others such as ParkMobile, BestParking, SpotAngels, and Parkman.

This brings us to the cost of developing a smart parking app like SpotHero.

First, let’s understand the SpotHero: what it is and how it works. Afterwards, we can reveal how much it costs to develop one. In that light, this article will treat the following:

CONTENTS

1. What is SpotHero?

2. Why Build a SpotHero-like Parking App?

3. Features within the SpotHero Parking App

4. Why SpotHero Enjoys High Retention

5. What is the Cost of a SpotHero-like Parking App Development?

6. FAQs

What is SpotHero?

Mark Lawrence, Jeremy Smith, and Larry Kiss launched parking reservation and inventory services they called SpotHero in 2011 with the goal of developing a user-friendly platform that would address the issue of parking in crowded urban locations. Since then, the business has expanded to rank among the top US parking reservation services.

SpotHero is undeniably the needed platform to transform parking. The app has an on-demand feature that millions of drivers use to find and reserve parking spots easily. In fact, drivers can reserve affordable parking spots in advance. You can reserve a spot, pay for it, and get a digital pass for when you enter and leave the parking lot.

On the app, you can even easily locate your preferred parking spot by filtering parking options by price or distance. You can use it on either an Android or an iOS platform because of a cross-platform app. And if you stay in North America, then that’s good news because it is available in over 7,000 garages, lots, and valets.

But there is more where that came from.

In order to include their parking reservation platform into in-car infotainment systems, the SpotHero app has also worked with a number of top automakers and navigation systems. This has helped to significantly streamline the parking experience by enabling drivers to locate and reserve parking spaces while still driving or before they arrive at their destination.

SpotHero has raked in accolades from users and a considerable worth of money for its owners. In 2023, CNBC said that the app gets over 200,000 monthly downloads and has booked over $1 billion in online parking reservations.

Why Build a SpotHero-like Parking App?

If you were unsure about why you should build a parking app like SpotHero, here are reasons you should really give it a shot:

• A problem-solving app: Tackling the common headache of parking can be a game-changer for many, especially in bustling cities. Creating a unique parking app like to SpotHero makes it hassle-free for users to locate and reserve parking spaces. With the app, drivers no longer find themselves parking in restricted areas.

SpotHero displays available parking spots and provides simpler parking rules. SpotHero offers subscription-based discounts. But that’s not all: the cost of parking is minimized because you see the options, and you are able to avoid parking tickets.

• Competitive advantage: If you invest in a parking app development, you can outshine competitors like SpotHero. This can be if you offer more user-friendly experience, parking options, and subsidised pricing.
• Income generation: The SpotHero app presents a lucrative opportunity for income generation. This can come from fees from parking providers or a percentage cut from each parking reservation done by the app.
• New income stream: Building a parking app like SpotHero is not just a solution to a problem but also a move to broaden your range of offerings. This will introduce a fresh revenue stream aside your existing products or services.

These offerings of the SpotHero parking app have made the app so popular that it enjoys a wide and growing market, valued at over $7 billion as of 2023.

Features within the SpotHero Parking App

If you haven’t used SpotHero or you are just curious about its makeup, then this is an opportunity for you to know what features distinguish it. Why? Since you are here to learn how much it costs to make a similar app, it is only important to mention that the cost of a SpotHero-like app is dependent on its features. Here are some:

1. Admin panel

The parking service provider needs a phase or panel with which to offer and manage the services. So, they certainly have an interface of their own. On their panel, they have features that perform the following functions:

• Manage the profiles of registered users and drivers who have patronized or are patronizing their service.
• Gather and manage data or reports that document the activities, including preferred parking spots, number of daily requests, and charges. This information is useful to maximize customer experience.
• Monitor and track booked spots or reservations and charges. This helps prevent the occurrence of double parking.
• Accept or reject parking requests of the drivers or users based on factors around request processing.
• Create, offer, and manage deals and discounts for customer retention.
• Monitor and manage earnings, including subscription, payment, and in-app purchases.

2. User panel

Since you know there is an admin panel, you must also understand that parking apps like SpotHero also provide a user panel or interface. The user interface serves the customers on the platform, and they have several features as well.

• The register feature does just what its name means; it permits users to own an account and log into it on any device using their email or social media accounts.
• The next primary feature is the location-tracking feature, which is done using GPS. It is with this feature that users navigate to the parking spots they have reserved, whether it is to park the vehicle or to find the parked vehicle. This is why SpotHero added a location tag feature: You do not want to get lost finding your parked vehicle, do you?
• Another important feature that comes with an app like SpotHero is the search option feature. The feature helps users search locations and even narrows it down to parking facility name.

3. Driver panel

• An important feature of the driver panel is the booking feature, which helps users avoid the inaccessibility of spots. The feature allows you to book ahead, thereby minimizing cost.
• When users want to improve their parking options on such an app, it is important to provide an arrival and departure feature. This is one feature of SpotHero.
• Information management is important in any parking app, and this is why the app provides a feature that helps users manage their parking history.
• For an app like SpotHero, a one-type-of-payment may be a bad idea. This is why the app makes multiple payment gateways for users to choose from based on their convenience.
• The SpotHero app also gives users a means for ratings and feedback. With feedback, you see room for improvement. With rating, customers know that you are intentionally authentic. The ratings also help acquire new customers.

Why SpotHero Enjoys High Retention

One familiar narrative with innovations or inventions is how they, over time, have customer turnover or churn. But not SpotHero; in fact, the app has grown significantly since its creation in 2011. Certain factors have helped the app retain customers; you can adopt these for your app as well.

• Push notification: Push notifications help keep customers engaged, and engagement is the currency of customer retention.
• Price comparison: Imagine having an app that does not just give you a solution but gives you options to pick from based on your preferences and contexts. So, if you intend to start a parking app development, consider providing means for customers to compare prices.
• Real-time traffic update: This feature makes the app a one-stop shop for all things movement. Users can see the busiest routes, reroute their movement, and even decide on a different parking spot from what they had in mind. Users do not have to exit the app to check the traffic information on maps.
• Waiting list: A waiting list tab helps users see when a popular parking spot will be available if it is in use. This is a smart provision for any smart parking platform.
• User interface and experience: UI/UX has become a strategy that brands use to gain and retain customers. The SpotHero app adopted a minimalistic approach in designing, whether in typography, hierarchy, navigation, consistency, and whitespace. The filter option also makes the app the go-to parking app.

What is the Cost of a SpotHero-like Parking App Development?

1. Complexity

Complexity covers app-specific requirements, that is, characteristic requirements of the app. The less complex the app is, the less cost that goes into creating it, and vice versa. What this means is that for an on-demand app like SpotHero with three panels (driver, user, and admin), the cost of parking app development increases compared to less complex applications.

2. Application features

If you intend for your app to have more functions and features, then it will cost more to include them. A payment gateway, real-time updates, a search and booking system, and a responsive user interface are key components of a parking software such as SpotHero.

3. Choice of app platform

The available platforms for app launch and use are Android and iOS. If you choose to create your app strictly for one platform, it will cost less than a cross-platform parking app development.

4. Back-end and front-end framework

The parking app development framework of front-end and back-end is a significant determinant of the cost. You can choose either Monolithic or Microservices, but bear in mind that Monolithic is a bit less costly than Microservices even though Microservices performs more functions like scalability.

If you decide to use either R or G as your programming language, then keep in mind that the scarcity of programmers will increase the cost.

5. Development team size

“Why does the team size matter?” you may ask. A freelancer is one person, and it may cost less to develop an app similar to SpotHero. But you should consider the standard, efficiency, and effectiveness of an app developed by one person.

Consulting a company, on the other hand, means that you get experienced developers to create your application and evaluate it from different expert views before releasing it to the public. But you should know that the cost may also vary by the location of the company.

Now, with all these factors in view, you can build a SpotHero Parking App with at least $50,000, $100,000, $150,000 or more. Remember, the cost is always determined by the quality of the factors listed above.

In Conclusion

If you have decided to develop a parking app, then everything in this article has pointed you in the right direction. Remember, several factors determine the cost of parking app development for an app like SpotHero. Some of these factors may be easy to explain away, while others are complex and specific to what you intend the app to do.

You do not need to get yourself worked up with those complexities; you can leave that to the team of expert app developers, who are skilled in parking app development and available to help. Consider hiring mobile app developers specializing in parking apps to ensure a smooth and efficient development process.

FAQ

Q. How does a SpotHero-like parking app make money?

A. A SpotHero-like parking app makes money through subscriptions, whether monthly, quarterly, bi-annually, or annually. A monthly subscription is popular among top globally-used apps.

Commissions are also another way money can be made on the app. Referrals and reward points are customer-gaining and retention strategies that ultimately generate money from the app.

Q. State the cost of a SpotHero-like parking app development

A. A SpotHero-like app can cost from $50,000 to even over $150,000. You should remember that the app final cost will depend on your service needs and even your preference.

Q. Is a SpotHero-like parking app on-demand?

A. Yes. An on-demand app is a service platform on web or mobile, that connects customers with service or product providers. On such a platform, customers can compare deals from different providers. The SpotHero connects the admin, driver, and user on different panels.