Saudi Arabia Parking Systems Market

Saudi Arabia Parking Systems Market Overview:

The Saudi Arabia parking systems market size reached USD 190.66 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 257.15 Million by 2033, exhibiting a growth rate (CAGR) of 3.38% during 2025-2033. The market is driven by urban centers like Riyadh and Jeddah, which are growing in population and experiencing more vehicle ownership that led to the rising need for effective parking systems. Support from the government through initiatives like smart city development and Vision 2030, also encourages intelligent parking system adoption. Technological advancements, such as mobile apps and IoT-based sensors, improve parking efficiency and customer experience further increasing the Saudi Arabia parking systems market share.

Saudi Arabia Parking Systems Market Trends:

Technological Advancements

Smart technologies, including Internet of Things (IoT) devices, automated parking systems, and data analysis, are transforming parking solutions in Saudi Arabia, significantly improving their efficiency and performance. Intelligent parking systems enable real-time tracking of open parking spots, minimizing the duration drivers spend looking for spaces and easing traffic congestion in city environments. By utilizing sensors and mobile applications, drivers can obtain up-to-date information regarding parking availability, facilitating a smoother and more convenient experience. This technology not only enhances user convenience but also optimizes parking space utilization, minimizing waste and boosting overall capacity. Moreover, automation minimizes human involvement, which improves precision in space usage and guarantees more effective operations. With the ongoing advancements in technology, the combination of artificial intelligence (AI) and machine learning (ML) algorithms is further enhancing the functionality parking systems. These advancements are resulting in a more flexible, expandable, and economical solutions, aiding both parking operators and users by improving space utilization and enhancing the overall experience.

To get more information on this market, Request Sample

Real Estate Development and Commercial Projects

The growth of urban areas and the ongoing expansion of the real estate sector require sophisticated and effective parking solutions for extensive residential, commercial, and mixed-use projects. With the growing density of urban centers, the demand for creative parking solutions is essential for successful incorporation with modern architectural designs and comprehensive urban planning approaches. The need for multi-level, automated, and underground parking structures is increasing as developers focus on optimizing space use while providing convenience for tenants and customers. This is especially apparent in the rising trend of mixed-use projects, which integrate residential, commercial, and entertainment areas, generating a varied user demographic with different parking requirements. This growing demand is illustrated by Seef Properties’ 2025 plan to create a 78,000-square-meter mixed-use project in Dammam, Saudi Arabia. Such initiative require efficient and smooth parking solutions to meet the varied needs of its residential, commercial, hospitality, and entertainment elements.

Shift Towards Smart City Initiatives

The move towards smart city projects in Saudi Arabia is a significant factor driving the need for sophisticated parking systems. The emphasis on digitizing city areas and improving infrastructure through technology is encouraging the adoption of smart parking systems. These consist of IoT-enabled sensors, live parking tracking, automated solutions, and data analysis to enhance space usage and traffic control. Incorporating these technologies allows parking systems to improve the overall effectiveness of urban transportation networks, alleviating congestion and enhancing mobility. A key instance of this change is the 2024 unveiling of the $1.6 billion "Heart of Khobar" smart city initiative by Tilal Real Estates in the Eastern Province of Saudi Arabia. The 268,000 sqm project, incorporating residential, commercial, entertainment, and recreational areas, featured 250 hotel rooms and 3,900 parking spots. Such projects require smart parking systems to enhance accessibility, optimize space utilization, and create a smooth experience for residents and visitors, in line with the overall objectives of intelligent urban growth.

Saudi Arabia Parking Systems Market Growth Drivers:

Increased Vehicle Ownership

The rising quantity of cars on Saudi Arabian roads are catalyzing the demand for contemporary parking solutions. As the economy of the Kingdom grows, along with increasing incomes and enhanced purchasing power, a larger number of individuals can acquire vehicles, leading to higher car ownership levels. The increase in vehicles, especially in cities, is causing major issues with parking availability, as conventional parking solutions are failing to satisfy the rising demand. City areas are experiencing significant pressure on their parking availability, driving the demand for improved parking management solutions. With the rise in vehicles, the need for effective strategies to maximize the use of limited space becomes crucial. Automated and intelligent parking solutions can efficiently handle heavy traffic by optimizing available space and minimizing congestion. The growing number of vehicles in cities requires a transition to more effective, scalable, and sustainable parking options to match urban expansion.

Tourism and Hospitality Sector Growth

With the Kingdom witnessing a substantial rise in both international and local tourists, supported by strategic efforts such as the launch of tourist visas and the organization of prominent events, effective parking options at attractions, hotels, and leisure sites are becoming essential. The increasing demand is highlighted by the Ministry of Tourism’s 2024 declaration of 17.5 million international tourist arrivals from January to July, featuring an extraordinary 656% growth in leisure and vacation travelers. Contemporary parking systems are crucial for handling large numbers of visitors, successfully reducing traffic congestion, and improving the overall experience for tourists. With the government's ongoing significant investment in tourism through the Vision 2030 initiative, the demand for enhanced parking facilities at major attractions, entertainment areas, and historical sites is projected to increase significantly. These systems aim to handle the rise in tourist volumes while also aiding the overall goal of creating a premier tourism setting.

Rise of Public-Private Partnerships

Public-private partnerships (PPPs) are playing a vital role in the growth of parking systems in Saudi Arabia. The governing body is actively encouraging private sector involvement in urban development projects, including parking infrastructure, to meet the growing demand for modern, efficient parking solutions. Through these collaborations, the private sector brings in technological expertise, funding, and innovation to complement the public sector's goals of enhancing urban infrastructure. PPPs often focus on large-scale developments, where private investors contribute to the design, construction, and management of parking systems, such as multi-level structures and automated facilities. This synergy between the public and private sectors helps bridge the financing gap and enables the efficient implementation of cutting-edge parking technologies. In addition to improving operational efficiency, PPPs ensure the long-term sustainability of parking systems, as both parties share the responsibility for maintaining and upgrading these systems.

Saudi Arabia Parking Systems Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on component, type, system, and end user.

Component Insights:

• Hardware
  • Cameras
  • Motors
  • Raw Steel
  • Sensors
  • Electrical Panels
  • Electrical Boxes
  • Wireless Radios
  • Fire Alarms/Audio Alarms
  • Sprinklers
  • Gears
  • PIC Microcontrollers
  • LCD Display
  • Others
• Software

The report has provided a detailed breakup and analysis of the market based on the component. This includes hardware (cameras, motors, raw steel, sensors, electrical panels, electrical boxes, wireless radios, fire alarms/audio alarms, sprinklers, gears, PIC microcontrollers, LCD display, and others) and software.

Type Insights:

• Shuttle Parking System
• Puzzle Parking System
• Rotary Parking System
• Stacker Parking System
• Automated Guided Vehicle Parking System
• Rail Guided Parking System
• Crane Parking System
• Silo Parking System
• Tower Parking System
• Others

A detailed breakup and analysis of the market based on the type has also been provided in the report. This includes shuttle parking system, puzzle parking system, rotary parking system, stacker parking system, automated guided vehicle parking system, rail guided parking system, crane parking system, silo parking system, tower parking system, and others.

System Insights:

• Fully Automated System
• Semi- Automated System

A detailed breakup and analysis of the market based on the system has also been provided in the report. This includes fully automated system and semi-automated system.

End User Insights:

• Residential
• Commercial
  • Shopping Malls
  • Office Buildings
  • Hospitals
  • Public Car Parks
• Others

The report has provided a detailed breakup and analysis of the market based on the end user. This includes residential, commercial (shopping malls, office buildings, hospitals, and public car parks), and others.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Parking Systems Market News:

• In August 2025, Riyadh introduced a new managed parking system to regulate residential neighborhood parking. The system will issue digital permits via the Riyadh Parking app and aims to reduce congestion, starting with the Al-Wurud neighborhood. The project aligns with Vision 2030, expanding paid parking zones and using technology for better urban management.
• In December 2024, the largest provider of paid public parking facilities and services in Dubai, Parkin Company PJSC, announced that it has signed a Memorandum of Understanding with BATIC Investment and Logistics Company ("BATIC"), a Saudi Arabian conglomerate listed on the Saudi Exchange (TADAWUL). The agreement includes investments in logistics, transportation, parking, real estate, private and civil security services, cash solutions, and facilities management.
• In July 2024, Saudi Arabia’s USD 500 billion megacity NEOM finalized the construction stages of its underground parking and light rail systems, highlighting a significant achievement in its bold zero-carbon project. Supported by 10 high-capacity rotary drilling rigs from XCMG Machinery, a Chinese construction manufacturing firm, the largest integrated development project globally finished three piles daily for each drilling rig, as stated in a press release.
• In September 2024, the Ministry of Municipal Rural Affairs and Housing introduced a service for paid parking permits. This service seeks to manage and promote investment in the parking industry, benefiting the urban environment and infrastructure of the Kingdom's cities, while minimizing adverse effects on traffic movements and improving road safety. MOMRAH stated that the paid parking requirements are intended to manage the construction of parking facilities in accordance with the stipulations and regulations of the Saudi Building Code. It also seeks to foster a supportive atmosphere for investors looking to invest in this sector.

Saudi Arabia Parking Systems Market Report Coverage:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia parking systems market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia parking systems market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia parking systems industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.