Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?

I have three decades of experience in the car parking industry. Over the years, I have witnessed the industry transform from ticket, cash, and manned systems to fully automated, ticketless, cashless, and man-less systems. I am fortunate to have an engineering background, and I also have a business degree that helps me understand the business side. As such, I am a technical cum commercial expert in the parking industry. I currently work for Singapore's largest parking system supplier, supplying and installing more than 1,600 systems across the nation. I have deep, in-depth knowledge of the Singapore car park landscape and the stakeholders- who are the players, the customers, the government agencies, etc. and have the ability to foresee what is coming in the future with regard to the parking industry.

Q2. Are institutional clients shifting toward recurring 'Parking-as-a-Service' models, or do they still prioritize upfront CapEx to retain control over data and pricing?

Currently, Singapore has two major business models: 

Self-manage Model 

In the self-manage model, car park landlords purchase the system upfront (CapEx) and operate the car park themselves. In this business model, the landlord controls the entire car park. In the outsource model, there are two options: the license fees model or the management model. In the licensing model, the landlord outsources the entire car park to a car park operator. In return, the car park operator pays the landlord an agreed monthly license fee. The operator manages the car park and keeps all car park revenue. It is like leasing the entire car park to the operator. 

Outsource Model

In this model, the landlord still outsources the entire car park to a car park operator. However, instead of collecting a monthly license fee, the landlord pays the operator a monthly management fee. The landlord retains the car park revenue, exercising some control over the car park.

Q3. Is 'EV-readiness' currently a competitive moat that accelerates deal closure, or is it largely viewed as a necessary regulatory expense?

It is a necessary regulatory expense. The cost of installing an EV charger is high in Singapore due to the upgrading of power infrastructure and high electricity costs in Singapore. Charger maintenance is also high due to high labor costs, etc. To address this, most car park owners outsource EV parking lots to EVCO (EV Charger Operators).

Q4. If you were an investor looking at companies within the space, what critical question would you pose to their senior management? 

Besides the financial aspects of the company such as cash flow, assets, P/L statement, balance sheet, and manpower capability, I feel that an investor should ask these critical questions:

Market Leadership

Where does the company rank amongst its competitors? 

In Singapore, the biggest car park landlord is the Singapore government agency, HDB (Housing & Development Board). To manage these car parks, one needs substantial financial muscle, experience, and people know-how to qualify to bid for them.

Core Competitive Advantage

What does the company have that its competitors don’t have, for example a whole suite of season parking application/payment such as web portal, mobile app or via popular payment service provider.

Future trends, any opportunities or threats? Parking technology in Singapore is advancing rapidly; companies at the forefront of the technology will have the greatest opportunities.