Seasonal fluctuations in parking revenues
We had a chance to work on a small study for a client on seasonality in parking revenues. We have been able to use a database of 137,000 parked domains across many different verticals and parking companies. Most of the traffic was type-in traffic we estimate only about 15% is expired traffic. In the 4 full years of data (2009 to 2012) that we had, this particular portfolio lost on average 7.5% of revenue every year with stable amount of visitors. We normalized this (virtual) portfolio from the overall decrease in revenue and these are the results we found:
Seasonal fluctuations In parking revenues:
| January | 1.16 |
| February | 1.05 |
| March | 1.06 |
| April | 0.90 |
| May | 0.93 |
| June | 0.91 |
| July | 0.89 |
| August | 0.91 |
| September | 0.94 |
| October | 0.98 |
| November | 1.19 |
| December | 1.09 |
The result is somewhat in-line with our own experience, however we have been a little bit astound about January coming out as the top month, for our own portfolio it's usually December.
So what is the study good for ?
First don't fall into a depression from April to August when parking revenues are low, but especially do not not wonder why your mailbox might be full of offers for portfolios in April based on stats from January to March. What you should do is purchase in the summer.
Ideally when buying portfolios you can come back to this post and recalculate their value-based on this table.
We would also welcome more data from parking companies to make this table more accurate.
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