For over 30 years, Guy Piccolo has made a living off of his airport parking service businesses near Bradley International Airport. Now, he’s looking to grow his company by tapping a new market in Florida and doubling his company’s local footprint.
Despite the decline in airport traffic in the past year, Piccolo, owner of Suffield-based Executive Valet Parking, an off-site airport parking and shuttle service for Bradley travelers, says it’s a good time to grow because construction costs are extremely competitive right now, especially in Florida where the real estate sector has taken a beating.
Piccolo said he and two other business partners are financing the expansion.
In Fort Myers, Fla., Piccolo opened a new 1,000-space parking facility on 13 acres near Southwest Florida International Airport. The expansion in Florida has led to the creation of 40 new jobs within the company and includes the construction of a 3,155-square-foot office with a three-bay garage.
Next year, Piccolo plans to open a new 5,000-square-foot office in Suffield to replace the company’s current digs along Route 75, also in Suffield. That move would expand the company’s Connecticut footprint from 8.5 acres to 17.5 acres.
“This is a good time to take chances and grow the business,” Piccolo said. “We feel like if we grow now, the rewards will come in the future.”
Executive Valet’s growth comes at a time when airports around the country are seeing less foot traffic because of the poor economy.
According to the U.S. Department of Transportation, airline traffic for the first nine months of 2009 fell 7 percent to 533.3 million, or about 39 million fewer passengers. Bradley International saw its passenger totals fall by about 9 percent through October to 4.7 million people.
Hit By Recession
Martin Stein, president of the National Parking Association, said parking service companies have traditionally been resistant to a recession, but the industry couldn’t avoid being impacted by the current downturn. Companies located near hotels or airports are seeing the biggest drop in demand, Stein said.
“Many companies have instituted restrictions on corporate travel and people are uncertain about their jobs, which has reduced leisure travel as well,” Stein said.
Piccolo admits that business has slowed at his Suffield facility, but he’s decided to move forward with the Florida expansion, partly because the project has been in the works for a few years.
And besides lower construction costs, Fort Myers is seen as a good growth opportunity because it’s one of the fastest growing communities in the United States.
Southern Opportunities
Southwest Florida International Airport had more than 7.6 million passengers in 2008, and is currently one of the top 50 busiest airports in the United States, according to the Lee County Port Authority in Florida. By comparison, Bradley reported 6.1 million passengers in 2008.
Piccolo said competition will be limited. Executive Valet will be the first off-site airport parking operator near Southwest Florida International and will look to compete with the airport’s on-site parking services by charging cheaper rates.
He said Southwest Florida International charges $11-a-day to park a vehicle on its lot. Executive Valet will charge an introductory rate of $5.99 a day.
“People are tired of paying high costs for traveling fees, such as luggage and parking,” Piccolo said. “We will give customers a premium experience for a lower price. In this economy, that is a welcome change for many travelers.”
Piccolo has been running Executive Valet since 1997, but he’s been in business near Bradley Airport for more than three decades.
At the age of 17, he took over Piccolo Valet Parking in Windsor Locks, a company his father Domenico Piccolo founded and ran until his death in 1975.
Guy Piccolo then ran the company for the next 20 years, but eventually sold it in 1997 to a national parking firm. Less than a year later, he bought Executive Valet Parking in Suffield.
Competitive Pricing
Piccolo said his business has stayed competitive over the years by charging lower rates than other companies in the area, which has helped them build a strong and reliable market share.
They also use the Internet and cross-promotional advertising with local companies such as Big Y as their primary marketing vehicles.
That helps the company significantly reduce costs because they don’t have to spend money on other forms of advertising like television, newspaper or radio commercials, which can be expensive.
“By reducing our overhead on advertising, we can pass that savings onto our customers,” Piccolo said.
Besides the expansion, Executive Valet also recently purchased nine new shuttle busses, four of which are housed at its Suffield facility.
And despite the economic headwinds, Piccolo said he is confident his company will come out of the recession a stronger organization.
“In this economy you just have to work a little harder to get business,” Piccolo said. “My philosophy is that without travel there is no life.”
