Hey guess what, a company that goes by the name of Luxe Valet just publicly launched its service today. Luxe is a new service that sends valets to park for you, wherever you are — it’s fast, affordable and convenient. So here is their strategy:
Drop Off Anywhere — Tell them where you’re going and one of their experienced valets will be there to park your car.
Door-to-door and more — Their trained valets will not only park your car in one of their secure lots, they’ll also wash and fuel it. Just ask.
They’ll Return Anywhere — When you’re ready to leave, tell them where you want your car returned and they’ll deliver it anywhere in San Francisco! All that’s recommended is that you request 15 minutes in advance.
An Average Hourly Rate Of $5 For A Modern Convenience. With a max of $15 per day, you get valet parking service at street parking prices.
$1M Luxe Insurance Protection Plan and they puts its valets through rigorous screening and training.
With a veteran team of product, engineering, and operations leaders from Tesla, Google, Zynga, Yahoo! and Groupon, a fleet of prescreened, friendly valets, dozens of insured, secure parking lots, and a sophisticated technology platform that monitors every step of the process from drop-off to pick-up, Luxe is leading the charge on a new industry of on demand services that address a ubiquitous urban challenge: finding a parking spot.
Well that’s some business model, aye guys and gals! The sad part is currently serving San Francisco, but stay tuned more cities to come. Luxe has also just announced that it has raised $5.5 million in seed funding, which it will hopefully use to prepare for the next few lack-of-parking crises. Luxe raised its funding from Google Ventures, Sherpa Ventures, Redpoint Ventures, Lightspeed Venture Partners, Upfront Ventures, Foundation Capital, BoxGroup, Slow Ventures, Data Collective, Eniac Ventures, Rothenberg Ventures, and others.
No messing around here, these guys are hiring drivers now!!
Like other valet apps, Luxe uses a drop pin on a map to show your destination before heading over, and a valet meets you as soon as you arrive to take your car to a partner garage. The app also allows you to keep track of your car while it’s in Luxe’s possession and monitor its return to you, which happens within 10 minutes of a request to get it back.
Luxe also has partnerships with garages around town where it leases parking spots on a variable basis, just like the other competitors. Two other companies in San Francisco Zirx (Luxe and Zirx are neck-and-neck at $15 per day) and Vatler are doing the same. Why you ask? One San Franciscan writes “large numbers of people still own, drive, and need to park cars. Take for instance San Francisco, which is extremely crowded (very little street parking) and a nightmare to navigate when you’re trying to get to a parking garage. Using an app like Luxe to get someone to pick your car up wherever, park it, and return it, is certainly a welcome idea, especially if it’s done at a reasonable price”. ValetAnywhere does something similar in New York City.
Lee cofounded the San Franicsco-based company with Craig Martin in 2013. Lee dreamed up the initial idea of an on-demand valet app two years ago after almost missing an important dinner reservation at a restaurant in San Francisco.
“I was there with my girlfriend who’s now my wife, and we had eight o’clock reservations. After trying to park … we got in there and barely made it — they extended the reservation time for us and I felt so bad,” Lee told VentureBeat.
Lee is quite confident that his team, which is made up of several former Zynga executives and includes the man who built Tesla’s customer operations from scratch, is well-positioned to dominate the competition.
Seed investor (and huge fan of the parking drama) Semil Shah says, marketing and product design could lead to victory, Luxe has the makings of a winner, despite only launching its beta test in May. “I believe many people who don’t live in cities but who drive into them (not in an Uber or Lyft) will benefit this valet model, so the trick for these companies is to model out where people live outside cities and then micro-target them as people who commute into cities. At the end of the day, it’s a particular suburban-to-urban transit problem, and for companies like Luxe, an opportunity,” he said in an email to VentureBeat.
Added services such as car washing and getting the tank filled up are also ways to tailor the service to this particular demographic, Shah said (long commutes mean more frequent gas filling).
Download it now and let them do the parking.