Taking Transit to the Next Level EXECUTIVE VICE PRESIDENT, CFO DALLAS AREA RAPID TRANSIT

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1 1 Taking Transit to the Next Level PREPARED BY: DAVID LEININGER EXECUTIVE VICE PRESIDENT, CFO DALLAS AREA RAPID TRANSIT

2 Dallas Area Rapid Transit 2 90 Miles of Light Rail Annual Ridership: 29.5 Million 35 Miles of Commuter Rail Annual Ridership: 2.1 Million Bus Paratransit - Vanpool Annual Ridership: 38 Million

3 Mobile Ticketing: The Critical Gateway Application to the Complete Trip Mobility Solution 3 DART introduced a comprehension mobile ticketing and trip planning app in 2013 Initial goal was to migrate as many riders as possible away from cash and need to interact with ticket vending machines Feature rich functionality included all ticketing products sold by three transit agencies, trip planning and events and offers notifications App was immediately popular and led to numerous joint marketing initiatives with entities such as NCAA, State Fair of Texas, MegaFest and Rail Volution. Availability of app functionality for events and offers led to current relationships with UBER, LYFT, ZIPCAR and shortly, a Dallas bikeshare venture

4 Illustration of Impact of Mobile Ticketing 2015 State Fair Go Pass Sales 4 Pass Sales Before State Fair State Fair Pass Sales TVM Sales 76.6% Go Pass 23.4% TVM Sales 74.6% Go Pass 25.4%

5 State Fair Go Pass Sales ,000 Total Go Passes Sold During State Fair 160, , , , ,000 80,000 60,000 66,667 40,000 20, , Go Passes

6 Situation 6 Key Consumer Insight More people would ride public transportation if it took them exactly to where they needed to go Customers still need to traverse the Last Mile to and from their home, job, etc.

7 Challenge : Keeping Public Transit Relevant in 21 st Century 7 Goal: Provide complete trip/final mile solutions that keeps public transit service a relevant and integral part of the mobility solution Strategy : Engage with everyone and suspend judgement because it is early days Means: Mobile Technology Platform that includes mobile ticketing, trip planning and multiple transportation offerings Approach: Carefully and Casually Scope: All forms of ridesharing and many providers UBER, LYFT, TAXI ZIPCAR, KARMA, CARS2GO BRIDJ BIKESHARING PARKING Nexus; Payment integration one trip, multiple providers, one click

8 Vision 8 Identify multiple ways to shore up the Last Mile Provide options to customers driven by need-state and/or lifestyle One App for customers map out their travel One payment solution to keep it simple

9 Initial Idea 9 DART venture with UBER Promote the ability to access bus/train stops to begin or complete trips Establish logistics that make it simple Provide a cost efficient means to travel within the region Shore up first and last mile

10 UBER Development Path 10 Pathway to a seamless, end-to-end transportation solution Awareness and Education Event Focused Marketing Focused Partial Integration App Inclusion Full Integration Map Integration Payment Integration

11 Awareness and Education Messaging/marketing events that made sense St. Patrick s Day to promote riding DART and UBER Safe door-to-door transportation Print, Online, Radio, Facebook, Twitter 11

12 Partial App Integration Included UBER in our Events and Offers page Delivers link to UBER app 12

13 Results To Date HUGE amount of awareness generated!! 92M Print and Online Impressions Over 1.2M Broadcast Impressions 13

14 Integration Phase 2 Connect 2 Car button in our travel tools section Connect 2 Car opens this page up for multiple ride share options 40% of riders going into Connect 2 Car go into the UBER app 14

15 Next Steps/Opportunities Full Integration 15 Further discussions for other transportation options Engage other transportation options Payment Integration Mapping Integration Additional Services: On-Call Late Night

16 Current DART Engagement 16 Initiatives Current light engagement active initiatives UBER LYFT ZIPCAR Pilot Project in Beta Taxi Smart Card for Seniors Pilot Projects Under discussion Final Mile project: Toyota/KARMA/DART Transit Desert project: BRIDG, UBER,LYFT,TAXI Deep payment integration for complete trips Ride Scout

17 The Complete Trip Working Group 17 Project delivery for complete trip solutions requires a larger composition of team members than often recognized Public transit agency participants include representatives from Service Planning, Mobility Management, IT, Marketing, Customer Service, and Finance, especially Revenue Management group because they are usually responsible for fare policy, fare collection and electronic payments and mobile ticketing Important to identify the way communication between working group and the private sector participants is managed, especially with new market entrants who abhor bureaucracy

18 Lessons Learned to Date 18 Observation DART team viewed bundled ticketing of transit and destination venue admission as most likely area of interest but ridesharing service integration has emerged as the area of strongest potential It was a very good decision to combine ticketing, travel planning and events and offers inside one app and to offer as many products as possible and seek maximum penetration of ridership It is early days in this arena with new apps, new startups and new business arrangements being announced weekly. The smartphone is only 7-8 years old; mobile ticketing for transit, UBER, BRIDJ et al are only 2-3 years old. Integration of transportation services via mobile app platforms and, more importantly, integration of the electronic payment process to permit one click service is very important (perhaps essential) and is going to quickly emerge example: Ride Scout and Xerox

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