Beyond Fare Collection: Next Stop, Multimodal Payments Michael Dinning U.S. Department of Transportation Volpe Center Cambridge, Massachusetts
Is this a transit ticket? eierlegendewollmilchsau egg-laying wool milk sow
Single City cards emerging Capital of Slovania URBANA City Card
Drive towards convenience with common payment media
Open payments accept many media
: Universal (or linked) transportation accounts may have multiple benefits Hot Lanes & Tolls Airport/Off- Street Parking On-Street Parking Shared Use Mobility Transit Fare Collection Transponders License Plate Smart Cards Transit or Bank Issued Smart Media ID Cards Universal or linked accounts Coordinated incentives Integrated customer services Adapted from Mike Nash, Xerox
Multimodal payments convergence - Why now? Many choices - seamless travel Mobile technology Account-based systems Manage travel Reduce costs
Transportation options are expanding Travelers want choices more than ever before Mode choice is now situational, not habitual
New Smart Mobility technologies Car sensors and warnings Haptic navigation instructions MoDe:Me e-bike Electric motor assist based on heart rate
We can provide easy mobility choices Plan Travel Pay
Mobile apps facilitate seamless travel City-Go-Round Plan Google nextbus Travel Pay MBTA JustRide Bring Your Own Infrastructure You don t have a lot to figure out. We all have navigators in our pockets.
Open account-based systems being adopted by transit Chicago Transit managers say: They provide flexibility to adjust our policies to increase revenues and increase customer convenience and provide better travel options - Smart Card Alliance Members Meeting, December 10, 2013 Washington Philadelphia
LA Metro Express lanes: Linking tolls & transit - managing demand We re trying to move more people, not more cars Commuting choices: Express toll Express bus Rail Bike Dynamic toll pricing Real time traffic information Linked customer accounts Multimodal rewards programs
Gamification & behavioral economics People respond better when they have choices Over $1M Awarded!
Incentivize smart travel $2 discount on State Fair tickets bought on DART transit app
Joint marketing of last mile options
Informed & incentivized choices 60% of users were willing to change their departure times & routes 64% of our most active users redeemed retail offers Sources: Ride Scout,SmarTrek & Merci
Transportation demand management We can t build our way out of congestion US DOT Integrated Corridor Management Initiatives 2015 ICM Grants US DOT FHWA Future approaches will be multimodal
Mobility as a Service providing Mobility on Demand Millennials want apps, not cars UbiGo transport broker Gothenburg Mobility As A Service Helsinki Multimodal payment is a key lynchpin
Potential cost savings Consolidation opportunities: Customer service Payment media & retail services Account management Data and reporting
A truly multimodal opportunity Common payment media Linked accounts Mobility information Multimodal payments convergence Integrated customer services Shared data Incentives Regional strategies
Multimodal Payments Convergence Workshop January 15, 2015 Multimodal payments convergence
Common Interests Multimodal Payments Convergence Workshop, January 15, 2015 Seamless travel Customer focus and relationships All modes, public and private Efficiencies Regional mobility strategies Scalable innovations Diverse data
Challenges Multimodal Payments Convergence Workshop, January 15, 2015 Consumer preferences & behavior Business case - win/win? Champions - few agencies with multimodal roles Differences in governance and funding Public-private partnerships Standards and architectures Access to data - security and privacy
Potential Strategies Multimodal Payments Convergence Workshop, January 15, 2015 Use payments as seed for multimodal programs Public sector convene partners Demonstrate & pilot multimodal concepts Include in regional mobility programs Build awareness - leverage DOT and industry associations
Converging on convergence You can contribute! Explore opportunities Demonstrate concepts June 9-10 July 27-29 Develop standards and architectures Include in regional mobility initiatives Include in technology
Contacts Michael Dinning U.S. Department of Transportation John A. Volpe National Transportation Systems Center 55 Broadway, Cambridge, MA 02142 michael.dinning@dot.gov 617-494-2422 (o) 617-694-7518 (m) The ideas in this briefing are the personal thoughts of the author, not the United States Department of Transportation. The United States Government does not endorse products or manufacturers. Trade or manufacturers names appear solely to illustrate the concepts presented in the briefing.