Increasing Rail Demand by Improving Multi modal Information and Ticketing Results of the Night&Flight Case Study VTS Andrew Nash Vienna Vienna Transport Strategies Transport Strategies Thomas Sauter-Servaes mobilecular - Berlin Institute of Technology Startup Zone Agenda 1. Introduction 2. Intercity Rail as Inter/Multi Modal Partner 3. Night&Flight Case Study Description 4. Night&Flight Case Study Key Findings 5. Application of Findings 6. Conclusions and Recommendations Introduction • Research Goal: Increase the use of intercity rail by creating new products that enable customers to more effectively combine air & rail travel. • Night&Flight program provided an excellent case study for evaluating innovative new product: – Assess user acceptance and perceived benefits – Identify problems and shortcomings • Case study results were used to help develop recommendations for improving connections between air and rail transport. Intercity Rail as Part of an Inter- / Multi- modal Service Mono-modal transport service Inter-modal transport service Multi-modal transport service Origin Destination Transport mode A Transport mode B Inter-modal vs. Multi-modal Transport Services Inter-modal Multi-modal Activity Person Transfer infrastructure needed No physical transfer Transfer (e.g. airport inter-modal station). infrastructure needed. Through ticketing Two tickets from same source Ticketing and and single source Information and single source information Information (e.g. Lufthansa Fly&Rail) (e.g. Night&Flight) Baggage Baggage transfer No special baggage systems. Transfer (e.g. Swiss Rail System) Night&Flight Product Concept Combines: Night Train + Flight – CityNightLine - European night train operator; – Swiss International Airlines. Institutional changes only: – Sales and information via telephone ticketing center; – Joint tariff (addresses high cost of one-way air tickets). Example of “Soft Alliance” (e.g. airline alliances) CityNightLine: Deluxe Sleeping Car CityNightLine: Economy Sleeping Car Night&Flight Case Study • Market research (using modified Rogers method); • Identify reasons for choosing/not choosing new product; • Business traveler focus (high value/high knowledge passengers); • Non-user survey: passengers waiting in Zurich airport; • User survey: computer-based survey sent to Night&Flight passengers. Night&Flight Case Study: Key Results Travel time utilization • Night&Flight users valued the Recreation 20% Travel costs usefulness of train travel time Get up later 11% Curiosity Reduced hotel costs • Night&Flight users were: 24% Earlier Arrival Rail preference – Familiar with night trains 11% City center arrival Good connection Environmental advantage – Used to finding travel all 1% 8% 2% Safety information themselves 3% 8% No tardy arrival 3% 5% Punctuality Fear of flying • Key problem with Night&Flight: lack of internet-based information and booking system • Night&Flight non-users did not appreciate the trade-off between travel time reduction and travel time usefulness, because: – Imperative of speed – Night train is not equivalent to hotel overnight stay – Desire to limit working hours Application of Case Study Findings To increase use of intercity rail, we must: • Improve information and ticketing systems: – Internet-based – Transparent pricing (address perceived high cost of rail). • Increase ticketing combinations (one-way air combined with one-way rail) to address “schedule delay” (i.e. time lost due to waiting for next departure / loss of flexibility). • Improve ticket coordination with local public transport systems. • Increase traveler recognition of travel time usefulness (ability to work/sleep on board train). Better Information and Ticketing: Internet Information … …. And Booking Tool Improved Information and Ticketing • L’EcoCompeteur shows that integrated multi-modal information and booking systems are possible. • Who will develop the new products and offers that take advantage of these systems? – European Union call for input on joint air-rail ticketing generated some negative comment (e.g. IATA). – Local public transport information and ticketing at many European airports is too complex. • The problem is institutional not technical. Increase Coordinated Ticket Combinations (New Products) • One-way flights are often more expensive than round trips. But, is it in the interest of airlines (providers) to offer equivalent fares for one-way and round-trip travel? • This may be an opportunity for “bundling” by third party operators as a stepping stone towards increasing volume & quality of coordinated ticketing combinations. • The three phases of coordinated ticketing development: – User-organized - unique customer purchased combinations; – Operator-organized - combinations offered by e.g. railways/airlines; – Provider-organized - combinations offered by e.g. booking agents: expedia.com etc. provider -organized operator-organized quality user-organized volume Improve Local Public Transport Ticket Coordination • The process of obtaining local public transport tickets from airports and stations must be made easier to increase transport system sustainability. • City Ticket - Bundles local PT ticket with intercity rail ticket (exists in Germany, Switzerland). • Fly&Ride - Project to bundle local PT ticket with airline ticket; • An independent local PT ticket could be extended to more distant destinations using the PT zone systems in many cities. • Key question: Who will take the lead in developing these combinations? Increase Usefulness of Train Travel Time • Flying: many short time intervals: – Journey to/from airport Travel Time Reduction A – Security/ticketing – Waiting and delays B – Travel time • Rail: longer uninterrupted time and ability to travel more seamlessly (assuming Travel Time well coordinated local public transport) Usefulness • Night&Flight case study shows that rail passengers understand and appreciate the trade-off while non-rail passengers do not. • Combination of HSR with flights would help address some key non- rail passenger problems (e.g. increased working time, night train is not equal to a hotel). • Is this a communications and message problem for rail? Conclusions • Night&Flight showed demand for new multi-modal products among frequent rail customers; • Night&Flight highlighted key problems in multi-modal travel and showed the need for: – More transparent information; – Easier ticketing and reservation (also local PT); – More coordinated multi-modal transport offers; • In summary, Night&Flight shows that it is possible to increase intercity rail use by creating new products and services that enable customers to more effectively combine air & rail travel. Thank you very much for your attention! Andrew Nash VTS Vienna Transport Strategies Vienna Transport Strategies [email protected] http://www.andynash.com Thomas Sauter-Servaes mobilecular – Berlin Institute of Technology Startup Zone [email protected] http://www.mobilecular.de.