Multimodal Transportation Payments Convergence—Key to Mobility

Abstract

Travelers have more choices than ever before and information about these travel choices is being integrated and delivered to individuals, making trip planning easy. But each of these transportation options may require its own method of payment, requiring travelers to use different payment devices and establish multiple payment accounts. Multimodal payments convergence promises to make the travel experience truly seamless. With payments convergence, travelers will be able to plan, book, access, and pay for their trips with minimal effort. Payments convergence will enable transportation service providers to better market their services, incentivize mode choice, manage demand, and may reduce costs. Multimodal payment will be part of bundled mobility services, which will provide travelers access to many mobility options. Both public and private sector organizations are developing, demonstrating, and implementing various forms of multimodal payments. This paper will outline three approaches to payments convergence, and will discuss the challenges to successful implementation of each approach.