Payment is critical to improve commute experience, study finds

Payments lie at the heart of every form of travel, and will continue to become more integral as more cities move to contactless public transportation, digital payments for parking and rental services such as bikes or scooters. In fact, complexity in payment is often at the root of many common complaints placed by commuters.

In a recent study conducted by Visa and Stanford University, more than 19,000 commuters in 19 countries were asked about their thoughts of public and private transportation, and the important role that digital commerce plays in driving sustainable growth.

The respondents consisted of 65 per cent living in the inner city/centre and 35 per cent in the outer city and suburbs. More than half (55 per cent) were in full-time employment.

About 47 percent of respondents said the need for different tickets for different modes of travel is an issue, and 41 percent cited services being “cash-only” as an annoyance that may lead them to use cars instead of public transport.

For car users, 47 per cent would like to see innovations that would advise on the cheapest fuel available. About 35 per cent would like an app that recognises the location where they are trying to refuel and pays through the app.

From these findings, Visa suggested that city governments and urban planners need to collaborate with think tanks, automotive and technology firms, and payments providers to improve the payment experience.

As a single journey will increasingly involve more than one mode transport (e.g., car, underground and bike), it becomes imperative to create a simple, streamlined payment experience for the commuter, ranging from contactless transit to in-app payments or platform-based solutions.

Moreover, as companies and municipalities increasingly incorporate digital payments, they also need to integrate instant authentication. According to the researchers, the role of Digital ID in the ecosystem is critical to address the changes in the way people use transportation, ensuring that both payment and personal authentication is easy and seamless.

Other recommendations are to invest in connectivity, design commerce systems with all members of society in mind and develop strategic partnerships to drive insights.

“Visa and our partners have an important role to play, both in streamlining the payment experience for millions of commuters around the globe, and supporting public transportation authorities in their quest to build sustainable and convenient transportation solutions that improve the lives of the people who use it,” said Mike Lemberger, senior vice president for Product Solutions in Europe, Visa.