A first step towards seamless regional fare solutions

Mobile Ticketing :

REVENUE COMMITTEE AUGUST 28, 2012

Why We Determined Mobile Ticketing Should Be First Step

2

DART team has been participating with six other transit agencies in

discussion of new payment strategies for transit industry

New Jersey Transit team had been evaluating mobile ticketing and

New York MTA, New Jersey Transit, SEPTA, WMATA, CTA (Chicago), and LA METRO

determined it was a better solution for commuter rail than chip in card solution because

DART team determined mobile ticketing was an excellent solution

Conductors could much more quickly read ticket on phone versus tapping each card to validate Low cost of capital investment and relatively easy to implement

Works for proof of payment on ungated rail system, light and commuter rail Would be helpful in reducing wait times at TVMs on major event days Could be used by many of our current riders on both bus and rail Offered many opportunities for frequent rider benefits, couponing, bundling with event tickets, etc. Offers cost savings to DART by reducing both cash handling and printed tickets

Attraction of Mobile Ticketing

3

Convenient, easy method to purchase tickets Leverages consumer use of smartphones Accommodates regional fare products easily Creates opportunity for bundling of purchases i.e., State Fair+DART pass i.e., Belt Line Parking+DART pass+Airport food coupon Provides visual proof-of-payment solution Lends itself to ungated rail systems Low front-end capital investment Shifts payment away from cash systems Provides better data regarding rider attributes and travel preferences

Mobile Ticketing Procurement

4

DISCUSSION OF PROCUREMENT PROCESS AND RECOMMENDED VENDOR

Mobile Ticketing RFP Process

5

RFP Calendar
April 9, RFP issued Proposed term

RFP Respondents

Six firms participating

Key requirements:

Initial phases 33 months Four, one-year options Product in current revenue service Capable of serving all three transit agencies

in orals:

May 14, 14 proposals Six firms invited for oral

presentations Four firms invited to submit Best and Final Offers

Accenture* Bytemark* Masabi NTT Data Trapeze* Unwire*

*indicates four finalists

Cost Comparisons Among Finalists

6
Accenture
Up Front Cost Travel App Hosting Trans Cost $ $ $ $ 488,000.00 749,800.00 1,155,400.00 $ $ $ $

Bytemark
525,000.00 75,000.00 3,095,000.00 1,166,000.00 $ $ $ $

Trapeze
184,535.00 221,508.00 283,915.00 1,773,000.00 $ $ $ $

Unwire
130,000.00 202,500.00 1,166,000.00

Total

2,393,200.00

4,861,000.00

2,462,958.00

1,498,500.00

Accenture
Months 1 - 11 Months 12 - 36 Option Year 1 Option Year 2 Option Year 3 Option Year 4 $ $ $ $ $ $ 312,000.00 762,000.00 286,600.00 315,000.00 343,400.00 374,200.00 $ $ $ $ $ $

Bytemark
556,000.00 1,445,000.00 640,000.00 690,000.00 740,000.00 790,000.00 $ $ $ $ $ $

Trapeze
478,928.00 486,654.00 326,153.00 358,211.00 390,372.00 422,640.00 $ $ $ $ $ $

Unwire
166,000.00 332,500.00 220,000.00 240,000.00 260,000.00 280,000.00

Total

2,393,200.00

4,861,000.00

2,462,958.00

1,498,500.00

Successful Finalist Unwire APS

7

Selection Considerations
The company was founded in 1999

and primary equity investor is Danish Pension Fund HQ: Copenhagen Since 2008, Unwire has provided the Mobile Ticket solution More than 15 individual customer projects have been successfully deployed, including Stockholm, Copenhagen transit system The Unwire Mobile Ticket platform

Best technical proposal Best price proposal Long experience in

currently issues 70.000 mobile tickets every day and often handles 4,500 tickets per hour under peak hours. the technical platform is load tested to deliver a minimum of 600 mobile tickets per second.

actual revenue service applications Experience with multiple agencies and multi-agency uses

Next Steps
8

DART Board and Committee Approvals Formal approval by Revenue Committee on September 11 Formal approval by Committee-of-the-Whole (first reading) on September 11 Final approval by Committee-of-the-Whole and Board on September 25 Notice to Proceed NLT Friday, September 28 Interlocal Agreements with The T and DCTA by

December 31

Reference Checks
9
Agency Agency 1 Agency Info Rail only; 84 rail stations Other Info App combines 5 transit agencies (bus & train) into one app. Saw a 10% increase in new customers when they launched SMS that they can only attribute it to the SMS application. Overall, approximately 1 in every 2 - 3 transactions are via mobile (SMS and smartphone). SMS has been very popular. 65% of single-ride tickets are sold via SMS. 5% of their revenue comes from SMS tickets. They are very happy with Unwire. No mobile app yet due to expense of scanners and network access on 2,000 buses. SMS only took three months from signing contract to rollout. Very high adoption rate with 25% of their sales coming from the SMS platform in 2 months. No penetration data. Are absolutely satisfied with Unwires performance. Have had InModo scanners on their buses for two years. They have held up well. Currently smartphone app is in testing phase and all tests are looking good. Only offer single-ride tickets in SMS and plan to do the same in their smartphone app. May do monthly passes later.

Agency 2

Bus and rail; approximately 220 M trips per year Bus, light and heavy rail. Approx. 700k customers per day; 2.5M daily trips.

Agency 3

Agency 4

City bus, regional bus and rail (barrier-free) systems Commercial bus agency. Offers service to 5 airports. 400 buses and small train system (30M customers per year)

Agency 5

Agency 6

Project Schedule
10

DART Mobile Ticketing (DMT) system will be

deployed through two individual phases. DMT Phase 1

Notice-to-Proceed - September 28, 2012 Deployment - December (No later than) March 1, 2013

DMT Phase 2 Upon successful completion and approval of Phase 1, Phase 2 will commence. Deployment July 31, 2013 October 29,2013

Sample Illustrations of Mobile Ticketing Application for DART

11 SAMPLE MOBILE PHONE SCREENS ILLUSTRATING HOW THE APPLICATION MIGHT APPEAR ON A SMARTPHONE

Sample of How Mobile Ticketing Might Appear DART Website

12

Sample Mobile Ticket Screens Sized for Different Phones

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Mobile Ticket Purchase Demonstration

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Illustration of Payment Methods

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Final Payment Step/Ticket Image on Phone

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Illustration of Expired Ticket and Ticket History

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Illustration of Inspection of Barcode on Ticket

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Three-Agency Illustration Provided by UNWIRE

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Customer Self-Care Website

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Sample Unwire Mobile Ticket

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Greater Copenhagen area transit agencies (Denmark)

22

The mobile ticketing solution offered jointly by the bus, subway, and train authorities of the Greater Copenhagen area was introduced with Unwire in January 2009 and has continuously been improved with new functionality and additional modules. The solution offers fare purchase through smartphone apps (iOS and Android), SMS, web, and mobile web in addition to a wide range of payment methods.

END
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Fare Payment System Components Scheme

PAYMENTRECOGNITION DEVICES DEVICES
CASH TVM ANY CARD Aquirer Bank CARD network Issuing BANK

PROCESSING MODULES

COMMERCIAL INFRASTRUCTUR

ANY CARD Reader Transit CARD NTTA DART ACCOUNT MNGMT FARE ENGINE

PHONE NFC

PHONE IMAGE

PAPER

CASH

FARE BOX

24

Reference Checks
25
Agency Agency 1 Agency 2 Agency Info Rail only; 84 rail stations Bus and rail; approximately 220 M trips per year Bus, light and heavy rail. Approx. 700k customers per day; 2.5M daily trips. City bus, regional bus and rail (barrier-free) systems Commercial bus agency. Offers service to 5 airports. SMS Jan 2009 Several Years Mobile App Jan 2012 April 2012

Agency 3

2008

None

Agency 4

Feb 2012

Planned late 2012

Agency 5

Late 2008

Planning Stages

Agency 6

400 buses and small train system (30M customers per year)

2009

Testing for launch first of October