Alliance Activities : Publications : Multimodal Payments Convergence – Part One: Emerging Models and Use Cases

Multimodal Payments Convergence – Part One: Emerging Models and Use Cases

Publication Date: March 2017

Multimodal payments convergence – the integration of payment services for any type of transportation – is rapidly gaining popularity in the U.S. and abroad due to its ability to make paying for travel more convenient. Mobile and smart card technologies have created many opportunities to make it easier and more convenient for travelers to pay for any type of transportation service through using the same payment method, linked payment accounts or mobile apps.

The white paper, “Multimodal Payments Convergence – Part One: Emerging Models and Use Cases,” developed in a collaboration between the Secure Technology Alliance Transportation Council and the Association for Commuter Transportation, explores real-world implementations of payments convergence to provide a foundation for transit agencies considering supporting these new models in a new white paper released today.

The first in a two-part series, this white paper provides:

  • An outline of four types of payment convergence that have been implemented: the use of a common payment technology, linked or integrated mobile apps, common or linked payment accounts, and incentives or co-marketing
  • Real-world use cases illustrating innovation in multimodal payments, including Chicago Transit Authority (CTA), Dallas Area Rapid Transit (DART), Transport for London (TfL), Los Angeles County Metropolitan Transportation Authority (LA Metro), Washington Metropolitan Area Transit Authority (WMATA), and others

The Transportation Council has published a second white paper, “Multimodal Payments Convergence—Part Two: Challenges and Opportunities for Implementation,” that describes alternative visions for payment systems, identifies many of the potential barriers to implementation of multimodal payment strategies, and suggests ways of addressing these challenges.

About the White Paper

This white was developed by the Secure Technology Alliance Transportation Council, in collaboration with the Association for Commuter Transportation, to explore the rapidly evolving convergence of multimodal payments. The white paper describes emerging types of payments convergence and provides current examples of convergence.

Secure Technology Alliance members contributing to the white paper included: Accenture; American Express; CH2M; Dallas Area Rapid Transit (DART); Discover Financial Services; Gemalto; Giesecke & Devrient; Incomm; INIT Innovations in Transportation; Kona I; LTK Engineering Services; NXP Semiconductors; Mastercard; Metropolitan Transportation Commission (MTC); Oberthur Technologies; Port Authority Transit Corporation; Southeastern Pennsylvania Transportation Authority (SEPTA); Thales Group; U.S. Department of Transportation/Volpe Center; Vantiv; Waltz, Inc.

About the Transportation Council

The Transportation Council is one of several Secure Technology Alliance Technology and Industry Councils, focused groups within the overall structure of the Alliance.

The Transportation Council is focused on promoting the adoption of interoperable contactless smart card payment systems for transit and other transportation services. The Council is engaged in projects that support applications of smart card use. The overall goal of the Transportation Council is to help accelerate the deployment of standards-based smart card payment programs within the transportation industry.

The Transportation Council includes participants from across the smart card and transportation industry and is managed by a steering committee that includes a broad spectrum of industry leaders.

About the Association for Commuter Transportation

The Association for Commuter Transportation (ACT) is an international trade association and leading advocate for commuter transportation and transportation demand management. Commuting by bus, train, rideshare, bike, walking, or telework improves our world by contributing to energy independence, better air quality, sustainability, urban mobility, and reduced congestion. Our members include public sector transportation agencies, employers, universities, transportation management organizations, and mobility providers working together to expand options and improve our commute.