Going towards MaaS transit MOB ILITY AS A SERVICE, WH Y THE NE E D NO W ? W HO I S C O NC E R N E D? LET’S DIS S E CT THE C O NC E PT.

MA R. 2017

THE HIDDEN SIDE1 OF INNOVATION

N°1

Application gratuite

03 04 10 Forfait

Systèmes d’information, de réservation et de paiement

Packs de mobilité

INFOGRAPHICS

Moovel

Go La*

GOING TOWARDS

SNCF**

Whim

Ubigo

INTEGRATED MOBILITY

ervice sont en cours d’intégration différents services ou via des entretiens

PACKS

THE SURVEY

GOING TOWARDS MaaS

TRANSIT - CHALLENGES AND OPPORTUNITIES

CITY CASES

THREE ADVANCED

PROJECTS ANALYSIS

11 12 13 3 QUESTIONS TO HANS ARBY,

UBIGO, CEO

DATA ROOM

A CONSIDERABLE POTENTIAL FOR

3 QUESTIONS TO

EXPANSION

SAMPO HIETANEN

MaaS GLOBAL, CEO

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BIBLIOGRAPHIE

ET WEBOGRAPHIE

INFOGRAPHICS

GOING TOWARDS INTEGRATED MOBILITY PACKS A few examples in France and abroad, of offers similar to mobility as a service. Quick comparative overview of their similarities, differences and positioning.

Free application Information system

Citymapper

Plan

Information, booking and payment systems

Moovel

Go LA*

Integrated modes

City transports

Regional transports

National transports

Rental car

Carsharing

Peer-to-peer carsharing

Carpooling

Taxi

Ride-hailing service

Self-service rental bikes

Parking

Incentives

*For Go LA, carpooling and self-service rented bikes are being integrated Information collected either on the different services websites or by interviews 3

Mobility packs

Student fixed price SNCF

Whim

Ubigo

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E N Q U Ê T E LO R E M I P S U M D O LO R E S N E C

SURVEY

GOING TOWARDS MaaS TRANSIT: CHALLENGES AND OPPORTUNITIES

In Hanover, Mobility Shop encourages the use of the tram, sustainable and efficient

MOBILITY AS A SERVICE, WHY IS IT NECESSARY? WHO DOES IT TARGET? LET’S EXPLORE THE CONCEPT. Mobility as a Service intends to set up the transition from the personal car to a combination of mobility services, all offered to the end-user through a single interface. A kind of a mobile life « box », where all the offers of public and private transport services will match various mobility needs. But how can it persuade public authorities? Where exactly are these services aiming? And despite the obvious need for them, who may be excluded from its uses and why?? Based on the first users feedback, this survey introduces various ways to elaborate inclusive MaaS offers, including one for sparsely populated territories where the personal car stays an obvious choice.

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S U R V E Y - G O I N G T O W A R D S M aa S T R A N S I T : C H A L L E N G E S A N D O P P O RT U N I T I E S

INTEGRATING INFORMATION OR SOLUTIONS:

I

TWO NEEDS, TWO MODELS

n most conurbations, an app already exists that offers at least an integration of information on the existing modes - being the first stepping-stone to the MaaS. The STIF - transport organization authority for the greater Paris - is currently reorganizing its ViaNavigo app to include, by 2018, the « Vélib’ » (bike sharing service) and carpooling offers in its planner. In Los Angeles, the city council has asked Xerox to integrate all mobilities, including ride-hailing services, within its nice-looking calculator Go LA. It is consistent with Citymapper or even Moovel’s contents, the latest already enclosing all these different modes of transportation. Other offers have grown from simple multimodal planners into prepaid mobility packages, with either a monthly or yearly access to the different modes of transportation, available straight from the app (e.g. WhimApp and its different packs). Lastly, services like Ubigo or Mobility shop allow the development of customizable solutions with post payment systems1. The stakeholders are getting into position on the market and are building offers for two different needs: on one side, “mobility companions” that should include all the transport modes, on the other side the non-exhaustive « Integrated mobility packages » better suited to the end-user specific needs, thanks to its personalized offer. In one case, the integration is

of the information, in the other one, of the solutions. The « mobile life box » concept had been supported in 2014 by Sonja Heikkila in her presentation of her thesis at TEKES, the Finnish Funding Agency for Innovation. Nowadays, MaaS projects are expanding across the globe. With the help of Transdev in particular, « MaaS global » has become a full-company, and has now launched its WhimApp service in Helsinki (and soon will in Birmingham). An equivalent project has been created for Hanover, in Germany (Mobility Shop). Some experiments have been finished like the one in Sweden (Göteborg) and are now looking for a direction. THE PRIVATE SECTOR GIVES THE IMPULSE

These projects rely less on a political willpower than on the prospective of potential solvable clients coupled with the goodwill of local mobility stakeholders. They are all supported by private companies.

Today’s MaaS main challenge is the economic model » ISADORA VERDERESI, T RANSDEV

In Cologne, urban mobility gets drawn on the city walls

CECI EST UN IN TE RTITRE U N PE U PL US LONG DE 5 2 SIG N E S

Sampo Hietanen (MaaS global) and Hans Arby (Ubigo) both agree that their job is not to create mobility planners but clearly to offer a 5 package of different mobility options 1

S U R V E Y - G O I N G T O W A R D S M aa S T R A N S I T : C H A L L E N G E S A N D O P P O RT U N I T I E S

Moovel is a Daimler’s branch - thus, the German manufacturer tests its new mobility services in German conurbations and in some of the United States’ pioneer cities (Portland). For now, Citymapper is a start-up supported by investment funds, without a clear strategy for monetization. MaaS global along with Ubigo are private companies. City councils are sometimes depicted as « active partners » though, as Sampo Hietanen (MaaS Global) states referring to Helsinki and Birmingham, but not to be these project’s driving force. The cooperation of authorities organizing public transport is nevertheless a key-factor for the success of these projects. Regarding Ubigo, Göteborg city was a partner, but the involved authority for public transport (Västraffik) did not carry on the experiment. Unlike in England, where the West Midlands Combined Authority gets involved directly in an experiment with Ubigo. Per their own introduction of the project, « It can be easier to ride the wave of disruption, than join it later ». In Sweden, private companies were recently allowed to resell tickets of all the local organizing authorities, and doing so paved the way for the MaaS projects.

ring and public transport, using a « credit » system to be shared within the family). These target audiences are the most « creditworthy », that is to say ready to commit to a 250 euros monthly mobility pack, like the WhimApp offer in Helsinki2. Nathalie Juston (SNCF Brittany) on her side, refers to her experience of young students’ habits and how they « split up » their mobility between their study place and their home. Tourism and business trips are two travel types favoured by the SNCF (French railways board) for their mobility subscriptions.

How about sparsely populated territories? According to Hans Arby (Ubigo) and Sampo Hietanen (MaaS Global), these areas are still « goals » to be reached for the mobility as a service projects. Some suburban households pay very high mobility costs and could easily profit from an MaaS offer. For example, the United Kingdom’s households spend an average of 324 pounds per month in transportation costs (around 370 euros) ! According to Sampo Hietanen, the MaaS business market in Finland represents 9.5 billion of euros, with half of it within the rural environment. However, two conditions would be indispensable for the diffusion of the MaaS concept in a sparse environment. The first one would be subsidies MaaS, A SERVICE RESTRICTED TO A HAPPY FEW? from the public stakeholders, at least to start with, The MaaS main restriction is that for now it only to lower the prices and convince the households to impacts hyperurban environments where car use is subscribe to these offers (Hans Arby). The second already declining - it seems to give mobility to people one would be a public transport relay in the form of who have already plenty of it. Hans Arby (Ubigo), the carpooling system (Gabriel Plassat). A part of the Sampo Hietanen (MaaS global) specific budget granted to puand Gabriel Plassat (ADEME) blic transport for rural areas define implicitly the portrait could be directly allowed to of a city-dweller (city-center or GLOSSARY incentives for carpooling. A near suburbs well connected MaaS service could then give socially and physically to the access to both public transport city-center) and rather wealthy and carpooling and adjust the (young city-dwellers and famiincentives according to traffic, Operators: all mobility operators, lies, workers and quite techcongestion hours, pollution, whether they are transport operators nophiles). The young people (public / private), taxi companies / etc. But the potential of a finandescribed here are part of the Private driver service, self-service bike cial benefit when decreasing rental operators... « car hesitant » population, in the personal car use is not obother words, persons that did vious. For Gabriel Plassat, indiIntegrators: private companies that not yet gave up to buy a car, viduals can easily change their integrate the different services offered but who are also reluctant reuses (e.g. carpooling massificaby the operators (e.g. MaaS Global, garding the hassle that comes Ubigo...) tion), but they don’t always act with car ownership (car park, as rational economic agents. So, running costs, insurance...). As Consortiums: groups made of the integrators will need some time integrators and the operators for families, they are mainly to persuade, even if they can households willing to get rid of their second car to adopt a more « multimodal » way of life (mix of a personal car, carsha-

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Thanks to unlimited public transport in Helsinki, 8 taxi rides and two days of rental cars for example 6

Incentives’ acceptability is greater when they come from private companies compared to when they come from the State. » HA N S AR B Y, UB I G O

prove by simple logic that their offer is more financially attractive than a car ownership. DATA AND ALGORITHMS, SINEWS OF WAR

The technical feasibility of a MaaS service is no longer questionable. Hans Arby (Ubigo) and Isadora Verderesi (Transdev) explain that the challenges for an actual MaaS project sponsor are more related to the governance and the economic model, not to the technical part. The value distribution between the integrator and the mobility operators is critical, even though these operators usually have very low benefits, or worse loss-making. A consortium must demonstrate that once combined with the best partners on the market, it will be able to win new clients for each one of the partners, in a kind of virtuous circle. He will also have to prove that it handles all the consortium operators on the same level, especially if competitors coexist in the same MaaS offer, and especially for the ride-hailing services. For Sampo Hietanen (MaaS Global), the balance should be positive for the mobility operators as consortiums buy a large amount of tickets to include in their offers, therefore increasing the number of public transport rides... These questions of loyalty and trust leads to consider the problematic of the data. Managing incentives and data in the MaaS projects is rather vague for the moment, even though it attracts the focus of all the governance and power stakes at play. All safe operational data can be recovered and cross-checked within the consortiums, in order to deepen the knowledge of mobility uses within a territory. For Sampo Hietanen (MaaS global), sharing the data with all the different partners of the device is obvious - from these data, they will be able to improve their own service, and indirectly improve the « pack ».

Tramway in at Waterloo station (Üstra tram in Hanover, Paracelsusweg area)

Most of the interviewed consortiums seem to understand these concerns. Beyond data, the question of the algorithms is critical, especially if the MaaS service offers advices or even incentives (financial and/or symbolic bonus directly related to user behaviour). These algorithms transparency is vital. The latter can be neutral (a MaaS app can process all modes « on an equal footing », without moving forward a service with more benefits) or explicitly biased (encouraging the use of public transport rather than taxi, in consistency with the general interest). As Antoinette Rouvroy from the Research Centre in Information, Law and Society (CRIDS), explains, « algorithms don’t have any intention of their own, not even to take power, but they should not exempt us to have these intentions [...] what is at stake is not to require the code transparency, but the end-points’ one ».

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S U R V E Y - G O I N G T O W A R D S M aa S T R A N S I T : C H A L L E N G E S A N D O P P O RT U N I T I E S

Today, we are facing the urgency of clear challenges: to imagine and negotiate a governance model between the public and private stakeholders, refine the economic models and the value distribution between the consortiums and the operators, and find an alternative model for the sparse environment, built around a mix of transport - transport on-demand - carpooling. The MaaS configuration settings will then depend for some part on the politics contingencies, particularly restrictions imposed on personal cars use, but also depend on the possible negotiations between the public stakeholder’s and the platforms owners / the GAFA (Gabriel Plassat). In an ideal case scenario, the mobility organizing authority is bound by contract with « mobility integrators ». These mobility integrators can suggest incentives to the users in real time, in order to smooth congestion traffic or to decrease car traffic in case of an air pollution peak. Then again, the public stakeholder is the one responsible for keeping the purposes of the public politics in plain view, using these incentives. But the private stakeholder is the one in charge of spreading these incentives. According to Hans Arby (Ubigo), « Incentives’ acceptability is greater when they come from private companies compared to when they come from the State. ». On these terms, consortiums could well become “behaviour change operators”.

HOW ABOUT DRIVERLESS CARS?

The arrival of the driverless cars will merely be another challenge, and to a great extent, its outcome will highly depend on the modalities of the MaaS implementation. Isadora Verderesi (Digital Factory, Transdev) sees these driverless cars becoming the essence of the mobility operators offer in the near future.Actually, , if their success is equivalent to the personal car’s one, the competition with the existing mobility services will only increase congestion and differences of access on the territory. However, if the targeted territory is already managed by a mobility governance, the driverless cars will add another sustainable mobility tool to the public politics. This point of view has been developed in two recent opinion pages in Medium, by Cécile Maisonneuve (President of La Fabrique de la cité) from a governance perspective, and by Mitch Turck (Nielsen Catalina solutions) from algorithms and taxation point of view. We can also add a requirement to the successful outcome of the driverless car: make sure to guide its conception and uses towards a radical decrease of the personal car fleet.

In Helsinki, the HSL tram is part of the MaaS pack

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City walk in Helsinki’s summery mist

The blind spot of all mobility as a service projects is still their « physical relay », in other words, the « hubs » that will welcome the different actual modes of transportation, and tomorrow the driverless cars. How can these hubs networks get integrated into bigger offers related to accommodation, work and the new urban amenities? In principle, MaaS is a step in the right direction, it starts a story where the individual car is

questioned in a formal way. We have to strike while the iron is hot and strengthen these lessons in order to learn to fully control our territories. It is precisely the purpose of this prospective exploration « Mobility as Networks » initiated by the Lab OuiShare x Chronos that will explore this very spring 2017.

VIDÉOS

W H I M I N H E LSINK I

The Whim platform on mobile phones is customized for each user in the hope of « revolutionizing our way of travelling »

MO BIL IT Y S HOP IN HA NOV ER

This « sustainable » mobility service in Hanover has been defined considering sharing economy and the idea of ownership

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T HE U BIGO EXPERIMENT IN GOT EBORG

The Swedish experiment (2014) took a stand against personal car ownership

CITY CASES

CITY CASES

THREE ADVANCED PROJECTS ANALYSIS Integrated modes of transport and all steps of the client route are accessible for consultation in the infographic for each of the projects

WHIM IN HELSINKI Launching date and territory concerned: available in the Helsinki area since October 2016, MaaS Global also aims the West Midlands (UK) and Amsterdam

MOBILITY SHOP IN HANOVER

UBIGO IN GÖTEBORG

Launching date and territory concerned: since February 2016 in Hanover (Germany).

Launching date and territory concerned: experiment in 2014 at Goteborg, not carried on.

Porting: GVH organizing authority and the main operator Üstra..

Porting: SMB started from a research project - many partners, especially Västtrafik (public transport), Hertz (car rental), JCDecaux (self-service rented bikes).

Porting: MaaS Global + partnerships with Sixt, Lahi Taksi (taxis), Veho (car rental company), HSL (public transport operator).

Purpose: mode transfer from the private car towards the public transport and the active modes.

Purpose: offer a « pack » that can compete with car ownership.

First users feedback / users profiles: 28,000 registered users, 1,500 new users per month.

Purpose: test the economic models of the MaaS offers.

Price range: monthly fixed price of 9.95€ to whom transports can be added per month.

First users feedback / users profiles: 2,000 beta-testers, 97% of them wanted to continue using this service.

Price range: four prices, from 89€ to 389€ per month, with a pay-as-you-go option. GO B EY O N D Whim official website https://whimapp.com/fi-en/

G O BE YO N D

Price range: prepaid and monthly prices, very flexible.

Ustra website https://www.uestra.de GVH website https://shop.gvh.de/

G O BE YO N D

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official project website http://www.ubigo.se/

3 QUESTION TO H ANS ARBY

M.B.

Tell us about Ubigo. What was this experi-

How do you envision the future of Ubigo?

ment about?

And the future of Maas in general? M.B.

UbiGo positions itself against car ownership,

We are going to launch other pilots, in West

not against car use per se. We have built on

Midlands (in England), and in Stockholm

a viable business model that is tested by real

at the end of this year, within the EU2020

customers, paying real money for real ser-

framework. The country has taken a strategic

vices. The question was: can we package and

decision - local transit authorities have agreed

offer something so attractive that it could re-

to open up the reselling of their services. That

place car ownership?

means that Ubigo’s customers will be able to use the service in every country in Sweden.

From an end-user perspective, we learnt that you should be keen on making sure that users

The negotiation has taken 3 years!

pay for what they use. You do not want to pay

MaaS could really spread in other countries,

for an expensive package and not use all the

including France, as private operators are

resources - so the mobility package should

already well established. Transdev for exa-

really be tailored to your needs. That is why

mple could run a MaaS project - once again it

the comparison with Spotify or mobile bun-

is more about policy than about technology.

dles is quite false - people are much more an-

It is a long-term work so I can hardly ima-

noyed if they « lose » taxi trips or carsharing

gine a « global MaaS service », but rather local

trips, than if they do not listen to their music

franchises.

all the time! That is why you cannot provide generic schemes.

What are the main challenges when implementing a MaaS project? M.B.

Cities and municipal counsellors are rather in favour of MaaS projects, while public transit authorities are less easy to convince, as they have a monopoly. Being a broker of mobility services is quite tricky. You tell rental cars & carsharing companies, public transport operators and taxis, which are low-margin businesses, that you are going to be the middleman of their services! So, you really need to prove that you can create value. Your margin window is quite tight (9-10 %). You also have to find the best suppliers in order to provide the best service (best taxis, best rental firms...).

EXPERTS PERSPECTIVES

3 QUESTIONS TO HANS ARBY UBI GO, CEO 11 11

DATA ROOM

A CONSIDERABLE POTENTIAL FOR EXPANSION The amount of users concerned by these MaaS services is still low: 6,000 people for the SNCF student price, a few hundreds of Whim users in Helsinki (and around 2.000 people waiting for their

19BN€

subscription). However, the first feedbacks are quite encouraging - a huge majority of the beta-testers wish to carry on with it and advise their relations to use it. Thus, the Mobility as a Service potential for deve-

THE Ma aS BUS IN E S S MAR K E T P OTE N TIAL

lopment seems considerable.

IN FIN L AN D IN CL UDIN G 4 .5 BIL L ION N OT IN A CIT Y E N VIR ON ME N T 1 1

97

%

26 15

%

PO RT I O N O F T H E S E R V I C E

NUMBE R OF FR E N CH

U SE R S R E A D Y T O C A R RY O N

C I T I ES W HE R E THE MOBIL IT Y

S N CF S TUDE N T P R ICE

WI T H T H E U B I G O

S N CF S TUDE N T P R ICE

OW N E R S W HO DE CL AR E

EXP E R I ME N T, A G A I N S T O N LY

IS AVAIL ABL E 3

US IN G L E S S CAR 3

3 % WI S H I N G T O S T O P 2

Source : Sampo Hietanen, MaaS Global Source : Ubigo 3 Source : SNCF 1 2

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R AT IO OF THE MOBIL IT Y

3 Q U E S T I O N T O S A M P O H I E TA N E N

M.B.

Tell us about the Whim app. Is it just about

What will Whim (and MaaS in general) look

mobility services?

like in 10 years according to you? I think of the development of driverless cars (AV)...

We have been working with end users to unM.B.

derstand their needs - what they say basically:

We are in negotiations with over 20 other cities at the moment. France is a really pro-

« Fix first thing first! ». That means that we

mising territory. Strasbourg especially looks

should provide mobility services first, then

really advanced in terms of mobility services

we may aggregate other services. In the fu-

& practices. I am convinced that MaaS is how

ture, we may offer more: food and coffee on

the future of mobility looks for end users. dri-

the go, delivery services... but also leisure

verless cars may take it to another level, and

(your favourite newspaper on the go, your fa-

make it more accessible. For sure it is pre-

vourite Netflix show...). As individuals spend

ferable that MaaS happens before driverless

in average 90 minutes on transportation eve-

cars - so that when AVs a fully deployed, car

ryday, we should also improve their travel

ownership is already over, and AVs can direc-

experience. We already get lots of feedbacks!

tly plug into public transit. Otherwise it could

People enjoy the user experience, the fluidity

really could the wrong way, and traffic could

of it. People feel more comfortable to use taxi

actually go up!

than before - it used to be too expensive before, they allow themselves to do it more once they have subscribed to Whim.

How do you convince people to adopt MaaS? M.B.

I think incentives are better than constraints, so it is a good idea to provide incentives (free tickets, promotions for example) as long as you put them back in the system (it has to be incentives related to mobility). Another incentive that we contemplate is to offer Whimpoints to users that agree to sell their old car and switch to MaaS. It will be available in a few months. We also have to make the cost of car ownership more visible. People think that 250 euros a month for a mobility package is very expensive, but it is less expensive than owning a car if you consider the insurance, the fuel, etc.

EXPERTS’ PERSPECTIVES

3 QUESTIONS TO SAMPO HIETANEN MaaS GLOBAL , C E O

3

Transport public, taxis, rented cars, bikes...

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BIBLIOGRAPHY & WEBOGRAPHY

For the projects

Go beyond with a choice of articles

Maas official website (Finland) üstra official website (Germany) GVH official website (Germany) SNCF official website (France) Moovel official website (Germany) UbiGo official website (Sweden)

« World’s first example of Mobility as a service now live in Hannover », Public transports International Group, 03/22/2016 « Mobility Shop – the world’s first example of mobility as a service », Mobility Services Lab, 16/11/2016 « Los Angeles Has Invented the Multimodal Navigation App of My Dreams », Gizmodo, 01/02/2016 « How is SNCF joining the transmodality era? », Maddyness, 02/01/2017 « The SNCF speeds up on carsharing», Les Echos, 09/03/2015 « With Moovel, Daimler is getting ready for the end of the personal car reign», Journal du Net, 23/06/2016 « The automobiles manufacturers bet on mobility », Le Monde, 27/05/2016 « Winner | 2015 Promising Innovation in Transport Award (Passenger category) - UbiGo: The Spotify of mobility », OECD International Transport Forum 2015 Annual Summit, 05/2015

For the apps Whim app official website (Finland) Go LA app official website (United States) iDPass official website (France)

Analysis « Exploring the opportunity for mobility as a service in the UK », Catapult, 07/2016 « The rise of mobility as a service », Deloitte University Press, 23/01/2017 « What the future of mobility means for today’s transportation industry », Forbes, 17/11/2016 « Connected mobility and changes in the moving habits », Internet Actu, 07/03/2017

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MASTHEAD

Publication manager Léa Marzloff, [email protected] Editor-in-chief Laurent Barelier [email protected] Framing and subediting Anne de Malleray Translation Amélie Chauveau Cover design Jean Hubert Visual design Les Petits Suisses Research Clémence Drevon Critical proofreading Bertil de Fos et Bruno Marzloff

Acknowledgements - We would like to thank Hans Arby (Ubigo, CEO), Sampo Hietanen (Maas Global, CEO), Nathalie Juston (SNCF Brittany, Director), Gabriel Plassat (Transports and mobilities engineer), Isadora Verderesi (Digital Factory, Transdev, Director) for the interviews they have granted us within the scope of this survey.

Images sources - Page 4: Photo credit Flickr @132906363@ N06 - Page 5: Photo credit Flickr @wwwuppertal - Page 7: Photo credit Flickr @mpk - Page 8: Photo credit Flickr @lauritopias (all photographs are in Creative Commons license)

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The Lab OuiShare x Chronos has for ambition to guide the City and territories actors through their approach of innovating service. We enlighten the emerging uses and services, study how to reshape the involved parties’ performance, and analyze the key factors which influence our Cities and territories future. Our original process tends to produce a novel kind of prospective analysis and resources usable by most, published under the Creative Commons license

Léa Marzloff

Laurent Barelier

Publication manager [email protected]

Editor-in-chief [email protected]

www.le-lab.org https://twitter.com/LeLabOSC http://www.slideshare.net/EhabELIA/le-lab-ouishare-x-chronos-presentation

HIS SU RVEY WA S PRODU C E D WI TH TH E SU P P ORT OF L E L A B ME MB E R S

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