Texxi Deployment Guide 2010-03-03

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Texxi, Deployment Guide, How To, Operational Concepts

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Texxi Deployment Guide 2010-03-03

  1. 1. Texxi - the transport scheme with a difference. Working with Texxi This document is an overview of the licences, marketing strategies and some of the operating practices which form the basis of successfully deploying a Texxi scheme. All of these practices have been learned – often the hard way – in field trials conducted in Liverpool (2006), the Isle of Wight (2008) and Bournemouth (2008), and as a result all the following details regarding branding, licensing and marketing strategies must be considered to be a requirement for taking on a Texxi operation. Branding For any company taking on and deploying a Texxi scheme, it is important to decide at an early stage whether to go with the Texxi or a white label brand. For a Texxi branded scheme the licensee will have access to a ready-made set of marketing templates and materials, and will also benefit from a higher, existing level of brand promotion. It is important to realise that for a company wishing to start up under their own label, Texxi would have to be significantly persuaded that the licensee had a brand of equal or better strength for that particular mode. Meeting Points / Coverage Areas / Prices This concerns the ‘where and how’ of running a Texxi scheme and an idea of the profitability of the operation. Firstly, the meeting point and coverage areas need to be agreed with appropriate price maps. The price maps will be determined by proper consultation with appropriate vehicle operators and any other parties involved in the scheme. Details such as meeting point opening times will need to be set to ensure that the scheme is sustainable whilst the business grows. Secondly, despatch standards - waiting times, vehicle quality and driver standard – are important and need to be determined before the scheme commences. In particular, meeting point waiting times need careful consideration - long enough for Texxi to fill the cab but short enough for customer satisfaction. Expectations will be set on how people will be grouped and moved as the passenger numbers grow. *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.
  2. 2. Licences These take the following form unless special arrangements need to be negotiated. There are three types of licences available to prospective Texxi operators depending on how many of the aspects of the operation they choose to undertake. 1.Master Mode License This applies to any company wishing to deploy Texxi shopping, evening & night, commuter, corporate, school, tourist or big event modes of operation. Typical license holders could include retail outfits, hotel chains, large corporate organisations and nightclubs, for example a supermarket chain wanting to increase its market share by providing green, affordable and convenient transport for its customers. Alternatively, any vehicle operator wishing to provide a Texxi service may apply for a master mode license - possibly a local taxi firm hoping to supply the evening and night Texxi service to pubs and clubs in a particular area. This master license details specific Texxi meeting points, coverage areas and prices, and in particular, will frame how the meeting points will be operated and marketed. The agreement will also cover the contributions of the parties involved, and determine the apportioning of budgets to marketing, liquidity and other set-up costs. 2.Vehicle Operator Meeting Point Access Licences This standard off-the-shelf agreement allows a vehicle operator to access and service a meeting point – in short, to pick up or drop off passengers at designated Texxi ‘bus stops’. This applies to all vehicle operators whether they are providing a complete Texxi service or are just supplying cars and drivers on demand. For the former, they will also need to be holders of a Master Mode license. It is important to note that there may be conditions in the Master Mode agreement that impact whether Texxi can offer Meeting Point Access Licenses to various parties, and there could be additional standards or conditions to be met by those vehicles/drivers/ firms servicing that particular meeting point. A typical example might be where cars designated for the Texxi shopping mode might need to be equipped with large, dedicated storage space or alternatively, vehicles for the Texxi corporate service might need to be of limousine standard. A template of the final form of this licence would be placed with the Master Mode agreement. *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.
  3. 3. 3.Texxi System Licence The Texxi system licence is entirely for vehicle operators providing a full Texxi service. It licences the software and systems (and, where necessary, hardware) that an operator will need to manage Texxi jobs. Marketing Regardless of the name in which the scheme is being marketed, an approved marketing plan will need to be delivered to the satisfaction of all parties. Texxi and the operators work on a percentage of transacted business and it is in their interest that any marketing strategy is not only successful but also must comply with all known transport and text service marketing laws and regulation. Our extensive field trials have shown that the following techniques work and must be considered to be the bare minimum in marketing needed when setting up any Texxi operation. Marketing a new style of transport is challenging; it takes time for travel behaviours to change, and a suitable schedule of marketing must be in place which coordinates all the following elements. i) Face-to-face Nothing has beaten face-to-face explanation delivered by ground promotions teams in the field, and it is vital that marketing crews are properly trained to answer appropriate questions correctly. Over the course of our field trials, we have assembled an extensive list of typical FAQs with appropriate correct and unambiguous answers. ii) Liquidity Provision Texxi’s unique selling point is automated, passenger aggregation based on destination which then offers lower prices to customers; for Texxi to succeed, these prices must available from launch. To facilitate this, Texxi stipulates the use of a liquidity provision for every new deployment. The aim is to set profitable prices for operators and economic prices for users, based on expected vehicle occupancy for any given journey. So, for example, if a trip is to be considered profitable with 75% occupancy (3 passengers instead of the maximum four for a particular vehicle), then prices should be *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.
  4. 4. set accordingly. and be applied from start-up. While the scheme beds-in and customers need to be persuaded to use the service, the liquidity provision can be used to buy empty seats to ensure customers are still moved within reasonable timescales. As word spreads and cabs start to fill, over a number of weeks, so the use of the liquidity budget will fall to zero. In addition, once the system stabilises, and people are using Texxi on a regular basis, then sliding prices (and other more complex systems) can be introduced to take into account vehicle occupancy. Customers will become adjusted to the idea that they need a full cab to take advantage of the low prices on offer. It is then that customers can work with Texxi (through the various travel preference systems of Trusted Groups and Ratings etc.) to ensure they get best deals. A meeting point for a given mode is designated opening hours. These opening hours will initially be more restrictive than final-state operation might support. This allows a focus on the time period when there will be the highest concentration of passengers who might share at the outset, thereby maintaining scheme pick-up time standards without excessive use of the Liquidity Provision budget. iii) Local radio stations and newspapers These two types of advertising have been shown (by far) to be the not only the most effective but also the most cost-effective. TV or local radio slots such as special news items or special interest articles work well and can be free but cannot be bought. However, Texxi is different and will often be considered to be newsworthy so it is worth drawing the attention of local news broadcasters whenever a Texxi scheme starts up. iv) Vehicle and meeting point branding As with all products, branding is critical and whether running under the Texxi brand or as a white label scheme, it is important that cars and meeting points are clearly marked. This not only helps the marketing campaign but also the day to day operation; branded cars and meeting points are easy for users to find. Fully branded vehicles especially are very effective billboards but branding any vehicle can depend on the local licensing authority. In some places, adverts are required to be approved, and unfortunately this can take as long as the authority has determined. However, this is worth pursuing as Texxi has found that using clearly branded vehicles greatly helps the customers’ perception that there is a new transport scheme in operation. *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.
  5. 5. v) Printed collateral Texxi would normally recommend a split between posters showing price zones with clearly marked meeting points and a “master” z-card or a pocket fold card detailing the scheme. Cheaper printed collateral (flyers and the like) merely makes for a good floor covering (not exactly the target for a scheme with strong environmental credentials). vi) Incentives If any party has the motivation and opportunity to incorporate incentives that push people to travel then this can easily be introduced as part of the Texxi operation. For example, any supermarket using the Texxi Shopping Scheme could offer green reward points for every Texxi trip or a nightclub involved in the Evening and Night Mode might offer travellers a ‘twofor’ deal for their next visit. vii) Social network marketing The Texxi group scheme was an early example of social networking; its ability for users to select and rate their fellow passengers was effective in offering peace of mind about the implications of shared travel. Nowadays with Texxi groups able to sit within the framework of commercial social networking sites such as Facebook, not only do they build trust and familiarity for Texxi customers, they can also provide Texxi operators with all-important feedback. More significantly, these social network capabilities build the ‘network effect’, increasing passenger numbers purely by word of mouth and little capital outlay. *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.
  6. 6. How to Contact Texxi Eric Masaba Chief Executive Officer Texxi Limited 37 Warren Street London W1T 6AD eric.masaba@texxi.com Matthew Burden Chief Operating Officer Texxi Limited 37 Warren Street London W1T 6AD matthew.burden@texxi.com How to Follow Texxi Social Networks* become a Facebook fan (predominantly evening & night) : http://www.texxi.com/ facebook Business Focus: Search for the Texxi group on LinkedIn Twitter : texxi_watch Website http://www.texxi.com *Texxi claims no association with any of the social networking sites mentioned. Their brands are their own. The FT Climate Change Challenge logo including sponsors is included by permission, but it not to be considered in any way an endorsement. All other content is the intellectual property of Texxi Limited (or of Crane Dragon Limited and is available to Texxi on licence) . All Rights Reserved . 2004 – 2010. Document Ref: “TexxiDeploymentGuide03032010”. Texxi is a flexible scheme that can be deployed in a number of ways by agreement. Not to be forwarded or distributed. This document originally released in November 2009.

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