Megatrends
                                                                         Mobility integration: a step
                                                                          closer to multi-modal,
                                                                            door-to-door travel

                                                                                               Sarwant Singh and Martyn Briggs,
                                                                                               Frost & Sullivan




Picture a world in which you can purchase a        through car sharing clubs, and public transport    business to consumer (B2C) market can be
single ticket for national or international        use. Partially driven by cost considerations;      seen in France, where transport operator
travel, and receive with it detailed, door-to-     improvements to infrastructure in increasingly     Veolia Transdev’s Urban Pulse mobile
door journey information for your best route       urbanised areas; government legislation and,       application combines travel planning and ride
before you leave the house, with on-demand         most importantly, the transmission of real time    sharing with city-based shopping deals, local
flexibility allowing you to change your mind.      information on the go - facilitated by             events, and information on the location of
                                                   connectivity - this gives us the opportunity to    friends via geosocialisation. Likewise, Daimler’s
A ‘mobility integrator’ is a step closer to this   travel more conveniently and rationally, using     recently launched moovel application in
concept of totally integrated, multi-modal,        the best available option. However, many of        Germany compares modes of transport for a
door-to-door travel. Frost & Sullivan has          these options are still considered in silos, and   door-to-door journey, and provides a booking
identified a number of scenarios, business         there is growing demand to piece the various       service.
models and early examples of this concept,         mobility aspects together as a packaged
whereby one or several organisations               offering.                                          Whilst B2C solutions receive considerable
combine various modes of transportation and                                                           press coverage due to their mass market
products to offer such a solution. This could      Mobility integration and door-to-door travel,      appeal and convenience, there is potentially a
be through using a mobile or web-based             rather than station-to-station or point-topoint,   larger and more profitable opportunity
platform, to bring together technological          is not restricted to any one sector,               emerging: to provide integrated mobility for
advances in data processing or analytics and       player or industry. It offers several              the business-to-business (B2B) market. With
combine real time information and ticketing        opportunities in an ever-growing supply chain      increased focus on, and regulation of,
options through a smartphone, or smartcard,        and requires a collaborative effort between a      corporate social responsibility, cost reduction,
for example.                                       number of different players and stakeholders       and convenience and efficiency of employees,
                                                   for the benefits to be realised.                   several organisations are now beginning to
This is already beginning to interest several                                                         consider new mobility business models and
stakeholders across industries, particularly       However, this also presents one of the key         budgets for employees, rather than simply
transport operators, technology providers, car     challenges for successful mobility integration:    providing a car or free reign on corporate
manufacturers and fleet leasing companies, all     either increased industry convergence is           travel. In response, fleet leasing companies
of which are starting to offer products and        required, or a third party operator willing and    have diversified their offerings.
services further away from their core business     able to enhance the opening of data, and to
models.                                            leverage the enhanced technology available, to     Leaseplan, for example, offers a service called
                                                   piece it together. Solutions include journey       Mobility Mixx in the Netherlands, providing a
A number of mega trends underpin this              planning and mobile applications, integrated       card that allows employees to pay for long
paradigm shift from considering single modes of    ePayment methods and location-based                distance travel, car sharing and rental, public
transportation to a combination mobility           services. But generally mobility integration       transport, parking and even refuelling; it also
network. For example, consumers are starting       must be underpinned by a flexible, convenient      takes the administrative process out of house
to question the need for car ownership,            option of travel that optimises the available      by issuing a post-use invoice. Of course,
increasingly opting for on-demand usage            infrastructure. Early examples of this in the      reducing the time spent on expenses




14 Automotive World Megatrends magazine | www.automotiveworld.com                                                                           Q1 2013
Megatrends ..
administration can save considerable costs, for    However, in the long term, this could lead to       Sarwant Singh is a Partner and Global Practice
which companies would be willing to pay a          complete efficient citywide, national or even       Director of Frost & Sullivan’s Automotive &
premium.                                           international mobility solutions, provided the      Transportation Practice. He is author of ‘New
                                                   data is openly available. With several large        Mega Trends: Implications for our Future Lives’.
Also in the Netherlands, the NS-Business card,     organisations across the automotive,
launched by NS trains, allows all modes of         transportation, technology and infrastructure       Martyn Briggs is Mobility Programme Manager
travel to be placed on a single invoice, again     markets now viewing mobility as a long term         at Frost & Sullivan, and manages strategic mobility
providing significant administrative benefits,     pattern, it is surely only a matter of time until   research and consulting assignments, helping
and, more importantly, convenient travel           we see more fully integrated mobility               clients identify growth potential through leveraging
across the entire country, whilst also allowing    solutions across the globe.                         technology and new business models.
use of additional services such as short-term
office space rental, or access to business class
lounges. These solutions represent the most
comprehensive mobility integration solution
currently on the market.

As part of a recent report on mobility
integration, Frost & Sullivan has identified
three different business models, namely
Mobility Integrator (MI), Mobility Aggregator
(MA) and Mobility Player (MP). Each model
differs primarily on the role that a particular
stakeholder in a value chain plays, and also on
the host of mobility services that are offered.

A Mobility Integrator would link every mode
of transport, whether it operates them or not,
and would be seen by the consumer as the
point of reference for their journey and
associated services. For example, the
aforementioned NS-Business card allows
users to rent office space from Regus, as the
MI - this service would be seen to be offered
by NS, rather than Regus. The business model
for doing so could be either through a
percentage of revenue sharing, licensing, or
fixed cost annual agreement.

A Mobility Aggregator would provide several
travel related services: for example, a leasing
firm offering rental of all types of vehicles,
integrated with public transport networks.

A Mobility Player would be relatively more
conservative, offering services close to the
current business model. For example, an
automotive manufacturer may open its
product portfolio to allow flexible usage of
several models rather than fixed use of one
product, such as the recent BMW on Demand,
or Mu by Peugeot services.

The future is set to provide a continued
focus on integrated, multi-modal and on-
demand mobility solutions, exploiting the
trend towards the sharing economy and
continued technology improvement. In the
short term, this is set to include efforts such
as more sophisticated journey planning
tools and applications, smart parking and a
better understanding of nearest transport
services through continued smartphone
proliferation.




15 Automotive World Megatrends magazine | www.automotiveworld.com                                                                            Q1 2013

Mobilitiy integrators featuring the NS-Business Card

  • 1.
    Megatrends Mobility integration: a step closer to multi-modal, door-to-door travel Sarwant Singh and Martyn Briggs, Frost & Sullivan Picture a world in which you can purchase a through car sharing clubs, and public transport business to consumer (B2C) market can be single ticket for national or international use. Partially driven by cost considerations; seen in France, where transport operator travel, and receive with it detailed, door-to- improvements to infrastructure in increasingly Veolia Transdev’s Urban Pulse mobile door journey information for your best route urbanised areas; government legislation and, application combines travel planning and ride before you leave the house, with on-demand most importantly, the transmission of real time sharing with city-based shopping deals, local flexibility allowing you to change your mind. information on the go - facilitated by events, and information on the location of connectivity - this gives us the opportunity to friends via geosocialisation. Likewise, Daimler’s A ‘mobility integrator’ is a step closer to this travel more conveniently and rationally, using recently launched moovel application in concept of totally integrated, multi-modal, the best available option. However, many of Germany compares modes of transport for a door-to-door travel. Frost & Sullivan has these options are still considered in silos, and door-to-door journey, and provides a booking identified a number of scenarios, business there is growing demand to piece the various service. models and early examples of this concept, mobility aspects together as a packaged whereby one or several organisations offering. Whilst B2C solutions receive considerable combine various modes of transportation and press coverage due to their mass market products to offer such a solution. This could Mobility integration and door-to-door travel, appeal and convenience, there is potentially a be through using a mobile or web-based rather than station-to-station or point-topoint, larger and more profitable opportunity platform, to bring together technological is not restricted to any one sector, emerging: to provide integrated mobility for advances in data processing or analytics and player or industry. It offers several the business-to-business (B2B) market. With combine real time information and ticketing opportunities in an ever-growing supply chain increased focus on, and regulation of, options through a smartphone, or smartcard, and requires a collaborative effort between a corporate social responsibility, cost reduction, for example. number of different players and stakeholders and convenience and efficiency of employees, for the benefits to be realised. several organisations are now beginning to This is already beginning to interest several consider new mobility business models and stakeholders across industries, particularly However, this also presents one of the key budgets for employees, rather than simply transport operators, technology providers, car challenges for successful mobility integration: providing a car or free reign on corporate manufacturers and fleet leasing companies, all either increased industry convergence is travel. In response, fleet leasing companies of which are starting to offer products and required, or a third party operator willing and have diversified their offerings. services further away from their core business able to enhance the opening of data, and to models. leverage the enhanced technology available, to Leaseplan, for example, offers a service called piece it together. Solutions include journey Mobility Mixx in the Netherlands, providing a A number of mega trends underpin this planning and mobile applications, integrated card that allows employees to pay for long paradigm shift from considering single modes of ePayment methods and location-based distance travel, car sharing and rental, public transportation to a combination mobility services. But generally mobility integration transport, parking and even refuelling; it also network. For example, consumers are starting must be underpinned by a flexible, convenient takes the administrative process out of house to question the need for car ownership, option of travel that optimises the available by issuing a post-use invoice. Of course, increasingly opting for on-demand usage infrastructure. Early examples of this in the reducing the time spent on expenses 14 Automotive World Megatrends magazine | www.automotiveworld.com Q1 2013
  • 2.
    Megatrends .. administration cansave considerable costs, for However, in the long term, this could lead to Sarwant Singh is a Partner and Global Practice which companies would be willing to pay a complete efficient citywide, national or even Director of Frost & Sullivan’s Automotive & premium. international mobility solutions, provided the Transportation Practice. He is author of ‘New data is openly available. With several large Mega Trends: Implications for our Future Lives’. Also in the Netherlands, the NS-Business card, organisations across the automotive, launched by NS trains, allows all modes of transportation, technology and infrastructure Martyn Briggs is Mobility Programme Manager travel to be placed on a single invoice, again markets now viewing mobility as a long term at Frost & Sullivan, and manages strategic mobility providing significant administrative benefits, pattern, it is surely only a matter of time until research and consulting assignments, helping and, more importantly, convenient travel we see more fully integrated mobility clients identify growth potential through leveraging across the entire country, whilst also allowing solutions across the globe. technology and new business models. use of additional services such as short-term office space rental, or access to business class lounges. These solutions represent the most comprehensive mobility integration solution currently on the market. As part of a recent report on mobility integration, Frost & Sullivan has identified three different business models, namely Mobility Integrator (MI), Mobility Aggregator (MA) and Mobility Player (MP). Each model differs primarily on the role that a particular stakeholder in a value chain plays, and also on the host of mobility services that are offered. A Mobility Integrator would link every mode of transport, whether it operates them or not, and would be seen by the consumer as the point of reference for their journey and associated services. For example, the aforementioned NS-Business card allows users to rent office space from Regus, as the MI - this service would be seen to be offered by NS, rather than Regus. The business model for doing so could be either through a percentage of revenue sharing, licensing, or fixed cost annual agreement. A Mobility Aggregator would provide several travel related services: for example, a leasing firm offering rental of all types of vehicles, integrated with public transport networks. A Mobility Player would be relatively more conservative, offering services close to the current business model. For example, an automotive manufacturer may open its product portfolio to allow flexible usage of several models rather than fixed use of one product, such as the recent BMW on Demand, or Mu by Peugeot services. The future is set to provide a continued focus on integrated, multi-modal and on- demand mobility solutions, exploiting the trend towards the sharing economy and continued technology improvement. In the short term, this is set to include efforts such as more sophisticated journey planning tools and applications, smart parking and a better understanding of nearest transport services through continued smartphone proliferation. 15 Automotive World Megatrends magazine | www.automotiveworld.com Q1 2013