Wednesday, January 09, 2008

Coupling Railway tickets with city events

An interesting and pretty useful idea has been implemented in Melbourne. Melbourne's local rail/ tram/ bus service provider Metlink's tickets are a very useful thing to have. One could use validated tickets to enter sporting events at the MCG like the domestic T20 tournament. I could also have watched the Victoria vs. India game at the Junction Oval for free by showing a valid Metlink Ticket.

I think this idea is pretty powerful as an incentive to use public transport and can be tried out in India. I do not know if such a scheme exists somewhere in India yet. Think about it – if someone wants people to use public transport (mind you – I believe trains as public transport should be encouraged as it doesn’t suffer from any other disadvantage apart from crowdedness in peak hours and coverage) - shouldn't they incentivize it too?

Let’s say Chennai wants more people in the IT highway using trains rather than board some of those company buses which make the OMR (IT Highway) as clogged as Mumbai’s train stations in the morning and evening peak hours. It obviously should improve the rail connectivity and I believe that is partially complete and will only keep getting better. Assume they do that. Now, IF we also assume that locals are satisfied with the IT Highway Railway connectivity and frequencies, what incentives do they need and firstly, why will such incentives work for the locals?

The IT junta are typically youngsters, and have much more spending inclination and capacity than the Tambaram-Beach train passengers (Target audience will be interested). It will also promote awareness of the events on store, and thus a lot of people who did not go to such events because they did not know of it might end up visiting those events.
It means walking for a few extra 100 ms to get to the office as compared to their conventional means (company bus/ bike/ car) - people have to get incentives to tide over the lack of enthu to take public transport.
Positive publicity effect for the IT Highway train system, it should be promoted as happening and trendy. Vending machines on train stations, online booking, tax benefits/ automatic deductions from conveyance allowances can be good incentives too.


Now, what are the events that can be tied to the Railway Card?

The upcoming IPL. They can enter into a percentage revenue kind of agreement with the Railway network, the network pays a fixed sum to the Stadium/IPL authorities, and entry can be initially restricted to a particular stand for Railway pass holders (initially we can restrict it to monthly pass holders only). Based on the crowds, and financial feasibility – it can be opened up further.
Hockey League – something that so needs viewers.
Any BCCI Tournament (the T20 National tourney, Challengers, promotional events etc.)
Movie theaters ? – very ambitious idea – but why not try it at select screens?
Music season cutcherys – the cultural awareness on Chennai’s music season can be increased and it might just revive the culture of youngsters appreciating classical music.
Rock shows/ Unwind center concerts – Cash cow kinda thing.

Still need to think a lot more on this idea. I will appreciate your feedback.

4 comments:

Anonymous said...

The smart card / electronic card concept is there in almost all developed nations. In HK for example, its called an Octopus card and can be used at metros, buses, trams, 7x11 stores, supermarkets, McDs etc seamlessly. It can be refilled at 7x11 stores and metro stations. So it doubles up as a universal debit card basically.

The problem with India is its sheer population. Imagine building the turnstile systems and central fare tracking system for the commuters. The sheer volume makes it infeasible. We can definitely tweak the mammoth railway reservation system software to do this (thanks to smart Indian coders which India produces like an infinitely unwinding python :p), but the infrastructure requirements is probably not practical. The root cause of this impracticality is ofcourse the political inefficiency viz. corruption, delays and basic lack of public interest in politics. A rollout on a pilot basis might work, but I am afraid it will draw a lukewarm response from the public who have become skeptical of any new scheme, thanks to the calcification of the rotten system.

Another reason why it works in developed countries is that they were introduced right at the beginning / in tandem with the rail/road infrastrucutre. So, to people there, its a given and hence have absorbed it, just like the season tickets and debit/credit cards in India.

But the question really is, does India need this at all ? The monthly pass system according to me is extremely efficient both from the commuters' and the railways'perspective. We have infinite debit/credit card schemes offering discounts at malls, shopping centres, theatres etc. My basic argument is, introducing this will not have a significant value-adding proposition / positioning that would sway people pr the Government to adopt it. It is definitely nice-to-have, but not a need-to-have.

Anonymous said...

these events are way too one-off, and i'm not sure that tying the train passes with them will work. and i agree with anonymous that putting in a turnstile system etc. is going to be max fight. the good old monthly/weekly pass should do.

2 things to note here:
1. the train pass should also be valid in buses, etc.
2. in order to pull in the IT crowd, you need to make it "exclusive". i had written about this in the indian economy blog last year: http://indianeconomy.org/2007/04/27/dont-make-it-affordable/

so you need to have a substantial "first class" and get the pricing right.

Anonymous said...

nice idea to begin wit....no of implementability issues...

1) both mrts n sport-international cricketers r unpopular...r u suggesting usin 1 unpopular vehicle to promote another ???

2) mrts n such heavily subsidized as it is...bein in the public sector...whr wld they find the money for revenue sharing...if ur thinkin bout hiking rates...wldnt pt 1 above b a hindrance ???

3) like the concept of clubbin it wit cutchery season...

Anonymous said...

People should read this.