Ventra System Update Smart Card Alliance Payments Summit

April 6, 2016

OVERVIEW: CHICAGOLAND TRANSIT

•  Chicago Transit Authority (CTA): Provides bus and rail service in Chicago and 35 surrounding suburbs

•  Pace Suburban Bus: Provides fixed bus route, paratransit, and vanpool services in 284 municipalities

•  Metra: Provides commuter rail service at 241 stations along 11 lines

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CTA FARE SYSTEM EVOLUTION

1950 (Bus) 1952 (‘L’)

1995 2002 (Chicago Card) 2004 (Chicago Card Plus)

2013

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WHAT IS VENTRA?

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VENTRA COMPONENTS  Fare collection system  Fare media procurement  Customer account system  Retail network  Cash collection (not including bus)  Gate and device maintenance  Data collection and reporting  Customer communication  Customer service  Regional integration

 Pace, RTA, Metra 5

WHY MAKE THE SWITCH?  Legacy equipment nearing end of useful life

 Proprietary system  Chip supply dwindling

 High capital costs to replace system - $140 M  Readers, Vending Machines, Network devices, etc.

 Focus on core mission of CTA: moving people, not money  Future-proof system  Enhance customer convenience

 Ability to store all kinds of fare products on one card  State legislation

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VENTRA TIMELINE  August, 2009 – Step 1 RFP issued  April, 2010 – RFC issued  November, 2010 – Step 2 RFP issued  November, 2011 – Contract awarded to Cubic Transportation Systems Chicago, Inc.  September, 2013 – Go Live   “Stabilization” period  July 1, 2014 – Legacy decommissioned  October, 2014 – Mobile App announced  November, 2015 – App launch

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CHALLENGES

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FIRST OF ITS KIND, INNOVATIVE TECHNOLOGY OFTEN HAS GROWING PAINS

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1886 BUSES

774 RAIL GATES

(PLUS 400 VVMS, 1300 RETAILERS)

ALL AT ONCE!

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AREN’T WE ACCOUNT BASED?

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COMMUNICATIONS CHALLENGE:

How to communicate the new, improved cutting edge system that will essentially change nothing about how people board a bus or train?

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VENTRA: LESSONS LEARNED

  Focus on customer experience first and foremost   Impossible to over-communicate with customers  An account-based system is different

  Treat Special Fare Programs as their own major project   Take advantage of data to guide deployment process  Begin internal conversations early about data use

  Test, test, test   Launch when ready

  Account-based transition is worth it

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VENTRA: WHERE ARE WE NOW?

November,2015December,2015 January,2016 February,2016Ridership 36,737,247 35,520,235 34,523,568 35,667,619Revenue $45,472,546 $48,179,743 $48,622,567 $47,333,991

#Accounts 5.57M 5.68M 5.77M 5.84M

•  Over $1.2 billion settled via Ventra since launch

•  2 million accounts active in the last 90 days •  1.56 million full fare accounts •  429 thousand transit-only cards •  23 thousand third-party bankcards

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WHERE ARE WE GOING?: VENTRA MOBILE APP

  Integrates regional transit systems   Unlocks the system

  Puts a Ventra Vending Machine in your pocket   Especially of value for bus customers who don’t have access to Ventra Vending Machines at bus stops

  Metra Mobile Ticketing   Establishes universal fare payment system   Purchase any Metra ticket on your cellphone

  Transit Tracker   Bus and Train Tracker integration   Real-time Metra information

  Integration into mobile ticketing function

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VENTRA APP LAUNCH: HIGHLY ANTICIPATED

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VENTRA APP LAUNCH: WELL RECEIVED Ventra App Proves Popular With Transit Riders On Public Debut November 20, 2015 6:41 AM By Bob Roberts

“… the response was ‘overwhelmingly positive,’ a sharp change from the problems that plagued the introduction of the Ventra card for months.

Riley Mundt takes the train from Crystal Lake to get to classes at the University of Illinois at Chicago. She’s looking forward to having her monthly pass on her phone. “All my friends keep telling me to [download] it. They tell me it’s really cool,” said Mundt, 21.

CTA, Metra, Pace debut new Ventra app WRITTEN BY TINA SFONDELES POSTED: 11/19/2015, 02:44PM

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VENTRA IN APP-TION

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VENTRA APP LAUNCH: WELL RECEIVED  25,000 downloads the first day, over 400,000 to date

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VENTRA APP LAUNCH: WELL RECEIVED  Over $28.5 million in sales since launch, 1.1 million orders

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VENTRA APP LAUNCH: WELL RECEIVED  Leading to more frequent web usage and now dominant means of account management

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500,000

1,000,000

1,500,000

2,000,000

2,500,000

October,2015 November,2015

December,2015

January,2016 February,2016

CustomerVisitsviaVentraWebsite

Desktop

MobileWeb

App

Tablet

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VENTRA APP FUTURE PHASES

  Integrated Trip Planning  Door-to-door trip planning across all three transit agencies  Shared-use integration?

 Advertising and Promotions  Virtual Ventra Card

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VENTRA APP AND MOBILE PAYMENTS  A transit app can be a strong motivator for the adoption of mobile payments  CTA’s customers want to pay a fare by phone

 CTA has 750,000+ riders who would love to use mobile payments

 Muscle memory of fare payment can encourage mobile payment adoption  Trip planning, in-app promotions provide opportunity  Use mobile wallet to redeem promotions?

 Up to the mobile payments industry to unlock transit’s potential

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VENTRA: MOBILE OBSERVATIONS

 Account + Smartphone = anything  Customers expect mobile  Customers want to pay a fare by phone

 Needs of transit providers and wants of customers must be balanced

 Transit is an untapped resource to drive adoption  Treat transit differently

 We are not retail

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