Many transit operators are 'out of step' with the broader travel and transportation markets, where mobile is the growth channel and APIs make it easy to connect different travel services around a single app.
Many transit operators 'out of step' with travel, transportation markets
A new report suggests how operators can improve service, reduce costs, lift customer satisfaction and grow their bottom line.

Convenient booking/ticketing process, in-app payments were the top ranked features that riders look for in transit mobile apps, according to a new survey. Photo: Genfare

Convenient booking/ticketing process, in-app payments were the top ranked features that riders look for in transit mobile apps, according to a new survey. Photo: Genfare
A new report examines key challenges facing the ground transportation and mass transit market and suggests how operators can improve service, reduce costs, lift customer satisfaction and grow their bottom line.
The survey, Modernizing the Passenger Experience in US Ground Transportation conducted by CellPoint Mobile, found Americans are taking more multi-modal trips and relying on mobile devices to seamlessly manage their end-to-end journeys. This poses a challenge for transit operators, as many lack a mobile app or support mobile ticketing and payments. The survey also found that many transit operators are 'out of step' with the broader travel and transportation markets, where mobile is the growth channel and APIs make it easy to connect different travel services around a single app.
Improving mobile technology to satisfy riders, drive revenues
The 'digital revolution' has significantly changed how Americans commute and travel – trendsetting Millennials and post-Millennials are most likely to use non-car transport (60% and 69% respectively, vs 50% average). For the typical rider ground transportation can be inconvenient and frustrating compared to consumer sectors that offer mobile solutions. Transit riders increasingly rely on mobile devices, and the failure of mass transit operators to provide mobile solutions is causing them to fall behind in the digital travel economy.

Transit riders mirror the digital habits and expectations of the US population at large, according to a new study. Photo: Community Transit
Key survey findings that directly impact mass transit usage, customer satisfaction and revenue, include:
Convenient booking/ticketing process, in-app payments: these were the top ranked features that riders look for in transit mobile apps, highlighting where operators should invest in new mobile technology solutions.
Fare discounts and easier payments: 40% of riders can be incentivized to download a transit app with fare discounts, followed by 34% of riders who want to make payments more easily.
Cash no longer king: One-third of riders (31%) say reducing the need to carry cash would incentivize them to download a transit app, illustrating how 'top of mind' payments are in the U.S.
New and alternative payments matter: 34% of riders say using alternative payment methods (APMs) such as Apple Pay or Google Pay is "Very" or "Extremely" important.
Multiple modes of transport: More than half (52%) of Millennials use 2-5 modes of transport per trip, highlighting the importance of new technology investments to support mobility-as-a-service.
Key takeaways that can help mass transit and ground transportation operators re-think revenue strategies, include:
Multi-modal trips are more common than assumed and rideshare plays a big role. Transit operators must consider the needs of multi-modal riders in their strategies.
Transit riders mirror the digital habits and expectations of the US population at large – they are increasingly mobile, primed for digital commerce, and receptive to retail-style experiential engagement.
Mobile ticketing and payments are core areas where operators can reduce costs, streamline transactions, improve customer satisfaction and grow revenues.
More New Mobility

From Hardware to Digital Partner: Luminator Charts Its Next Chapter
CEO Magnus Friberg discusses Luminator’s shift toward becoming a digital partner, the growing importance of software and interoperability, and how AI can help agencies improve operations and passenger experience.
Read More →
Biz Briefs: Alstom Lands Canadian Contract, LYT to Supply California TSP, and More
In METRO's latest installment, we take a look at recent news from Complete Coach Works, Beep, FlixBus, and more partnerships making headlines across the transportation sector.
Read More →
CharterUP’s Armir Harris on Technology, AI, and the Future of Group Mobility
In a recent episode of METROspectives, CharterUP Founder/CEO Armir Harris discussed the company’s evolution from an online charter bus marketplace into a technology platform supporting public- and private-sector mobility and much more.
Read More →
Jacksonville’s NAVI Project Charts a New Course for Autonomous Public Transportation
Through its NAVI program, JTA is showing how autonomous vehicles, intelligent infrastructure, and coordinated operations can work together to deliver everyday public transportation.
Read More →
Biz Briefs: Luminator Marks Milestone and More
From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.
Read More →
New Tricks for Old Bureaucracies: Joshua Schank on Making Transit Innovation Stick
Former LA Metro Chief Innovation Officer Joshua Schank discusses why good ideas aren't enough, how transit agencies can overcome resistance to change, and why today's challenges demand more innovation.
Read More →
How DART's GoPass Is Redefining Regional Mobility
Serving 14 transit agencies, GoPass simplifies multimodal travel by allowing riders to plan, pay for, and manage an entire trip through one app.
Read More →
Biz Briefs: OCTA Taps Clean Energy for Hydrogen Station, Stadler to Supply Via Rail Vehicles, and More
From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.
Read More →
CharterUP Expands Into New Mobility and Autonomous Transportation
Vice President of New Mobility Stephen Joos discusses how CharterUP is leveraging its nationwide transportation network, technology platform, and autonomous vehicle partnerships to expand into workforce mobility, campus shuttles, and transit solutions.
Read More →
METRO Magazine Announces 2026 Innovative Solutions Awards Winners
Projects Recognized for Advancing Mobility Through Technology, Accessibility, Workforce Innovation, and Operational Excellence
Read More →