Photo Credit: Shutterstock

Photo Credit: Shutterstock

Riders Want To Tap-To-Pay

Public perception of contactless payments as an easy, safe, secure way to pay for everyday purchases is rising. Even for small purchases, cash use is declining—80% of contactless transactions are less than $25. A recent study revealed mass transit users are on board with contactless payments, showing 91% of riders say they expect to be able to tap-to-pay on trains and buses and 32% said contactless options it would entice them to use public transit. Digital wallets are incredibly popular as well, with more than 5.2 billion consumers expected to use them by 2026.

Given these trends, mass transit agencies nationwide are opening the door to modernized payments. Digital payments satisfy the expectations of current riders looking for a better experience. And contactless can attract new populations to mass transit as younger riders seek more sustainable transportation that helps them minimize their carbon footprint.

Contactless Payments Remove Rider Roadblocks

Daily riders who use public transportation to get to and from work, occasional riders who may take a train to a concert or sporting event, and out-of-town visitors all share the same need for simple, safe, affordable mass transit options. Tap-to-pay technology helps eliminate complexity among multiple fare choices and enhances rider experience by:

  • Reducing funds tied to prepaid transit cards
  • Delivering flexibility for commuters
  • Creating savings through automatic fare caps
  • Removing the hassle of lost paper tickets or smartcards
  • Eliminating language barriers
  • Decreasing carbon footprint and delays caused by idling buses

Evolving Payment Options Help Agencies Stay On Track

Contactless payments benefit agencies that have to work with limited budgets, labor challenges, and complex regulations. Expanding payment options can save agencies expenses associated with equipment outages, maintenance, and disposable card production costs. Contactless payments also help control costs by:

  • Providing enhanced data security and fraud monitoring 
  • Bundling a rider’s daily trips into one charge so there’s only one authorization fee
  • Instantly calculating and applying fare caps and discounts

A Secure Transaction Takes Seconds

A rider makes a contactless payment by holding the card near a reader, sending a secure one-time code to the payment terminal—no swiping or dipping needed. The speed of contactless technology is an excellent fit for transit environments where short transaction times keep passenger traffic moving smoothly at peak periods. Here’s a look at how the process works:

Photo Credit: US Bank

Photo Credit: US Bank

If you’d like more insights about how contactless solutions can pay off for both riders and agencies, download the e-book.