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The Future of Trip Reduction

Rick Steele, CEO, NuRide, Inc.

New England TDM Conference

Boston, MA

Jun 10, 2010

http://nuride.com/contact

Reward commuters

- carpool / vanpool

- public transit

- telecommute

- walk / bike

- compressed week

Ride matching

- 48,000 commuters

- 4 million trips

- 100 million VMT

NuRide is the nation’s largest commuter rewards program

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$2 million in rewards provided by 300+ terrific sponsors

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1980 1990 2000 2010

46% decline

19.7%

10.7%

Technology has not increased ridesharing

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The problem is motivation not mechanics

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Gas prices provide motivation – but they are uncontrollable

Rewards provide ongoing motivation

58% joined because of rewards

48% previously drove to work alone

Rewards = motivation to change behavior

50% of members took a non-carpool trip in Dec 09

Rewarding all modes = bigger database = more matches

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Found one Thanks for match, bye!

Rewards! I’ll stick around

Rewards = loyalty = bigger database = more matches

Need match

75% reported a successful rideshare match

83% share rides “more” or “much more”

56% of active members have been active > 1 yr

Rewards = loyalty = bigger database = more matches

NuMail and email Poll & surveys

Rewards = loyalty = valuable feedback & communications

30% of new members in 2009

came from referrals and they were …

45% more active than non-referrals

Rewards = loyalty = referrals = more activity

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Jul-08 Oct-08 Jan-09 Apr-09 Jul-09 $1.00

$2.00

$3.00

$4.00

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

30 yr low gas prices

record unemployment

Rewards = loyalty … even in bad times

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Jul-08 Oct-08 Jan-09 Apr-09 Jul-090

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000 NuRide trips up 59%

NuRide visits up 14%

Rewards = loyalty … even in bad times

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nuride.com

erideshare.com

rideproweb.com

rideshareonline.com

+ 14%

- 41%

- 42%

- 56%

Visits to competing web sites

were down at least 40%

Rewards = loyalty … even in bad times

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Recorded trip

From: Home

To: Work

Mode: Carpool

Vehicle: 2004 Honda Civic

Passengers: Bill & Tom

Company: IBM

Date: 12/15/10

Time: 8:05 am

Reward: 100 points!

Rewards = valuable measurement for regional reporting

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Employer

“races”

Rewards = valuable measurement to engage employers

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Oct-08 Dec-08 Feb-09 Apr-09 Jun-09 Aug-09

Trips

Houston Washington DC

Houston TX – good local rewards

Washington DC – poor local rewards

Reward must be ongoing, sustainable and local

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SUSTAINABLE

• Provided by sponsors

• Large/unlimited inventory

• Ongoing not one-time

Practical

Sel

f-co

nta

ined

10% off vacation

Tickets to event

$ off food

$50 gas cardUNSUSTAINABLE

• Must be purchased

• Limited quantities

• Unrealistic

expectations

• Attracts fraud

Sustainable rewards are sponsored – not purchased

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December 4, 2009

“The Atlanta downtown group is

also interested in adding scooters to

its cash-incentive program to promote

alternative commuting, Laurie says,

but doesn't have the budget to do so.”

Government funded rewards are not sustainable

Rewards must be ongoing and not one-time

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Periodic raffles and prizes do not constitute a rewards program

15% of active members

entered a raffle in ’09 whereas …

60% redeemed a reward

Sponsored rewards count as CMAQ local match – saving state $

$461,864 in sponsored

rewards in 2009

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Technology hasn’t really worked

So what’s the future of trip reductions?

1. Motivate people to get started

2. Instill loyalty for bigger database with more matches

3. Instill loyalty for more referrals, enrollments and activity

4. Provide detailed, real-time measurement & communication

5. Rewards must be ongoing & sustainable, not periodic prizes

6. Sponsored rewards can save states money, not cost them

Rewards work because they …