‘Tap-and-ride’: How public transportation is making room for contactless payments
- The public transportation industry’s adoption of contactless forms of payment is taking off as a result of the pandemic.
- The adoption of contactless in public transport could pave the way for contactless to integrate into other industries as well.
Like other industries, public transportation is becoming more dependent on contactless pay. The mobile ticketing market size is predicted to go from $350 million in 2018 to $1.7 billion in 2025. In the US, 80% of the cities with plans to implement mobile payment methods in public transportation are doing so for the first time.
The public transportation industry is undergoing digital transformation at lightning speed, said Tokhir Abdukadyrov, director of O-City, an automated fare collection solution that operates in 130 cities globally. The pandemic has made people more nervous around crowds and less trustful of public transportation. Implementing contactless forms of payment could be the only way to make passengers feel comfortable again.
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