Key people in the business travel sector share their knowledge and views on issues facing the industry today
LET’S WORK TOGETHER
Cooperation between the TOCs and the TMCs is essential if we are to make the most of rail’s resurgence, says Evolvi Rail Systems’ MD Ken Cameron
RARELY CAN THE RAIL industry have been the focus of so much attention as it was in 2012. The year started with the announcement that a new high-speed line would be built between London and the major cities on the existing West Coast Main Line – and it ended with the franchise system in disarray and concerns over investment. In between, one train operating company (TOC) warned of the potential need for support from the public purse, headline fare increases were announced at retail price index (RPI) + 3 per cent, and then reduced to RPI + 1 per cent, and the transport minister looked to a future driven by smart ticketing. All this in the context of
predictions by the Association of Train Operating Companies (ATOC) of a 21 per cent growth in rail traffic by 2020. At Evolvi, our main focus is on helping the travel management company (TMC) community serve the rail booking and fulfilment needs of their clients. It’s also fair to say that one of the major benefits of the online booking revolution has been the ability not just to buy more efficiently across multiple platforms, but to stretch budgets by framing buying behaviours within a managed and policy-driven environment. This concept of ‘smart’
procurement remains shorthand for cost-reduction – but it’s a term that is also being more widely applied to the ability of technology, such as online booking and fulfilment platforms, to add value
beyond cost. For example, when the Icelandic volcano crisis erupted, business travellers turned to UK rail in droves and, because of their TMC relationships and the supporting technology, the switch was seamless, with booking within minutes and tickets collected on departure. Technology has also made
it easy to ensure pre-trip approval, find single-click suggested fares and leverage the power of management information (MI) to deliver data to procurement departments. Now though, the concept
of ‘smart’ is becoming more closely aligned to new ticketing methods designed to deliver the vision of fully integrated rail travel. There are multiple opportunities to use that technology to enhance the customer experience – apps are starting to move beyond look-and-book into platforms
linked to managed travel plans, and the industry is redefining the concept of what a ticket is through near-field- communication and smartcards. So what’s holding us back? The UK rail industry is a success story in terms of service level improvements and facilities, but it does remain highly complex and fragmented in terms of its structure. The government has thrown its weight behind the ITSO standard for national smartcard ticketing, but the take-up of ITSO-enabled systems remains patchy and nowhere near being what might be considered a joined-up system on rail. However, there are some
positive developments emerging. For example, at Evolvi we’re in advanced discussions with a number of TOCs to turn the concept of plain-paper ticketing into reality, overcoming obstacles
TMCs are plagued by TOCs running promotions on their own websites that imply savings and efficiencies
As managing director, Ken Cameron is responsible for the overall strategic direction of Evolvi Rail Systems. He joined Evolvi in January 2008, bringing with him considerable experience in the UK rail sector, having worked for Rail Settlement Plan as head of operations. Previously he held senior positions with the International Air Transport Association (IATA), Eurostar UK and Amadeus Marketing. Evolvi’s online system focuses exclusively on business rail travel and provides TMCs with access to the best available fares and the widest range of fulfilment options.
such as differing TOC requirements for fare and route validation. Currently, ATOC and the Rail
Settlement Plan (RSP) limit plain-paper ticketing, largely for fraud prevention reasons, to advance purchase fares. This profile fits less than one in five of corporate rail journeys, and we are some way from a system capable of delivering seamless travel across the entire network. Frustrating though this is, it’s also understandable from a TOC perspective in an environment where investment is heavily influenced by individual franchise periods. That said, there are areas
where collaboration between TOCs and technology providers would make life easier for the TMC community. This is particularly the case when it comes to ticketing promotions and the availability of full-fare content through industry distribution tools. On behalf of TMCs, we make a particular plea to TOCs: the TMC community is plagued by TOCs running special promotions on their websites that imply savings and efficiencies. Taking account of corporate social responsibility, MI and expense management, the perceived savings pale into insignificance – so please let all retailers have access to all your products. The TMC channel alone provides well over £600 million in tickets annually, and the potential is to double that. Let’s work closely together and integrate our efforts beyond what technology can deliver. ■