Transforming Railway Travel by customizing the passenger experience. Pico Main Capabilities and Assets overview



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GBS Travel & Transportation Transforming Railway Travel by customizing the passenger experience Pico Main Capabilities and Assets overview London, January 27-29 2015

The PICO team today Lorenzo Soggiu IBM Global Business Services Partner Phone : +39 06 596 64646 Fax: +39 06 596 65548. Mobile Phone + 39-335 7248314 email: lorenzosoggiu @ it.ibm.com Fulvio D Aloia Cascone IBM Global Business Services Associate Partner tel. (39)-06-59660397 cell. (39)-335-7248674 fax (39)-06-59660397 e-mail: fulviodaloiacascone@it.ibm.com 2

Agenda 1 Pico Solution Overview 2 Main Pico Functionalities, Solutions and Assets 3

PICO Business processes scope Trenitalia Offer Configuration Service Catalogue Offers and Promotions Channels Customers Release Information Services Offers Events Travels Customers Sales Sales Solution search Personalization Travel creation Booking and Ticketing Validation Post Sales Changes and Refunds Passengers Caring Point of Sales mgmt Shift opening Sales Shift closing Point of sales operation 4

Travel & Transportation PICO as Smarter Planet initiative PICO implemented Industry Best Practices along with several Innovative features Business rules and parameters configuration Self governance and fast time-to-market: easy to react at market challenges with price and promotion Open and standard Interface Flexible Partnerships: simplification to introduce new distribution channels, services and products Industry Best practices functionalities (Electronic Tickets, Best Fare, Seat Map, etc ) Commercial levers to improve customer experience and reduce ticketing operational costs Channel s Business Logic Independency and Seamless Integration Enable to introduce new or modify channels behaviors by configuration and avoiding to modify business services Customer-Centric Sales and Services Generate commercial campaigns for dedicated target and set rules to direct sales process according to customer profiles and buying behavior 5 In 2010 PICO won the Travel & Transportation IBM Olympic Golden Medal Prize for its Innovation and advanced innovative solutions. In 2012 Sipax Travel Solution Engine ( the hearth of Pico) won the European Community prize on Intelligent Mobility for its innovative and breakthrough solution.

PICO Business architecture Modularity & Configurability PICO Business user (e.g. travelers, employees, and partners) interact with PICO through a number of Channels, according to the Trenitalia distribution sales strategy Business partner systems may interact through standards-based service interfaces exposed by PICO. The Sales Mgmt System enables Trenitalia Sales&Marketing people to configure offers, services, channels and customer profiles Client Business needs, depending on Pico modules adoption, can require in the Service Platform a range of: 80-90% Configuration 20-10% Customization Trenitalia Sales Channels Sales Mngt System Internet B2C Mobile Call Center Internet B2B Caring Ticket Office Travel agency On Board Self Hermes Stargate others device Service Offers Web Service Interfaces Customer profiles Solution Engine Price Engine (Offers, Promotion and Fares) Sales Process Electronic Ticketing and Travel solutions Services Reservati on and Inventory Electroni c Wallet and Values Channel engine Channel profiles Main Sales System features Interfaces with external systems Services Catalogue Timetable System Payment gateway Accounting Yield Mgmt System CRM Loyalty Trenitalia Network Production Partners Services Catalogues Trenitalia and Partner Systems 6

From Solution to a Proof of Concept to a Solution IBM starting point is: Leveraging on an asset that is able to daily manage : 375.000 Tickets sold 7.0 M Users logged 30.0 M Transaction inquiries demonstrating that: Changing the Reservation System Changing the Revenue Mgmt System Applying Run Time Pricing from Railways Company web services Changing the Payment System Using a new Timetable Changing registration & Customer profiling The Sales Platform is stable and able to manage a dedicated POC providing embedded flexibility and integration to new Channels development To manage a Railways company business needs, based on our experience, requires : 80-90% Configuration 20-10% Customization Pico is able to accept new development coming from any touch points, giving the max freedom on technology. Pico includes a lot of new functionality that would require only touch point presentation development keeping native channels integration 7

PICO s Sales Management System strengths Competitive time to market 8 to 35 days according to complexity Trenitalia Ownership Supplier Ownership Requirement collection Requirement and RfQ 2-5 days Analysis and economic evaluation 1-5 days Development 3-15 days Test 1-5 days Deployment 1-5 gg Activation Requirement collection 2 to 15 days according to complexity Sales Management System configuration 1 10 days (*) Test 1-5 days Activation The new Sales Management System allows a significant reduction of the time to market, avoiding software development and deployment All the steps of the process can be managed directly by Trenitalia, without supplier costs Trenitalia ICT main activities on Sales Platform Before SMS Trenitalia ICT main activities on Sales Platform After SMS 30% 10% 15% 30% Requirements mgmt Development mgmt 60% Fixing and Production mgmt 30% Analysis and Evolutions 10% 15%

Mixed payment capabilities PICO platform is able to support different payment methods, including Credit Cards, Debit Cards Cash, Points, PayPal, Electronic values and Deferred payment according to channel and commercial policies It is also possible to apply different payment methods, in the same transaction, to buy a ticket In case of after sales process (i.e. refund or change) the sales platform takes also into account the payment methods applied to the original ticket to manage offers policies and refunds Pico payment component enables any Payment Gatways integration Debit/credit card via dedicated payment gateways Electronic Payment with electronic values and loyalty points Deferred payment at ATM, Post Office, Grocery ATM, Lottery shops via dedicated payment gateway 9

Extended Journey Planner Multi Modality A core feature of the solution is the ability to leverage on advanced operational Search Engine for extended travel (from about 50.000 possible combination to 10 in 0,5 seconds) Performance is optimized to enable complex journey results to be displayed quickly Offers solutions according to flexible business rules and manages real-time events such as train delays (when available) Able to manage several networks for different transportation providers into an interconnected network A 11:10 - D 11:20 90 F 100 D 09:00 A Home 30 Car Sharing A 09:30 D 09: 40 C Car Parking @ Station Path A-C-F-G-B represents the best solution to service the customer s integrated journey Bus/coach 100 80 A 11:20 D 11: 30 E D A 11:00 - D 11:15 Metro/tram 120 A 13:00 D 13:10 In 2012, the Travel Solution Engine (the heart of Pico) won the European Community prize on Intelligent Mobility for its innovative and breakthrough solution. 100 G Station Taxi 20 Key A- Arrival D- Departure A 13:30 B Final Destination 10

Single Ticket for Intermodal Trips Entire intermodal trips can be ticketed using a single e-ticket by adopting an electronic ticketing model such as SMARTCARD Different ticketing and validation steps can be managed and integrated into a unique intermodal solution 1. Ticketing at home via PICO Web Site 2. PICO SmartCard Identification to pick-up and charge 3. PICO SmartCard charging at Kiosk 4. Onboard ticket control by smartcard reader 5. PICO SmartCard check-in/out at Gates and Lounges 6. PICO SmartCard taxi pre-paid fare check A Car Sharing Parking Car sharing C Car Parking Station D Metro Station Metro G Station Taxi B Final Destination 11

Socializing PICO s Business Social log in Share travel experience Shop through social media Federation Extend ticketing touch points Share Travel Experience Socialize on-board 12

Agenda 4 Appendix 13

Extended Journey Re-Planner (implementing) Departures and arrivals information can be integrated with real time information about estimated delays to the planned trip Long trips can be rescheduled taking into account the delays and disruptions EA 11:30 - D 11:20 90 ± 20 F 100 D 09:00 A Home 30 Car Sharing A 09:30 D 09:40 C 100 80 A 11:20 D 11: 30 D 100 Metro/tram 120 EA 13:10 ED 13:20 20 G Taxi (rescheduled) Station EA 13:40 B Final Destination Car Parking @ Station A-C-D-G-B path is the new best solution to serve the customer travel integrated journey request Bus/coach E A 11:00 - D 11:15 Key EA- Expected Arrival (updated) ED- Expected Departure (updated) Road Car parking Taxis Electric cars Bikes Bus/coach Metro Tram Real Time Transportation Services Information 14

Quick Ticketing features Special features are available on Travel Agent interface to facilitate the ticket issuing: Quick Ticket Apart the standard search, Travel Agent operator can issue a ticket starting from: 1. Next Departures booking a train near departure from that station 2. Alternate searching for one of the most requested routes from that travel agent; Next Departures Most requested Routes 15

UIC RCT2 compliance PICO platform is enabled to issue electronic tickets, even in PDF format, but compliant with UIC RCT2 standard avoiding to install and manage dedicated ATB printers and blank tickets The ticket print in PDF format will contain all information need to check and control, including barcode box The ticket template can be customized and adapted to the required business and policy needs and use share the graphic grids with the ATB printer QR code with trip and ticket details Trip details Passengers details Payment details Ticket office issuer details Solution certified by U.I.C. 16

Third parties integration: external providers and channels Personalized travel service offers are offered to the customer enabled by integration tools and facilities in the proposed solution Through out booking process, customer can select multiple additional services from a variety of providers Options on how to purchase additional services: 1. Booking and Selling: ancillary travel services purchased as part of the journey tickets 2. Proposing: ancillary services offered during the sale process but purchased directly from provider site External partners can be integrated to adopt industry standards and procedures Able to expose services to Amtrak offers on the main GDSs platform with dedicated procedures and standards Saber Amadeus Travelport 17

Adapters and Connectors Adapters and Connectors GBS Travel & Transportation Pico Center of Competence Intermodal Trip Features Ticketing Technology and Supports Customer could use different ticket types: Smart Card Bar Code (on paper and mobile) Mobile NFC EMV (Electronic payment card enabled for travel identification) Regardless the type of technology adopted, the solution is able to integrate all ticketing models, to enable intermodal trips Validation and Control According to ticketing support, PICO solution is able to validate ticket along the travel On Board Controlling Validation Machines Check-in/out Gates Pricing and Time Table upload and integration Local Transportation services prices Price and Offers catalogue (SMS) Travel Solution Catalogue Local transportation time tables and networks Price Engine (Ilog) Travel Solution Engine 18

Loyalty Integrating the Loyalty program into the service platform, PICO can leverage the customer knowledge across all the touch points Recognize the Loyal customer as preferred user with dedicated features on the web and mobile sites; Enable immediate point earning and posting during the booking process Dedicate special offers and promotion in terms of Loyalty Fares and Points Enable point redemption in B2C and contact center channels Integrate partner catalogues for redemption and offered services for point calculation Moreover, integrating CRM capabilities, the ticketing platform is able to generate personalized offers and promotions, related to the customer profile Guest Rewards program enrollment integration with web site account Redeem points via Integrated Customer Area Point calculation during ticketing process Customer Recognition Managing points via Integrated Customer Area 19

ewallet To enhance the customer relationship, PICO can reward the customer at the end of their trip with discounts, promotions and credits through the ewallet End-of-Trip ewallet deposits can be generated for different reasons: Gifts credit for continued loyalty Promotion Completion evoucher for future travel Customer Care credit for train delay or other service disruption Pre-paid credits stored in e-wallet for next purchase Partnership gift for partner to distribute E-Wallet can be used for a partial or full payment, across all channels E-wallet can be linked to the PICO Reward program, enabling electronic payments for Guest Rewards Purchases 20