Smart cities are characterised, among other things, by high levels of connectivity and relative availability of transport services. In this respect, airports play a crucial role as they provide a dense network of connections among major cities. While there is abundant literature on the social and economic impacts of airports and air transport operations in general, relatively less attention has been paid on the importance of connections between airports and the surrounding territory. Very often, and especially for major airports and hubs, the connection between the terminals and the city is secured by trains. In this paper, we propose a welfare analysis of the adoption of smart payment tools for trains serving airports. In particular, we focus on the possibility for passengers to pay with contactless cards, that is to use credit cards as sort of dematerialised tickets, instead of queuing at ticket desks or selling machines. This new tool has the advantage to save time and may induce individuals to use the train, with consequential benefits in terms of reduction in external costs. We conclude our paper with a broader policy discussion regarding the role of smart payment for transport services and associated business models.
External benefits of smart payment tools for airport train services
Percoco, Marco
2020
Abstract
Smart cities are characterised, among other things, by high levels of connectivity and relative availability of transport services. In this respect, airports play a crucial role as they provide a dense network of connections among major cities. While there is abundant literature on the social and economic impacts of airports and air transport operations in general, relatively less attention has been paid on the importance of connections between airports and the surrounding territory. Very often, and especially for major airports and hubs, the connection between the terminals and the city is secured by trains. In this paper, we propose a welfare analysis of the adoption of smart payment tools for trains serving airports. In particular, we focus on the possibility for passengers to pay with contactless cards, that is to use credit cards as sort of dematerialised tickets, instead of queuing at ticket desks or selling machines. This new tool has the advantage to save time and may induce individuals to use the train, with consequential benefits in terms of reduction in external costs. We conclude our paper with a broader policy discussion regarding the role of smart payment for transport services and associated business models.
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