TDM Marketing

Information and Encouragement Programs

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TDM Encyclopedia

Victoria Transport Policy Institute

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About This Encyclopedia

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Updated 28 August 2007


This chapter describes TDM marketing programs and strategies, which investigate the types of transportation services people want, identify barriers to alternative modes, and promote use of efficient transport options.

 

 

“Information is as powerful as infrastructure.”

 

 

Description

Marketing involves determining consumer needs and preferences, creating appropriate products, providing useful information about products to consumers, and promoting their use. Public knowledge and attitudes have a major effect on travel behavior, so marketing is an important component of TDM implementation.

 

Marketing is more than simply advertising to promote a product or activity. It is an ongoing dialogue between producers and consumers. The most effective TDM Marketing programs involve a variety of partners within a community, including public officials, community organizations and individuals who support transportation alternatives.

 

Below are specific TDM marketing activities:

 

·       Survey users and potential users of alternative modes to determine preferences, knowledge, barriers and opportunities for changing travel behavior and providing TDM services.

 

·       Targeted, personalized marketing campaigns, which identify consumers who are most able and willing to change their travel patterns and providing them with suitable incentives to try alternatives.

 

·       Educate public officials, businesses about TDM strategies they can implement.

 

·       Promote benefits and changing public attitudes about alternative modes. For example, promote alternatives modes as enjoyable, Healthy and Prestigious.

 

·       Produce a Multi-Modal Access Guide that provides concise information on how to access a particular destination by alternative modes.

 

·       Make alternative modes more Affordable, with appropriate Prices and discounts.

 

·       Identify and overcoming barriers to the use of alternative modes.

 

·       Encourage Transit ridership by making transit service convenient and attractive.

 

 

Given adequate resources, marketing programs can significantly increase use of alternative modes and reduce automobile travel, although there are limits to what marketing can accomplish by itself. Marketing cannot change every person or every trip, and can be counterproductive if alternative modes are inadequate. For example, advertising that encourages motorists to try transit will fail if transit service is inconvenient and unpleasant to use; travelers who try it will have a bad experience, give up, and tell their friends. Similarly, a commuter who tries cycling for the first time, but has no support, will be discouraged if they find it difficult and frightening, or have an accident or mechanical problems.

 

Effective marketing often requires delivering different messages to different types of people, with special emphasis on people who are most ready to change. For example, potential transit markets can be divided into people who wouldn’t use it, might use it, sometimes use it, and often use it. It is generally unrealistic to shift somebody from the “wouldn’t” into the “often” category, but a transit marketing campaign can provide messages and incentives to shift travelers one category at a time, so for example, people who currently would not ride transit are encouraged to consider it; people who are already considering it are given opportunities and incentives to try it occasionally; and people who currently use it occasionally are encouraged to use it more often.

 

Wouldn’t  =>  Might  =>  Sometimes  =>  Often

 

 

Travel patterns tend to experience regular turnover (also called churning) as people change income, jobs, homes, abilities, responsibilities and preferences. For example, during a particular year a portion of residents may naturally shift from automobile to public transit commuting, while others shift from public transit to driving, due to changes in their life conditions. Marketing programs should therefore target people when they are ready to change their travel patterns.

 

In most communities a portion of trips are responsive to TDM marketing. Consumer surveys indicates that a significant portion of travel is non-essential, and that a significant portion (typically 25-50%) of travelers would consider using travel alternatives and are interested in obtaining information about them. One survey found that out of 43 respondents, 19 report that they drive more than they need, and 34 report that they drive more than they want (Handy, Weston and Mokhtarian, 2005). Of course, not all of these people will eliminate all of their automobile trips, but many will change some trips if given the right combination of information, services and encouragement.

 

TDM Marketing programs should generally be ongoing so they provide continual support and encouragement, and respond to future opportunities and changes in individual’s travel needs and preferences. Travel patterns tend to reflect churning (continual turnover and change, sometimes in response to specific events such as changes in employment or home locations); for example, during a given year some people naturally shift from automobile to public transit, while others shift from public transit to automobile due to changes in their circumstances and preference. TDM Programs should take these natural changes into account, providing ongoing encouragement for shifts toward more efficient travel patterns.

 

Direct marketing programs, such as TravelSmart, are effective because they focus on the people who are ready to consider changing their travel habits, but need information and encouragement. People tend to develop established travel habits. As described by Goodwin (1997), “The traveller does not carefully and deliberately calculate anew each morning whether to go to work by car or by bus. Such deliberation is likely to occur only occasionally.” TDM marketing programs can help overcome this inertia in travel habits.  Programs that present alternatives in a positive way and convince people to try them may result in long-term changes.

 

Positive Statements

As much as possible, TDM Marketing should emphasize the potential benefits from more efficient transportation systems. For example, reduced driving and shifts to alternative modes can provide vehicle cost savings, reduced crash risk, and reduced stress to users. More walking and cycling provides health benefits. They also provide community benefits, such as reduced traffic congestion, increased safety, road and parking facility costs, and reduced pollution.

 

Transportation Demand Management is not a very good marketing term, particularly since the acronym (TDM) sounds like tedium. It reflects a planning and economic analysis perspective, but is not well understood by the general public. So what should we call what we do? The term Mobility Management is used in some regions, particularly in Europe, but for marketing purposes it is often best to emphasize the positive objectives, such as Travel Options, Mobility Choices and Transportation Efficiency.

 

 

TDM Marketing should offer motorists many opportunities to try alternative modes, without requiring a major commitment. For example, a program might provide transit route information and a free transit pass to people who currently commute by automobile. Walking and cycling Encouragement programs often start with a short-term event, such as bike-to-work week. Once people try alternative modes and use them occasionally, marketing can encourage them to increase their use incrementally, for example, by Ridesharing twice a week, or using a bicycle for commuting and errands for a greater portion of the year.

 

Market research is an important part of effective marketing. This means using surveys and other market data to better understand consumer knowledge, needs, preferences, barriers and opportunities to change travel behavior (Cao and Mokhtarian, 2005). For example, Table 1 shows results from a survey of potential rideshare users (employees with regular commute schedules who currently drive more than 5 miles to work), indicting which incentives are most likely to cause them to shift to alternative modes. Such surveys need to be preformed for specific demographic groups and geographic locations.

 

Table 1            Market Survey (proprietary source)

What Would Help Entice You To Rideshare?

Portion of Respondents

Personalized help finding bus times and routes

2.9%

Bike parking

3.3%

On-site food or kitchen

4.1%

Lockers/showers

5.9%

More info about alternatives

5.9%

Personalized help forming ridesharing

6.1%

Priority parking for rideshare

6.2%

On-site services

8.1%

Payment in lieu of parking

15.6%

Other

16.3%

Transportation during breaks/lunch

16.3%

Employer provided car

17.9%

More frequent bus service at site

18.4%

Flexible work schedule to meet alternative schedule

20.2%

Guaranteed Ride Home

33.3%

Financial incentive

39.1%

 

 

Marketing tends to be most effective when it emphasizes positive benefits to participants from using alternative modes, including stress reductions and financial savings from reduced driving, and increased enjoyment and Health from active travel modes such as walking and cycling. Some studies show that many workers place a high value on having commute alternatives (Novaco and Collier, 1994).

 

Social Marketing

Social marketing refers to community-based programs to encourage more socially desirable behavior. Social marketing is effective at achieving behavior changes that people generally support but find difficult to make, such as actions that increase personal health or benefits neighbors. It helps people reconcile their actions with their beliefs, providing integrity and pride, as well as helping to solve specific personal and community problems.

 

There are many successful examples of social marketing, including increased use of seatbelts and child restraints, reduced excessive drinking, more balanced diets and reduced tobacco consumption. These involved a combination of education, persuasion and policy interventions that have changed the way people act.

 

Social marketing consists of these steps:

  1. Identify market to focus on, which may be everybody in an area, or a particular segment of the population that is particularly significant or likely to change.
  2. Identify barriers to the desired behavior.
  3. Develop multi-facetted strategy.
  4. Develop a pilot project to test the strategy.
  5. Based on results of the pilot, implement a full-scale program.
  6. Evaluate and improve the program.

 

Successful social marketing requires listening carefully to the audience through focus groups and surveys in order to understand their real attitudes and concerns. It identifies the costs of inaction and the benefits of change from users’ perspective, and helps people overcome barriers to desirable change.

 

A typical social marketing campaign to support TDM might include the following actions:

·       Identify travelers who are most likely to change. For example, a campaign might focus on commuters in a particular demographic and income category who work in a particular area.

·       Investigate consumer travel attitudes and preferences, potential benefits from alternative travel options (financial savings, reduced stress, sociability and fun, healthy exercise, community benefits such as reduced air pollution), and barriers to change.

·       Based on market surveys, develop programs that improve Transportation Options (such as better transit services, Rideshare services, improved walking conditions), provide incentives to users (such as Commuter Financial Incentives), and overcome barriers as perceived by users (such as stigma associated with the use of alternative modes).

·       Identify key attitudes, such as interest in fitness or pride in helping others that can be highlighted. For example, if personal health and fitness is a key consumer attitude, a campaign might emphasize the health problems that result if people continue their sedentary travel habits, and the user benefits from more physically-active travel modes.

·       Develop multi-faceted promotional materials, which may include press materials, media advertising, brochures, flyers, posters, and other strategies to convey messages. This can include information on:

o      What is available (walk, cycle, rideshare, transit, etc.).

o      Why alternatives are desirable (benefits to users and communities)

o      How to use alternatives (how to cycle, rideshare or ride transit).

o      Encouragement to try alternatives (“Try using transit tomorrow.”).

o      How to obtain support and additional information (websites, telephone numbers, etc.).

o      Reinforcement and validation to users (“When you ride transit, you help make our community a better place to live.”).

·       Start with a small pilot, improve it based on experience and feedback from users, and then expand the program.

·       Continually update the program based on participant feedback, and to keep it fresh, timely and interesting. Try new messages and promotional materials.

 

Resources:

Novartis Foundation Social Marketing (www.foundation.novartis.com/social_marketing.htm)

Social Marketing.Com (www.social-marketing.com)

Social Marketing Institute (www.social-marketing.org)

Social Marketing Network (www.hc-sc.gc.ca/hppb/socialmarketing)

 

 

How it is Implemented

TDM marketing is usually implemented by government agencies or non-profit organizations as part of a comprehensive TDM Program or Commute Trip Reduction program. The Way-to-Go, Seattle! program’s Replicability Package (2003) provides detailed information on how to create and evaluate a program that encourages residents to reduce their automobile travel and use alternative modes.

 

 

Travel Impacts

Marketing can improve the effectiveness of most individual TDM programs and strategies. A survey of commuters found that exposure to commute trip reduction program information was the single most important factor contributing to mode shifting (Weber, Nice, Lovrich, 2000). Hendricks and Joshi (2004) identified specific factors that affect CTR program effectiveness. They found that the degree of management support and the presence of an Employee Transportation Coordinator is important if a worksite is located outside a major business district, but are less critical in a CBC. Given adequate resources, marketing programs can often increase use of alternative modes by 10-25% and reduce automobile use by 5-15% (see examples described later in this chapter). One study estimates that marketing increases the effectiveness of other TDM strategies by up to 3% (Shadoff, 1996). Modarres (1993) found that the provision of information on alternative travel modes by employers was one of the most important factors contributing to mode shifting.

 

The most effective marketing programs promote a variety of travel options rather than just one mode (such as ridesharing or public transit), since this allows consumers to choose the option that best suits their needs. For example, about half of the trips reduced by the TravelSmart programs shifted to walking, with smaller shifts to cycling, ridesharing and public transit (www.travelsmart.vic.gov.au). Individual mode shifts appear small, typically consisting of just few percentage points, but their total impacts are significant. The TravelSmart program found that marketing programs can reduce automobile travel by 6-14%, which is comparable in magnitude to much more expensive infrastructure improvement programs to encourage use of alternative modes. Fujii and Taniguchi (2006) found even larger travel reductions from “travel feedback programs” in Japan, with 50% increases in transit travel and 18% reductions in automobile travel among affected populations.

 

The travel impacts of TDM programs that rely only on marketing sometimes decline over time as participants lose interest. However, marketing that supports other TDM strategies that improve transportation choice or provide tangible incentives can have significant long-term impacts on travel behavior.

 

Table 2            Travel Impact Summary

Objective

Rating

Comments

Reduces total traffic.

2

Tends to increase TDM effectiveness.

Reduces peak period traffic.

2

Shifts peak to off-peak periods.

2

Shifts automobile travel to alternative modes.

2

Improves access, reduces the need for travel.

2

Increased ridesharing.

2

Increased public transit.

2

Increased cycling.

2

Increased walking.

2

Increased Telework.

2

Reduced freight traffic.

2

Rating from 3 (very beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.

 

 

Benefits And Costs

Marketing provides a foundation for specific TDM policies, programs and strategies. Benefits include increased understanding and appreciation of TDM, increased public support for TDM strategies, and increased effectiveness of TDM efforts. Costs are primarily associated with program expenses. Actual benefits, costs and effectiveness vary depending on circumstances, program design and its effectiveness. A study by Ker (2003) found that marketing programs typically provide financial paybacks of 1.0 years or less (plus additional benefits to society), indicating an excellent return on investment.

 

Table 3            Benefit Summary

Objective

Rating

Comments

Congestion Reduction

2

Tends to increase TDM effectiveness.

Road & Parking Savings

2

Consumer Savings

2

Transport Choice

2

Road Safety

2

Environmental Protection

2

Efficient Land Use

2

Community Livability

2

Rating from 3 (very beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.

 

 

Equity Impacts

TDM marketing can help increase equity by increasing public knowledge and acceptance of transportation alternatives, and creating more effective TDM programs. This tends to benefit lower-income and transportation disadvantaged people by improving their mobility options, increasing access for non-drivers, and reducing the stigma often associated with alternative modes. Actual equity impacts vary depending on circumstances and program design.

 

Table 4            Equity Summary

Criteria

Rating

Comments

Treats everybody equally.

1

Generally benefits all groups.

Individuals bear the costs they impose.

-1

Requires subsidy.

Progressive with respect to income.

2

Can improve travel choice and reduce stigma associated with alternative modes.

Benefits transportation disadvantaged.

2

Can improve travel choice and reduce stigma associated with alternative modes.

Improves basic mobility.

0

No significant impact.

Rating from 3 (very beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.

 

 

Applications

Can be implemented as part of any TDM program.

 

Table 5            Application Summary

Geographic

Rating

Organization

Rating

Large urban region.

3

Federal government.

2

High-density, urban.

3

State/provincial government.

2

Medium-density, urban/suburban.

3

Regional government.

3

Town.

3

Municipal/local government.

3

Low-density, rural.

2

Business Associations/TMA.

3

Commercial center.

3

Individual business.

3

Residential neighborhood.

2

Developer.

2

Resort/recreation area.

3