Case Study: Public Sector/Utilities
Boosting Sales of TTC’s Metropass
Apr 5, 2011
Using Incentives to grow sales of Metropass Discount Plan for the Toronto Transit Commission
Key Insights
• AIR MILES reward miles are a very cost-effective additional incentive, beyond price discounts, to encourage sales in the public transit sector.
• In the case of the Toronto Transit Commission, AIR MILES reward miles proved to be a valuable incentive in driving sales of the TTC Metropass Discount Plan passes by providing a further motivation for sign-up, in addition to the already reduced monthly pass rate.
Business Challenge
The Toronto Transit Commission (TTC), a public transit provider within the urban area of Toronto, wanted to boost sales of their Metropass Discount Plan (MDP). When signing up for MDP, TTC patrons commit to purchasing 12 monthly Metropasses via a pre-authorized payment plan. They then receive their 12 Metropasses in mail each month. The Metropass is fully transferrable and allows for unlimited travel on all regular TTC services. Increased sign-ups and sales of the MDP would result in increased overall ridership for the TTC, which is one of TTC’s main objectives.
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