Revolutionizing public transport in Switzerland with Alliance SwissPass’ e-tariff system

Executive Summary

BearingPoint supported Alliance SwissPass in the myRIDE project, which explores a new fare model for public transportation in Switzerland based on a pay-as-you-go approach. Building on the strengths of the existing system, the project introduces a distance-based, post-paid pricing model designed to make public transport even more accessible and attractive. By piloting this innovative approach, Alliance SwissPass aims to further enhance the customer experience and encourage greater use of public transport, while maintaining the proven benefits of the current fare structure.

Complex tariffs hinder public transport adoption and growth

Switzerland’s public transport system, coordinated by Alliance SwissPass, has long been recognized for its integrated and customer-focused approach. Over time, the fare structure has grown to accommodate a wide range of needs and travel patterns, resulting in a comprehensive but also increasingly complex system. While this complexity reflects the system’s adaptability and inclusiveness, it can sometimes make it challenging for passengers to identify the most suitable ticket or subscription for their journeys.

For some users, navigating the various options may lead to uncertainty or hesitation, which can be a barrier to choosing public transport, especially for those less familiar with the system. From an operational perspective, maintaining such a sophisticated fare structure requires significant resources and specialized knowledge. As Switzerland’s population and mobility needs continue to evolve, there is a growing need for solutions that maintain the strengths of the current system while making it even more accessible, transparent, and adaptable for the future.

Alliance SwissPass is therefore exploring ways to further simplify and harmonize fare structures, ensuring that public transport remains attractive and easy to use for everyone, while also supporting efficient operations and long-term sustainability.

Combining Data Analytics and AI to drive innovation and business value in public transport pricing

BearingPoint supported Alliance SwissPass in the myRIDE project with deep analytical expertise. Our main role was to prepare and analyze all relevant data related to the new pricing system. By evaluating usage data, customer behavior, and market trends, we provided valuable insights that directly influenced the further development of the system.

A key focus was on designing and validating pricing models that are both attractive for customers and economically sustainable for the industry. Using advanced data analytics, we simulated different scenarios and assessed their impact on demand, revenue, and customer satisfaction. This allowed us to work closely with Alliance SwissPass to develop a robust business case that forms the foundation for the next project phases.

Our work made it possible to reduce the complexity of the fare system, increase pricing transparency, and better address the needs of passengers. In this way, BearingPoint is making a significant contribution to the sustainable modernization of public transport in Switzerland.

Increased public transport usage and traffic diversion through the e-tariff

The implementation of the e-tariff provides Alliance SwissPass with substantial business advantages, facilitating an increase in public transportation usage without adversely affecting overall revenue. By simplifying the fare system and introducing flexible pricing models, Alliance SwissPass attracts more users while ensuring financial stability. The new system is designed to accommodate the additional demand generated by this shift, effectively managing increased traffic to prevent potential issues such as overcrowding or service strain.

The e-tariff, integrated with flat-rate comfort and other flexible pricing, helps Alliance SwissPass to promote public transport over private vehicles. The tariff system is currently testing these goals as hypotheses, allowing continuous refinement of the model to meet desired outcomes. This adaptability ensures the e-tariff addresses current needs and supports long-term growth and sustainability. Since mid-May 2024, more than 3,000 public transport customers have participated in a pilot program to test and evaluate a new pricing system as part of the myRIDE project.

Unlike the current system, with fixed tariffs and zones, this new system calculates fares based on the actual distances traveled. Users do not need to choose a specific subscription in advance; they can travel freely and automatically get the correct ticket by request. The system also provides full cost transparency, informing users of travel costs before and after the trip, which greatly improves customer satisfaction and overall experience.

Alliance SwissPass

The Alliance SwissPass, as an industry organization for public transport and an association of 250 transport companies and 20 associations, is committed throughout Switzerland to harmonized, understandable and economical tariff regulations; modern, attractive sales solutions; as well as customer-oriented product ranges and information systems.