Info Systems Helping More Passengers Keep Track of Planes, Trains and Automobiles

Every traveler has, at one point in their voyages, known the pain and abject frustration of unexplained delays. Lack of communication between transport operators—be they airlines, commuter trains, or buses—and passengers are a huge source of needless headaches for everyone involved.

Luckily, passenger information systems (PIS) are becoming more and more prevalent among transport service providers, so much so that the global market is actually growing at a CAGR of 24.2 percent from 2013-2018.

These systems aim to provide real-time information, including arrival and departure times, as well as any information about delays and service disruptions to customers. And while they won’t necessarily make your commute any smoother, at least you’ll know why you’ve been sitting on the tarmac, immobile, for the past two hours.

Today, TechNavio is taking a look at the overall Passenger Information System Market and some of the key drivers and challenges set to affect the spread of this technology over the next four years.

Passenger Info Systems by Mode of Transport, 2013

Evolution of New Telecommunication Technologies

Passenger info systems thrive on network availability, so telecommunication technologies play an important role in the growth of the market. With the advent of 4G and LTE technologies, operators can provide better connectivity, which improves the quality of solutions.

Lack of Infrastructure

Network infrastructure is the lifeline of the market, but many counties lack the basic networking and communications infrastructure required to make PIS a reality. This severely hampers expansion of the market into these regions. However, some vendors are actually collaborating with governments of various countries, in order to develop the required infrastructure to penetrate these areas.

Increase in Urbanization

Urbanization increases the disposable income of acountry, as well as the amount of commuting the average person does. This basically translates into more users, which places higher demand on passenger info systems, thus spurring growth in the market.

Lack of Integrated Solutions

More people connecting through a wider variety of devices poses a unique conundrum for service providers. Not only do passenger information systems have to be available, they also have to interact well with all platforms and channels, including social media and mobile apps, both online and offline. Vendors in the market are working to offer systems that play nice with mobile devices, but a general lack of integrated solutions leads to unsatisfied, frustrated customers, and ultimately affects revenue.

Decrease in Operational Costs

PIS such as passenger information display systems and passenger infotainment systems help cut down on the number of human resources required, and in turn help companies reduce their operational costs. The systems allow information to be easily digitized, which saves a large amount of the cost of training and recruiting manpower, and helps reduce instances of human error.

Replacement Cost of Legacy Systems

The high cost of replacing old legacy systems is a major barrier to the overall adoption rate of passenger information systems. The Global Passenger Information Systems Market requires consistent implementation of advanced technology, but operators are often hesitant about adopting new products or replacing existing systems as the process requires high initial investment.