IATR Conference 2010 Chicago

1. IATR Conference 2010Chicago September 20, 2010

2. Introduction • Izzy Aala • CEO of Cabconnect, Inc. • Cabconnect, Inc. • Founded in 2002 • Headquarters in Chicago • Offices in California, Ohio, and Florida

3. Cabconnect, Inc. • Converting millions of paper transactions to an electronic format • Managing paratransit programs in cities such as Chicago, San Francisco and Milwaukee

4. Paper Based Programs • Many paper based programs • Corporate vouchers • Airline vouchers • Paratransit Vouchers

5. Paper Based Programs Statements from our customers • Scrip cumbersome for all, customers, drivers, companies, Broker • Manual tracking of transactions • Difficult to monitor individual trip usage and service quality • Greater potential for fraud

6. Electronic Payment System • Simplify fare payment • Improve monitoring by capturing of electronic trip information • GPS origin/destination data • Driver/patron info • tied to meter amount • Reduce the potential for misuse and fraud by eliminating the paper-based system • Automate the billing and reconciliation functions • User and Driver convenience

7. Paratransit Payment System Back Up Systems Broker System Debit Card Software System Internet Debit Card Hardware System (In-Taxi Equipment)

8. Closed Loop vs Open Loop Closed loop credit card/private card processing $ $$

9. Open Loop Advantages Disadvantages Interchange fees may be applied Limited on what data can be transmitted Subject to additional rules and overhead Additional data has to be obtained offline Difficult to process split payments Integration limiations • Private card can be accepted where ever a major credit card* is accepted • Utilization of extensive banking network and resources

10. Closed Loop vs Open Loop

11. Closed Loop Advantages Disadvantages Point of sale device must be integrated with Private Card Processor • No Interchange fees • Real-time data transmitted can be customized to meet the exact needs of the program • Program rules are govern by the program and not the credit card industry • Flexible integration

12. Closed Loop It’s all about real-time data • GPS Data • Pick up location • Drop off location • Bread crumb trail • Driver • Vehicle • Message Types

13. Taxicab company acceptance • In taxi equipment (ITE) choice • Taxicab driver • Taxicab management • Taxicab operations • Taxicab finance • Training Experienced partner in both the taxi and paratransit industry

14. Payment Process • Goal – Apply all the business rules at the time of the transaction • Requirement – All pertinent data to be available (closed loop)

15. Business Rules • Enforce eligibility • Seasonality • Scheduled dates • Fare amount rules • Location rules • Rejecting out service area trips • Transportation provider/driver rules • Wait trips/round trips/multiple trips

16. Auditing the Program • Electronic data is much easier to audit • Exception reporting • Trend analysis used for fraud detection and abuse • Training and open communications with the patron, driver, and taxicab company

17. Data Mining Data Mining • Where • When • How Often • Fraud Detection

18. Automation • Invoices are generated automatically by the taxicab company • Reports are generated for exceptions • Issues are resolved faster • Payments are turned around quicker

19. Transparency is key • Patrons know how much taxicab service is available to them • Brokers know how many trips have been serviced and how many trips are available to be serviced • Taxicab companies know how much money has been paid out to drivers and how much is still owed to them by the broker • Taxicab drivers can review all their paratranisit trips • All transaction histories are only a few clicks away

20. Conclusion • Invest in an electronic closed loop system to manage your paratransit program • Choose a partner that has the experience in both the taxi and paratransit markets • Allocate the time to train all the users of the system