Boost mass transit operations and rider experiences with advanced data analytics

Research from the American Public Transportation Association (APTA)*, released in May 2025, shows that public transit ridership has increased to 85% of pre-pandemic levels and continues to climb – representing more than 10.3 billion passenger miles traveled in 2024. Ensuring this ridership growth continues and exceeds pre-pandemic levels is a key responsibility for transit operators at the local, state and federal levels – they must work hard to understand the needs of consumers, workers, and other transit stakeholders in their areas of operation to ensure they are improving transportation services to boost ridership and public investment.

This is more than just a “nice to have” – research from APTA shows that every $1 of investment in public transportation results in $5 in economic output. Investing in buses, trains, and other modes of transit provides an invaluable boost in mobility for workers, shoppers, students and more. To effectively manage and improve the ridership levels, transit operators must leverage rider insights and build data-driven business cases for increased funding of transportation services.

Improve data collection at the source with open-loop payments

So how do transit operators tap into this data gold mine? Valuable insights start at the source with high-quality data collection. Open-loop fare payments use smartphones and payment apps, rather than proprietary fare cards or tickets, to collect funds from customers during a ride. This means that transit operators gain access to more data about rider behaviors and transportation needs than has historically been possible. Mobile-first fare payments also create countless opportunities to partner with third-party apps that track transit routes, utilization rates and crowding, and other data points that measure the rider experience.

Mass transit data analytics drive key decisions for transit operators

To capture this opportunity, transit operators need to dig into their ridership data to deeply understand rider needs – whether customers are traveling for leisure, work or access to services. Deeply understanding urban mobility data* can help transit operators in several key ways:

1. Improve transportation services to meet rider demand

Every time a rider steps on a bus or train, their fare payment provides transit operators with many critical data points* that can help improve transportation services. From tracking popular routes and travel times to understanding multi-modal trips, transit operators can use this invaluable rider data to optimize route planning, allocate transportation investments more precisely and ensure they are meeting the needs of riders. Further, transit systems with app-based fare payments have massive opportunities to collect customer profile data and invite riders to participate in real-time surveys* about their experiences to further improve services.

2. Collaborate with organizers of mega-events for enhanced access

Armed with rider data, transit operators can partner with large venues and event organizers – think professional sports games, large concerts and more – to improve attendee experience. Understanding where eventgoers come from and what they need from transportation services is invaluable information for partnering with venues and stadiums. By coordinating easy public transportation to mega-events*, transit operators can boost public adoption and increase access, while event organizers can reduce attendee dependence on cars – lessening demand for parking spaces and creating fewer bottlenecks to enjoying mega events.

3. Build business case for private sector partnerships

While public transportation investments are steep, there are huge opportunities to offset operational costs with private-sector partnerships. Many large employers in urban areas offer commuter benefits* to their staff to attract talent, boost employee experience and reduce transportation costs. Open-loop payments take these benefits to the next level – rather than using closed-loop transit fare cards, employee ridership is tracked and paid for via a mobile app. This allows companies to tailor commuter benefits more precisely and offer additional incentives and rewards to employees via the mobile app – like discounts and perks at local businesses that also participate in transit ridership programs.

4. Track progress on sustainability objectives

Many cities and municipalities have set formal objectives for reducing carbon emissions and improving other environmental sustainability indicators. Major U.S. cities like New York City, Chicago and Miami include public transportation and other non-car travel modes as tactics for making progress on carbon-reduction goals. Research shows* that more than 20% of global energy use stems from transportation; thus, investments in share transit options like buses and trains go a long way towards increasing the efficiency of energy use and conserving natural resources. Transit operators can use ridership trends and fare payment data* to track utilization rates of public transportation and progress on local sustainability goals, in collaboration with local leaders and municipal agencies.

There are opportunities to enhance urban mobility by identifying trends and key insights in public transportation data. Thoughtful investments in digital fare systems and data analytics tools can serve as steppingstones to improved rider experience, greater collaboration with private-sector partners and precise climate action reporting – which can ultimately boost accessibility in urban areas and driving economic growth.