Mobile ticket lifecycle management: case study of public transport in Latvia

Abstract

Abstract. There are solutions in the market that enable brand holders to combine their serviceswithother suppliers of goods or services. However, there is no unified technological solutionavailable for e-commerce purchasing object management. Purchasing objects are objects that are generated automatically or manually createdas a result of the transaction, for example, a bus ticket, travel insurance payment, concert ticket orthird party liability insurance. Management of purchasing objects is an important e-commerce process for all involved parties. Now a variety of payment methods and information systems are available in the market that allows generating purchasing objects. E-tickets are an example of the purchasing objects, which are rapidly being introduced for use. Electronic ticket management is increasingly entrusted to mobile devices and applications. Market analysis shows that e-ticket management becomes more complicated because it is related to different systems, applications and interfaces in the transport sector. This study analyses the mobile ticket life-cycle management problems that are being solved in the development of the service providers' mutual integration solution architecture model. The unified public transport service scenario was developed, which consists of purchasing object generation, storing and transporting to service providers, transaction processors and customers. The developed purchasing object management model provides customers with opportunity to manage the financial transaction documents, while service providers will facilitate the document turnover and improve the business process. The proposed model has been piloted on a joint stock company micro-payment system infrastructure, integrating Latvian Railway external services. The study was conducted in the framework of Latvia, and is aimed to improve e-commerce solutions in Latvia.Keywords: e-ticket, m-ticket, e-commerce solution. IntroductionRapid developments in information technology transform the way various businesses are executed. With maturing of the technology and fast distribution of smartphones, more and more businesses go partially or fully mobile. However, business preparation for mobile e-commerce includes an important step -creating mobile service that is convenient for merchants and is user friendly. Data show that in Finland after installation of mobile applications during the next month only 35 % are continued to be used [1].Another important step is to include payment methods that users recognize and can apply, such methods include or are compatible with local internet banks, and use recognised services such as PayPal, Square, Stripe or others. IT companies develop special applications to support mobile payments such as Google Wallet and Apple Pay. These applications allow storing payment data in special protected profile, so whenever the user needs to pay for the product or service, there is no need to re-enter payment information. Such special applications are rather new solutions and still unavailable in man...

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“…Users of these solutions also gain a significant competitive advantage. Bumanis, Vitols, and Arhipova [15] state that there is a wide range of solutions within the market, enabling traders to gain a competitive advantage by actively combining their services with those of their suppliers.…”