Approaching Self-Funding and PPP Systems

With the current economic climate destined to get worse before it gets better and with government funding in deficit, governments are looking at innovative ways to not only deliver existing services for less, but also delivering services which could potentially provide a funding source for the state. With a number of revenue generated and revenue share 511 RFP’s currently out, it is time to discuss what is possible, feasible and likely. The difference between sponsorship and advertising, and indeed what advertisers and sponsors require in return for large quantities of their hard earned profits. Currently, revenue share programs are being seen as Pandora’s box, the answer to all of our funding shortfalls, but is this fact or fiction, will the cost of delivering revenue generation programs be a bitter pill to swallow, or the cure for sustainable 511 solutions? This leads to the question, is this approach feasible, viable or realistic? Can systems really be delivered which not only provide self-funding solutions, but also to provide a viable sustainable revenue source for state DOT’s? There is no doubt that DOT consumer facing services and systems have the potential to raise revenue through both Sponsorship and Advertising activities, but this depends on many factors not least of all: The State that the services are being provided for; the complexities of the services to be delivered; the amount of customization work which needs to be delivered; the dissemination channels to be delivered; the current and expected number of system users ;the Marketing program, identified to ensure continuous system improvement; the Sponsorship and Advertising opportunities made available; the capabilities of the system to be delivered; the overall user experience; and the overall expectations and requirements of the State. The problem is that even minor fluctuations or variances from one state to another can render a sustainable self-funding system either possible or completely improbable. In Conclusion this presentation will discuss: Self-funding systems can be delivered, but must be delivered in such a way to maximize user interest, maximize sponsorship opportunities while minimizing both delivery and ongoing costs. System usage will strongly affect the revenue which is available, so effort must be placed in the delivery of a strong and adaptable marketing budget, making sure the widest user group knows about the system, has benefit from the system as well as uses the system on a regular basis. Delivering sponsorship regionally will never be as successful as being able to deliver a national sponsorship message. Therefore there may be an opportunity to work with other vendors to maximize the revenue opportunities nationally. Systems cannot have the same level of customization which State DOT’s have become accustomed to, there must be much more emphasis on standardization, and collaboration with other agencies and states to ensure that systems can be delivered without incurring unnecessary costs.


  • English

Media Info

  • Media Type: Digital/other
  • Pagination: n.p.
  • Monograph Title: ITS America 22nd Annual Meeting & Exposition. Smart Transportation: A Future We Can Afford

Subject/Index Terms

Filing Info

  • Accession Number: 01449167
  • Record Type: Publication
  • Files: TRIS, ATRI
  • Created Date: Oct 12 2012 9:28AM