Guide to Planning a Successful City Bike Sharing Project

Reference Guide: City Bike Sharing Project Planning
Prepared as Research Output under German Chancellor Fellowship Programm
Photo: Rohan Modi

Target Audience
Stakeholders
Government Planning to promote Non-Motorised
Departments Transport
Local Authorities Planning for Bike Sharing Infrastructure
Enterpreneurs Planning to foray in Bike Sharing Business
Public Transport Regulating and Monitoring the City

Authority Mobility
Financiers Financing Bike Sharing Projects
2 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Objective of The Guide
The objective of this presentation guide is to support city authorities to get an

overview of the existing best practices in Planning & implementation of a
Public Bike Sharing Project.
3 Rohan Shailesh Modi 22.05.2020

Agenda
❶ Bike Sharing Project (BSP)

❷ Success Factors & Risk
❸ Stakeholders & Planning
❹ Business Models
❺ Facilitations & Tender Particulars
❻ Service Benchmarks
7 Promotion Planning & Tools
8 Conclusion Photo: Rohan Modi

Bike Sharing Project (BSP) – Avoid Strategy
BSP Dimensions Activities to be Undertaken
Feasibility / Planning Study
Integrated Land Use Planning
Price Fixation
✓ Aim / Target
Develop Code of Practice
✓ Identify hotspots
✓ Type & No. of Bikes Integration with ITS
✓ Business Model Tendering / Contracting
✓ Digitisation Strategy
✓ Promotion Strategy Campaign / Promotion
Benefits of Bike Sharing Projects (BSP)
Direct Benefits Indirect Benefits
Health Benefits Health Benefits
Increases Advertising opportunities Makes cycling more visible
Additional Clean Mobility Option Encourages Cycling infrastructure
Development
Congestion Free cities Reduces GHG Emissions
Generates Employement Improves image of city
Improves modal share of cycling Improves enforcement of Saftey for NMT users
Manages / Improves Public Transport Demand Energy security
Improves Last mile Connectivity Increases productive hours of Citizens
Reduces citizens spending on Mobility Saves public fund by reducing unnecessary
infrastructure development e.g. bridges
Support cities to achieve Air Quality Standards
Source: 2020 CIVITAS

Elements of Bike Sharing Projects (BSP)
Hardware Software Operation
Advertising Marketing
Sub-Elements of BSP
✓ Bikes ✓ Website ✓ Staffing ✓ Bike Stands ✓ Interactive

Website
✓ Stations ✓ Apps for ✓ Inauguration ✓ Bikes
consumers scheme ✓ Customer
✓ Control Center ✓ Public places information flyers
✓ Payment systems ✓ Asset / System
✓ Service vehicles Maintenance ✓ Civic Centers ✓ City cycling maps
✓ Asset monitoring
✓ Depot system ✓ Redistribution ✓ Buses |Service ✓ Social media
Vehicles | Public
✓ Maintenance ✓ Intelligent ✓ Customer service
campaigns
equipments Transport System ✓ Authority websites ✓ Blogs
✓ Contracts
✓ IT system (ITS)
management
components
✓ Insurance
✓ Power infra.

Success Factors & Risks
Success Factors & Risks to BSP
• High footfall areas

Risks Factors
Station • Density of stations
Location • Integrate with other
• Mixed funding sources
tranport modes Financial • Thefts & Vandalism
Viability • Poor Marketing & Campaign
Availability • Protected Cycle lanes
of Safe
• Signage for long routes
Cycling
Infra • Zebra crossing
City • Climate
Topography • Terrain
• Easy registration
processes
• High avilability of bikes
Easy to Use • Easy to understand App • No safe biking infra
interface • Poor enforcement of safety rules
• Easy & secure payment Safety • Compulsary helmet use may
gateways hinder
• Resilient & Good looking

• Technology oriented • Delays in construction
Good
• Weather proof Planning • Size / Location of stations
Quality
Bikes • Comfortable bikes for Process • Bikes purchase in line with city
terrain
different age groups
• Theft Proof

Success Dimensions of BSP
Digitisation & Facilitation Regulatory
Infrastructure
• By operators • Legal steering structures with
• Station based public bike system
• App based services Binding rules and regulations
• Autolocking system • No-go or no-park zones
• Dense ntwk of stations with average • Real time information for consumers • Maximum no. Of bikes of per station
on bike locations, prices, T&C, data /operator
distance of 300 mts protection, etc
• Maximum no. Of operators per city
• Real time station occupancy
• Time limits- redistribution of bikes
monitoring systems – GPRS
from overcrowded stations
• Provide high quality bikes with low • Digital payments
• Disposal of damaged rental bikes
maintenance brakes, sturdy design, • By Municpality / Authority • Penalties
easy to ride, wide tyres, theft free
• Loan facilitation for bike purchase • Integrating with ITS
features
• Promotional schemes during
• Pricing structure to encourage short
inaguration
trips
• Operational subsidy for operators
• Provide designated parking areas • Allow operators to raise their
• Cycling maps
revenue other than user fees
• Campaigning
• Long term contracts at least for 3
• Improved cycling infrastructure
• Clear signage and use instructions years with appropriate conditions
• Facilitate partnerships with parking
space manager, Universities, big • Improved norms for safety for NMT
employers, etc users

Cycling Infrastructure along with Bike Sharing Schemes
Source: The Bike Sharing Guide: ITDP

Stakeholders & Indicative Goals in Public BSP
Source: Roland Berger

BSP Project Stages
I-Planning Stage II-Implementing III-Monitoring

• Define goals of BPS • Finalise the Tasks for • Monitor the project
• Gain Know How task force • Steer the Demand
• Conduct Roundtable • Finalise the Business • Explore new finance
• Gather ideas Model opportunities
• Develop a Concept • Finalise the Funding • Explore value
sources addition
• Conduct a Feasibility
Study • Undertake Tendering • Integrate with ITS
Process • Integrate with other
• Develop a Tender
document • Award Contract to transport
Operator infrastructure
• Plan for Expansion

Feasibility Study – Bike Sharing Infrastructure
Define Objective
1. Reduce air pollution
Feasibility Study (FS)
2. Improve mobility option
1. Demand Analysis
FS Outputs
3. Improve last mile conn.
2. Financial Viability Analysis
4. Meet modal split targets 1. Organisation structure
3. Risk analysis
5. Reduce pressure on 2. Required investments
• Weather
overcrowded PT 3. Revenue sources
• Culture
6. Generate employement 4. Contracting model
• Political
• Infrastructure 5. Financing structure
• legal 6. Legal / Regulatory changes
required

Planning of Bike Sharing Systems
Station Location Bike Share Metrics

Manual or
Station Size System Performance
Automated
Metrics Metrics
Modular or
Planning points
Station Type
Permanent • Coverage • Average daily
area use / bike
Dock style • Number of
stations • Average daily
Customers
perspective /bikes / docks trips per
• Population in resident
Operatiors coverage area
Digitisation
perspective
• Bikes /
Type and No. Of Regulator‘s resident
Bikes Perspective
Marketing
Business Models
Bike Sharing Models
Source: Roland Berger

Cost & Revenue BSP Project
One time
Registration
Fees
Direct
User Fees
Subsidies
Capital Cost: Operational Cost:

Revenue
✓ Station / Depot ✓ Administration Congestion
Infrastructure Advertising
✓ Bike / Station /
Charges
✓ Bikes Depot
Maintenance
✓ Back office
infrastructure ✓ Redistribution
Parking
✓ Software ✓ Back office enforcement
Sponsorship
system Maintenace
✓ Communications

Traditional Business Models
Publicly Owned & Operated Publicly Owned & Privately Operated Privately Owned & Operated
Public Private PA PO PA PO
Authority Operator
Hardware ✓ - Hardware - ✓
(PA) (PO)
Hardware ✓ - Software ✓ - Software - ✓
Software ✓ - Operation ✓ ✓ Operation - ✓
Operation ✓ - Advertising ✓ ✓ Advertising - ✓
Advertising ✓ ✓ Marketing ✓ ✓ Marketing - ✓
Marketing ✓ ✓ Revenue for PA: Revenue for PA provides: land | performance

Registration Fees| Flat PO: User Fee| standards | land use permissions |
Revenue: Registration Fees|User Fee| fee per bike/per year| Advertising| Privilage Access to Advertisement places |
Advertising| Sponsorship MMC Sponsorship Tax rebates
Advantages: Advantages: Revenue for PO: Revenue for PA:
• Single entitiy plans-procures- • PA has control over project planning Fixed Fee| %tage revenue
implements • Performance linked payments and Sponsorship| share
• Easy transition from pilot to further incentives can be implemented Advertising| MMC
expansion plans • Operation and efficiency risk aren‘t Advantages:
• Fast implemention of integrated IST & with PA • No Capital expenditure by PA
multi modal infrastructure • shorter contracts for a year could be • BOT model may also be followed
• Public authority can priortize desired made • Performance linked payments and
goals
Disadvantages: incentives can be implemented
Disadvantages: • Increased administrative work Disadvantages:
• City bears the whole financial risk tendering-neogtiation-contract • PO operates in high revenue zones
• PA bears operation and efficiency risk preparation • BOT model: no incentive to innovate
Franchise Model – New York
Share revenue from user fees

New York‘ City Alta Bicycle
Department
Performance based Service Level Share
Agreement
41 mn $ – 5 year Sponsoship
6.5 mn $ – 5 year Sponsoship

5 year Exclusive
Receives Exclusive branding rights
Naming & Citi Bank
Branding Rights
5 year preferred payment
partner contract with Recieves payment‘s
partner Contract
MasterCard
Citibank &logo on Stations
PPP Business Models
• People parking the car gets a bike
Parking Management • Parking revenue share with operator
• Vehicle owner Pays only parking fees
Companies – Public bike
• Parking fees may vary with/without bike
Operators facility
• E.g. Vinci Park in France
• AA provides bikes free of charge to city at

desired locations
Public • AA recieves prime adverstising locations as
well as bike & stations
Private Cities Administrations – • Bike users pay deposit to bike operator &
Partnership Advertising Agencies needs to registered
(AA) • Bike users pay nothing/very less for each ride
(PPP) • E.g. JCDecaux in Paris, Clear Channel in
Models Barcelona
• User registers with Operator on app

• User gets bikes in front of railway stations /
bus stations / city locations
• User calls on the no. Printed on bike
Railways / Bus Fleet • User recieves code on phone to unlock
operators – Cities • Option to keep bike on off hire – to secure
bike for return journey
Administrations • User may or may not be charged depending
on agreement with city
Source: T.aT. – Students Today, Citizens Tomorrow Project • E.g. Call a bike, DB in Germany

Business Models

Strenghts and Weakness of Different Operators
Type of Strengths Weakness
Operator
Government • Co-ordinated implementation with other govt • Lack of Experience
departments • Low Operational Efficiency
• Easy Access to Funding • Poor /Low know how on available latest
• Maintains legislative control of assets to make technology
project successful
Public Transport • Holds prior experience in mobility services • Less or no co-ordination with private
Authority • Facilitates speedier integration with other public mobility providers
mobility options • Poor Digitisation capacities
• Faciliates with operational financing • Low Operational Efficiency
• Speedier co-ordinated implementation with • Poor /Low know how on available latest
various departments technology
• Integrated land use planning
• Easy access to capital | Sponshorship
For Profit • High operational Efficiency • Limited Ability to push for policy changes
• Proactive • Preference to operate in high revenue zones
• Easy access to Sponsorship • May find difficult to access funding
• Technology know-how • Poor / low Preference to integrate with PT
Not for Profit • Prioritizes the increased use of Bike share Systems • Frequent financial constraints
• Poor business focus
• Hard to recieve continuous Funding

Elements of Business Plan
Staffing Costs Financing
Hardware
Software Marketing
Assets
Integration
with Public Space
Transport
Source: Optimising Bike Sharing in European Cities, OBIS Handbook
Business Plan Sub-Elements
Staffing Cost Assets
• Planning & Implementation: BSP • Captial Expenditure: Station • Hardware: Bikes| Stations | Docking
Experts| Finance & Legal Experts| planning|ground work and points| Redistribution trucks| Repair
Marketing Experts| Urban Planners| cabling|docking points & technology Tools| Spare Tools | Bikes
Architects | setting up operations |workshop |
Logistics | Communication | • Software:
• Operation: Mechanics for workshop| Administration |bikes
• Back End – Station Monitoring
Drivers for Redistribution| Customer |Redistribution Planning|Defect
Care Representations • Operational Expenditure: Bike Management |Billing |Customer
Redistribution| Station / Bike Data Magement
Maintenance|Back-end system| • Front End-
Administration| Replacements Registration|Rental|Payment |
Customer Data Management
Marketing &
Financing Integration with PT
Communication
• Capital Requirment • Writing marketing Concept| design • Integrating information systems|
adv|Webiste design & management| tariff systems| Signing in PT stations |
• Operational Subsidy Requirement Event Managment| Media Common payment cards
Engagement
Space For Stations| Workshops| Back End office

PRICING
Pricing Options
Regular/Registered User
Casual User Charge Penalties
Charge
Single Trip Price Monthly Pass Bike returned incorrect at location
A day pass Half yearly / yearly pass Bike returned without locking
3 / 2 day Pass Weekly Pass / Daily pass Returning Damaged bikes
Other Fees Special Plans Perks
Registration Charge Student Plans Regular Good Users
Bike Reservation Charge Employer Plans / MMC Loyalty Perks
Senior Citizens Referral

Pricing Principles
Different Price for

Cheaper than Taxi/Car
Different consumers Pricing in partnership
Sharing/ Intermediate
(Students, residential, with Public Transport
Public Transport Ride
tourists, corporates, Companies
for short distances
etc)
In Proportion to
Less Expensive than services/Facility
Ensures Modal share of
owning a car / Two required by commuters
Public Transport
wheeler with different paying
capabilities
Proportionate to
Environment Targets

Next Bike Pricing Plans – German Cities
Basic Rate Annual Monthly Rate Daily Pass Service Fees Additional Fees
Rate
Baisc Rules minimum first 30 minutes of first 30 minutes 20 € for bike not be service fee of 1.89 €
contractu every rental are of every rental returned to an official will be added to the
al period free of charge. are free of station + plus 2 € for final cost for return-
is 12 Minimum charge each km the bike is debit transactions.
months Contractual period remote from the flex
1 month zone. Norderstedt the
1 €- 30 mins; 9 € - 48 € 10€ - reservation deposit
Other
24h The right to charge a for cargobikes and
Cities higher fee in individual e-cargobikes is 2€
Deezer 1€ - 30 mins; 50 € ✗ 3€- 24h; cases in which the for 30 minutes
Next Bike 1,50 € - add 30 15€ - 7 days; 1€ actual expense reservation period
Berlin mins; every -additional incurred is higher.
15€ for 24h 30 mins, max KVV.nextbike the
12€ per day per nextbike will charge 20 reservation deposit
rental € bike not be locked is 2€ for 60 minutes
1 € - 30 mins; 10€ - correctly. reservation period.
Bonn
8 € for 24h
40 € per for lock not Sprottenflotte Kiel
Lahr 1,50 € - 30 mins; 10€ - present upon return. the reservation
16 € for 24h deposit is 5€ for 15
VRN Next 1 € - 15 mins; 12 € 60 € 10€ - minutes reservation
Bike for 24h; billing in period.
15-mins-interval
General Rule: All the plans have a daily free cycling minutes. Source: https://www.nextbike.de/en/pricelist
Coast Bike Share Pricing Plans
Source: http://coastbikeshare.com/pricing/
City Bike Pricing Plan – New York
Source: https://www.citibikenyc.com/pricing
Facilitations & Tender Particulars
Facilitations By Public Authority
Provide Prime Provide with

Facilitate for
Advertisment city wide
Project Loans Mobility Plans
Locations
Allow
Branding of Facilitate for Waiver of
bikes and PPP Operator‘s
Stations partnerships Property Tax
Financial Develop Code

support for Develop
Good cycling of Practices /
Promotional Penalty /
Schemes infrastructure
Safety Norms
Tendering & Industry Involvement
Aim of Tendering Process Industry Involvement shall be Ensured for

Finalising
Project
Performance
• Develop a customer centric solution by co- Monitoring
ordinating with PTA*, PTC** and Bikes Operator Mechanism
Campaign &
• Developing Solutions with an aim to improve Promotion KPIs
Ambient air quality Strategy
• Provision of bikes which suits Target groups in

terms of Comfort & Technology
• Provision of comprehensive data & facilitations

Facilitations Payment
to ensure participation of motivated Operators required Mechanism
• Contracting an operator for long term at least 3

years with a scope of Contract extension Concession
Agreement
*PTA: Public Transport Authority

**PTC: Public Transport Company
Points for tendering

Technology
Technology Options
Source: European Cyclists‘ Federation

Technology Options
Source: European Cyclists‘ Federation

New York City: ‚City Bike‘ Features
Source: http://www.nycbikemaps.com/citi-bike/
Hamburg City: Stadtrad Bikes
• Adjustable seat height (150 cm – 200cm) • Adjustable seat

• 7 speed gear • Electric Cargo bikes: Top Speed 22 km/h
• Luggage weight up to 15 kg • Cargo weight up to 60 kg (45kg front & 15kg back)
User Manual
Source: https://stadtrad.hamburg.de/en/bikes
NextBike Germany: Locking and Docking Products
Source: NextBike
Next Bike Germany
Source: NextBike
Köln City: Bike Register – Rent – Return Process
Register
Return
Rent
Source: kvb-rad
Service Benchmarks
Service Level Benchmarks
Customer
service
Redistributi
SLB IT System
on
Indicators
Dimensions Indicators
Maintenan
ce
Indicators
Indicative Service Benchmarks

Promotion
Promotion / Campaign Implementation
Planning Implementation Expand
Finalise Campaign Spread awareness on
objective, Target campaign & encourage Evaluate the
Test the selected
Locality & Target stakeholders to outcomes of
tools
Group participate Campaign
Identify the
Undertake survey : Introduce tools &
participants other
Finalise a Strategy Baseline parameters of start campaign
than target groups
target group
Monitor –Evaluate
Expand the
Finalise & Improvise the
Finalise a Tracking campaign activities
campaign
Communication
/Monitoring tool for
channels / tools and
Campaign
Material

Few Promotion Tools
Biklio (Cycle2Shop – C2S) – The app detects if customers
travel to (local) businesses by bicycle. If they do, they
receive a reward for doing so. Users can see on a map
which businesses are participating in Biklio and the
incentives they offer.
Traffic Snake Game (TSG) – The campaign encourages

primary school children to travel more sustainably to
school, for instance walking, cycling, or with public
transport. Each day they do so, the children put a sticker on
a snake banner. TRACE adapted the already existing
campaign to integrate a tracking element.
Positive Drive (PD) – This app utilises gamification and gives

users direct feedback. Based on “doing and rewarding the
right transport choice”, participants receive rewards if they
show the “right behaviour”, e.g. using a bike instead of a
car. These can then be shared through social media. PD uses
only positive nudges.
Conclusion
• Bike Sharing Solutions should be rolled out with a healthy partnership between
authorities and Operators.
• Authorities should drive the bike sharing projects with appropriate Regulatory
measures to avoid large no. of bikes on city roads.
• Bike Safety Norms and safe cycling infrastructure are a necessity for well functioning
Bike Sharing Project.
• Bike Sharing Project should encourage targeted citizen groups with dedicated
promotion & a comprehensive pricing / Tax strategy.
• Different cities shall develop their own solutions considering the local demography,
regulations and challenges.

Thank You
Rohan Shailesh Modi, German Chancellor Fellow 2019 - 20
rohan.modi@ifeu.de; rohanmodi25@gmail.com
Im Weiher 10 69121 Heidelberg Telefon +49 (0)6 221. 47 67 - 97 Telefax +49 (0)6 221. 47 67 - 19 www.ifeu.de
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Reference Guide: City Bike Sharing Project Planning

Prepared as Research Output under German Chancellor Fellowship Programm

Photo: Rohan Modi

Enterpreneurs Planning to foray in Bike Sharing Business

Public Transport Regulating and Monitoring the City

Financiers Financing Bike Sharing Projects

2 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

The objective of this presentation guide is to support city authorities to get an

3 Rohan Shailesh Modi 22.05.2020

❶ Bike Sharing Project (BSP)

4 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

BSP Dimensions Activities to be Undertaken

Feasibility / Planning Study

Integrated Land Use Planning

Source: 2020 CIVITAS

Hardware Software Operation

✓ Bikes ✓ Website ✓ Staffing ✓ Bike Stands ✓ Interactive

8 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

• High footfall areas

• Resilient & Good looking

10 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

11 Rohan Shailesh Modi 22.05.2020

Source: The Bike Sharing Guide: ITDP

Source: Roland Berger

I-Planning Stage II-Implementing III-Monitoring

14 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Source: The Bike Sharing Guide: ITDP

Station Location Bike Share Metrics

Source: Roland Berger

Capital Cost: Operational Cost:

19 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Software ✓ - Operation ✓ ✓ Operation - ✓

Operation ✓ - Advertising ✓ ✓ Advertising - ✓

Advertising ✓ ✓ Marketing ✓ ✓ Marketing - ✓

Marketing ✓ ✓ Revenue for PA: Revenue for PA provides: land | performance

Share revenue from user fees

6.5 mn $ – 5 year Sponsoship

• AA provides bikes free of charge to city at

• User registers with Operator on app

22 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Source: 2020 CIVITAS

24 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Staffing Costs Financing

Space For Stations| Workshops| Back End office

Source: Optimising Bike Sharing in European Cities, OBIS Handbook

Single Trip Price Monthly Pass Bike returned incorrect at location

3 / 2 day Pass Weekly Pass / Daily pass Returning Damaged bikes

Other Fees Special Plans Perks

Registration Charge Student Plans Regular Good Users

Bike Reservation Charge Employer Plans / MMC Loyalty Perks

Senior Citizens Referral

28 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Different Price for

29 German Chancellor Fellowship Programm Rohan Shailesh Modi 22.05.2020

Provide Prime Provide with

Financial Develop Code

Aim of Tendering Process Industry Involvement shall be Ensured for

• Provision of bikes which suits Target groups in

• Provision of comprehensive data & facilitations

• Contracting an operator for long term at least 3

*PTA: Public Transport Authority

Source: Optimising Bike Sharing in European Cities, OBIS Handbook

Source: European Cyclists‘ Federation