CPB

Influence of ICT on
Public Transport Useand Behaviour in Seoul

Discussion Paper

176
Sungwon Lee
Gyeng Chul Kim
Seung Kook Wu
Jieun Oh
Korea Transport InstituteRoundtable

Corporate Partnership
Board

176

Discussion Paper

Sungwon Lee
Gyeng Chul Kim
Seung Kook Wu
Jieun Oh
Korea Transport InstituteRoundtable

Influence of ICT on
Public Transport Useand Behaviour in Seoul

The International Transport ForumThe International Transport Forum is an intergovernmental organisation with 59 member countries. It
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Cite this work as: Lee et al. (2019), “Influence of ICT on Public Transport Use and Behaviour in Seoul”,
International Transport Forum Discussion Papers, No. 2019/02, OECD Publishing, Paris.

INFLUENCE OF ICT ON PUBLIC TRANSPORT USE AND BEHAVIOUR IN SEOUL | DISCUSSION PAPER NO. 2019/02 | ITF ROUNDTABLE 176

Table of contents
Introduction ........................................................................................................................................ 4
Using ICT while travelling..................................................................................................................... 4
Mobile device use in transport: The case of Seoul ............................................................................... 6
Wi-Fi availability and public transport ............................................................................................. 6
Use of internet connections in busses and metros ......................................................................... 6
Influence of ICT amenities on mode choices: An analysis of stated preferences .................................. 8
References ........................................................................................................................................ 11© OECD/ITF 20193

INFLUENCE OF ICT ON PUBLIC TRANSPORT USE AND BEHAVIOUR IN SEOUL | DISCUSSION PAPER NO. 2019/02 | ITF ROUNDTABLE 176

Introduction
One of the most salient characteristics of the 21st century has been the unprecedented advances in
information and communication technology (ICT). Today, mobile devices and Wi-Fi have become
ubiquitous in most cities in Korea to the degree that many modes of public transport, such as subways
and buses, now offer free Wi-Fi services to passengers. Korea’s population is just over 50 million, yetthere are more than 58 million mobile phone subscriptions in the city.
This paper considers how the advances in ICT have brought fundamental behavioural changes towardmass transit in Seoul, Korea. In the past, mass transit had been regarded as inferior to private transport.
Today, though, many Seoul residents give preference to public transport over private. This shift may be
due in part to a combination of improved frequency in mass transit services and the amenities suchservices provide. The enhanced Wi-Fi facilities make it possible for travellers to use their mobile devices
to conduct a range of activities, both personal and professional, while travelling.

Using ICT while travelling
Historically, travel time has been treated as a disutility and a cost to be minimised (Frei and Mahmassani,
2011; Banerjee and Kanafani, 2008). Those who wish to use their time productively tend to have lower
utility for travel (Ory and Mokhtarian, 2005). As travel time saving is often the greatest benefit of newroad projects, investment in those geared towards shortening travel time is easily justified. Whenchoosing a mode of transport, travellers may still see environmentally conscious and less costly options,such as public transport, walking and cycling, as inferior because of longer travel times. Today, though,the utility of travel time is being re-evaluated.
An estimated 4.5 billion people were using mobile phones worldwide in 2014 (eMarketer, 2014). This
number will rise as mobile phone use increases in the Middle East, Africa, Asia-Pacific and other regions.
This change is not only about a substantial increase in the number of mobile phone users, but also about
the rapid adoption of smartphone technologies as these devices become more affordable and bettersupported by their network infrastructures. Advances in and adoption of smart ICT devices andtechnologies can improve people’s daily lives by enabling easy access to a range of on-demand goods orservices, allowing users to manage their work or domestic arrangements while travelling. This challenges
the traditional view of travel time as a disutility (Lyons and Urry, 2005), especially on public transit.
On the other hand, Lee-Gosselin and Miranda-Moreno (2009) argue that the use of ICT may fragment
people’s daily activities. People no longer need to be in one place, be that a work place or a home, tomeet their activity needs. Working, shopping, paying bills and a multitude of other activities can now bedone “on the move”. This fragmentation has resulted in an increased demand for mobility. For example,
Lee-Gosselin and Miranda-Moreno cite a panel survey of data collected in Quebec from 2000 to 2006
showing that mobile phone users tend to travel more often and have more out-of-home activities than
non-users.

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Train passengers who have access to Wi-Fi can receive and answer e-mails, play games, obtain traveladvice in real time and listen to music. These activities can make train travel less stressful (Frei and
Mahmassani, 2011). It is not surprising, then, that the availability of Wi-Fi can influence the choice oftransport mode. A 2007 Scottish survey found that 64% of travellers said that Wi-Fi influenced theirmode choice. Almost one in five (19%) Wi-Fi users preferred travel by train than by plane because of theavailability of Wi-Fi (Accent, cited in Kay, Green and Dibb, 2010). Similar preferences in favour of train
travel over air travel were also found in Korea (Kim and Choi, 2011; Hong, 2012). Overall, “the ability tostay connected and turn travel time into productive work time can be a significant attraction for businesstravellers” (Kay, Green and Dibb, 2010).
Advances in ICT technology and reduced provision costs have resulted in an increase in Wi-Fi provisionby public transport service providers, enabling passengers to “stay connected” while in transit. Together
with more convenient online ticketing services, public transport has become a more attractive transport
option than in the past. Connolly, Caulfield and O’Mahony (2009) investigated the potential benefits ofrolling stock equipped with Wi-Fi accessibility using a 2008 stated preference survey of Dublin-Ballina
train passengers. They found that multitasking was extremely common among train passengers. A
majority of respondents stated that they participated in two or more activities, such as mobile phoneuse, listening to music, reading or eating and drinking while travelling. The most common multitasking
typically requires the use of mobile phones. In addition, the level of laptop and smartphone use istypically higher when there is Wi-Fi connection.
Banerjee and Kanafani (2008) examined the value of wireless internet connections on trains. Theymodelled the Value of Time using an efficiency factor that represented the ratio of the efficiency ofworking while in transit to that of working in other places (i.e. the efficiency factor becomes one if
working while in transit is as efficient as working in an office). Using historical ridership data from the
Capitol Corridor Joint Project Authority from September 2004 to March 2005, Banerjee and Kanafani
found that combining work with travel increases the utility of riders and reduces the value placed on
travel time. Therefore, riders are willing to pay more for longer trips if there is opportunity for carryingout productive work. Based on the results from their model, Banerjee and Kanafani argue that having a”mobile office” could change how riders value travel time and that they may begin to place more value
on comfort and convenience of travel over the speed of travel. As a result, the demand for train services,
as well as for comfort and other attributes that make time use on train possible, will also increase.
Gamberini et al. (2012) found that train passengers are equally likely to engage in multiple activities,
especially those using mobile ICT devices, even for relatively short journeys. The authors state that,
according to the London Underground Customer Service Centre, an average trip length on the London
Underground is 22.5 minutes. This includes the time spent on board and transfer time. The authors
observed the activities carried out by short-journey passengers while in the underground (with travel
durations up to six stops) and found ICT device use was the most frequently engaged activity, at 26.4%.
The second-most frequently observed activity was a collection of activities referred as “other activities”
that do not belong to any pre-defined categories. Some of these include technology use, talking withother people, reading, eating and sleeping.
Autonomous vehicles free drivers from the burden of controlling their vehicles and provide anotherenvironment for productive use of travel time. This will in turn result in a different interpretation of
travel time and, hence, the value of travel time savings. For example, the value of travel time inautonomous vehicles equipped with an office interior is lower than that in conventional vehicles,
according to an online stated preference survey conducted by Delft University researchers in the
Netherlands (de Looff et al., 2018).

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Access to a mobile network while in transit makes travelling more productive and enjoyable, and lessstressful. Connected ICT will continue to affect travellers’ behaviour as well as their perception of thetime spent travelling, especially with the increasing availability and uptake of autonomous vehicles.

Mobile device use in transport: The case of Seoul
Wi-Fi availability and public transport
Seoul has long been a connected and integrated city. There were more registered mobile phones (27million) than the total population (20 million) in the Seoul Metropolitan Area as far back as 2011 (Korea
Association for ICT Promotion, 2012).
There are three major mobile phone service providers in Korea: SK Telecom (SKT), Korea Telecom (KT)and LG U Plus. The latter two are actively expanding their Wi-Fi coverage in public transport services.
Many modes of public transport in Seoul now provide free Wi-Fi services, though the coverage of suchservices admittedly remains limited. Most of the more than 500 metro stations and metro rolling stock inSeoul provide free Wi-Fi; SKT and KT are the main providers of this service in the metro. The operators of
the express bus lines connecting Seoul with Gyeonggi-Do, a suburban province surrounding Seoul, havefree Wi-Fi access on their buses. So do 25 bus lines in Incheon, a city bordering Seoul to the west.
The Korea Train Express (KTX), an express inter-city train service, offers laptop rental to train travellers in
KX stations and has equipped two cars in each train with free laptop loan service. KTX already provides
free Wi-Fi connection on its trains and its newer cars offer free use of charging sockets for mobile
devices at their seats.
Nearly half of Seoul’s mobile phone owners use public transport every day (Korea Transport Institute,2013). In 2017, around 97% of internet users accessed wireless internet, such as 3G/LTE, on mobile
phones (KISA, 2017). The potential impact of ICT on riders’ time use and travel behaviour could thus bequite profound.

Use of internet connections in busses and metros
The Korea Transport Institute conducted a survey of 240 public transport users (of which 219 were ICT
smart device users) to better understand the level of mobile phone use in the Seoul metropolitan area’s
mass transit services. The survey, which has not been published, showed that over 90% of the
respondents were well aware or had heard of Wi-Fi availability on public transport (Table 1). Over half ofthe respondents stated that they always use Wi-Fi and another 38% use the Wi-Fi occasionally.

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Table 1 . Internet use on public transport
Awareness of in-vehicle Wi-Fi availability
Know well
Heard of
Do not know
Wi-Fi usage frequency

Number of respondents
143
78
19

Percentage of Respondents
59.6
32.5
7.9

AlwaysOccasionally
Never
Network service (ICT device users )3G
4G (LTE)
Wi-Fi

129
90
21

53.8
37.5
8.7

33
134
52

15.1
61.2
23.7

Approximately 40% of the 219 transit users with ICT devices who used mainly 3G and 4G had access to
sufficient data allowances (Table 2) and so were less compelled to use Wi-Fi while in transit. However,
the majority of Wi-Fi users found the Wi-Fi connection to be insufficient or inconsistent (Table 3). It may
be useful to monitor the trend in the proportion of travellers using Wi-Fi, if only to justify improvements
in Wi-Fi connection or improve the overall experience of these mass transit travellers.
Table 2. Reasons for not using Wi-Fi on public transport in the Seoul metropolitan area
ReasonInconsistent (frequent loss of connection)
Limitless data with own service provider
Not sensitive to data use (minimal data use)
Inconvenience of connecting to Wi-Fi
Unknown Wi-Fi availability
Slow speed
Other

Number of respondents
71
34
32
26
2
1
1

Percentage of Respondents
42.5
20.4
19.1
15.6
1.2
0.6
0.6

Note: 167 3G and 4G network users responded to this survey.

Table 3 . Perception of Wi-Fi quality in transit vehicles
Perception
Good connection and consistent signal
Good connection but frequent loss of signal
Bad connection

Number of respondents
832
12Percentage of Respondents
15.4
61.5
23.1

Note: The total number of Wi-Fi user respondents was 52.

Table 4 tabulates the distribution of respondents by their monthly data allowance. Of all respondents,
67% have access to more than one Gigabyte (GB) of monthly data, leaving only one-third with access toless. Assuming that 1GB of data allowance is sufficient to conduct multiple tasks while travelling,affordable data plans offered by network providers may explain the diminishing role free Wi-Fi plays in
the choice of public transport modes.

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Table 4 . Amount of free data provided monthly
Amount
<1GB
1-2GB
2-3GB
3-4GB
>4GB

Number of respondents
79
58
15
3
85

Percentage of Respondents
32.9
24.2
6.3
1.2
35.4

Note: The average amount of free monthly data of respondents is 3.25GB.

With over 70% of respondents using mobile phones for at least one hour a day (Table 5), it is helpful tounderstand the purpose of use. Browsing the internet (59%) and texting (57%) were the top two
purposes of internet use while in transit (Table 6). In addition, one-fifth and more than one-quarter
played games or conducted business tasks respectively.
Table 5 . Daily mobile phone use
Average timeLess than 30 min
30 min to 1 hour
1 hour to 2 hours
2 hours to 3 hours
3 hours to 5 hours
More than 5 hours

Number of respondents
19
45
55
53
41
27

Percentage of Respondents
7.9
18.8
22.8
22.1
17.1
11.3

Table 6 . Purpose of internet connection in transit vehicles
PurposeInternet search
Texting
BusinessGame
Media
Social networks

Number of respondents
142
136
67
48
29
16

Percentage of Respondents
59.2
56.7
27.9
20.0
12.1
6.7

Note: The total number of responses exceeds the 219 people surveyed as some respondents conduct more than one activity
while travelling.

Influence of ICT amenities on mode choices:
An analysis of stated preferences
In 2014, 240 Seoul car users were asked about their choice of transport mode in a stated preference
survey. They were presented with a hypothetical scenario in which ICT amenities in public transport wereincreasingly available. The survey obtained a total of 4 228 effective data points from a range of choice8© OECD/ITF 2019

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questions. To model the survey results, the analysis assumed the following utility functions for the use of
car and mass transit (e.g. bus or subway):
Ucar =∝+β1 Cfuel +β2 Ctime
Umass =β3 Mict +β4 Mtime
where car = original mode of passenger car; mass = public transport; Cfuel = fuel price, Ctime = private
vehicle in-vehicle time; Mict = level of ICT services in public transport; Mtime = in-vehicle time of public
transport; α is the constant term for private passenger vehicle utility function representing the intrinsic
benefits of car use and βs are the coefficient estimates for the explanatory variables. In addition to travel
cost and time attributes, the model has Mict to represent the level of Wi-Fi service in either buses or
subways. This attribute has three ICT connection levels – good, average and no connection. The
questionnaire separated the sample into two sub-groups: car users who used either the bus or the
subway as an alternative mode of transport.
As fuel price and private vehicle in-vehicle time rise, the utility of using a car is expected to decrease.
Therefore, the corresponding coefficient estimates should have negative signs. Similarly, the coefficientestimate for in-vehicle time of public transport is also expected to be negative but positive for the levelof ICT services in public transport.
Table 7 tabulates the model results for car users indicating they used bus or subway as an alternate
mode respectively. All the coefficients for the explanatory variables in both models were statisticallysignificant at the 1% level and have the above expected signs. The relative size of the coefficientssuggests respondents were more sensitive to travel time changes than to fuel price changes. This is not
surprising given that fuel price is only one of the cost components that influence the cost of driving. The
constant term was statistically insignificant in both models. This contradicts many previous studies which
typically found this coefficient of the intrinsic benefits of car use to be positive and statisticallysignificant. This indicates that the possibility for users to perform work and non-work activities while
travelling due to free Wi-Fi amenities might have lessened the intrinsic benefits (e.g. privacy andcomfort) from using private cars over other modes.
Table 7. Coefficient estimates for users with different alternative modes

α
Cfuel
Ctime
Mict
Mtime

Bus as an alternative mode
CoefficientStandard Error

Subway as an alternative mode
CoefficientStandard Error

0.25930-0.14258E-05*-0.04316*
0.33463*-0.04156*-0.11309-0.94589E-06*-0.02434*
0.23738*-0.02399*

0.17834
0.4319E-06
0.00761
0.069100.00666

0.187850.3209E-06
0.00530
0.069880.00463* 1% statistical significance.
Note: Sample size is 1 920.

Table 8 shows similar modelling results for users with different alternate modes, using the coefficientestimates to calculate own and cross elasticities. Consistent with findings from similar studies, car users
were found to be more sensitive to time-related variables than they were to fuel price variables. The
demand for transport with respect to ICT service was estimated as being moderately elastic. The ICT
elasticity estimates are larger than the cost elasticity estimates but smaller than the time-related
elasticities, the positive estimate indicating a potential role for the provision of ICT to positively influence
public transport patronage.

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Table 8. Own and cross elasticity
estimates for users with different alternative modes
User type
Cfuel
Ctime
Mict
Mtime

Bus as an alternative mode
Car
Mass
-0.2036-1.0322-0.4390
1.09650.10690.57690.2302-0.6464

Subway as an alternative mode
Car
Mass
-0.1976-0.9036-0.32450.98750.09020.43630.1502-0.4979

Other conclusions that can be drawn include:

10Every 10% increase in fuel cost is expected to reduce demand for car travel by around 2% andincrease mass transit uses by around 1%.

Every 10% increase in in-vehicle travel time is expected to result in a 9% to 10% reduction in the
demand for car travel but only between 4.3% and 5.7% increase in mass transit uses.

The overall change in ICT services (from no connection to average or from average to goodconnection) is expected to reduce demand for car travel by between 32% and 44%, and increase
the demand for mass transit by between 15% and 23%.

Every 10% increase in in-vehicle travel time on mass transit is expected to reduce its demand by
5% to 6% and a nearly proportionate increase in the demand for car travel.

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12© OECD/ITF 2019

Influence of ICT on Public Transport
Use and Behaviour in Seoul
This paper explores the impact that advances in Information andCommunication Technology (ICT) have on the behaviour oftransport users and their mode choice habits in Seoul. It discusses
the stated preference survey conducted in Seoul and the analysis
carried out using the discrete choice modelling approach tounderstand the sensitivity of the demand for private and public
transport uses on time, cost and availability of ICT.

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Published: 02/2019 | Photo credit: Shutterstock/metamorworks

All resources from the Roundtable on Zero Value of Time are available
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