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January 25, 2021

How to Build the Right Carpooling Program for Your Business

Here are some effective tips for building a successful Employee-Carpool program.

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Ready to think about a corporate carpool program?

As cities and their central business districts become increasingly dense, the companies within them are finding that traditional single occupancy vehicle (SOV) commuting is no longer working well for their employees.

Staff who drive to work are having to battle stressful and time-consuming traffic congestion, and it's creating a lot of problems. These workers are not only less productive when they reach the office, but they are also at risk of seeking a job elsewhere to spare themselves the stressful commute if working-from-home is not an option.

The toll commuting takes on workers is well documented. Scientific American reported the findings of economists Bruno S. Frey and Alois Stutzer:

"They concluded that for every minute longer a worker spends getting to work he will be less satisfied with his life. In a 2004 report, the two researchers calculated that Germans who commuted two hours a day were so much more dissatisfied than those with the average commute of 40 minutes that it would take a 40 percent raise in pay to make up for the disgruntledness."

Fast forward to 2021, and this trait is still echoed across workplaces. The most recent Household, Income and Labour Dynamics in Australia Survey reveals that long-distance commuters reported a higher likelihood of leaving or losing their jobs within the next year and that they are also more likely to have searched for another position within just the past month. According to the 2020 report, 'Too much travel time/ too far from Public Transport' was the thirteenth reason for job separation given by employees.

Fortunately, adaptive organisations are now starting to embrace carpooling as a competitive advantage. Corporate carpooling programs can increase employee retention, improve job satisfaction, increase productivity and also improve on-site parking problems.

The key is implementing a system that meets the unique needs of the organisation and makes carpooling a smooth, stress-free experience for participating staff.

What should I look for in an employee carpool program?

Carpooling concepts have been around for a while. However, the rise of smart technologies has made it so that modern implementations can be more efficient and responsive to the needs of institutions and commuters.

1. Exclusive Networks

Many of the more traditional carpooling models have characteristics that are disadvantageous for users. It's common for their matching systems to be an open, public network of users, meaning that people can get matched with strangers—carpoolers from other companies, universities, or other organisations. Not only does this deprive institutions of the chance to provide users with a branded experience, but it also compromises efficiency by introducing multiple destinations.

At Liftango, we've built our system to provide organisations with their own exclusive networks. This system means that staff who carpool are only matched with their fellow colleagues (or students, etc.), creating a more comfortable and convenient experience where people know each other and are all going to the same place.

2. No Cost to Users

It's typical for carpooling programs to use some variation of a cost-sharing model with their users. This method usually takes the form of charging users per ride, per mile shared or a flat subscription fee.

However, when a carpooling program starts at an organisation, the user charge model may slow and/or reduce uptake. To encourage more shared trips, Liftango’s model doesn't charge its users.

3. Dynamic Ride-Matching

Quite a few old-school carpooling programs have the drawback of being too rigid where routes and groups are set in stone. The result is a routine that can't adapt to the needs of users within the network.

By contrast, the dynamic ride-matching employed by Liftango gets the best results by connecting carpoolers in response to real-time demand. Such a flexible system has the extra perk of allowing more users to mingle, helping to build new relationships within organisations. Merely sharing a ride can spark new ideas, greater collaboration and a stronger sense of community.

4. Comprehensive Problem-Solving via Integration

While just carpooling can do a lot for an organisation, it can't solve every problem related to satisfying commuters. This is why Liftango takes a 3-tier approach to shared mobility: carpool, On-Demand Buses (if required), and smart parking integrations.

Making your carpool program work in tandem with a smart parking integration can help to solve issues with on-site parking capacity and reduce additional spending on unwanted parking infrastructure. Our offerings include guaranteed parking for carpoolers, as well as the possibility of dynamic pricing or validated discounted entry within your existing parking facilities. These capabilities supersede traditional incentives, creating rapid uptake of new carpool program participants.

What next?

Finding the right technology partner is just the first step toward kickstarting an effective and engaging carpooling program. The endeavour is an entire process, one that consists of key tasks like:

  • Identifying and communicating unique pain points for your commuters
  • Establishing and promoting the right incentives for uptake
  • Rewarding participation through gamification
  • Finding and cultivating internal advocates for the program
  • Striking a balance between rider requests and drivers

Of course, much more goes into building and implementing a corporate carpooling program. To get you started on this journey, discover more about how ridesharing can provide sustainable and economic advantages for organisations.

Learn more more about corporate carpooling with Liftango!

About the Author

Brittany Deller

Brittany Deller


A digital marketing professional and copywriter with a contagious enthusiasm for bringing words to life. In her spare time, Britt finds herself exploring fashion and critiquing her colleague's ability to make coffee.