Coming Soon to NYC: Rolling Advertisements for Congestion Pricing

Photo: Timothy A. Clary/AFP/Getty Images via Wikimedia Commons
Photo: Timothy A. Clary/AFP/Getty Images via Wikimedia Commons

Elected officials may not have a handle on how valuable New York City street space is, but the private sector sure does.

Take car-share company WaiveCar, which according to Crain’s will soon set up shop in Brooklyn. WaiveCar gives customers free use of its vehicles, which are basically rolling billboards. The idea is that revenue from the ads wrapping the cars will exceed what it costs to operate WaiveCar’s electric fleet. Customers are “paying us just by driving the cars,” says company exec Isaac Deutsch.

In other words, with WaiveCar, you’re not the customer, you’re the product.

And don’t forget the byproducts — more traffic and pollution, slower buses — all made possible by a business model that takes advantage of NYC’s failure to price driving on its most crowded streets.

WaiveCar now has a deal with Douglaston Development to market its new rental tower on the Williamsburg waterfront. For one year, residents of the building, known as Level, will have access to three cars to drive at no charge for the first 12 hours. The cars will advertise apartments at Level.

As Crain’s notes, it remains to be seen whether WaiveCar’s business model will pencil out here:

The most lucrative places to sell advertising here also tend to be the most congested and least pleasant places to drive, Times Square being the ultimate example. These hot spots also tend to be well-served by public transportation.

But why is it even a remote possibility?

As long as motorists can use NYC’s most congested streets at no charge, those streets will have appeal for completely frivolous motor vehicle trips. WaiveCar has figured out a way to benefit, while pedestrians, cyclists, bus riders, and other people in cars lose.

You can’t really blame WaiveCar for taking advantage. This is the logic of underpriced roads.

Another Crain’s story reports that medallion owners, taking a hit in the vehicle-for-hire business, are now counting on ads on cabs to deliver a bigger share of their revenue. Unlike WaiveCars, cabs also have a strong transportation incentive to cruise the city’s busiest streets.

New York should have strong counterincentives in place to break up all this traffic, but the placard class in Albany had other ideas this session.

  • jeff

    I agree – this nightmare scenario isn’t WaiveCar’s fault – they’re just taking advantage of cowardly politicians’ failure to take leadership and manage traffic via congestion pricing.

    I can’t wait for free-public-parking based storage containers. My apt has little closet space, and I demand at least 100 square feet of public land for my own personal storage use – just need to put four wheels on the container so I don’t have to pay anything.

  • thomas040

    Well yeah, obviously. The cheaper big OLED displays get, the more likely it becomes that cars will simply become moving advertisements that drives themselves, and you can ride for free.

    In ten years I bet the car parts of the streets in New York will look like Times Square.

  • I’ve never understood the MTA’s reticence to using more wrap ads on trains and buses. The ad revenue could’ve offset costs, plus those interior/exterior wraps could double as protection against dirt, stains, and graffiti.

    To it’s credit, it did allow better use of it’s expansive station space with TurnStyle ( I just hope they expand it to other stations.

  • Elizabeth F

    One day advertizing will have monetized everything, everything will be free, and we’ll all stop spending money.

  • Boeings+Bikes

    Hey, for $100/year or so, the City Council will sell you a residential parking permit! So why pay rent any more?


Don’t Underestimate the Street Safety Benefits of Congestion Pricing

The primary benefits of the Move NY toll reform plan are reducing congestion and funding transit — but don’t overlook the huge potential to improve street safety. Recent research at Lancaster University in the UK suggests that since the introduction of the London congestion charge in 2003, lethal crashes have fallen faster than traffic congestion. The safety gains have even […]

Why Is There So Much Traffic in NYC? It’s the Free Roads, Stupid

Since the de Blasio administration attempted to cap for-hire cars this summer, the debate over Manhattan traffic has gotten louder, but not more productive. Uber claimed it definitely wasn’t the problem. Some council members wondered if bike lanes were slowing down cars. Amid all the noise, something important got lost. At a hearing about Manhattan traffic this morning convened by Borough President Gale Brewer, a simple […]

Proof That Congestion Pricing Supporters Do Exist in Queens

Transportation Alternatives Queens Committee Chair Mike Heffron sends along this report from last night’s traffic commission hearing at York College in Jamaica, Queens. No huge surprise, Assemblymen Andrew Hevesi and Rory Lancman both came out against congestion pricing, citing not enough evidence it would work and demanding transit improvements without explaining where the money would […]