Ian Jelf wrote:

Right, as someone who's a regular here and obviously has a lot of
experience (and a vested interest) in London as a tourist destination,
I'll wade in. (SNIP)

An excellent post that summarises things pretty much perfectly.

I have an idea of my to make things easier for tourists;

Firstly, it's possible, or was possible, to get special rate tickets
for tourists, purchased in advance before travelling to the UK. These
could be a pre-paid Oyster with a one/two/three day Travelcard - or
whatever - that starts the first time it's swiped. TfL is prepaid, and
gets the money even if said tourist doesn't actually use it everyday.

Secondly, hotels, travel information points and airports could sell
pre-paid Oyster cards in £10, £20, £30 denominations etc (all of
which can be topped up). These would either work as PAYG tickets when
used - or ideally work as a ODTC that activates as soon as you make
your first trip. Make it simple and have it as a Z1-6 card only -
encouraging people to travel beyond Zone 1/2 and see the sights and not
have to worry about all of the (current and hopefully soon fixed)
issues with touching in/out when changing services. An Oyster
travelcard would then work fine on National Rail services too without
any issue. As you said, the capping system is too complicated and
clever for its own good and most people don't need that hassle if
they're only here for a few days or a week.

When I was in Hong Kong nearly 10 years ago, I kept my ticket as a
souvenir and if people have a ticket that still has some credit, they
will probably keep it for their next visit. Some might throw it away,
but most companies with some sort of ticket/credit system are clever
enough to make sure you can't actually use up all of the remaining
value (Hong Kong excepted - the last journey is whatever you have left
on the card). Whatever happens, it's money up front for TfL and
producing an Oyster card can't be that expensive these days. If you're
selling in different denomations, take an amount off for the card; e.g.
£10 for £9.50 credit, £20 for £19.50 credit. Bung some nice images
on the card and make them collectable at the same time!

The current PAYG system is fine, but tourists want simplicity and a
ticket that works anywhere without any hassle (the prepacked card
should also have a pocket guide that includes details on how to use it
- in multiple languages and maybe a map). Like a Travelcard, it's
possible some people will not take full advantage of the ticket - but
simplicity is better than planning your day in advance (which as a
tourist isn't always easy) or trying to understand price capping.

Once you have this, you can then charge a massive premium on paper
tickets and use the money from that to fund the cost of introducing
this 'third' type of Oyster card. No doubt many people coming to London
from the rest of the UK would use them too (buying them in advance at
their local station/shop).

Jonathan