ToD was created about 20 years ago, long before the advent of smartphones and eTickets. At the time ToD filled a market need very well - it enabled people ordering online to get tickets much more quickly (the only alternative being posting the tickets).
ToD tickets are actually placed in a central database - let's call it "Live Sales Management" or "LSM" - and it is from there that the TVM collects the ticket details when it is provided with a CTR reference.
Getting rid of ToD enables quite a few costs to be eliminated:
- the LSM central system (including its support and helpdesk; the need to upgrade it / maintain it; and the variety of connection / outage issues that it regularly has)
- the need to design and maintain TVMs with the ToD feature. There are even ToD-only machines ("ToDlers") which can be done away with entirely. This does add to the cost of TVMs
- the need for TIS suppliers to interact with the ToD system and provide a whole bundle of additional use cases (such as different email templates, additional support for customers)
- the need for ticket office machines to be able to handle ToD, and for staff to be trained in these and also to deal with the various ToD faults / issues (like having the wrong payment card)
- the need to do a lot of ToD-only accounting, which is the cause of endless reconciliations for retailers and TOCs alike. This arises because, when a ToD ticket is sold by a retailer, it does not create an instant liability, because the ticket is not 'issued'; instead this goes into a suspense account and the liability is only created when the ticket is issued (i.e. collected from the machine). This creates a whole bunch of related issues, e.g. when the ToD is refunded, when it is not collected before ticket expiry (which is then sorted out by an automated sweep process), and so on.
Removal of ToD will also enable a source of customer stress (for many customers it's stressful about whether the machine to enable them to collect their tickets will work; whether they will have the right card; or whether there will be a queue - ToD causes that stress to be maintained until the point of the collection (usually at the same time as the journey), rather than just eliminating it at the point of purchase (by providing an eticket straight away).
ToD is also useless for any products that needs different stock or security (e.g. season tickets a month or longer in duration).
eTickets now account for between 50% and 100% of ticket purchases online (the amount varying by retail channel). The main causes of ToD continuing all involve London (crossing London; Travelcards; tickets to / from London Zones) - no doubt these will all be resolved (in terms of offering them to eTickets or finding alternatives) very soon. The market imperative that caused the birth of ToD in the first place (see my first paragraph) is long since gone.
Expect to see retailers migrating away from ToD over the next few years, and ToD being discontinued entirely soon after.