Interurban Transit
The best method available currently is by bus (or air for larger distances) although GO has recently arrived but scheduled rail is severely limited. This must be because there is little demand, but packed buses often necessitate 2 or three buses - even late at night! Most riders seem to be young people so perhaps that explains it. It sometimes happens that a sudden student flight will overload the system and then it collapses. A Future hub is planned at the junction of King and Victoria near the existing rail station.
Waterloo does not have a railway station yet.
This is a picture of the main bus terminal: http://instagram.com/p/NM1U6RvNbg/ !! Actually this dirigable is now being replaced with a nice big parking lot for GO buses that serve the outskirts of cities like Toronto & giant malls like Square one. It seems there may be some permanent shelters built too. Service has recently been expanded with a hut downtown, so there is a toasty place for staff to sell tickets in, (no more huddling in blankets on the platform).
Bicyling
Bicycling happens in Kitchener.
Driving
Driving remains a primary form of transportation. There are highways, streets, and roundabouts.