Regional airport choice: Consumer behaviour and policy implications

The analysis of origin airports in multi-airport regions has a well established tradition in transportation and regional economics. The main goal of the paper is to estimate the importance of the different attributes that determine origin airport choice. In our case we adopt a stated preference approach to study this problem and evaluate the effects of possible policy interventions. We also perform a detailed segmentation of the sample studied according to the socio-economic variables that prove statistically relevant when interacted with the attributes used to characterise airport choice. Moreover, in order to test for the presence of heterogeneity in agents’ preferences we estimate several mixed logit models with different specifications, including heteroscedasticity and error component. With respect to previous studies we develop and extend the traditional SP approach by also analysing the role and relevance of attribute cut-offs in this research field. The policy simulations produced are based on the estimation of airport-specific attributes. The study concentrates on a multi-airport region in central Italy where four competing airports are located.     

Simplifying choice through attribute preservation or non-attendance: Implications for willingness to pay

There is a growing interest in seeking out rules that individuals invoke when processing information in choice experiments. A rule that is attracting attention in stated choice studies is the extent to which respondents attend to or ignore one or more attributes in processing the information on offer. A model specification method is implemented in the context of a stated choice data set where car drivers choose between tolled and non-tolled routes. The evidence into a willingness to pay (WTP) for travel time savings is obtained, and contrasted with the results from the traditional full preservation model. The evidence suggests that the WTP is sufficiently different and higher, on average.     

Analyzing discrepancies between willingness to pay and willingness to accept for freight transport attributes

In this paper we use discrete choice data to analyze asymmetries in the preference for freight transport attributes. A reference dependent utility specification allowed us to test for the existence of substantial asymmetries in perception of the transport cost. Hence, the re-estimation of our models in the WTP/WTA space helped us to quantify significant discrepancies between the WTP and WTA for the attributes included in the choice experiment, namely transit time, service frequency and delays in delivery time. Results are deemed essential to define alternative services to road capable to attract substantial volumes of freight.     

A study on travelers' transport mode choice behavior using the mixed logit model: A case study of the Seoul-Jeju route

This study is to analyze passengers' choice of the mode of transportation when air transportation is in competition with high speed rail (HSR). The Seoul-Jeju route analyzed as an empirical case study, in which the construction of an undersea tunnel to connect Seoul and Jeju city by HSR has been considered. The study also included two new variables, ‘safety of transportation’ and ‘availability of duty free shopping’ in addition to traditional transport choice variables such as travel time, travel costs and frequency of service to reflect special characteristics of the market. As data gathering tools, SP techniques and mixed logit model, for analytical methodology, were utilized. The authors found that the goodness of fit of the models was improved with new variables. The models also showed that the characteristics of business passengers and leisure passengers in choosing the mode of transportation were different. Business passengers were apt to choose a safety secured mode of transportation regardless of fare while leisure passengers preferred to use duty free shops more than business passengers.     

How to communicate sustainable tourism products to customers: results from a choice experiment

This multiphase and empirical study explores the best communication style for reaching different international tourism markets and provides an understanding of how purchase decisions could be better influenced in travel brochures. A pre-test experiment evaluated the perceived emotionality and rationality of communication elements in a fictional travel brochure designed for a typical beach holiday but managed according to sustainability principles. In phase two, a choice experiment was conducted to test how Swiss, German, British and US travellers could be influenced by varying visual and textual communication elements in the fictional brochure (based on Mexico for US respondents and Menorca for all others). The choice experiment produced 3006 responses from an online survey in the four countries. Results confirm a general preference for emotionally laden communication styles for sustainable tourism products, while respondents were indifferent to the emotionality of standard product feature communications. Respondents did not show a preference for the inclusion of a graph explaining the product's sustainability attributes.     

Crowding and public transport: A review of willingness to pay evidence and its relevance in project appraisal

This paper reviews public transport crowding valuation research, using a number of primary studies conducted in the UK, USA, Australia and Israel. We identify three measures used to value crowding (a time multiplier, a monetary value per time unit and a monetary value per trip), and associated ways of representing crowding in stated preference experiments. Although a number of different types of crowding in terms of location are identified, namely in-vehicle, access-way, entrance and platform/station, the majority of reviewed studies investigate only in-vehicle crowding. Despite the different characteristics of the reviewed studies, they all report that crowding would increase the value of travel time savings, which can be viewed as an additional component of generalised time. This paper also comments on the role that the WTP for crowding reduction can play in project appraisal, and suggests some important avenues for future public transport crowding valuation research.     

Mode choice behavior modeling of ground access to airports: A case study in Istanbul,Turkey

The increase in air transportation mode share, thereby the passenger traffic at airports has made the ground access to the airports more important in recent years. The aim of this study is to analyze the ground access mode choice to airports by using Multinomial Logit (MNL). In particular, our focus is on how transit areas of influence affect the mode choice for travelling to airports. Atatürk International Airport (IST) in Istanbul, Turkey was selected for the analyses and the investigated modes to access IST were automobile, drop-off, public transit, and taxi. The results showed that significant factors and variables included the trip distance to access IST, type of destination, trip cost to IST, automobile ownership status, employment status, travelling group size, location of the trip origin with respect to public transit influence, and time difference between the flight time and departure time to IST. It is also concluded that if the trip origin to IST was inside the influence areas of public transit, then public transit would be more likely to be chosen over other modes for accessing IST.     

Recovering costs through price and service differentiation: Accounting for exogenous information on attribute processing strategies in airline choice

The entry of low cost airlines has thrown out a challenge to all airlines to find ways of attracting passengers, through a mix of fare discounting, greater frequency, improved flight times and no-frill's levels of on-board service. These competitive strategies have an impact on cost recovery. As airlines seek business in an increasingly heterogeneous passenger market, a greater understanding of what matters to potential passengers in choosing an airline grows in importance. Traditional studies of passenger airline choice assume that all attributes matter, but some to a lesser extent. What happens to the empirical evidence on willingness to pay when specific attributes are totally ignored by particular passengers? In this paper, we examine the impact of individual-specific attribute processing strategies (APS) on the inclusion/exclusion of attributes on the parameter estimates and behavioural outputs of models of airline service and fare level choice. Modelling practice assumes that whilst respondents may exhibit preference heterogeneity, they employ a homogenous APS with regards to how they process the presence/absence of attributes of stated choice (SC) experiments. We demonstrate how information collected exogenous of the SC experiment on whether respondents either ignored or considered each attribute of the SC task may be used in the estimation process, and how such information may be used to provide outputs that are attribute processing strategies segment specific.     

A latent class choice based model system for railway optimal pricing and seat allocation

In this paper, discrete choice methods in the form of multinomial logit and latent class models are proposed to explain ticket purchase timing of passenger railway. The choice model and demand functions are incorporated into a revenue optimization problem which jointly considers pricing and seat allocation. The framework provides insightful policy implications in term of fare and capacity distribution derived from actual passenger behavior. It shows that accepting short-haul demand provides greater revenue than long-haul demand using the same capacity. Revenue improvement ranges from 16.24% to 24.96% in multinomial logit models and from 13.82% to 21.39% in latent class models respectively.     

An exploratory empirical analysis of willingness to hire and pay for flying taxis and shared flying car services

A new transportation mode that can simultaneously operate on land and in the air, namely the flying cars, is anticipated to penetrate the automobile fleet between 2020 and 2025. Due to their flexible mobility patterns and automated operational characteristics, flying taxi and shared flying car services are expected to expand the existing shared mobility services (such as Uber, Lyft, and similar services) of the urban transportation network. Despite their forthcoming introduction in the shared mobility market, public perceptions and expectations about these services have not been investigated in travel demand literature. This study aims to provide an exploratory analysis of public willingness to hire and pay for flying taxis and shared flying car services, and to identify the determinants of the willingness to hire and pay for such services. Using data collected from an online survey, individuals' willingness to hire and to pay for flying taxi and shared flying car services are statistically modeled within a correlated grouped random parameters bivariate probit framework. The analysis shows that various socio-demographic characteristics and individuals’ opinions towards the perceived benefits and challenges of flying cars affect public willingness to hire and pay for flying taxi and shared flying car services. Even though the awareness about the operation of flying taxis and shared flying car services is possibly limited in the public sphere, the findings of this study can provide insights into the challenges that policymakers, manufacturing companies, and shared mobility providers will face with the introduction of such flying car services in the transportation networks.     

Households transport-home energy conservation strategies in response to energy price policies: A stated adaptation experiment based on portfolio choices and cross effects designs

This article explores consumer investment choice in long-term energy conservation technology and assesses trade-offs in energy saving behaviour between the housing and transportation domains. The long-term energy conservation choice problem is conceptualized as a portfolio choice problem. Consequently, to measure trade-offs between investments in housing and transport options, a cross effects choice design is developed in which respondents were shown one or more alternate ways to reduce their current energy consumption: (1) investing in new technology in the house, such as solar panels; (2) exchanging the current car for a more energy efficient car; (3) buying a new energy-efficient car, such as EV or solar car; (4) moving house to reduce current travel distances. To help respondents linking these options to their current energy consumption, a new Web-based survey system (SINA) to implement and administer stated adaptation experiments was developed. The system was used to collect two sets of data. First, data about out-of-home and in-home energy consumption, together with detailed time use data, was collected. Second, using a cross effects design, respondents were asked to select a portfolio of energy-saving strategies in response to different energy pricing policy scenarios. Results reported in this paper are based on 572 respondents who completed the survey and responded to seven adaptation questions based on their current energy expenditures. A random parameters logit model is estimated to predict the probability of choosing a particular portfolio of energy-saving options. Estimation results indicate that individuals from different socio-demographic groups exhibit varied preferences. The saving option characteristics, especially cost related characteristics have significant effects on individuals' preferences. Moreover, the results also showed significant effects of choice set composition on energy saving options. Further, the energy pricing policies had showed mixed effects on individual's preferences.     

A hybrid approach based on fuzzy AHP and 2-tuple fuzzy linguistic method for evaluation in-flight service quality

The in-flight service is one of the most important parts in the whole air travel service process. In order to better understand the passengers' preference and obtain their perception for service quality, the paper proposed a hybrid approach based on fuzzy AHP and 2-tuple fuzzy linguistic method to evaluate in-flight service quality. This study is comprised of three stages. In the first stage, the modified version of SERVQUAL instrument was used and a hierarchy of the evaluation index system for in-flight service quality was constructed. In the second stage we use fuzzy AHP to analyze the structure of the in-flight service evaluation problem. Using linguistic variables, pairwise comparisons for evaluation criteria and sub-criteria are made to determine the weights of criteria and sub-criteria. In the third stage, the ratings of sub-criteria are assessed in linguistic values to express the qualitative evaluation of passengers' subjective opinions, and then the linguistic values are transformed into 2-tuples and the 2-tuple linguistic arithmetic mean operator is utilized to obtain the average ratings of 100 respondents. Using the 2-tuple linguistic weighted average operator to compute the aggregated ratings of criteria and the overall in-flight service quality of alternatives. Finally, we demonstrated the validity and feasibility of the proposed approach by conducting an application study of the comprehensive performance of three airlines' in-flight service quality in China.     

High-speed rail and office location choices. A stated choice experiment for the Netherlands

High-speed rail is seen as a factor contributing to the attractiveness of a location for economic activities. This paper focuses on how the level-of-service characteristics of railway stations, and in particular the presence of high-speed train services, influence the attractiveness of locations for specific types of offices. The results are presented for a stated choice experiment for location choices of offices in the Netherlands. It is concluded that the availability of high-speed train services contributes to the attractiveness of a location for offices. For internationally-oriented offices the areas around stations with international high-speed train services are attractive because of their good international accessibility. We also found an indication that high-speed train services can raise the status of an office site. In the Netherlands, the domestic high-speed train services are less relevant for location choices, because of the small domestic distances. Besides high-speed train services, other location characteristics that determine how well a site is connected to the railway network are also found to be important for location choices. Thereby differences between offices occur, which can partly be explained by the number of trips to/from an office.     

Demand for environmentally friendly vehicles: A review and new evidence

Although the need for more environmentally friendly vehicles was recognized some decades ago, this new market has not yet established itself. Consumer behavior needs to be studied to ascertain when people will decide to purchase hybrid or electric vehicles rather than conventional ones. An in-depth review of the state-of-the-art has identified existing deficiencies and these are addressed in this paper, proposing a new approach that is applied to the case of Santander in Spain. Emphasis is placed on the role of citizens in researching the local market and their requirements with respect to such vehicles; our model assumes variability in user preferences, an utmost requirement as concluded from the literature review. Results suggest that the highest demand for cleaner vehicles would be achieved in two ways: firstly, by penalizing conventional vehicles in terms of costs/km; secondly, by providing incentives directed at lowering the purchasing price of hybrid and electric vehicles. Finally, as demand becomes more elastic, the preferred strategy should initially focus on hybrid vehicles.     

An analysis of traveler need for and willingness to purchase airline dynamic packaging: A Korean case study

This study analyzes (1) the need among air travelers for commission-based ancillary products and services from airline websites via dynamic packaging and (2) the willingness to purchase them. For this purpose, a survey is conducted with 2030 airline customers in Korea. This study aims to provide insights into Korean traveler preference to enable airlines serving Korean customers to formulate and implement successful business strategies that incorporate dynamic packaging into airline websites to expand ancillary revenues. The results confirm that Korean travelers demonstrate the need for and willingness to purchase commission-based ancillaries when purchasing tickets from airlines. On average, commission-based ancillary products are positively received by respondents. Airport transfers (e.g. rail and shuttle services), foreign currency exchange offers, and travel insurance are the most popular. Female travelers, travelers in their 20s, and frequent travelers (10 + times a year) report a significantly higher need for and willingness to purchase a set of commission-based ancillaries with flights from airline websites. Willingness to purchase third-party products from airlines is higher than in previous studies, and the preference rankings also differ. This study supports the viability of commission-based ancillary offerings from airline websites targeting Korean travelers. It shows the potential for airlines to successfully upsell and cross-sell via dynamic packaging strategies, one of the first steps toward becoming competitive travel retailers.     

Willingness to pay for travel time reliability in passenger transport: A review and some new empirical evidence

This paper reviews and critiques the modelling frameworks and empirical measurement paradigms used to obtain willingness to pay (WTP) for improved travel time reliability, suggesting new directions for ongoing research. We also estimate models to derive values of reliability, scheduling costs and reliability ratios in the context of Australian toll roads and use the new evidence to highlight the important influence of the way that trip time variability is included in stated preference studies in deriving WTP estimates of reliability in absolute terms, and relative to the value of travel time savings.     

A strategic network choice model for global container flows: specification, estimation and application

Container flows have been booming for decades. Expectations for the 21st century are less certain due to changes in climate and energy policy, increasing congestion and increased mobility of production factors. This paper presents a strategic model for the movement of containers on a global scale in order to analyse possible shifts in future container transport demand and the impacts of transport policies thereon. The model predicts yearly container flows over the world’s shipping routes and passing through 437 container ports around the world, based on trade information to and from all countries, taking into account more than 800 maritime container liner services. The model includes import, export and transhipment flows of containers at ports, as well as hinterland flows. The model was calibrated against observed data and is able to reproduce port throughput statistics rather accurately. The paper also introduces a scenario analysis to understand the impact of future, uncertain developments in container flows on port throughput. The scenarios include the effects of slow steaming, an increase in land based shipping costs and an increased use of large scale infrastructures such as the Trans-Siberian rail line and the opening of Arctic shipping routes. These scenarios provide an indication of the uncertainty on the expected port throughputs, with a particular focus on the port of Rotterdam in the Netherlands.     

A spatial microsimulation approach for the analysis of commuter patterns: from individual to regional levels

The daily trip to work is ubiquitous, yet its characteristics differ widely from person to person and place to place. This is manifested in statistics on mode and distance of travel, which vary depending on a range of factors that operate at different scales. This heterogeneity is problematic for decision makers tasked with encouraging more sustainable commuter patterns. Numerical models, based on real commuting data, have great potential to aid the decision making process. However, we contend that new approaches are needed to advance knowledge about the social and geographical factors that relate to the diversity of commuter patterns, if policies targeted to specific individuals or places are to be effective. To this end, the paper presents a spatial microsimulation approach, which combines individual-level survey data with geographically aggregated census results to tackle the problem. This method overcomes the limitations imposed by the lack of available geocoded micro-data. Further, it allows a range of scales of analysis to be pursued in parallel and provides insights into both the types of area and individual that would benefit most from specific interventions.     

Destination choice and the identity of places: A disaggregated analysis for different types of visitor population environment in the Netherlands

Individual behaviour relates to the ecological structure or identity of places. In this study, we investigated the relationship between the space–time ecologies of different types of visitor population environment in the Netherlands and destination choice. Multinomial logistic regression modelling for car users was applied to determine the relative importance of various personal and household attributes on choosing for a particular purpose a particular type of visitor population environment during a particular time period of the day. The attributes with the strongest link to the space–time ecologies of destination environments proved to be age, educational level, car ownership, and household income and type.     

A combined MCDM model based on DEMATEL and ANP for the selection of airline service quality improvement criteria: A study based on the Taiwanese airline industry

The aim of this study is to select airline service quality improvement criteria for the Taiwanese airline industry. Numerous factors such as low railway prices, the development of high-speed rail, increases in petroleum prices, increases in foreign airline competition, and the recent economic depression have led many airlines in Taiwan to encounter financial difficulties and even closure. Researchers have begun to identify critical service quality improvement criteria with the goal of increasing the competitive advantages of airlines. Most of the selected criteria, however, suffer from a major technical problem: all of the measurement dimensions are independent, leading to inadequate criteria for measuring service quality. Our calculations consider the interrelationships and effects among the evaluation dimensions and criteria to precisely rank and select criteria. The value of this study is that it provides airlines with a direction for measuring and improving their service quality with the goal of developing sustained competitive advantage over the long term.