IDEAS home Printed from https://ideas.repec.org/a/eee/eejocm/v29y2018icp47-62.html
   My bibliography  Save this article

Exploring the latent constructs behind the use of ridehailing in California

Author

Listed:
  • Alemi, Farzad
  • Circella, Giovanni
  • Mokhtarian, Patricia
  • Handy, Susan

Abstract

Emerging transportation services are quickly changing the way individuals travel by expanding the set of transportation alternatives available for a trip, allowing for more flexibility in travel schedules and providing access to transportation without incurring the costs of auto ownership. Among the most controversial and rapidly growing shared-mobility services are ridehailing services, such as those offered by Uber and Lyft in the U.S. market. In this paper, we investigate the factors affecting the adoption of ridehailing through the estimation of a latent-class adoption model that captures the heterogeneity in individuals’ tastes and preferences, focusing on members of the millennial generation and the preceding Generation X. We present a 3-class adoption model that provides better goodness of fit and interpretability of the classes compared to other model specifications that were tested. The three distinct classes have expected sample shares of 28%, 34% and 38%, respectively, and can be characterized as follows: (1) a class that is largely composed of more highly-educated, independent (i.e. who have already established their household) millennials, who has the highest adoption rate. Among other factors, the adoption of ridehailing services for the members of this class is influenced by the frequency of long-distance leisure and business-related trips made by non-car modes. The adoption of ridehailing among the members of this group is higher if they live in high-quality transit neighborhoods. (2) The second highest adoption rate is observed among the members of the class that is mainly composed of affluent individuals living with their families who are either dependent millennials or older members of Generation X. The frequency of use of transportation-related smartphone apps and the share of long-distance leisure trips made by plane affect the adoption of ridehailing for the members of this class. The members of this class also tend to adopt ridehailing if they live in neighborhoods with higher land-use mix and if they have used taxi services within the past 12 months. (3) Finally, the lowest adoption rate is observed among the members of the last class, comprising the least affluent individuals with the lowest level of education. The members of this class are more likely to live in rural neighborhoods and they rarely use ridehailing. The adoption of ridehailing among the members of this class is affected by household income, the frequency of long-distance non-car business trips, and transit accessibility as well as the use of taxi and of carsharing.

Suggested Citation

  • Alemi, Farzad & Circella, Giovanni & Mokhtarian, Patricia & Handy, Susan, 2018. "Exploring the latent constructs behind the use of ridehailing in California," Journal of choice modelling, Elsevier, vol. 29(C), pages 47-62.
    • Handle: RePEc:eee:eejocm:v:29:y:2018:i:c:p:47-62
    DOI: 10.1016/j.jocm.2018.08.003
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1755534517301197
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jocm.2018.08.003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Frändberg, Lotta & Vilhelmson, Bertil, 2011. "More or less travel: personal mobility trends in the Swedish population focusing gender and cohort," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1235-1244.
    2. Vredin Johansson, Maria & Heldt, Tobias & Johansson, Per, 2006. "The effects of attitudes and personality traits on mode choice," Transportation Research Part A: Policy and Practice, Elsevier, vol. 40(6), pages 507-525, July.
    3. Dowell Myers, 2016. "Peak Millennials: Three Reinforcing Cycles That Amplify the Rise and Fall of Urban Concentration by Millennials," Housing Policy Debate, Taylor & Francis Journals, vol. 26(6), pages 928-947, November.
    4. Walker, Joan & Ben-Akiva, Moshe, 2002. "Generalized random utility model," Mathematical Social Sciences, Elsevier, vol. 43(3), pages 303-343, July.
    5. Venu M. Garikapati & Ram M. Pendyala & Eric A. Morris & Patricia L. Mokhtarian & Noreen McDonald, 2016. "Activity patterns, time use, and travel of millennials: a generation in transition?," Transport Reviews, Taylor & Francis Journals, vol. 36(5), pages 558-584, September.
    6. Bastian, Anne & Börjesson, Maria & Eliasson, Jonas, 2016. "Explaining “peak car” with economic variables," Transportation Research Part A: Policy and Practice, Elsevier, vol. 88(C), pages 236-250.
    7. Michael P. Keane & Kenneth I. Wolpin, 2007. "Exploring The Usefulness Of A Nonrandom Holdout Sample For Model Validation: Welfare Effects On Female Behavior," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 48(4), pages 1351-1378, November.
    8. Circella, Giovanni & Tiedeman, Kate & Handy, Susan & Alemi, Farzad & Mokhtarian, Patricia, 2016. "What Affects Millennials’ Mobility? Part I: Investigating the Environmental Concerns, Lifestyles, Mobility-Related Attitudes and Adoption of Technology of Young Adults in California," Institute of Transportation Studies, Working Paper Series qt6wm51523, Institute of Transportation Studies, UC Davis.
    9. Vij, Akshay, 2013. "Incorporating the Influence of Latent Modal Preferences in Travel Demand Models," University of California Transportation Center, Working Papers qt7nq9p0cv, University of California Transportation Center.
    10. Jeroen K. Vermunt & Jay Magidson, 2007. "Latent Class Analysis With Sampling Weights," Sociological Methods & Research, , vol. 36(1), pages 87-111, August.
    11. Daniel McFadden, 2001. "Economic Choices," American Economic Review, American Economic Association, vol. 91(3), pages 351-378, June.
    12. Salon, Deborah, 2015. "Heterogeneity in the relationship between the built environment and driving: Focus on neighborhood type and travel purpose," Research in Transportation Economics, Elsevier, vol. 52(C), pages 34-45.
    13. Vij, Akshay, 2013. "Incorporating the Influence of Latent Modal Preferences in Travel Demand Models," University of California Transportation Center, Working Papers qt7ng2z24q, University of California Transportation Center.
    14. Choo, Sangho & Mokhtarian, Patricia L., 2004. "What type of vehicle do people drive? The role of attitude and lifestyle in influencing vehicle type choice," Transportation Research Part A: Policy and Practice, Elsevier, vol. 38(3), pages 201-222, March.
    15. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, October.
    16. Greene, William H. & Hensher, David A., 2003. "A latent class model for discrete choice analysis: contrasts with mixed logit," Transportation Research Part B: Methodological, Elsevier, vol. 37(8), pages 681-698, September.
    17. Noreen C. McDonald, 2015. "Are Millennials Really the "Go-Nowhere" Generation?," Journal of the American Planning Association, Taylor & Francis Journals, vol. 81(2), pages 90-103, April.
    18. Kim, Sung Hoo & Mokhtarian, Patricia L., 2018. "Taste heterogeneity as an alternative form of endogeneity bias: Investigating the attitude-moderated effects of built environment and socio-demographics on vehicle ownership using latent class modelin," Transportation Research Part A: Policy and Practice, Elsevier, vol. 116(C), pages 130-150.
    19. Circella, Giovanni & Alemi, Farzad & Tiedeman, Kate & Handy, Susan & Mokhtarian, Patricia, 2018. "The Adoption of Shared Mobility in California and Its Relationship with Other Components of Travel Behavior," Institute of Transportation Studies, Working Paper Series qt1kq5d07p, Institute of Transportation Studies, UC Davis.
    20. I Salomon & M Ben-Akiva, 1983. "The Use of the Life-Style Concept in Travel Demand Models," Environment and Planning A, , vol. 15(5), pages 623-638, May.
    21. Tobias Kuhnimhof & Dirk Zumkeller & Bastian Chlond, 2013. "Who Made Peak Car, and How? A Breakdown of Trends over Four Decades in Four Countries," Transport Reviews, Taylor & Francis Journals, vol. 33(3), pages 325-342, May.
    22. Joan Walker & Jieping Li, 2007. "Latent lifestyle preferences and household location decisions," Journal of Geographical Systems, Springer, vol. 9(1), pages 77-101, April.
    23. Phil Goodwin & Kurt Van Dender, 2013. "'Peak Car' - Themes and Issues," Transport Reviews, Taylor & Francis Journals, vol. 33(3), pages 243-254, May.
    24. Blumenberg, Evelyn & Taylor, Brian D. & Smart, Michael & Ralph, Kelcie & Wander, Madeline & Brumbagh, Stephen, 2012. "What's Youth Got to Do with It? Exploring the Travel Behavior of Teens and Young Adults," University of California Transportation Center, Working Papers qt9c14p6d5, University of California Transportation Center.
    25. Vij, Akshay & Carrel, André & Walker, Joan L., 2013. "Incorporating the influence of latent modal preferences on travel mode choice behavior," Transportation Research Part A: Policy and Practice, Elsevier, vol. 54(C), pages 164-178.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kong, Hui & Moody, Joanna & Zhao, Jinhua, 2020. "ICT’s impacts on ride-hailing use and individual travel," Transportation Research Part A: Policy and Practice, Elsevier, vol. 141(C), pages 1-15.
    2. Xiaohong Chen & Tianhao Li & Quan Yuan, 2023. "Impacts of built environment on travel behaviors of Generation Z: a longitudinal perspective," Transportation, Springer, vol. 50(2), pages 407-436, April.
    3. Rafiq, Rezwana & McNally, Michael G., 2021. "Heterogeneity in Activity-travel Patterns of Public Transit Users: An Application of Latent Class Analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 152(C), pages 1-18.
    4. Jason Soria & Shelly Etzioni & Yoram Shiftan & Amanda Stathopoulos & Eran Ben-Elia, 2022. "Microtransit adoption in the wake of the COVID-19 pandemic: evidence from a choice experiment with transit and car commuters," Papers 2204.01974, arXiv.org.
    5. Zgheib, Najib & Abou-Zeid, Maya & Kaysi, Isam, 2020. "Modeling demand for ridesourcing as feeder for high capacity mass transit systems with an application to the planned Beirut BRT," Transportation Research Part A: Policy and Practice, Elsevier, vol. 138(C), pages 70-91.
    6. Dean, Matthew D. & Kockelman, Kara M., 2021. "Spatial variation in shared ride-hail trip demand and factors contributing to sharing: Lessons from Chicago," Journal of Transport Geography, Elsevier, vol. 91(C).
    7. Gehrke, Steven R., 2020. "Uber service area expansion in three major American cities," Journal of Transport Geography, Elsevier, vol. 86(C).
    8. Circella, Giovanni & Lee, Yongsung & Alemi, Farzad, 2019. "Exploring the Relationships Among Travel Multimodality, Driving Behavior, Use of Ridehailing and Energy Consumption," Institute of Transportation Studies, Working Paper Series qt31v7z2vf, Institute of Transportation Studies, UC Davis.
    9. Vij, Akshay & Ryan, Stacey & Sampson, Spring & Harris, Susan, 2020. "Consumer preferences for on-demand transport in Australia," Transportation Research Part A: Policy and Practice, Elsevier, vol. 132(C), pages 823-839.
    10. Yiyuan Wang & Qing Shen, 2024. "A latent class analysis to understand riders’ adoption of on-demand mobility services as a complement to transit," Transportation, Springer, vol. 51(3), pages 1043-1061, June.
    11. Alonso-González, María J. & Hoogendoorn-Lanser, Sascha & van Oort, Niels & Cats, Oded & Hoogendoorn, Serge, 2020. "Drivers and barriers in adopting Mobility as a Service (MaaS) – A latent class cluster analysis of attitudes," Transportation Research Part A: Policy and Practice, Elsevier, vol. 132(C), pages 378-401.
    12. Sudradjat Supian & Subiyanto & Tubagus Robbi Megantara & Abdul Talib Bon, 2024. "Ride-Hailing Matching with Uncertain Travel Time: A Novel Interval-Valued Fuzzy Multi-Objective Linear Programming Approach," Mathematics, MDPI, vol. 12(9), pages 1-17, April.
    13. Kim, Seheon & Rasouli, Soora, 2022. "The influence of latent lifestyle on acceptance of Mobility-as-a-Service (MaaS): A hierarchical latent variable and latent class approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 159(C), pages 304-319.
    14. Loa, Patrick & Nurul Habib, Khandker, 2021. "Examining the influence of attitudinal factors on the use of ride-hailing services in Toronto," Transportation Research Part A: Policy and Practice, Elsevier, vol. 146(C), pages 13-28.
    15. Hasnine, Md Sami & Hawkins, Jason & Habib, Khandker Nurul, 2021. "Effects of built environment and weather on demands for transportation network company trips," Transportation Research Part A: Policy and Practice, Elsevier, vol. 150(C), pages 171-185.
    16. de Oliveira Souza, Camilla & Vitorino Guimarães, Gabriella & da Cruz Saldanha, Luiz Emerson & Almeida Corrêa do Nascimento, Filipe & Floriano dos Santos, Tálita & Vieira da Silva, Marcelino Aurélio, 2021. "Analysis of job accessibility promoted by ride hailing services: A proposed method," Journal of Transport Geography, Elsevier, vol. 93(C).
    17. Terris-Prestholt, Fern & Mulatu, Abay & Quaife, Matthew & Gafos, Mitzy & Medley, Graham F. & MacPhail, Catherine & Hanson, Kara, 2021. "Using choice experiments to improve equity in access to socially marketed HIV prevention products," Journal of choice modelling, Elsevier, vol. 41(C).
    18. Basu, Rounaq & Ferreira, Joseph, 2021. "Sustainable mobility in auto-dominated Metro Boston: Challenges and opportunities post-COVID-19," Transport Policy, Elsevier, vol. 103(C), pages 197-210.
    19. Malik, Jai & Bunch, David S. & Handy, Susan & Circella, Giovanni, 2021. "A deeper investigation into the effect of the built environment on the use of ridehailing for non-work travel," Journal of Transport Geography, Elsevier, vol. 91(C).
    20. Li, Shengxiao(Alex) & Zhai, Wei & Jiao, Junfeng & Wang, Chao (Kenneth), 2022. "Who loses and who wins in the ride-hailing era? A case study of Austin, Texas," Transport Policy, Elsevier, vol. 120(C), pages 130-138.
    21. Hamid Mostofi & Houshmand Masoumi & Hans-Liudger Dienel, 2020. "The Relationship between Regular Use of Ridesourcing and Frequency of Public Transport Use in the MENA Region (Tehran and Cairo)," Sustainability, MDPI, vol. 12(19), pages 1-19, October.
    22. Loa, Patrick & Hossain, Sanjana & Liu, Yicong & Nurul Habib, Khandker, 2022. "How has the COVID-19 pandemic affected the use of ride-sourcing services? An empirical evidence-based investigation for the Greater Toronto Area," Transportation Research Part A: Policy and Practice, Elsevier, vol. 155(C), pages 46-62.
    23. Al-Garawi, Najah & Kamargianni, Maria, 2021. "Women's modal switching behavior since driving is allowed in Saudi Arabia," Journal of Transport Geography, Elsevier, vol. 96(C).
    24. Muhamad Rizki & Tri Basuki Joewono & Dimas Bayu Endrayana Dharmowijoyo & Dwi Prasetyanto, 2021. "The Effects of On- and Before- Journey Advantages Using Ride-Sourcing in Indonesia," Sustainability, MDPI, vol. 13(19), pages 1-20, October.
    25. Pilar Talón-Ballestero & Fernando E. García-Muiña & Juan José Rienda-Gómez & Lydia González-Serrano, 2019. "Repeat Consumer Behavior on Smart P2P Tourism Platforms," Sustainability, MDPI, vol. 11(24), pages 1-13, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Vij, Akshay & Gorripaty, Sreeta & Walker, Joan L., 2017. "From trend spotting to trend ’splaining: Understanding modal preference shifts in the San Francisco Bay Area," Transportation Research Part A: Policy and Practice, Elsevier, vol. 95(C), pages 238-258.
    2. Kim, Sung Hoo & Mokhtarian, Patricia L., 2018. "Taste heterogeneity as an alternative form of endogeneity bias: Investigating the attitude-moderated effects of built environment and socio-demographics on vehicle ownership using latent class modelin," Transportation Research Part A: Policy and Practice, Elsevier, vol. 116(C), pages 130-150.
    3. Sfeir, Georges & Abou-Zeid, Maya & Rodrigues, Filipe & Pereira, Francisco Camara & Kaysi, Isam, 2021. "Latent class choice model with a flexible class membership component: A mixture model approach," Journal of choice modelling, Elsevier, vol. 41(C).
    4. Xuemei Fu, 2021. "How habit moderates the commute mode decision process: integration of the theory of planned behavior and latent class choice model," Transportation, Springer, vol. 48(5), pages 2681-2707, October.
    5. Rico Krueger & Akshay Vij & Taha H. Rashidi, 2018. "Normative beliefs and modality styles: a latent class and latent variable model of travel behaviour," Transportation, Springer, vol. 45(3), pages 789-825, May.
    6. Kim, Seheon & Rasouli, Soora, 2022. "The influence of latent lifestyle on acceptance of Mobility-as-a-Service (MaaS): A hierarchical latent variable and latent class approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 159(C), pages 304-319.
    7. Carlo Giacomo Prato & Katrín Halldórsdóttir & Otto Anker Nielsen, 2017. "Latent lifestyle and mode choice decisions when travelling short distances," Transportation, Springer, vol. 44(6), pages 1343-1363, November.
    8. Kim, Sung Hoo & Mokhtarian, Patricia L., 2023. "Finite mixture (or latent class) modeling in transportation: Trends, usage, potential, and future directions," Transportation Research Part B: Methodological, Elsevier, vol. 172(C), pages 134-173.
    9. Nash, Sean & Mitra, Raktim, 2019. "University students' transportation patterns, and the role of neighbourhood types and attitudes," Journal of Transport Geography, Elsevier, vol. 76(C), pages 200-211.
    10. Krueger, Rico & Rashidi, Taha H. & Vij, Akshay, 2020. "A Dirichlet process mixture model of discrete choice: Comparisons and a case study on preferences for shared automated vehicles," Journal of choice modelling, Elsevier, vol. 36(C).
    11. Ralph, Kelcie & Voulgaris, Carole Turley & Taylor, Brian D. & Blumenberg, Evelyn & Brown, Anne E., 2016. "Millennials, built form, and travel insights from a nationwide typology of U.S. neighborhoods," Journal of Transport Geography, Elsevier, vol. 57(C), pages 218-226.
    12. Silm, Siiri & Tominga, Ago & Saidla, Karl & Poom, Age & Tammaru, Tiit, 2024. "Socio-economic and residential differences in urban modality styles based on a long-term smartphone experiment," Journal of Transport Geography, Elsevier, vol. 115(C).
    13. Sanjana Hossain & Md. Sami Hasnine & Khandker Nurul Habib, 2021. "A latent class joint mode and departure time choice model for the Greater Toronto and Hamilton Area," Transportation, Springer, vol. 48(3), pages 1217-1239, June.
    14. Yongsung Lee & Giovanni Circella & Patricia L. Mokhtarian & Subhrajit Guhathakurta, 2020. "Are millennials more multimodal? A latent-class cluster analysis with attitudes and preferences among millennial and Generation X commuters in California," Transportation, Springer, vol. 47(5), pages 2505-2528, October.
    15. Ali Ardeshiri & Akshay Vij, 2019. "A lifestyle-based model of household neighbourhood location and individual travel mode choice behaviours," Papers 1902.01986, arXiv.org, revised Nov 2019.
    16. Circella, Giovanni & Alemi, Farzad & Tiedeman, Kate & Berliner, Rosaria M & Lee, Yongsung & Fulton, Lew & Mokhtarian, Patricia L & Handy , Susan, 2017. "What Affects Millennials’ Mobility? PART II: The Impact of Residential Location, Individual Preferences and Lifestyles on Young Adults’ Travel Behavior in California," Institute of Transportation Studies, Working Paper Series qt5kc117kj, Institute of Transportation Studies, UC Davis.
    17. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    18. Fowri, Hamid R. & Seyedabrishami, Seyedehsan, 2020. "Assessment of urban transportation pricing policies with incorporation of unobserved heterogeneity," Transport Policy, Elsevier, vol. 99(C), pages 12-19.
    19. Zhou, Heng & Norman, Richard & Xia, Jianhong(Cecilia) & Hughes, Brett & Kelobonye, Keone & Nikolova, Gabi & Falkmer, Torbjorn, 2020. "Analysing travel mode and airline choice using latent class modelling: A case study in Western Australia," Transportation Research Part A: Policy and Practice, Elsevier, vol. 137(C), pages 187-205.
    20. Ardeshiri, Ali & Vij, Akshay, 2019. "Lifestyles, residential location, and transport mode use: A hierarchical latent class choice model," Transportation Research Part A: Policy and Practice, Elsevier, vol. 126(C), pages 342-359.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eejocm:v:29:y:2018:i:c:p:47-62. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/journal-of-choice-modelling .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.