IDEAS home Printed from https://ideas.repec.org/a/eee/transa/v115y2018icp32-48.html
   My bibliography  Save this article

Business models and tariff simulation in car-sharing services

Author

Listed:
  • Perboli, Guido
  • Ferrero, Francesco
  • Musso, Stefano
  • Vesco, Andrea

Abstract

The paper considers an important new and growing business in sustainable transportation, car-sharing services. This is, to our knowledge, the first comprehensive analysis of car-sharing services from the business model point of view. Specifically, we apply and introduce a standard and reproducible way to compare the business models of car-sharing companies. Our analysis results show that a crucial issue in defining car-sharing services is the creation of customized tariff plans. Thus, as a second contribution of our paper, we introduce a specific solution based on Monte Carlo simulation. This tool simulates the existing price and tariff policies or the introduction of new ones for different profiles of car-sharing users, according to different mobility needs and the traffic congestion of the urban area. As an example, we use our methodology to provide an in-depth description of the situation in the city of Turin, Italy.

Suggested Citation

  • Perboli, Guido & Ferrero, Francesco & Musso, Stefano & Vesco, Andrea, 2018. "Business models and tariff simulation in car-sharing services," Transportation Research Part A: Policy and Practice, Elsevier, vol. 115(C), pages 32-48.
    • Handle: RePEc:eee:transa:v:115:y:2018:i:c:p:32-48
    DOI: 10.1016/j.tra.2017.09.011
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0965856416303263
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.tra.2017.09.011?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. Renata Paola Dameri & Camille Rosenthal-Sabroux (ed.), 2014. "Smart City," Progress in IS, Springer, edition 127, number 978-3-319-06160-3.
    2. Roberto Tadei & Guido Perboli & Francesca Perfetti, 2017. "The multi-path Traveling Salesman Problem with stochastic travel costs," EURO Journal on Transportation and Logistics, Springer;EURO - The Association of European Operational Research Societies, vol. 6(1), pages 3-23, March.
    3. Firnkorn, Jörg & Müller, Martin, 2011. "What will be the environmental effects of new free-floating car-sharing systems? The case of car2go in Ulm," Ecological Economics, Elsevier, vol. 70(8), pages 1519-1528, June.
    4. Shaheen, Susan A & Cohen, Adam P & Roberts, J. Darius, 2006. "Carsharing in North America: Market Growth, Current Developments, and Future Potential," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt46b7n137, Institute of Transportation Studies, UC Berkeley.
    5. Shaheen, Susan A & Cohen, Adam P, 2007. "Growth in Worldwide Carsharing: An International Comparison," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt2zv240pp, Institute of Transportation Studies, UC Berkeley.
    6. World Bank, 2013. "Planning, Connecting, and Financing Cities--Now : Priorities for City Leaders," World Bank Publications - Books, The World Bank Group, number 12238.
    7. Francesco Ciari & Milos Balac & Michael Balmer, 2015. "Modelling the effect of different pricing schemes on free-floating carsharing travel demand: a test case for Zurich, Switzerland," Transportation, Springer, vol. 42(3), pages 413-433, May.
    8. Baldi, Mauro Maria & Crainic, Teodor Gabriel & Perboli, Guido & Tadei, Roberto, 2012. "The generalized bin packing problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(6), pages 1205-1220.
    9. Terrien, Clara & Maniak, Rémi & Chen, Bo & Shaheen, Susan, 2016. "Good Practices for Advancing Urban Mobility Innovation: A Case Study of One-Way Carsharing," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt53z3h2gt, Institute of Transportation Studies, UC Berkeley.
    10. Clara Terrien & Rémi Maniak & Bo Chen & Susan Shaheen, 2016. "Good practices for advancing urban mobility innovation: A case study of one-way carsharing," Post-Print hal-02458822, HAL.
    11. Wagner, Sebastian & Brandt, Tobias & Neumann, Dirk, 2016. "In free float: Developing Business Analytics support for carsharing providers," Omega, Elsevier, vol. 59(PA), pages 4-14.
    12. Susan Shaheen & Nelson Chan & Helen Micheaux, 2015. "One-way carsharing’s evolution and operator perspectives from the Americas," Transportation, Springer, vol. 42(3), pages 519-536, May.
    13. Furuhata, Masabumi & Dessouky, Maged & Ordóñez, Fernando & Brunet, Marc-Etienne & Wang, Xiaoqing & Koenig, Sven, 2013. "Ridesharing: The state-of-the-art and future directions," Transportation Research Part B: Methodological, Elsevier, vol. 57(C), pages 28-46.
    14. Agatz, Niels & Erera, Alan & Savelsbergh, Martin & Wang, Xing, 2012. "Optimization for dynamic ride-sharing: A review," European Journal of Operational Research, Elsevier, vol. 223(2), pages 295-303.
    15. Guido Perboli & Marco Ghirardi & Luca Gobbato & Francesca Perfetti, 2015. "Flights and Their Economic Impact on the Airport Catchment Area: An Application to the Italian Tourist Market," Journal of Optimization Theory and Applications, Springer, vol. 164(3), pages 1109-1133, March.
    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. Michela Apruzzese & Maria Elena Bruni & Stefano Musso & Guido Perboli, 2023. "5G and Companion Technologies as a Boost in New Business Models for Logistics and Supply Chain," Sustainability, MDPI, vol. 15(15), pages 1-17, August.
    2. Alessandro Avenali & Yuri Maria Chianese & Graziano Ciucciarelli & Giorgio Grani & Laura Palagi, 2019. "Profit optimization in one-way free float car sharing services: a user based relocation strategy relying on price differentiation and Urban Area Values," DIAG Technical Reports 2019-04, Department of Computer, Control and Management Engineering, Universita' degli Studi di Roma "La Sapienza".
    3. Giulio Giorgione & Francesco Ciari & Francesco Viti, 2020. "Dynamic Pricing on Round-Trip Carsharing Services: Travel Behavior and Equity Impact Analysis through an Agent-Based Simulation," Sustainability, MDPI, vol. 12(17), pages 1-23, August.
    4. Chesoong Kim & Sergei Dudin & Olga Dudina, 2019. "Queueing Network with Moving Servers as a Model of Car Sharing Systems," Mathematics, MDPI, vol. 7(9), pages 1-17, September.
    5. Golalikhani, Masoud & Oliveira, Beatriz Brito & Carravilla, Maria Antónia & Oliveira, José Fernando & Antunes, António Pais, 2021. "Carsharing: A review of academic literature and business practices toward an integrated decision-support framework," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    6. Fan, Jing-Li & Wang, Jia-Xing & Zhang, Xian, 2020. "An innovative subsidy model for promoting the sharing of Electric Vehicles in China: A pricing decisions analysis," Energy, Elsevier, vol. 201(C).
    7. Mingyang Du & Lin Cheng & Xuefeng Li & Jingzong Yang, 2019. "Investigating the Influential Factors of Shared Travel Behavior: Comparison between App-Based Third Taxi Service and Free-Floating Bike Sharing in Nanjing, China," Sustainability, MDPI, vol. 11(16), pages 1-18, August.
    8. Büşra Buran & Mehmet Erçek, 2021. "Convergence or Divergence among Business Models of Public Bus Transport Authorities across the Globe: A Fuzzy Approach," Sustainability, MDPI, vol. 13(19), pages 1-21, September.
    9. Lehua Bi & Shaorui Zhou & Jianjie Ke & Xiaoming Song, 2023. "Knowledge-Mapping Analysis of Urban Sustainable Transportation Using CiteSpace," Sustainability, MDPI, vol. 15(2), pages 1-29, January.
    10. Sharmeen, Fariya & Drost, Denise & Meurs, Henk, 2020. "A business model perspective to understand intra-firm transitions: From traditional to flexible public transport services," Research in Transportation Economics, Elsevier, vol. 83(C).
    11. Ana Belén Rodríguez González & Mark Richard Wilby & Juan José Vinagre Díaz & Rubén Fernández Pozo & Carmen Sánchez Ávila, 2023. "Utilization rate of the fleet: a novel performance metric for a novel shared mobility," Transportation, Springer, vol. 50(1), pages 285-301, February.
    12. Fei Ma & Dan Guo & Kum Fai Yuen & Qipeng Sun & Fuxia Ren & Xiaobo Xu & Chengyong Zhao, 2020. "The Influence of Continuous Improvement of Public Car-Sharing Platforms on Passenger Loyalty: A Mediation and Moderation Analysis," IJERPH, MDPI, vol. 17(8), pages 1-21, April.
    13. Minja Bolesnikov & Milica Popović Stijačić & Mladen Radišić & Aleksandar Takači & Jelena Borocki & Dragana Bolesnikov & Paula Bajdor & Joanna Dzieńdziora, 2019. "Development of a Business Model by Introducing Sustainable and Tailor-Made Value Proposition for SME Clients," Sustainability, MDPI, vol. 11(4), pages 1-16, February.
    14. Luce Brotcorne & Guido Perboli & Mariangela Rosano & Qu Wei, 2019. "A Managerial Analysis of Urban Parcel Delivery: A Lean Business Approach," Sustainability, MDPI, vol. 11(12), pages 1-23, June.
    15. Aguilera-García, Álvaro & Gomez, Juan & Antoniou, Constantinos & Vassallo, José Manuel, 2022. "Behavioral factors impacting adoption and frequency of use of carsharing: A tale of two European cities," Transport Policy, Elsevier, vol. 123(C), pages 55-72.
    16. Beibei Hu & Yue Sun & Huijun Sun & Xianlei Dong, 2020. "A Contrastive Study on Travel Costs of Car-Sharing and Taxis Based on GPS Trajectory Data," IJERPH, MDPI, vol. 17(24), pages 1-28, 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. Golalikhani, Masoud & Oliveira, Beatriz Brito & Carravilla, Maria Antónia & Oliveira, José Fernando & Antunes, António Pais, 2021. "Carsharing: A review of academic literature and business practices toward an integrated decision-support framework," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    2. Jingjing Jia & Shujie Ma & Yixi Xue & Deyang Kong, 2020. "Life-Cycle Break-Even Analysis of Electric Carsharing: A Comparative Study in China," Sustainability, MDPI, vol. 12(16), pages 1-29, August.
    3. Meng, Zhiyi & Li, Eldon Y. & Qiu, Rui, 2020. "Environmental sustainability with free-floating carsharing services: An on-demand refueling recommendation system for Car2go in Seattle," Technological Forecasting and Social Change, Elsevier, vol. 152(C).
    4. Philipp Ströhle & Christoph M. Flath & Johannes Gärttner, 2019. "Leveraging Customer Flexibility for Car-Sharing Fleet Optimization," Service Science, INFORMS, vol. 53(1), pages 42-61, February.
    5. Xiaowei Chen & Hongyu Zheng & Ze Wang & Xiqun Chen, 2021. "Exploring impacts of on-demand ridesplitting on mobility via real-world ridesourcing data and questionnaires," Transportation, Springer, vol. 48(4), pages 1541-1561, August.
    6. Yoon-Young Chun & Mitsutaka Matsumoto & Kiyotaka Tahara & Kenichiro Chinen & Hideki Endo, 2019. "Exploring Factors Affecting Car Sharing Use Intention in the Southeast-Asia Region: A Case Study in Java, Indonesia," Sustainability, MDPI, vol. 11(18), pages 1-26, September.
    7. Sohani Liyanage & Hussein Dia & Rusul Abduljabbar & Saeed Asadi Bagloee, 2019. "Flexible Mobility On-Demand: An Environmental Scan," Sustainability, MDPI, vol. 11(5), pages 1-39, February.
    8. Cartenì, Armando & Cascetta, Ennio & de Luca, Stefano, 2016. "A random utility model for park & carsharing services and the pure preference for electric vehicles," Transport Policy, Elsevier, vol. 48(C), pages 49-59.
    9. de Luca, Stefano & Di Pace, Roberta, 2015. "Modelling users’ behaviour in inter-urban carsharing program: A stated preference approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 71(C), pages 59-76.
    10. Zhang, Yu & Li, Leiming, 2022. "Research on travelers’ transportation mode choice between carsharing and private cars based on the logit dynamic evolutionary game model," Economics of Transportation, Elsevier, vol. 29(C).
    11. Nourinejad, Mehdi & Roorda, Matthew J., 2014. "A dynamic carsharing decision support system," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 66(C), pages 36-50.
    12. Biao Yin & Liu Liu & Nicolas Coulombel & Vincent Viguie, 2018. "Appraising the environmental benefits of ride-sharing: The Paris region case study," Post-Print hal-01695082, HAL.
    13. Meng Li & Guowei Hua & Haijun Huang, 2018. "A Multi-Modal Route Choice Model with Ridesharing and Public Transit," Sustainability, MDPI, vol. 10(11), pages 1-14, November.
    14. Yu Wang & Shanyong Wang & Jing Wang & Jiuchang Wei & Chenglin Wang, 2020. "An empirical study of consumers’ intention to use ride-sharing services: using an extended technology acceptance model," Transportation, Springer, vol. 47(1), pages 397-415, February.
    15. Lei, Chao & Ouyang, Yanfeng, 2024. "Average minimum distance to visit a subset of random points in a compact region," Transportation Research Part B: Methodological, Elsevier, vol. 181(C).
    16. Dessouky, Maged M & Hu, Shichun, 2021. "Dynamic Routing for Ride-Sharing," Institute of Transportation Studies, Working Paper Series qt6qq8r7hz, Institute of Transportation Studies, UC Davis.
    17. Crainic, Teodor Gabriel & Perboli, Guido & Rosano, Mariangela, 2018. "Simulation of intermodal freight transportation systems: a taxonomy," European Journal of Operational Research, Elsevier, vol. 270(2), pages 401-418.
    18. Horner, Hannah & Pazour, Jennifer & Mitchell, John E., 2021. "Optimizing driver menus under stochastic selection behavior for ridesharing and crowdsourced delivery," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 153(C).
    19. Daganzo, Carlos F. & Ouyang, Yanfeng & Yang, Haolin, 2020. "Analysis of ride-sharing with service time and detour guarantees," Transportation Research Part B: Methodological, Elsevier, vol. 140(C), pages 130-150.
    20. Dawei Li & Yuchen Song & Dongjie Liu & Qi Cao & Junlan Chen, 2023. "How carpool drivers choose their passengers in Nanjing, China: effects of facial attractiveness and credit," Transportation, Springer, vol. 50(3), pages 929-958, June.

    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:transa:v:115:y:2018:i:c:p:32-48. 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.elsevier.com/wps/find/journaldescription.cws_home/547/description#description .

    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.