Dynamic pricing in one-sided autonomous ride-sourcing markets
File(s)
Author(s)
Karamanis, Renos
Angeloudis, Panagiotis
Sivakumar, Aruna
Stettler, Marc
Type
Conference Paper
Abstract
Dynamic pricing has been used by Transportation Network Companies (TNCs) to achieve a balance between the volume of ride requests with numbers of available drivers on two-sided TNC markets. Given the desire to reduce operating costs and the emergence of Autonomous Vehicles (AVs), the introduction of TNC-owned AV fleets could convert such services into one-sided markets, where operators have full control of service supply. In this paper we investigate the impact of utility-based dynamic pricing for Autonomous TNCs (ATNCs) in one-sided markets. We test the method using an Agent-Based Model (ABM) of Greater London in conditions of monopoly and competition, focusing on a statically priced ATNC service that offers a mix of private and shared ride services. Public transport is considered as an alternative mode of transportation in both scenarios. Results indicate that in monopoly, dynamic pricing provides higher revenues than static pricing at non-peak hours when average waiting times are low. On the contrary, in competition, dynamic pricing is superior at peak hours where increased waiting times are observed, thus increasing the value of low waiting time rides. Overall, in both market structures, it is found that shared trips are more popular in dynamic pricing compared to static pricing.
Date Issued
2018-12-10
Date Acceptance
2018-11-04
Citation
2018 21st International Conference on Intelligent Transportation Systems (ITSC), 2018, pp.3645-3650
ISSN
2153-0009
Publisher
IEEE
Start Page
3645
End Page
3650
Journal / Book Title
2018 21st International Conference on Intelligent Transportation Systems (ITSC)
Copyright Statement
© 2018 IEEE. Personal use of this material is permitted. Permission from IEEE must be obtained for all other uses, in any current or future media, including reprinting/republishing this material for advertising or promotional purposes, creating new collective works, for resale or redistribution to servers or lists, or reuse of any copyrighted component of this work in other works.
Identifier
http://gateway.webofknowledge.com/gateway/Gateway.cgi?GWVersion=2&SrcApp=PARTNER_APP&SrcAuth=LinksAMR&KeyUT=WOS:000457881303097&DestLinkType=FullRecord&DestApp=ALL_WOS&UsrCustomerID=1ba7043ffcc86c417c072aa74d649202
Source
21st IEEE International Conference on Intelligent Transportation Systems (ITSC)
Subjects
Science & Technology
Technology
Automation & Control Systems
Computer Science, Artificial Intelligence
Engineering, Electrical & Electronic
Transportation Science & Technology
Computer Science
Engineering
Transportation
Shared Autonomous Vehicles
Public Transport
Agent-Based Modelling and Simulation
Publication Status
Published
Start Date
2018-11-04
Finish Date
2018-11-07
Coverage Spatial
Maui, HI, USA
Date Publish Online
2018-12-10