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Determinants of Route Choice and the Value of Traveler Information

Author

Listed:
  • Lei Zhang
  • David Levinson

    (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota)

Abstract

A major strategy of federal ITS initiatives and state departments of transportation is to provide traveler information to motorists through various means, including variable message signs, the internet, telephone services like 511, in-vehicle guidance systems, and TV and radio reports. This is relatively uncontroversial, but its effectiveness is unknown. Drivers receive value from traveler information in several ways, including the ability to save time, but perhaps more importantly, other personal, social, safety, or psychological impacts from certainty. This information can be economically valued. The benefits of reduction in driver uncertainty when information is provided at the beginning of the trip by various means is the main variable we aim to measure in this research, in which we assess user preferences for routes as a function of the presence and accuracy of information, while controlling for other trip and route attributes, such as trip purpose, travel time, distance, number of stops, delay, esthetics, level of commercial development, and individual characteristics. Data is collected in a field experiment in which more than 100 drivers, given real-time travel time information with varying degrees of accuracy, drove four of five alternative routes between a pre-selected OD pair in the Twin Cities metro area. Ordinary regression, multinomial, and rank-ordered logit models produce estimates of the value of information with some variation. In general, results show that travelers are willing to pay up to $1 per trip for pre-trip travel time information. The value of information is higher for commute and event trips and when congestion on the usual route is heavier. The accuracy of the traveler information is also a crucial factor. In fact, there do not seem be incentives for travelers to use traveler information at all unless they perceive it to be accurate. Finally, most travelers (70%) prefer that such information should be provided for free by the public sector, while some (19%) believe that it is better for the private sector to provide such service at a charge. Over 35% of subjects are willing to pay for OD-customized pre-trip travel time information.

Suggested Citation

  • Lei Zhang & David Levinson, 2006. "Determinants of Route Choice and the Value of Traveler Information," Working Papers 200808, University of Minnesota: Nexus Research Group.
    • Handle: RePEc:nex:wpaper:determinantsofroutechoice
    DOI: 10.3141/2086-10
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    File URL: http://hdl.handle.net/11299/179971
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    More about this item

    Keywords

    Value of Information; Advanced Traveler Information System (ATIS); Real-Time Traffic Operations; Travel Behavior; Spatial behavior; Wayfinding Behavior; Route Choice.;
    All these keywords.

    JEL classification:

    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy
    • D10 - Microeconomics - - Household Behavior - - - General
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior

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