Modeling airport choice for a multi-airport area using a random parameter logit model
Recent years have seen a growing demand for air transport which has led to an increase in the number of airports providing a significant number of flights in Spain and throughout the rest of Europe. Choosing which airport to use depends on the competition between the airlines operating from them and...
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| Published in | Research in transportation economics Vol. 104; p. 101427 |
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| Main Authors | , , , |
| Format | Journal Article |
| Language | English |
| Published |
Elsevier Ltd
01.05.2024
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| Subjects | |
| Online Access | Get full text |
| ISSN | 0739-8859 1875-7979 |
| DOI | 10.1016/j.retrec.2024.101427 |
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| Abstract | Recent years have seen a growing demand for air transport which has led to an increase in the number of airports providing a significant number of flights in Spain and throughout the rest of Europe. Choosing which airport to use depends on the competition between the airlines operating from them and how accessible they are to the residents in the surrounding areas. This research introduces an efficient design based on D-error using a stated preferences survey to study user behaviour when choosing between competing airports. The data is modelled using a Multinomial Logit Model and a Random Parameter Error Component Logit (RPECL), a discrete choice model which allows us to study user preferences taking into account their varying systemic and random tastes, as well as find specific correlations which may exist between similar alternatives. This meant the authors were also able to calculate the direct and cross elasticities to examine the weight of the different variables involved in making the choice of airport. The results showed, for a study case in Spain (Bilbao and Seve Ballesteros - Santander airports), that increased access time to the furthest airport caused an important fall in demand (choice) for that airport. It was also shown that access fees had a lower elasticity than the flight cost and that the fewer the transfers required to reach the final destination increased the probability of choosing an airport. Therefore, in order for smaller airports to compete with larger airports they need to invest more in reducing the cost of flights, attracting more low-cost companies and offering more direct complementary destinations than those provided by larger airports. |
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| AbstractList | Recent years have seen a growing demand for air transport which has led to an increase in the number of airports providing a significant number of flights in Spain and throughout the rest of Europe. Choosing which airport to use depends on the competition between the airlines operating from them and how accessible they are to the residents in the surrounding areas. This research introduces an efficient design based on D-error using a stated preferences survey to study user behaviour when choosing between competing airports. The data is modelled using a Multinomial Logit Model and a Random Parameter Error Component Logit (RPECL), a discrete choice model which allows us to study user preferences taking into account their varying systemic and random tastes, as well as find specific correlations which may exist between similar alternatives. This meant the authors were also able to calculate the direct and cross elasticities to examine the weight of the different variables involved in making the choice of airport. The results showed, for a study case in Spain (Bilbao and Seve Ballesteros - Santander airports), that increased access time to the furthest airport caused an important fall in demand (choice) for that airport. It was also shown that access fees had a lower elasticity than the flight cost and that the fewer the transfers required to reach the final destination increased the probability of choosing an airport. Therefore, in order for smaller airports to compete with larger airports they need to invest more in reducing the cost of flights, attracting more low-cost companies and offering more direct complementary destinations than those provided by larger airports. |
| ArticleNumber | 101427 |
| Author | Luigi dell’Olio Cordera, Rubén Sipone, Silvia Moura, José Luis |
| Author_xml | – sequence: 1 givenname: Rubén orcidid: 0000-0001-8272-6662 surname: Cordera fullname: Cordera, Rubén organization: Department of Geography, Urban and Regional Planning, School of Civil Engineering, Universidad de Cantabria, Av. de Los Castros 44, 39005, Santander, Cantabria, Spain – sequence: 2 orcidid: 0000-0003-0919-7578 surname: Luigi dell’Olio fullname: Luigi dell’Olio email: luigi.dellolio@unican.es organization: Department of Transport and Projects and Processes Technology, School of Civil Engineering, Universidad de Cantabria, Av. de Los Castros 44, 39005, Santander, Cantabria, Spain – sequence: 3 givenname: Silvia surname: Sipone fullname: Sipone, Silvia organization: Department of Transport and Projects and Processes Technology, School of Civil Engineering, Universidad de Cantabria, Av. de Los Castros 44, 39005, Santander, Cantabria, Spain – sequence: 4 givenname: José Luis surname: Moura fullname: Moura, José Luis organization: Department of Transport and Projects and Processes Technology, School of Civil Engineering, Universidad de Cantabria, Av. de Los Castros 44, 39005, Santander, Cantabria, Spain |
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| Keywords | Airport choice Logit models Error component Random parameter Stated preference survey |
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