Transit market research using structural equation modeling and attitudinal market segmentation

Yoram Shiftan
Maren L. Outwater
Yushuang Zhou

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This paper presents a comprehensive approach for identifying potential transit markets and for developing strategies to increase public transport ridership. The approach uses structural equation modeling (SEM) to identify simultaneously travelers’ attitudes, travel behavior, and the causal relationships between a traveler's socioeconomic profile and his/her attitude toward travel. Travel attitudes are also used to identify distinct market segments and to develop plans that best serve the needs of each segment and increase transit ridership. The approach is demonstrated with a case study from the Utah Transit Authority.