WILLINGNESS TO PAY FOR SHARED AUTONOMOUS TAXI SERVICES: A BIVARIATE DECISION-MAKING APPROACH

Abstract

Robotaxi, or shared autonomous vehicles, has been approved for operation in selected cities and offers fare-based services to consumers. It aims to complement ride-hailing platforms and transform urban shared mobility by improving safety, reducing congestion, and lowering CO2 emissions. This study examines the willingness of Malaysian working adults to pay (WTP) for Robotaxi services at two automation levels: Level 4 (with driver assistance) and Level 5 (fully driverless). Data were collected from 201 participants through an online questionnaire distributed via social media using purposive sampling. Analysis using a bivariate probit model reveals that consumers are generally willing to pay up to 30% more for Level 4 services, while WTP for Level 5 remains limited. Key drivers of WTP include perceived value, government policies, and socio-demographic factors such as age, gender, and income, whereas perceived risk shows no significant effect. Younger respondents and lower-income groups are particularly responsive to pricing and perceived benefits. The findings highlight that value perception and demographic characteristics shape payment decisions for autonomous mobility. This research contributes to theory in two ways. First, it empirically tests established and additional variables influencing WTP in the context of emerging mobility technologies. Second, it advances methodology by employing a bivariate probit model, validating the correlation between dependent WTP outcomes for L4 and L5 services. These contributions enhance understanding of consumer behavior in shared autonomous transportation and provide practical insights for researchers, policymakers, and industry practitioners seeking to design pricing, adoption, and policy strategies for innovative mobility solutions like Robotaxi services.