Highlights • A structural equation model was developed to explore ridesourcing propensity. • Desired savings in trip travel time and monthly mobility cost were analyzed. • Education, income, age, race and prior experience showed significant impacts. • Attitudes toward privacy, convenience, trust and cost also played significant roles.

Abstract This paper presents a study in examining the desired savings in travel time per trip and travel cost per month that would motivate people to switch to ride-sourcing options. Simultaneous regression models with latent constructs were employed to estimate the expected time and cost savings. The presence of latent constructs accounts for the endogeneity in personal attitudes while the simultaneity allows the analyst to evaluate the potential correlation between the two decisions. Various socioeconomic and demographic variables and personal attitudes were explored in the model to investigate their potential influence on the willingness to adopt ride-sourcing. Analysis based on the survey data indicated an average desired time saving of 20 min per trip, and an average desired cost saving of $116 per month to switch to on-demand services. Accordingly, individuals younger than 25 years old, between 55 and 59, those with lower education levels, Asians, low income individuals, people with previous ride-sourcing experience, and those who did not favor private car ownership showed lower expectations in view of both travel time and travel cost savings and therefore, were more willing to adopt on-demand services. On the contrary, people aged 30–39 years old (older Millennials), highly auto-dependent individuals, self-employed, people who hardly trust strangers, and those who value private ownership advantages such as privacy and convenience would demand higher savings to convince them to adopt ride-sourcing. This study provides an approach to evaluating the propensity of ride-sourcing usage in view of the desired travel time and cost savings. A better understanding on the magnitude of time and cost savings needed to motivate the public to switch to ride-sourcing options would provide policy makers with valuable information in designing effective and efficient policies and strategies in promoting shared mobility options.