The effect of intangible product attributes on rail passenger demand with special reference to ride quality

Abstract

This study set out to investigate the value consumers place on less tangible product attributes. Although some work has been done in the p ast, to establish the relative importance of intangible attributes; very few studies have attempted to produce a financial value for a change. The research was conducted in a rural railway environment and so the product considered was a train journey. The main intangible attribute chosen for the study was ride quality. Rural railway services make significant losses and as a result have been threatened with closure. Reducing track maintenance (and thus ride quality ) on these routes offers considerable scope for cost reduction. But, very little was known about the response of demand to changes in ride quality. Any results obtained could, therefore, make a contribution to maintaining railway services in areas of limited public transport. Although this study concentrated on the railway ride problem, it is believed that the method developed during this research would be applicable, with some modification, to other topics.