Taking Flight or Taking a Pass? Exploring Factors Influencing Consumer Willingness to Pay for eVTOL Travel

Abstract

Verbatim from Embry-Riddle Scholarly Commons. Not paraphrased, not summarized.

The Advanced Air Mobility (AAM) industry is experiencing significant growth due to technological advancements and increasing demand for efficient travel experiences. The market is expected to reach $45 billion by 2030, with major players like Joby, Archer, Beta, and Wisk dominating. This study aimed to assess public willingness to pay for AAM services using eVTOLs, using Amazon's Mechanical Turk platform. The survey yielded a response rate of 85.8%, with 1,622 completed surveys. The study found that younger urban consumers were more willing to pay higher prices for AAM electric vertical takeoff and landing (eVTOL) aircraft trips than older participants, possibly due to their tech-savvy nature and openness to new transportation technologies. Age, income, and race showed minimally influenced willingness to pay (WTP) at higher price points, but age and marital status had some influence at lower price points. Income level did not significantly affect willingness to pay more for eVTOL services, suggesting that this mode of transportation may be palatable to a wide range of consumers regardless of their financial situation. A well-rounded approach that considers pricing, advantages, safety features, environmental impact, accessibility, and partnerships will be crucial for companies to succeed in the rapidly growing eVTOL market. Findings show that by targeting younger, married, middle-class urbanites, AAM providers could tap into a lucrative market segment and increase adoption and profitability in the emerging mode of transportation. Suggestions for future research are also provided.

Author

• Ison, David C. Embry-Riddle Aeronautical University

Keywords

• AAM
• UAM
• mobility
• eVTOL
• VTOL
• electric aircraft
• vertiport
• heliport
• airport
• transportation
• planning
• aviation