A ridesharing simulation platform that considers dynamic supply-demand interactions

Abstract: This paper presents a new ridesharing simulation platform that accounts for dynamic driver supply and passenger demand, and complex interactions between drivers and passengers. The proposed simulation platform explicitly considers driver and passenger acceptance/rejection on the matching options, and cancellation before/after being matched. New simulation events, procedures and modules have been developed to handle these realistic interactions. The capabilities of the simulation platform are illustrated using numerical experiments. The experiments confirm the importance of considering supply and demand interactions and provide new insights to ridesharing operations. Results show that increase of driver supply does not always increase matching option accept rate, and larger matching window could have negative impacts on overall ridesharing success rate. These results emphasize the importance of a careful planning of a ridesharing system.