  This paper considers off-street parking for the cruising vehicles of
transportation network companies (TNCs) to reduce the traffic congestion. We
propose a novel business that integrates the shared parking service into the
TNC platform. In the proposed model, the platform (a) provides interfaces that
connect passengers, drivers and garage operators (commercial or private
garages); (b) determines the ride fare, driver payment, and parking rates; (c)
matches passengers to TNC vehicles for ride-hailing services; and (d) matches
vacant TNC vehicles to unoccupied parking garages to reduce the cruising cost.
A queuing-theoretic model is proposed to capture the matching process of
passengers, drivers, and parking garages. A market-equilibrium model is
developed to capture the incentives of the passengers, drivers, and garage
operators. An optimization-based model is formulated to capture the optimal
pricing of the TNC platform. Through a realistic case study, we show that the
proposed business model will offer a Pareto improvement that benefits all
stakeholders, which leads to higher passenger surplus, higher drivers surplus,
higher garage operator surplus, higher platform profit, and reduced traffic
congestion.
