Public transport systems are confronted by the need to improve their economic effectiveness in order to meet customer requirements at acceptable costs for transit providers, which are often heavily subsidized. Our goal is to understand how the organizational form of the transit system impacts on system productivity. Our methodology consists of comparing performance in terms of distance traveled of two competing transit services, a traditional fixed-route and a demand responsive service, while ensuring a comparable service to the same set of customers. We consider several scenarios, which depend on the road network, service quality level, and demand density. According to our findings, demand responsive transit services perform better for high-quality service levels and low demand density scenarios.