1. Industry Overview:
In France, one of the most popular transport modes is train. SNCF is France’s national railway, providing high speed, overnight and local services in France and beyond into Spain, Switzerland and Italy.
>> http://www.tgv-europe.com/en
Types of Train in France:
Railway industry is quite similar to airline industry, as it sells seats for a transport from an origin to a destination. The price depends on journey, class, and date of booking. Thus, railway industry can be placed in Quadrant 2, where its service has variable prices for a predictable duration. This industry also has the appropriate characteristics to apply revenue management strategies. Those characteristics are:
– Inflexible capacity: the number of seats on a train is fixed
– Variable and uncertain demand: the demand is different depending on the time of day, day of week, origin-destination pairs, and purpose of travel
– Perishable inventory: the unoccupied seat cannot be inventoried, and the revenue of that seat is missed
– Low marginal cost and high production cost
– Product can be sold in advance
– Heterogeneous customers with different segments, varying by age, purpose of travel, independent or group, etc.
However, there are some differences that make the revenue management of railway industry is little bit different than that of airline industry.
– More difficult to forecast demand and to have the accurate number of travelers on a service: no check-in procedure, open tickets (rail pass) generally allow passengers to travel on any rail service, walk up tickets are very common (a large number of passengers purchase their tickets on the day from the station)
– Less difficult to deal with overbooking: passengers are often allowed to stand during train journeys hence increasing capacity beyond the number of seats
———
2. Space
Railway industry defines space implicitly.
Normally, a train has two classes: Economy (2nd Class) and Comfort (1st Class). The seating options and services are different for each class. The price is same for different seating options in a class.
Economy Class:
Comfort Class:
Trains, especially TGV has “TGV bar”, which provides a wide selection of meals and sweet snacks available for purchase. Additionally, the TGV bar offers films on DVD, magazines, games for children, Paris Metro tickets, even USB sticks for purchase. There is also a rolling snack cart that comes to the customers’ seats.
For additional revenue, TGV offers Premium service includes 1st Class seat, meal service, and access to the TGV lounge at the train stations.
Personally, I would charge difference fares for different seating options in each class. A group will want to pay more to have a Club 4 seat. A couple will want the Duo seat or Club 2 seat. And an individual traveler will want a solo seat. As the number of seat are fixed, we can charge for each option, rather than a “first comes first served” policy.
I’m also thinking about a mini-cinema on train, especially overnight train. Normally, the overnight train have load factor less than 80%, so the train can use one car to transform into a mini-cinema with a projector and a screen. When the train is busy, the car will be transformed in normal guest car again.
——
3. Time
Railway industry defines time implicitly.
Although the duration of a journey is determined, the railway industry sells a journey rather than specifically selling time. In addition, there may be issues that cause the increase/decrease in duration of the journey.
However, the railway industry also tries to sell time explicitly with the Rail pass. With Rail pass, customers can have unlimited travel on the national rail network of France for a fixed number of days. The choices are 3, 4, 5, 6, 7, 8 or 9-day pass within a one-month period. Travel days may be used consecutively or non-consecutively. Thus, the fare becomes rate-per-day, not anymore rate-per-trip.
>> http://www.raileurope.com/rail-tickets-passes/france-pass/index.html
The industry can sell time explicitly by providing Rail pass with weekly or monthly unit. However, I think it will not be effective as it makes the demand forecasting much more complicated. Half-day unit won’t make sense as a trip is normally more than 3 hours.
——–
4. Price
Tickets can be purchased 60 to 120 days in advance depending on the route.
Ticket discounts are based on advance purchase, availability, and certain restrictions. Everyone is eligible to receive discounted fares by purchasing an Economy or Comfort class ticket in advance. Youth and seniors can enjoy specific discounts as well. Discounted tickets are available for youth (under 26 of age), seniors (age 60 and over) and children (generally ages 4-11) but should be verified with each product.
Price at 1 week before departure
Price at 2 weeks before departure
Price at 3 weeks before departure
Price at 4 weeks before departure
Normally, prices are reduced for 1or 2 week-advanced purchase, slightly reduced for 3-week-advanced purchased, and stay same for more-than-4-week-advanced purchase.
The physical rate fences are the classes:
The non-physical rate fences are age, season ticket, and loyalty
As the rate fences are now already too sophisticated, I would rather consolidate these fences than create new fences to confuse customers.
(-Thao Ly)
——–
References:
http://www.raileurope.com
http://www.tgv-europe.com
http://www.sncf.co.uk/
Amstrong and Messneir, 2010. Railway revenue management: Overview and Methods
Schroeder, Braun, and Schnieder. Revenue management in the railway industry
Now it’s very easy to download all premium fonts with their family free!!! Go and download all types of fonts premium that are available only on byfonts.com catalina avalon sans free
Baccarat online betting website Reviews from real users in play baccarat online Review of deposits and withdrawals and look at the stability of the web to play The process of investing and using good services as a part of using the service. บาคาร่า168
Baccarat online betting website Reviews from real users in play baccarat online Review of deposits and withdrawals and look at the stability of the web to play The process of investing and using good services as a part of using the service. บาคาร่า99
Manufacturer of Health, Wellness, Pet & Nutrition products. Bringing you High-Quality products made from people that care. All products are Made in the USA. Our Team strives for perfection in the products from the purest ingredients available today.
here
Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts. Any way I’ll be subscribing to your feed and I hope you post again soon. Big thanks for the useful info. Map Print service online
Good artcile, but it would be better if in future you can share more about this subject. Keep posting. betting sites in Ireland
These types of you may then see the most important thing, the appliance offers which you website a fantastic considerable web page: เว็บคาสิโน
Hey what a brilliant post I have come across and believe me I have been searching out for this similar kind of post for past a week and hardly came across this. Thank you very much and will look for more postings from you. Map Print service online
This is very educational content and written well for a change. It’s nice to see that some people still understand how to write a quality post.! boku betting sites
Baccarat online betting website Reviews from real users in play baccarat online Review of deposits and withdrawals and look at the stability of the web to play The process of investing and using good services as a part of using the service. บาคาร่า168
Man, I really enjoyed reading this message. You have convinced me to subscribe to your blog, but where can I find the RSS feed? Industrial lighting
Thanks for sharing us. Kitchen Experts
I can’t believe focusing long enough to research; much less write this kind of article. You’ve outdone yourself with this material without a doubt. It is one of the greatest contents. domino online
Love what you’re doing here guys, keep it up you also go here: wpc2022.live login
I love this blog!! The flash up the top is awesome!! wpc2022.live login
As I web-site possessor I believe the content matter here is rattling wonderful , appreciate it for your efforts. You should keep it up forever! Best of luck. thermo giallo herbalife
Great post, thanks so much for sharing. Do you happen to have an RSS feed I can subscribe to? herbalife barrette
Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts. Any way I’ll be subscribing to your feed and I hope you post again soon. Big thanks for the useful info. 代写report
This is a great item, considering all the data about it, this kind of item that anticipates client enthusiasm for the site, and you will share more … good karma. 토토사이트추천
I all considered need to uncover to you that I am new to weblog and doubtlessly remained mindful of this blog website page. Likely I’m going to bookmark your blog . You by a wide edge have astounding stories. Roots for introducing to us your blog. 베스트토토
This is just the information I am finding everywhere. An obligation of appreciation is all together for your site, I essentially buy in your online diary. This is a tolerable blog.. 토토사이트추천
Hello, I have browsed most of your posts. This post is probably where I got the most useful information for my research. Thanks for posting, maybe we can see more on this. Are you aware of any other websites on this subject. Hotel
Hello, I have browsed most of your posts. This post is probably where I got the most useful information for my research. Thanks for posting, maybe we can see more on this. Are you aware of any other websites on this subject. Hotel
I was reading your article and wondered if you had considered creating an ebook on this subject. Your writing would sell it fast. You have a lot of writing talent. best online Classes
These kinds of bogus promises are usually considerable, helpful envision therefore — I know therefore much too… เว็บพนัน ออนไลน์
Authorized toward accumulating linked to gambling in this post comprehend pretty much everything in terms of every person. เว็บพนัน ออนไลน์
Excellent .. Amazing .. I’ll bookmark your blog and take the feeds also…I’m happy to find so many useful info here in the post, we need work out more techniques in this regard, thanks for sharing. kanga room systems
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. Organic Foods
Absolutely amazing posting! Heaps of significant information and inspiration, the two of which we as a whole need!Relay welcome your work. 토토사이트추천
When I originally commented I clicked the -Notify me when new comments are added- checkbox and already every time a comment is added I get four emails with the same comment. Is there however you may eliminate me from that service? Thanks! Los Angeles Criminal Defense Lawyer
Hmm… I interpret blogs on a analogous issue, however i never visited your blog. I added it to populars also i’ll be your faithful primer. Magazine Tutorial
Hey, this day is too much good for me, since this time I am reading this enormous informative article here at my home. Thanks a lot for massive hard work. 數學補習
It is my first visit to your blog, and I am very impressed with the articles that you serve. Give adequate knowledge for me. Thank you for sharing useful material. I will be back for the more great post. 中文補習
Thank you again for all the knowledge you distribute,Good post. I was very interested in the article, it’s quite inspiring I should admit. I like visiting you site since I always come across interesting articles like this one.Great Job, I greatly appreciate that.Do Keep sharing! Regards, sell credit card processing
Reds Landscaping & Design is a landscaping company that specialises in the design and construction of gardens, patios and outdoor spaces design interior garden brisbane
Magnificent beat ! I would like to apprentice whilst you amend your website, how could i subscribe for a weblog site? The account helped me a appropriate deal. I had been a little bit acquainted of this your broadcast provided brilliant transparent idea 꽁머니
Very useful post. This is my first time i visit here. I found so many interesting stuff in your blog especially its discussion. Really its great article. Keep it up. selling credit card processors
We clean up on completion. This may sound obvious but not many a plumber in Sydney does. We wear uniforms and always treat your home or office with respect. 꽁머니
Reds Landscaping & Design is a landscaping company that specialises in the design and construction of gardens, patios and outdoor spaces design interior garden brisbane
I would like to thank you for the efforts you have made in writing this article. I am hoping the same best work from you in the future as well. Thanks… リアル ラブドール
Interesting post. I Have Been wondering about this issue, so thanks for posting. Pretty cool post.It ‘s really very nice and Useful post.Thanks atp finals 2022 players
Interesting post. I Have Been wondering about this issue, so thanks for posting. Pretty cool post.It ‘s really very nice and Useful post.Thanks clinic
Now it’s very easy to download all premium fonts with their family free!!! Go and download all types of fonts premium that are available only on byfonts.com urbano font
Positive site, where did u come up with the information on this posting? I’m pleased I discovered it though, ill be checking back soon to find out what additional posts you include. https://surya168.co/
I wanted to thank you for this excellent read!! I definitely loved every little bit of it. I have you bookmarked your site to check out the new stuff you post. DSE英文拔尖
stunning, great, I was wondering how to cure skin break out ordinarily. likewise, found your site by google, took in an extraordinary arrangement, now i’m fairly clear. I’ve bookmark your site and moreover incorporate rss. keep us invigorated. Infinix Note 12 G96 Price in bulgaria 2022
I think this web site has got very fantastic indited written content articles . พนันบอล
Our MEDIA TEAMS NEEDS A RAISE!!!
ผลบอลออนไลน์
You made some decent points there. I looked on the net for that problem and discovered most people will go coupled with using your web site. Los Angeles Criminal Defense Attorney
The most beautiful feature of pp slot game that is the new update in 2022 . Which come with 4 K video slot