Railway Industry in France

TGV 1

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:

01-TGV

02-Lunea

03-Teoz

04-TER

06-Intercites

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:
01-Class2
 Comfort Class:

01-Class 1

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.

01-TGV Bar

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
01-Price-1st class-10AM-1wk

Price at 2 weeks before departure

01-Price-1st class-10AM-2wk

Price at 3 weeks before departure

01-Price-1st class-10AM-3wk

Price at 4 weeks before departure

01-Price-1st class-10AM-4wk

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:
01-Booking-Class

 

The non-physical rate fences are age, season ticket, and loyalty

01-Booking-Rate Fences-1

01-Booking-Rate Fences-2

01-Booking-Rate Fences-3

01-Booking-Rate Fences-4

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

 

159,397 thoughts on “Railway Industry in France

  1. Great  Korean Dramas. One of the best dramas I ever watched online, Thank you for uploading this episode daily. watch new episodes on dramacool KSHOWS Movie and Korean dramas.

  2. เว็บ คาสิโนออนไลน์ที่ชนะใจผู้เล่นทั้งโลก ไม่ใช่แค่เมืองจีน ด้วยมาตรฐานระดับนานาชาติ เทคโนโลยี และก็การบริการยอดเยี่ยม ไม่มีปัญหา ให้บริการครบทั้งยัง dg บาคาร่าออนไลน์ ไฮโล เสือมังกร รูเล็ต หรือ โป๊กเกอร์ บริษัทปรับปรุงตลอดเร็วทันใจ มั่นคง พร้อมการใช้แรงงานผ่าน DG Casino App ยิ่งตอกย้ำซ้ำเติมความเป็นเจ้าตลาดของเกมคาสิโนภาพ Full HD ได้ประสบการณ์กับสนุกสนาน ทุกๆที่รวมทั้งลุ้นโชคไปกับเกมส์ของพวกเราdreamgaming

  3. I don’t make it a habit to make comments on many articles, but this one deserves attention. I agree with the data you have written so eloquently here. Thank you. acim

  4. A person can easily get the best trading experience in the most secure way by choosing this option. Because the Trezor Wallet never connects to the internet, hackers or unapproved users are unlikely to be able to access your funds. Trezor hardware wallets allow users to securely swap cryptocurrencies via the company’s beta wallet. Users have access to the wallet’s new exchange section which allows them to purchase cryptocurrencies from exchanges and swap their existing digital assets with the same platform. Through this article, you’ll get to know how to swap coins on Trezor wallet.

  5. ยูฟ่าเบท ยอดเยี่ยมในผู้ให้บริการยอดนิยมสูงมากมายรายหนึ่ง โดยคุณลักษณะเด่นอยู่ที่ระบบการพนันบอลที่เป็นเอกลักษณ์ ใช้งานได้ง่าย เป็นเว็บไซต์ตรงไม่ผ่านเอเย่นต์ พร้อมความมั่นคงและยั่งยืนทางด้านการเงินที่ประกัน ได้จริงจ่ายจริง พวกเรายังมีบุคลากรพร้อมดูแลตลอด 24ชั่วโมงเพื่อนักเสี่ยงโชคได้เพลิดเพลินเจริญใจไปการการพนันที่บันเทิงใจนี้ได้ถึงยูฟ่าเบทจะขึ้นชื่อลือชาในส่วนของการพนันกีฬา ก็มิได้แสดงว่าทางด้านอื่นจะด้อยไปกว่ากัน พวกเรายัง live casinoที่ให้ท่านได้ซาบซึ้งกับบรรยากาศเปรียบเสมือนจริง ไม่ว่าจะเป็น บาคาร่า สล็อตรูเล็ต เสือ-มังกร แล้วก็อีกเยอะแยะเสมือนคาสิโนจริง ไม่ต้องเดินทางไปไหน เล่นได้จากอุปกรณ์พกพาเหมาะกับคนที่ไม่ค่อยมีเวลาถือว่าเป็นหนึ่งวิถีทางที่เหมาะสมที่สุดที่ทำให้ท่านได้มีโอการที่จะพนันที่อาจทำให้ชีวิตคุณได้แปรไปนิรันดร ไม่ว่าจะเป็นคนสมัยใหม่ หรือรุ่นก่อนก็สามารถเล่นได้ ufa24

  6. Aw, this has been an extremely good post. In notion I have to set up writing in this way moreover – taking time and actual effort to make a top notch article… but exactly what can I say… I procrastinate alot and also by no indicates seem to go done. floor insulation board

  7. ยูฟ่าเบท เป็น เว็บไซต์ เล่นพนันที่ถูกตามกฎหมายรวมทั้งได้รับอนุมัติ เป็นที่แรก ในประเทศไทย เว็บไซต์ Ufabet ซึ่งเปิดทำงานนานอย่างช้านาน เว็บไซต์พนันยูฟ่าเบท ให้บริการที่มีคุณภาพ พร้อมกระบวนการทำธุรกรรมที่ ง่ายสุดๆสำหรับนักเล่นการพนัน ทุกเพศทุกวัย จุดหมายของกลุ่ม ยูฟ่าเบท เป็นกระบวนการทำให้การ พนันออนไลน์ ง่ายสุดๆๆสำหรับคนที่อยากได้พนัน และก็ได้ผล ผลกำไรสูงที่สุด เล่นเกมพนันได้ครบจบในเว็บไซต์เดียว ทำให้ไม่ยุ่งยากต่อการพนันกับกลุ่มที่คุณรักโดยการให้ ผลของการแข่งขันข่าวเกี่ยวกับผู้เล่นที่คุณรู้สึกชื่นชอบ แล้วก็สถิติเกี่ยวกับกลุ่มของคุณufa24h

  8. All of our escorts are professionals and know how to treat their clients with respect. They will always be dressed appropriately for any occasion and will make sure that you are comfortable in their company. You can rest assured that our escorts will never try to pressure you into anything and will always be respectful of your boundaries.
    http://karachibeauty.com/

  9. when you are geared up doing the whole thing we’ve got pointed out within the previous paragraphs, that is considering your purchasing listing with careful planning accuracy, locating the drugs you require keep in mind that we’ve a top notch quantity of sildenafil tablets, which are accepted viagra capsules in their exclusive versions, paperwork and dosages and sending them to the purchasing cart, you may be redirected to the page together with your non-public information. Wherein else may simply anyone get that type of data in such a perfect way of. Whilst i’m additionally keen of getting enjoy. 토토

  10. “Gambling is not about how well you play the games, It’s really about how well you handle your money”
    Playing your online games is easier and more convenient. Don’t waste time traveling. Click my website, let me help you. Thanks !

    제이나인 토토 갤러리
    제이나인 토토 사이트 추천
    제이나인 토토 커뮤니티
    제이나인 온 카지노
    제이나인 카지노
    https://www.j9korea.com

  11. UFABET แทงบอลโลก 2022 ฝาก-ถอนใน 3 นาที บอลเดี่ยว บอลสเต็ป ทางเข้า ufabet เว็บพนันออนไลน์ ฝากขั้นต่ำ 20 บาท ตลอด 24 ชม. LINE:@ufa88v4 UFABET

  12. Many individuals invest in digital currencies for investment purposes. It is the most convenient way to buy anything easily. The reliability, authenticity, and acceptability of digital currency have made it more popular. Consumers and organizations alike use them as the best form of payment. Crypto users often consider steps to Withdraw Blockchain To PayPal easily. A digital token is responsible for securing a transaction, confidentiality, and immutable record. Plenty of payment gateways handle the digital currency for fiat money. PayPal is an effective medium to withdraw assets from your wallet. Keep reading to learn How To Withdraw From Blockchain Wallet To PayPal. Alternatively, you can contact(1 800-658-5702) our CryptoEcoinEx staff for assistance.

  13. แทงบอล UFABET ผ่านมือถือ เว็บแทงบอลค่าน้ำดี ฝาก-ถอน 24 ชั่วโมง แทงบอลขั้นต่ำ 20 แทงบอลสเต็ป แทงบอลสด แทงบอลโลก 2022 @ufa88v4 แทงบอลโลก 2022

  14. Thanks for sharing nice information with us. i like your post and all you share with us is uptodate and quite informative, i would like to bookmark the page so i can come here again to read you, as you have done a wonderful job. https://www.rwroofingtile.com/

  15. Another important thing to consider is your skill level. Are you a beginner or a more experienced
    player? There are some games that are more suited for beginners, while others are more challenging panaloko
    and better suited for experienced players. It’s important to choose a game that is challenging
    enough for you, but not so difficult that you get frustrated and give up.

  16. เลขดี เลขเด็ด หวยเด็ด แหล่งรวบรวม ข้อมูลข่าวสาร เกี่ยวกับหวย ที่ผู้คนกำลังให้ความสำคัญ อัพเดทข่าวสารก่อนใคร เลขเด็ด

  17. children’s doctor pediatrician are highly qualified physicians who provide comprehensive care for children from birth to age 18 years. Baby doctor pediatrician are involved in the care of infants and children with illnesses, injuries, or problems.

  18. To explore the universe of changed smaller than expected vehicles, we talked with Ransack Fusi, Another Jersey-based mechanical specialist. His YouTube video where he traded the battery in his child’s Power Wheels Porsche 911 GT3 has around 5 million perspectives. He says that whether you’re after an unobtrusive power update or an elite exhibition remake, these are the four phases of change.
    Read More :- https://www.techgadgetsblog.com/f150-power-wheels/

  19. ดูหนัง 4k ดูหนังออนไลน์ใหม่2022 เว็บหนังออนไลน์ dumovie88 เว็บหนังยอดนิยม ที่มีการ อัพเดทหนังใหม่ ทุกวัน เพื่อให้ท่านไม่พลาด ดูหนังออนไลน์

  20. If you’re looking for t shirt plastic bag suppliers, Trade Key is a great option. We’re one of the top B2B marketplaces and we’ll connect you with suppliers who can provide the t shirt plastic bags you need for your online store. The suppliers on Trade Key are reliable and offer great products, so you can be sure you’re getting quality t shirt plastic bags for your customers. With Trade Key, you can find the perfect supplier for your business and get the t shirt plastic bags you need to keep your store stocked and running smoothly.

  21. Are online slots really worth your time and money?
    This is a question that many casino players ask themselves, especially when they are new to the
    online gambling scene. There are many factors to consider when answering this question, such as
    the type of slots you enjoy playing, the frequency with which you play, and the size of your bankroll.
    In this article, we will take betso88 a look at all of these factors to help you determine if online slots are
    worth your time and money.

Leave a Reply

Your email address will not be published. Required fields are marked *