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.
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
Your website is really cool and this is a great inspiring article. ayurvedic franchise company
I truly appreciate this blog post.Thanks Again. make him love me spell
If you’re a charity or organization that needs cars to transport people or goods, you can use them for when you’re not available to drive.
My brother recommended I may like this web site. He was entirely right. This publish actually made my day. You can not consider just how so much time I had spent for this information! Thank you! Pacific Northwest Roots Seeds
Keep up the fantastic piece of work, I read few blog posts on this web site and I believe that your site is real interesting and has lots of great information. gage green group seeds
Good post but I was wondering if you could write a litte more on this subject? I’d be very thankful if you could elaborate a little bit further. Appreciate it! 레깅스 룸
Steel Grit ::– https://www.sandblastinghopper.in/product/steel-grit
Steel Grit is made by crushing and screening the resulting abrasive media and then tempering them to the desired hardness. Steel Grit supplier has sharp edges and with the help that it can clean and smooth the blasting surface.
Many charities and organizations are looking for long-term relationships with their drivers. So if you’re interested in driving for a certain charity or organization, be sure to inquire about this before signing up.
Translation Agencies UK
Translation Agency UK
Translation Companies UK
Translation Company UK
Translation Services UK
I am really impressed with the judgment you presented above. The great assignment help service by the Ideal Dissertation help platform allows students to stay at the top of their class and secure a better future for themselves in today’s competitive era. If you’re looking for assistance with your Dissertation Help then visit The Student Helpline UK.
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. In fact your creative writing abilities has inspired me to start my own Blog Engine blog now. Really the blogging is spreading its wings rapidly. Your write up is a fine example of it
สล็อตเบทขั้นต่ำ 1 บาท
Its as if you had a great grasp on the subject matter, but you forgot to include your readers. Perhaps you should think about this from more than one angle. Tadalista super active 20 mg
이것은 정말 좋은 웹 사이트입니다. 내가 방문한 것 중 가장 멋진 웹 사이트입니다. 정말 감사합니다. https://oncalist3.com/
Outstanding specifics you wrote listed below..Terrific stuff…I sense you’ve created some seriously interest-grabbing variables.Maintain the good get the job accomplished.สล็อตออนไลน์
Outstanding specifics you wrote listed below..Terrific stuff…I sense you’ve created some seriously interest-grabbing variables.Maintain the good get the job accomplished.สล็อตออนไลน์
Due to today’s growing economic climate, electronic settlements are becoming more popular as an alternative to money exchanges. One of the most well-known digital exchanges is Bitcoin. Bitcoin has caused a significant change in the economic climate of several nations. It is accepted in every part of the nation. Let us know what really Bitcoin Is. With our Bitcoin wallet refund number you can contact our Cryptocustomercare and get your queries resolved they’ll definitely help you.
IDN Poker
Poker Online
IDN Play
Poker
Very good points you wrote here..Great stuff…I think you’ve made some truly interesting points.Keep up the good work. tape storage in Singapore
Your online journals are effectively open and very edifying so continue doing the astounding work folks. outcall massage
카지노솔루션 as an unfinished flower
You are a flower that never withers
I’ll tell you, you’re right
All the contents you mentioned in post is too good and can be very useful. I will keep it in mind, thanks for sharing the information keep updating, looking forward for more posts.Thanks access control singapore
I truly welcome this superb post that you have accommodated us. I guarantee this would be valuable for the vast majority of the general population. 라이브카지노
Sports Performance Testing
Energize by Recharge has created the most diverse sports performance human analysis measurement and testing facility in the country with over 500 unique testing metrics. The team at Energize can assess and analyze every facet of a high performance athletes body from neuro-cognitive reaction times in the brain and visual acuity all the way throughout the muscle forces and trauma generated in the body’s muscles and joint incurred during practice and training which helps reduce injury
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. Molded Rubber Products
Super site! I am Loving it!! Will return once more. I’m taking your sustenance in addition. Thanks. newshalf
Sweet blog! I found it while searching on Yahoo News. Do you have any tips on how to get listed in Yahoo News? I’ve been trying for a while but I never seem to get there! Thanks อันดับโบรกเกอร์ forex
some genuinely choice content on this internet site , saved to my bookmarks . ค่าเงิน AUD,ค่าเงิน AUD วันนี้
I really glad to find this internet site on bing, just what I was searching for : D besides saved to my bookmarks . Slot Online
Nice work i love your work keep it up….. 스포츠중계
This internet web page is genuinely a walk-through for all of the info you wanted about this and didn’t know who to ask. Glimpse here, and you’ll surely discover it. Ecommerce Stores In Pakistan
Thanks a lot for a fantastic blog post, exactly where will you come across all of your information? Slot
What I wouldnt offer to possess a discussion with you concerning this. you only say numerous things that arrive from nowhere that Im fairly positive Id have a fair shot. Your blog is terrific visually, I mean folks wont be bored. however others who can see past the videos and also the layout wont be thus impressed in conjunction with your generic understanding of this subject. Slot
Thanks for taking the time to discuss this, I feel strongly about it and love learning more on this topic. If possible, as you gain expertise, would you mind updating your blog with extra information? It is extremely helpful for me. 토토사이트
Very efficiently written information. It will be beneficial to anybody who utilizes it, including me. Keep up the good work. For sure i will check out more posts. This site seems to get a good amount of visitors. Womens clothes
I encourage you to read this text it is fun described … hotmail.com
I would like to read your article more.and i want to say thank u to your patient .your content its good for me ,so you should keep fighting for writing good article like this.i like your awareness.
เว็บข่าวกีฬา
เว็บ888สล็อต
Apply for online gambling websites, casinos, online slots, the best websites in the world of gambling. No minimum deposit, real money, real rich.
สล็อต789
There are pretty, beautiful girls who are always dealing with cards without getting bored.
games that are played online And supports
Full of fun, exciting, challenging, comes with a clear HD picture system.
ظروف مسی آلمیس
I would like to say that this blog really convinced me to do it! Thanks, very good post. uniswap
I recently found many useful information in your website especially this blog page. Among the lots of comments on your articles servis racunara
.
The only way to prevent an allergic สล็อตเว็บตรงแตกง่ายไม่ล็อคยูส reaction is to avoid milk and milk proteins.
Great article, your blogs are original and easy to understand by anyone, and the content is very helpful and inspiring. Continue your good work! From:hot deal Uk