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
https://www.buyxanaxuk.com/
Xanax 1mg for Sale in UK, Buy Xanax 2mg online from Scotland, Buy Xanax 0.25mg Online, Diazepam for Sale Online, Buy Benzo, Buy benzodiazepines drugs online.
Often the Are generally Weight reduction plan is unquestionably an low-priced and flexible weight-reduction plan product modeled on individuals seeking out shed some pounds combined with at some point maintain a far healthier your life. la weight loss da pa checker
Whereas there is no question that marketing is over-reaching at best in order to sell a product, the question for any person suffering from this skin condition is this Is there a chance that this product will work for me? I am sure you’ll ask if a cellulite cream works if you are plagued by this skin problem. This is the most common question asked by cellulite sufferers when they are searching for the best reduction treatment to reduce the appearance of this skin problem or get rid of cellulite. hasta yatakları
Hi there, I found your blog via Google while searching for such kinda informative post and your post looks very interesting for me. 中文補習推薦
I found so many interesting stuff in your blog especially its discussion. Really its great article. Keep it up. 數學補習推薦
First You got a great blog .I will be interested in more similar topics. i see you got really very useful topics, i will be always checking your blog thanks. 數學補習社
What a sensational web page! This site is surely an too much amount of money amazing in all options. Specially, it seems for being like awesome furthermore the written content accessible on it might be utmost qualitative. สมัครslotpg
I really appreciate this wonderful post that you have provided for us. I assure this would be beneficial for most of the people. X2couponsdotcom
This a good way to appreciate the teacher as they put their efforts to train students. UK dissertation Writers appreciates the teachers. 補習數學
A good blog always comes-up with new and exciting information and while reading I have feel that this blog is really have all those quality that qualify a blog to be a one. 數學補習推薦
Lekkende kraan? Verstopt toilet? Wij kunnen u van dienst zijn met een breed scala aan loodgietersdiensten.
Ontstoppen
Hello I am so delighted I located your blog, I really located you by mistake, while I was watching on google for something else, Anyways I am here now and could just like to say thank for a tremendous post and a all round entertaining website. Please do keep up the great work.สล็อตเว็บใหญ่
Slimcrystal
Hello I am so delighted I located your blog, I really located you by mistake, while I was watching on google for something else, Anyways I am here now and could just like to say thank for a tremendous post and a all round entertaining website. Please do keep up the great work.สล็อตเว็บใหญ่
สล็อตเว็บใหญ่ Hello I am so delighted I located your blog, I really located you by mistake, while I was watching on google for something else, Anyways I am here now and could just like to say thank for a tremendous post and a all round entertaining website. Please do keep up the great work.
Guardian Blood Balance
TEA BURN
فني تكييف مركزي شركة يو اف صيانة التكييف المركزي وفني تكييف مركزي وتصليح مكيفات وتصليح ثلاجات وفني غسالات اتوماتيك خدمات منازل ٢٤ ساعه جميع مناطق الكويت
يمكنك الان مشاهدة بث مباشر اهم مباريات الدوريات الكبري علي موقع يلا شوت الجديد
Kerassentials
alpilean
glucotrust
Prodentim
glucoflush
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. christian mysticism youtube channel
Thank you a lot of for sharing this terrific weblog.Incredibly inspiring and useful much too.Hope you continue on to share much more of your respective Concepts.I will certainly like to examine.สล็อตเว็บใหญ่
Appealing and incredible how your publish is! It Is helpful and handy for me That I like it greatly, And that i am searching ahead to Hearing from your up coming../มะปราง
I am delighted to seek out your distinguished strategy for composing the submit. Now you allow it to be simple for me to be aware of and apply the strategy. Thank you for that article.สล็อตเว็บใหญ่
We are really grateful for your blog post. You will find a lot of approaches after visiting your post. I was exactly searching for. Thanks for such post and please keep it up. Great work. Health Bar Whittier
POPULAR SERIES, GOOD MOVIE
The One Hundred
Thank you to the author from the heart.7m.live
https://prodentim-us.us/ The ProDentim dental probiotic supplement is a special blend of 3.5 billion nutrients as well as probiotic bacteria that has been researched in clinical trials. ProDentim is unlike anything you have ever used or attempted.
https://prodentim-us.us/ The ProDentim dental probiotic supplement is a special blend of 3.5 billion nutrients as well as probiotic bacteria that has been researched in clinical trials. ProDentim is unlike anything you have ever used or attempted.
I’m going to read this. I’ll be sure to come back. thanks for sharing. and also This article gives the light in which we can observe the reality. this is very nice one and gives indepth information. thanks for this nice article… personal injury lawyer Montebello
I am always searching online for storys that can accommodate me. There is obviously a multiple to understand about this. I feel you made few salubrious points in Attributes moreover. todaytimesnews.com
The subsequent inquiry you’ll need to get familiar with the response to will be the number of preliminaries that has the lawyer taken care of. Speed test
wash we’re there! So when we say we make the best show boards, we’ve tested it, Car Show Boards
I’m using Tradekey which is one of the largest International E-Marketplaces for Exporting & Importing countries.
It bridges the Gap between Buyers & Suppliers who fall in the category of Manufacturers, Traders, Wholesalers, Retailers, Importers & Exporters. Get the productive Shoes Buyers now.
When the spring season starts, nigoal ฝาก 50 รับ 100 so does allergy season.
Im obliged for the article.Much thanks again. decor
Car Show Boards From design to production, it’s all done in house… which is something our competitors can’t say!
You have worked admirably on this article. It’s truly decipherable and exceptionally keen. You have even figured out how to make it justifiable and simple to peruse. You have some genuine composition ability. Much obliged to you. 數學補習
Really a great addition. I have read this marvelous post. Thanks for sharing information about it. I really like that. Thanks so lot for your convene. Trip to Turkey
Thank you to the author from the heart.ข่าวฟุตบอลออนไลน์
Hiya! Fantastic blog! I happen to be a daily visitor to your site (somewhat more like addict ) of this website. Just wanted to say I appreciate your blogs and am looking forward for more to come! Alpilean
What is an online casino?You can play casino games and poker remotely with extremely convenient technical equipment.The best and legit online casino Betso88 online casino, a betting site in Philippines. JILI slot,FC slot and other online games are all in Betso88,you can find other many interesting slot game and get online slot free credit in our casino app.No matter what kind of experience you have in online casino, BetSo88 will be able to help you find the most famous online slot game.
Commercial loans are a vital part of the business world, and Maryland is no exception. Here, business owners can find a variety of loan options to help them grow and succeed. Whether you’re looking for a traditional loan or something more specialised, the team at Maryland Commercial Loans can help. Sunny Lending LLC has years of experience in the industry, and we’re dedicated to finding the perfect loan for your business.
hi there, your website is discount. Me thank you for do the job Alpilean
I really liked your blog post.Really looking forward to read more. Great. 7 Thorough Tips To Make Your Home Refresh
เว็บตรงmega game สล็อตออนไลน์ ยอดนิยม เล่นด้วยเงินจริง เล่นบนมือถือ รองรับทุกระบบ สมัครสมาชิกใหม่ รับโบนัสฟรี 100% ที่นี่เท่านั้น เกมส์สล็อตออนไลน์ ได้รับความนิยมอย่างมากสำหรับนักพนันออนไลน์ สล็อตออนไลน์