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
Wow, this is absoulutely connected to my story here 메이저토토사이트 I can suggest visitting my article so that we can share our knowledge.
Outstanding Service! Great Execution of their plans in work! They are just perfect! I would like to recommend them to everyone out there! You will not regret it! daftar slot dana agencuan 10000
Very informative blog article.Much thanks again. Will read on… https://borrowme.com/
Many individuals struggle to feel nigoal alert in the morning and, as a result, find it challenging to prepare for responsibilities.
Got the best results for me which I was looking for almost a decade and believe me I am not disappointed a bit! Great Work! Five Stars! Recommended to everyone! situs kamboja gacor
Nama Pocket gaming DEWA89 juga kian populer sebagai penyedia slot online familiar yang terkenal. Opsi yang satu ini dapat menciptakan banyak uang dan juga penawaran menarik. Salah satu diantaranya kau dapat mencoba bermain slot gacor hari ini dengan cara lain yang terintegrasi menerapkan 1 user ID. Slot Gacor Lucky Neko ialah alternatif DEWA89 slot online dengan skor RTP 98,82%.
thanks this is good blog. SEO
it’s really nice and meanful. it’s really cool blog. Linking is very useful thing.you have really helped lots of people who visit blog and provide them usefull information. seo
Nama Pocket gaming DEWA89 juga kian populer sebagai penyedia slot online tenar yang tenar. Alternatif yang satu ini dapat mewujudkan banyak uang dan juga penawaran menarik. Salah satu diantaranya kau dapat mencoba bermain slot gacor hari ini dengan metode lain yang terintegrasi menerapkan 1 user ID. Slot Gacor Lucky Neko ialah alternatif https://167.172.65.228/ slot online dengan poin RTP 98,82%.
Anyone, looking for the most striking result for yourself? Don’t waste anymore of your time check out the latest them here! And I assure you! You will not regret it. situs luar negeri kamboja
I was surfing through the internet to get the fine idea for my problem and instead of fine I got the finest though! Check out them for all the latest options and the best crew for help as well! situs slot server kamboja
Woah! I’m really digging the template/theme of this site. It’s simple, yet effective. A lot of times it’s hard to get that “perfect balance” between usability and appearance. I must say you have done a awesome job with this. Also, the blog loads extremely quick for me on Internet explorer. Outstanding Blog! https://www.youtube.com/@todorwitos/about
i always look for laptop reviews on the internet before buying a new one,,, PLASTIC CARDS
Train travel in France is a great way to explore the country, with high-speed services connecting major cities such as Paris, Lukasz Fashion I searched latest undergarments on google and suddenly i got this and it is very usefull and i will suggest my all friends to use this product
I conceive this website has very wonderful indited content material posts . Cannabis Seeds US
PANJITOGEL menghadirkan banyak opsi slot gacor terpercaya juga. Salah satu diantaranya kau dapat mencoba bermain slot Roma. Slot online hal yang demikian ditawarkan oleh provider slot gacor bernama Joker gaming atau PANJITOGEL. Alternatif RTP kemenangan yang ditawarkan oleh slot ini juga amat besar merupakan pada angka 95%.
I really loved reading your blog. It was very well authored and easy to undertand. Unlike additional blogs I have read which are really not tht good. I also found your posts very interesting. In fact after reading, I had to go show it to my friend and he ejoyed it as well! 먹튀검증
Love what you’re doing here guys, keep it up!.. mrpaulfdn.org
Happy Rich Year alternatif PANJITOTO game slot gacor terpercaya dan menarik untuk dimainkan. Slot gacor yang ditawarkan oleh provider CQ9 ini juga masuk dalam klasifikasi slot terkini gacor sebab rupanya mempunyai poin RTP 97.78%. Pun Disamping itu juga beraneka penawaran menarik lainnya dapat kau pilih dan mainkan serta tersedia dengan gampang dengan sejenis kelebihan lain yang dimiliki https://157.245.151.77/.
I cannot thank you enough for the blog article.Really looking forward to read more. Great. lottery colorado
Awesome article post. Much obliged. lottery colorado
10ดาราav
ติดตาม 10ดาราav
Really enjoyed this article post. Fantastic. Akun Thailand Pro
I would like to get across my admiration for your kindness supporting folks that must have guidance on in this subject matter. Your personal dedication to getting the solution throughout had become particularly advantageous and has encouraged regular people just like me to achieve their pursuits. Your insightful information means a lot to me and substantially more to my fellow workers. Thanks a lot; from all of us. 바이낸스벳
It is rather very good, nevertheless glance at the data with this handle. 토토커뮤니티
토토사이트먹튀 Thanks for sharing a great article
that’s what I was looking for, what a information
토토사이트넷 Awesome post. I’m a normal visitor of your site and appreciate you taking the time to maintain the nice site.
카지노사이트먹튀 I wanted to thank you for this good read!! I certainly enjoyed every little bit of it.
슬롯사이트 Hi, all is going well here and of course every one is sharing facts, that’s really fine, keep up writing
Thanks to explore here! menangbet88
I love learning of great resources like this, thanks for sharing with the Football24-7.org team.
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. PBN
Just take a look at this website. I just searched from my home but the whole credit goes to them. They gave the results I wanted for my life. I would consider them every time! visit the website
Great post, I conceive website owners should learn a lot from this web blog its rattling user genial . nicholas sandmann net worth
There is noticeably a bundle to know about this. I assume you made sure nice points in options also. beard growth
I was worried about the condition of my life but then I saw advertisements and their work on the internet and I was amazed by the results the provided me through their work! I would simply suggest them for any kind of problem! original site
I just added this blog to my rss reader, excellent stuff. Cannot get enough! 토토사이트
1st Birthday Decorations
1st Birthday Decorations in Delhi NCR
This was a really great contest and hopefully I can attend the next one. It was alot of fun and I really enjoyed myself.. name generator for blog
I would like to say that this blog really convinced me to do it! Thanks, very good post. PBN
Nice post! This is a very nice blog that I will definitively come back to more times this year! Thanks for informative post. pancake swap
I was reading some of your content on this website and I conceive this internet site is really informative ! Keep on putting up. pancake swap
This is such a great resource that you are providing and you give it away for free. I love seeing blog that understand the value of providing a quality resource for free. pancake swap
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. pancake swap
This is my first time i visit here. I found so many interesting stuff in your blog especially its discussion. From the tons of comments on your articles, I guess I am not the only one having all the enjoyment here keep up the good work apestake
I wanted to thank you for this great read!! I definitely enjoying every little bit of it I have you bookmarked to check out new stuff you post. apestake
Jaipur Call Girls
provide genuine video calls.
Excellent article. Very interesting to read. I really love to read such a nice article. Thanks! keep rocking. apestake