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

 

159,446 thoughts on “Railway Industry in France

  1. Mengenal bocoran slot hari ini di game slot pragmatic tentu saja akan membikin persentasi kemenangan kalian menjadi tinggi sebab bocoran slot admin GACOR88 tentu saja benar cermat sebab dapat menempuh 98% poin kemenangannya, karenanya dari itu benar penting untuk pemain slot mengenal bocoran admin GACOR88 slot supaya tak terjebak saat bermain slot online.

  2. What is the best way How To Convert Bitcoin To USDT On Kucoin? If that is the case, then now would be the time to act. There is a lot of potential for the use of cryptocurrency in retail payments, as it is a well known cryptocurrency. There are so many specialists in this field debating among themselves for the convenience of clients. People show greater interest and look for the right place to invest their Bitcoin.

  3. Selamat datang di web PANJITOGEL yang akan senantiasa memberikan update bocoran informasi slot tergacor untuk dapat dimainkan oleh pemain slot online. Penggemar games slot online pastinya tak tabah untuk tiap hari menantikan update bocoran slot terupdate sebab telah mau bermain untuk menerima sensasional, ya https://store.udlap.mx/ tahu itu.

  4. PG SLOT ใหม่ล่าสุด 2023 รวบรวมเกมสล็อตออนไลน์ใหม่ล่าสุดในเว็บเดียว ให้คุณได้เปิดประสบการณ์เล่นเกม SLOT รูปแบบใหม่ที่ไม่เคยมีที่ไหน

  5. nbet All games are also winbet meticulously designed to ensure that everything is accurate. This ensures that both players have equal slots and chances of winning. The casino’s games are certified by a variety of organizations to guarantee the safest and most accurate games for players. The casino’s customer service side is also ready to provide you with a premium customer experience. By providing assistance throughout 1 day, the system is in Thai language. So we are ready to serve you when you need it. We are here to help you get the most out of your favorite slot games. If you have any problems, we are happy to answer them.

  6. ويژگي هاي پنجره دو جداره
    پنجره دوجداره از شيشه هاي دو جداره با فريم UPVC توليد مي شود. يو پي وي سي نوعي جايگزين براي آلياژهاي فلزي و غير فلزي در ساخت درب و پنجره مي باشد.از ويژگي هاي بارز اين پنجره ها مي توان به وزن سبک، مقاومت بسيار بالا در برابر تغييرات جوي و عدم اشتعال پذيري اشاره نمود. اساس پنجره دو جداره بر پايه شيشه دو جداره است.در اين نوع پنجره دوجداره اصفهان فلوت پنجره دو يا چند لايه شيشه به کمک نوار اسپيسر که دور تا دور آن ها قرارگرفته از همديگر جدا شدند و فضاي بين شيشه ها با هوا يا گاز آرگون و يا SF6 پر مي شود.اسپيسرها اصولا از جنس آلومينيوم هستند که درون آن ها با ماده سيليکا ژل که نوعي رطوبت گير است و رطوبت هواي بين دو شيشه را جذب مي کند پرشده است.

  7. Good to visit your blog once more, it has been a very long time for me. Well this article that i’ve been hung tight for such a long time. I really want this article to finish my task in the school, and it has same point with your article. Much appreciated, incredible offer. local Costco Food Court

  8. เว็บไซต์ที่ให้บริการคาสิโนออนไลน์เต็มแบบAreaslotswallet สล็อตเกม เอเรียสล็อต ที่กำลังได้รับเป็นที่นิยมเป็นอย่างยิ่ง สล็อตเว็บไซต์ตรง ด้วยแบบอย่างระบบการเล่นที่นำสมัย areaslots wallet สล็อตPG ปรับปรุงมาเพื่อ ทุกคนที่มีไลฟ์สไตล์ชีวิตที่นำสมัย ไม่ต้องรอคอยรับโบนัส เครดิต แบบนั่งรอคอยขออีกต่อไป เพียงแค่เล่นก็ได้ยอด CASHBACK มากไม่น้อยเลยทีเดียว จำต้องทดลอง ที่ Areaslotswallet.co รับประกันว่าไม่ซ้ำใครแน่ๆ เว็บไซต์ตรง เล่นบนหน้าเว็บหรือผ่านมือถือทุกรุ่นทุกแบรนด์ได้ทั้งปวง เป็นสล็อตเว็บไซต์ตรงของจริงไม่ผ่านเอเยนต์ ฝากถอนไม่มีอย่างน้อยตามแบบฉบับเว็บไซต์ตรงของจริงพีจี ระบบออโต้รองรับทรูวอเล็ท True wallet สำหรับการใช้งานเต็มแบบอย่าง สล็อตพีจีเว็บไซต์ตรง เว็บไซต์ตรงไม่ผ่านเอเยนต์ อัตราการแตกด้วยเปอร์เซ็นที่เหนือกว่าก็เลยทำให้ทุกคนไม่สามารถที่จะ ไม่ยอมรับได้เลยว่า ทางพวกเราเหนือกว่าคู่ปรับในทุกๆภาพทั้งยังความมีประสิทธิภาพทางด้านการเงินและก็ระบบ พร้อมบริการที่จะทำให้ท่านนั้นหลงเสน่ห์

  9. I absolutely love your blog and find many of your post’s to be just what I’m looking for. Do you offer guest writers to write content available for you? I wouldn’t mind producing a post or elaborating on a number of the subjects you write in relation to here. Again, awesome site! Vape Shop in Dubai

  10. Persons appreciate shopping for amazing, appealing, fascinating and from time to time attractive aromas for them selves and pertaining to others. This can be executed conveniently along with inexpensively in an on-line perfume shop. hanger factory

  11. I absolutely love your blog and find many of your post’s to be just what I’m looking for. Do you offer guest writers to write content available for you? I wouldn’t mind producing a post or elaborating on a number of the subjects you write in relation to here. Again, awesome site! elf bar 5000 puffs

  12. This is exceptionally instructive substance and composed well for a change. It’s pleasant to see that a few individuals still see how to compose a quality post!  hanger factory

  13. The food and beverage business benefits greatly from Restaurant Pos Software. It is the most effective instrument for enhancing customer service and streamlining business processes. Your inventory management will be automated by the restaurant POS system to replenish the running low goods. Additionally, it drastically lowers the amount of manual error in the bills. Restaurant Pos Software acts as a kind of growth catalyst for small and medium-sized businesses.

  14. Awesome review, I am a major devotee to remarking on web journals to educate the web journal scholars realize that they’ve added something beneficial to the internet!..  tag pin wholesale

  15. You may consider us if you’re looking for your best Assignment Helper in Qatar . You can get valuable solutions for it from the best experts at our company. Whether it’s around the clock, every day of the week, or on a specific subject, our Experts provide 100 percent unique information. Your excellent work should be completed. Training requires experts to provide flawless coursework assignments, which require in-depth research on the subject matter, knowledge, and data. Getting high marks is something they know how to do.

  16. Shelo Nabel Mara

    Shelo Nabel Mara fue una casa de moda de lujo italiana fundada en Milán, Italia, en 1971. La diseñadora y empresaria Maria Laura Marzotto estableció la marca para llevar al mundo los mejores materiales, la artesanía y el estilo de Italia.

    Desde sus inicios, Shelo Nabel Mara se ha convertido en líder en sofisticación moderna, ofreciendo ropa y accesorios clásicos atemporales que combinan la elegancia contemporánea con el diseño tradicional italiano.

    Con ubicaciones internacionales desde Europa hasta América del Norte y más allá, esta etiqueta icónica hará que cualquier mujer se sienta glamorosa y con estilo, ¡sin importar dónde o en qué ocasión asista!

    ¿Qué es Shelo Nabel Mara?

    Shelo Nabel Mara es una empresa mexicana con la misión de brindar estilo de vida, amor, abundancia y bienestar para todos. Nuestro enfoque en el trabajo en equipo y la actitud positiva nos impulsan hacia adelante en nuestro viaje exitoso hacia la transformación de vidas y hacer realidad miles de sueños.

    Ofrecemos productos naturales de la más alta calidad a un precio accesible a todos los sectores, y nuestros planes de compensación de mercadeo en red son justos y fáciles de desarrollar.

    Shelo Nabel Mara brinda a sus líderes los recursos necesarios para alcanzar sus metas, firmar videos ya sea libertad financiera o libertad de tiempo.

    ¡Te invitamos a unirte a la creciente comunidad de Shelo Nabel Mara y experimentar una vida llena de amor y abundancia! Deja que Shelo Nabel Mara sea tu acompañante en el cumplimiento de tus metas y sueños. Juntos, daremos vida a la misión de Shelo Nabel Mara.

  17. Looking for a truck air horn that will get you noticed? Look no further than the Super Air Horn! This RM-615 is a powerful air horn designed to give your truck a loud, attention-getting blast that will make sure everyone around you knows you’re coming.
    Super Air horns

  18. RM-615 is best quality truck air horn with 16 different melodious sounds.
    Following are the melodious Sounds of RM-615

    “Ertugrul, Baby Shark, Dhoom, Coffin Dance, Taj Mahal, Slope, Alternate, Bori Bori, Senegal Special, Malawi Parade, Savage Love, High Low, Road Master, Fast & Furious, SN-002”
    Super Air horns

  19. https://jbh.com.pk/ Jiffy Business Hub (Pvt) Ltd is the Best Construction Company in Islamabad. We specialize in building construction and give our customers a building according to their design. Big companies, governments, and industrialists, who have to get construction work done, contact us because we are Pakistan’s number one construction company. Whatever problems are related to construction in Islamabad & Rawalpindi, we work to eliminate those problems. That is why we are the number one Building Construction Company in Islamabad.

  20. Wow, What a Excellent post. I really found this to much informatics. It is what i was searching for.I would like to suggest you that please keep sharing such type of info.Thanks seo service usa

  21. At North Brisbane Wreckers, our commitment to quality wrecking and recycling services has been unrivaled for over __ years. Our Queensland customers have come to trust us as their premier choice for scrap car removal—so reach out now at 0469 048 281 if you’re in need!
    cash for cars brisbane northside

  22. Thank you because you have been willing to share information with us. we will always appreciate all you have done here because I know you are very concerned with our. insta unlocker

  23. Thank you because you have been willing to share information with us. we will always appreciate all you have done here because I know you are very concerned with our. 結婚指輪 猫

  24. By bringing forth a major change to how ELVs are traditionally disposed of or discarded in landfills, Ezy Car Wreckers is breaking ground for a significant change in the way ELVs are disposed of. In the future, we plan to focus on more sustainable and responsible recycling in order to create a more sustainable and resilient world. cash for unwanted cars Adelaide

  25. If you’re looking to sell your car in Queensland, you’ll have the best chance of success if you know what to expect. cash for cars sunshine coast has decades of experience handling these transactions, making the task easier than ever. Selling your car can be hassle-free, money-worthy endeavor – just make sure to prepare ahead of time!
    cash for scrap cars Brisbane

  26. Very Nice, If anyone wants to book flights. Then let me tell you American Airlines provides convenient, reliable, and affordable air travel for its customers. With American Airlines Manage Booking, travelers can easily book their flights with a few clicks. Not only does it provide the best deals on airfare, but it also offers an array of features that make the booking process easier and more efficient. From selecting your desired seat to checking in online or via the mobile app, American Airlines has got you covered.

Leave a Reply

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