by

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

 

165,217 thoughts on “Railway Industry in France”

  1. Es evidente que no se puede pasar de alto la importancia que tiene esta página,
    estaré participando más a menudo de este espacio, furry porn comics , tenemos que difundir más estos espacios.

  2. Please let me know if you’re looking for a article writer for your site. You have some really great posts and I feel I would be a good asset. If you ever want to take some of the load off, I’d absolutely love to write some material for your blog in exchange for a link back to mine. Please send me an email if interested. Thank you! local Costco Food Court

  14. Oh my! an incredible article man. Thanks a lot Unfortunately I am experiencing issues with ur rss . Don’t know why I am struggling to subscribe it. Perhaps there is somebody getting identical rss issues? Anyone who can help kindly respond. Appreciate it doramasmp4

  15. The film opens with no introduction to Jessica at all, just the first 5 minutes giving the audience a thrill. When Jessica goes on a test cruise before the real journey begins. However, your little boat crashes into a giant cargo ship. Become a big problem in your critical mission. because it is a wake up against a large group of people

    You cancel this strategy. For the free movies hd reason that you are not ready and your age is not enough But you ignore the noise and stubbornly start your journey. The film takes a forward-looking approach.

    Interspersed with a flashback scene, let us know more about Jessica’s identity and why you are so ambitious. And then it can attract the audience to join in with your mission. By knowing well how your mission ended. But still cheering along with you, Cliff. Curtis and Ngan Kkoft

  16. This is what piece appears to have a wide selection of targeted customers. Would you market it? It all offers a decent special distort for aspects. Maybe enjoying one bona fide or even higher to supply information on is the most essential subject. Türkçe altyazılı

  20. Daftar slotonline88 Slot memiliki penyedia permainan papan atas dengan variasi permainan yang sangat banyak dan jumlah permainan dari pengembang permainan papan atas ini sejauh ini adalah 112 permainan slot online. Apakah Anda ingin bermain mesin slot gacor dengan dayung ping pong kecil? Anda dapat mencoba beberapa game dari pemasok gacor ini yaitu game Toptrend seperti Zombies in Holiday, Wild Year of the Tiger, Poseidon, Egypt Storm, Book of the West, Golden Reindeer. Ribuan member dari pemilik situs judi slotonline88 rutin mengunjungi area gaming Toptrend Gaming untuk mencoba peruntungan

  22. Pretty element of content. I just stumbled upon your weblog and in accession capital to assert that I get actually enjoyed account your weblog posts. Anyway I will be subscribing to your feeds or even I achievement you get admission to consistently rapidly. poker88

  26. บาคาร่าเว็บตรง BL88BET เราสร้างความแน่ใจให้แก่นักลงทุนมาอย่างเป็นเวลายาวนานตลอด 5 ปี
    โดยเว็บของเรามียอดผู้เข้าใช้งานของทางเว็บถึง 20,000 ยูสเซอร์/เดือน เยอะที่สุดในประเทศไทยโดยตั้งแต่แมื่อค่าสถิติปีที่ล่วงเลยไปใน2022 รวมทั้งเราตั้งใจจริงปรับปรุงปรับปรุงจากสิ่งที่บกพร่องในปีกลายๆเพื่อคล้ายคลึงต่อความอยากของผู้เล่นเป็นหลักโดยการยกฐานะระบบข้างในให้ไม่ยุ่งยากต่อการใช้งานซึ่งพวกเราได้รับการการันตีจากผู้ให้บริการหลักอย่างเป็นทางการ พวกเราได้ ร่วมเป็นพาทเนอร์ กับหลายบริษัทที่ทำงานตั้งขึ้นแล้วก็จัดการเกี่ยวกับ คาสิโนออนไลน์ ทำให้ด้านในเว็บของเรานั้นมีมากไม่น้อยเลยทีเดียว หลายค่ายให้ทุกคนเลือก เนื่องจากฉนั้นเรามียุทธวิธีเด็ดๆแต่ไม่ลับที่เราอยากบอกคนเล่นพนันคนใหม่ที่มุ่งมาดปรารถนาความมั่นใจต่อ เว็บแทงบาคาร่าออนไลน์ ว่าสิ่งที่เรามีและก็ตัวตนจริงๆของเรานั้นสามารถสร้างความไว้เนื้อไว้วางใจให้แก่นัมายากลงทุนอย่างไร ไปดูกันสมัครสมาชิก BL88BET

  28. Procedure for degree certificate attestation
    for UAE

    Step 1: Notary Public Stamp

    A notary public is authorized to stamp certificates before any attestation process. Their official seal and signature verify a person’s certificate and identity. In this process, your identification cards and certificates are verified.

  29. สมัครเป็นสมาชิก BETFLIX ผ่านระบบอัตโนมัติกล้วยๆเพียงแค่กรอกเนื้อหาการสมัครโดยใช้ข้อมูลจริงตามหน้าสมุดบัญชีก็สามารถเป็นพวกกับพวกเราได้โดยทันที แค่นับ 123 คุณก็สามารถฝากเงินเบิกเงินได้โดยทันทีภายหลังกระทำ login เข้าระบบปากทางเข้าเบทฟิกที่หน้าเว็บไซต์โดยตรง กรณีมีปัญหาการสมัครผ่านทางหน้าระบบ Betflix Auto ก็สามารถถามไถ่หรือสมัครโดยการแอด LINE สมัครกับคณะทำงานแอดไม่นโดยตรงได้พร้อมการแจ้งข่าวสารโปรโมชั่นต่างๆการคืนยอดเสีย แล้วก็กรุ๊ป VK
    betflix168 auto

  32. 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! akun maxwin

  33. Prostadine’s active ingredient is phentermine, an appetite suppressant. This is due to the fact that it promotes weight reduction by increasing metabolism and decreasing appetite. It does, however, have certain downsides, including jitteriness, anxiety, and headaches.
    To properly treat an enlarged prostate, use 10 milligrammes of Prostadine three times each day. The usual dose for treating urinary incontinence is 5 mg three times per day. The recommended dose for treating benign prostatic hyperplasia is 10 mg three times per day.

    https://www.outlookindia.com/outlook-spotlight/prostadine-drops-reviews-read-more-about-prostodin-drops-side-effect-scam-price-news-258093/

  39. First of all I would like to thank you for the wonderful information you have shared with us. I read your
    complete blog and I must say that the blog provides a lot new and very useful information which proves to
    be very helpful to us. Keep sharing Such type of content with us.
    windows pro n

  40. Took me time to read all the comments, but I really enjoyed the article. It proved to be Very helpful to me and I am sure to all the commenters here! It’s always nice when you can not only be informed, but also entertained! credit card in uae

  41. Techstacy is the knowledge, skills, experiences and techniques through which humans modify, transform and use our environment to create tools, machines, products and services that satisfy our needs and desires.
    The role and impact of technology in our personal and work lives are increasing. Understanding how people shape technology and how technology shapes people’s interactions with each other and with the natural world is essential not only for those who research, develop, and implement new technologies. But also for all those people and organizations that have to use these technologies in their work and personal lives. Read More:- techstacy

  43. “Countless days that have become cloudy before I know it I suddenly think The song I liked메이저사이트 backthenlet’s take one out yes we did A song that I cried while missing you My heart is still the same, it’s still you
    A song that comforts you by saying it’s okay”

  47. I admit, I have not been on this web page in a long time… however it was another joy to see It is such an important topic and ignored by so many, even professionals. I thank you to help making people more aware of possible issues tko extracts

  49. LIGA788 sebagai web judi slot gacor online terbaik dan terpercaya di Indonesia menyediakan ratusan macam slot gacor terbaik mudah menang dengan bonus jackpot Maxwin sampai ratusan juta rupiah. Bagi anda yang mencari website judi bermain slot gacor mudah menang, karenanya anda sudah sudah memilih daerah yang pas! Bersama LIGA788, anda akan menikmati kemudahan meraih kemenangan jackpot slot, scatter dan freespin. LIGA788 menyediakan lebih dari 500 game slot terupdate dengan RTP live terkini dari provider terbaik dan tenar dalam memberikan kemudahan kemenangan jackpot terhadap pemain. Tak heran LIGA788 menjadi situs judi slot online unggulan di Indonesia. Sebelum bergabung, sebaiknya anda memperhatikan tabel info dibawah mengenai situs judi slot online terbaik dan terpercaya di Indonesia.

  50. Jangan merusak bank pada perjalanan Anda berikutnya. Pilih salah satu paket wisata murah kami
    dan lakukan perjalanan dengan penuh gaya. Perjalanan yang terjangkau tidak harus berarti
    mengorbankan kualitas. Paket wisata murah kami menawarkan yang terbaik dari kedua dunia.
    Paket Wisata Murah

Leave a Reply

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