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
I was very pleased to find this site.I wanted to thank you for this great read!! I definitely enjoying every little bit of it and I have you bookmarked to check out new stuff you post. 別墅裝修
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. Marijuana dispensary
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. Viking axe
Mind boggling posting this is from you. I am truly and genuinely excited to peruse this wonderful post. You’ve truly intrigued me today. I trust you’ll keep on doing as such! 搬寫字樓
This is my first time visit here. From the tons of comments on your articles,I guess I am not only one having all the enjoyment right here! Slot
This article not only provides deep and rich insights, but is also delivered in a very professional manner. ezzesport
I unintentionally tracked down your blog by some happenstance, and it’s been a splendid exposure. Your articles look like impossible fortunes, overflowing with critical information and sensible tips. I’ve bookmarked your site and can barely keep down to bounce into a more prominent measure of your substance. Keep up the unbelievable work! Mahindra Bolero pickup extra long
I know your expertise on this. I must say we should have an online discussion on this. Writing only comments will close the discussion straight away! And will restrict the benefits from this information. link jackpot
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. แทงบอลสเต็ป
Everything is neatly written on this website. I was looking for a website like this. Hopefully, your website will be more popular with people. Thank You Wholesale Wooden Trays
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. beo555
Wow, cool post. I’d like to write like this too – taking time and real hard work to make a great article… but I put things off too much and never seem to get started. Thanks though. Chula Vista Attorney
Quick Luxury Ride Car Service Has Been Offering Clients Throughout United State Of America Quality Transportation Services Since 2017. Great Service Begins With Great People And Real Experience Which Is Why We Put So Much Into Closely Examining And Hand Picking The Finest Individuals To Join Our Team. As Our Customer, You Are Guaranteed A Chauffeur That Exercises Punctuality, Road Safety And Excellent Customer Service. We Ensure Military-Like Precision, Unparalleled Class And Uncompromising Service. We Aim To Not Only Meet, But Exceed Your Expectations Of What A Car Service Is Supposed To Be.
We really want meet with you. Really good blog
https://www.gintejainsurance.com/travel-insurance
You have worked superbly. I will burrow it and by and by prescribe to my companions. I am sure they will be profited by this site 搬運
I have bookmarked your website because this site contains valuable information in it. I am really happy with articles quality and presentation. Thanks a lot for keeping great stuff. I am very much thankful for this site. 暑假英文課程
Untuk mencari situs slot gacor hari ini bukanlah yang sulit. Pada umumnya agen slot gacor terbaik hanya menyediakan taruhan dengan menggunakan uang asli namun Panen77 kini menyediakan demo slot.
CTR stands for click-through rate, and it refers to the percentage. link building
Your essay is Nice.The quality of your writing is just impressive.Galaxy Lodhi Colony
Unbelievable articles and wonderful plan. Your blog passage justifies most of the positive information it”s been getting. 辦公室搬運
As i make use of completely payment high-quality programs — you will see him or her at: ucdm
It is the best portal to pay bills online within minutes without any complications. It avails maximum possible flexibility to users to complete their tasks in real quick time. Apart from bill payments it also avails most popular and reputed brands products to customers in affordable prices. PayTM came into existence in 2010. 搬運
Having a plan is one of the best stress nigoal123 reduction strategies out there.
This a good way to appreciate the teacher as they put their efforts to train students. UK dissertation Writers appreciates the teachers. 夜用 m 巾
Excellent .. Amazing .. I’ll bookmark your blog and take the feeds also…I’m happy to find so many useful info here in the post, we need work out more techniques in this regard, thanks for sharing. 搬寫字樓
With this internet page, you will see which will visual aspect, to look at endorse many people go through which will investigate. ucdm
Let’s start with the basics first. The best cricket id online is placing bets on cricket matches through get cricket id platforms or websites. These platforms usually have a variety of best online cricket id providers in markets. Includes betting, match results, and many other options for players.
Fantastic blog! Do you have any tips and hints for aspiring writers? I’m planning to start my own website soon but I’m a little lost on everything. Would you propose starting with a free platform like WordPress or go for a paid option? There are so many options out there that I’m completely overwhelmed .. Any suggestions? Many thanks! 123movies website
Love Quotes for Her
I really enjoyed reading this blog post. I will certainly come back and read some more interesting post. Thank you
The most effective means bring in some form of e-book and enjoy this almost from anywhere is during the entire fascinating process involving mp 3 mp3 audio books. The true sound e-book outlets that always one thinks of as rapidly as. 購買紙箱
I think this is an informative post and it is very useful and knowledgeable. therefore, I would like to thank you for the efforts you have made in writing this article. Azizi Development
The most inspiring stuff commonly is probably the most dull or boring concern. a single rooster may not be in the same woody plant strip very long, and also the pets within the pine is a kind of weight, always want to consult the next stars, the particular fowl because the plants are really hesitant to facial expression an equal beautiful places day by day. 買紙箱
A debt of gratitude is in order for the significant data and experiences you have so given here… 購買紙箱
Experience worry-free online gaming through 토토매치. Verified 토토사이트 ensure your protection.
While i offer for you to your ex simply highly rated in partnership with trusted specifics, as a result understand the object: acim
Your work is truly appreciated round the clock and the globe. It is incredibly a comprehensive and helpful blog. free movies online
Positive site, where did u come up with the information on this posting? I’m pleased I discovered it though, I’ll be checking back soon to find out what additional posts you include. digital podium
Clear audio quality enhances transcription accuracy, while background noise or accents can pose challenges. using ChatGPT for transcription
Great post i must say and thanks for the information. Education is definitely a sticky subject. However, is still among the leading topics of our time. I appreciate your post and look forward to more home cleaning new york Spencer lam伏
I wish more authors of this type of content would take the time you did to research and write so well. I am very impressed with your vision and insight. Spencer lam 好唔好
Excellent blog! Do you have any recommendations for aspiring writers? I’m planning to start my own blog soon but I’m a little lost on everything. Would you recommend starting with a free platform like WordPress or go for a paid option? There are so many options out there that I’m totally confused .. Any ideas? Thanks! แอพแทงบอลฟรี
ChatGPT can offer insights and suggestions for research topics, sources, and methodologies. What is ChatGPT and how does it work?
ChatGPT can provide reminders, help with to-do lists, and offer advice on personal matters. What is ChatGPT and how does it work?
I love your blog.. very nice colors & theme. Did you create this website yourself or did you hire someone to do it for you? Plz answer back as I’m looking to create my own blog and would like to know where u got this from. thanks learn more
Wonderful blog! I found it while surfing around on Yahoo News. Do you have any suggestions on how to get listed in Yahoo News? I’ve been trying for a while but I never seem to get there! Appreciate it. masurebet
Snick.link has many features for managing short links, including Geo Targeting , adding Pixels retargeting, links with A/B testing, expiration, mobile redirects due to the operating system of mobile devices, changing of target URL,adding meta tags, changing destination URL redirects after reaching short link clicks indicated or by date, tracking of unique clicks and much more.
Free URL Shortener
I assume this is one of the maximum sizable statistics for me. and that i’m satisfied reading your article. however need to commentary on some widespread things, The net website fashion is perfect, the articles is absolutely terrific : D. true job, cheers 中文補習
Discover holistic well-being through 오피가이드‘s sensual massage and sex therapy sessions.
Genital growths should be dealt with by a medical professional. Co2 laser therapy is made use of for reoccurring or considerable genital verrucas. read more
Admiring the time and effort you put into your blog and detailed information you offer!.. limit screen time