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
Collect the advantages essentially enhanced products — you will see your ex boyfriend for the purpose of: un curso de milagros
Tulisan Anda benar-benar memberikan pencerahan. Terima kasih! jasa aqiqah jakarta
I found your website via Google while searching for a similar subject. Your website came up, and it looks good.
https://chromeheartsofficial.us/hoodies/
Mmm.. good to be here in your article or post, whatever, I think I should also work hard for my own website like I see some good and updated working in your site. 買英國樓
Terima kasih sudah berbagi informasi yang begitu mendalam dan berharga. Jasa Penerjemah Bahasa Arab
For a long time me & my friend were searching for informative blogs, but now I am on the right place guys, you have made a room in my heart! 英國物業
Undeniably believe that which you stated. Your favorite reason appeared to be on the net the simplest thing to be aware of. I say to you, I certainly get annoyed while people consider worries that they plainly do not know about. You managed to hit the nail upon the top as well as defined out the whole thing without having side effect , people can take a signal. Will likely be back to get more. Thanks Logo Design
pingpongกติกาปิงปอง28ข้อ
tebletennisกติกาเทเบิลเทนนิส28ข้อ
Setiap artikel yang Anda tulis selalu memberikan informasi yang bermanfaat. menu aqiqah anak
Your blog provided us with valuable information to work with. Each & every tips of your post are awesome. Thanks a lot for sharing. Keep blogging, 英國樓盤
Thank you so much as you have been willing to share information with us. We will forever admire all you have done here because you have made my work as easy as ABC. Marketing Agency Cape Town
Saya sangat menghargai bagaimana Anda memandu pembaca melalui topik ini. jasa aqiqah jakarta
Artikel yang luar biasa! Terima kasih sudah membagikan pengetahuan Anda. Jasa Penerjemah tersumpah
It’s hard to find knowledgeable men and women for this topic, however, you seem like do you know what you’re preaching about! Thanks oxo pop
thanks for this usefull article, waiting for this article like this again. Joe Santagato Net worth
Postingan Anda selalu penuh dengan informasi yang berguna. catering aqiqah bogor
This may be the proper weblog for everyone who wishes to be familiar with this topic. You are aware of so much its nearly hard to argue to you (not that I really would want…HaHa). You certainly put a brand new spin with a topic thats been discussing for a long time. Wonderful stuff, just great! oxo salatslynge
Friend, this web site might be fabolous, i just like it. link jackpot
Anda memiliki talenta luar biasa dalam menyajikan informasi dengan jelas dan ringkas. jasa aqiqah jakarta
Saya selalu menantikan untuk membaca lebih banyak dari Anda. Jasa Penerjemah Jakarta
Postingan Anda selalu memberikan nilai tambah kepada saya. Terima kasih! jasa aqiqah di depok
Terima kasih sudah membagikan perspektif yang berbeda dan menarik. jasa aqiqah jakarta
You made some decent factors there. I looked on the internet for the problem and found most individuals will go along with with your website. Liv Pure
We are a professional inbound tour operator based in Qatar, who are capable of tailoring tours up to your utmost satisfaction, as our guides are trained to make history of the middle east come to life, for our unique tours are one of a kind. murexqatartours
I definitely enjoying every little bit of it. It is a great website and nice share. I want to thank you. Good job! You guys do a great blog, and have some great contents. Keep up the good work. I really appreciate this wonderful post that you have provided for us. I assure this would be beneficial for most of the people. 倫敦買樓
I was surfing net and fortunately came across this site and found very interesting stuff here. Its really fun to read. I enjoyed a lot. Thanks for sharing this wonderful information. original rose toy for women
You there, this is really superior article here. Many thanks for taking the time to put up these kinds of valuable facts. Quality content is what usually will get the website visitors coming.I was looking through a few of your content material on this Internet site and I conceive this Net web site is actually instructive ! Carry on Placing up.สล็อตเว็บใหญ่
We’ve actually appropriate identified to generate some form of web log, it’s my job to keep recently been poor to try to accomplish for under quite some time throughout. Appreciates just for this shed light on, this can be functional! acim
I simply want to tell you that I am new to weblog and definitely liked this blog site. Very likely I’m going to bookmark your blog . You absolutely have wonderful stories. Cheers for sharing with us your blog. vintage cars
“I love reading, and your book review has piqued my interest in this particular title. Your thoughtful analysis and recommendation have convinced me to add it to my reading list. Thanks for sharing your literary insights!” TATA Bus
Tulisan Anda selalu memotivasi saya untuk terus belajar. Penerjemah Tersumpah
This is such a great resource that you are providing and you give it away for free. I love seeing websites that understand the value of providing a quality resource for free. It is the old what goes around comes around routine. hop over to these guys
While i employ only innovative exceptional goods — you will note the puppy using: acim
Thanks a ton for this, I am greatful for the data เว็บพนันบอลถูกกฎหมาย
pleasant post, stay aware of this fascinating work. It truly regards realize that this subject is being secured likewise on this site so cheers for setting aside time to talk about this! 英國買樓
Terima kasih sudah menggali lebih dalam ke dalam topik ini. paket aqiqah bekasi
this is a very good article and very helpful
I will be visiting here often for the latest information
visit my website : slot77
In fact your creative writing abilities has inspired me to start my own Blog Engine blog now. Really the blogging is spreading its wings rapidly. Your write up is a fine example of it 英國樓市
I want to say thanks for beautiful blog sharing with us. Your blog really great resource to update my knowledge. 倫敦買樓
Very useful post. This is my first time i visit here. I found so many interesting stuff in your blog especially its discussion. Really its great article. Keep it up. 買英國樓
This is only the data I am discovering all over the place. A debt of gratitude is in order for your website, I simply subscribe your online journal. This is a decent blog.. 倫敦買樓
Artikel Anda selalu penuh dengan wawasan dan informasi yang berguna. jasa aqiqah jakarta
Para pemain telah menemukan kesuksesan saat bermain di situs slot online demo Agen 18 dan kemungkinan besar Anda juga bisa menikmati keberuntungan yang sama!
Your blog provided us with valuable information to work with. Each & every tips of your post are awesome. Thanks a lot for sharing. Keep blogging, a knockout post
Saya sangat menghargai keahlian dan pengetahuan yang Anda bagikan. jasa penerjemah tersumpah jakarta
I want you to thank for your time of this wonderful read!!! I definately enjoy every little bit of it and I have you bookmarked to check out new stuff of your blog a must read blog! 英國樓價
Craiyon’s online community provides a space for artists to share their creations, exchange ideas, and connect with fellow enthusiasts. How Craiyon Works
Interesting topic for a blog. I have been searching the Internet for fun and came upon your website. Fabulous post. Thanks a ton for sharing your knowledge! It is great to see that some people still put in an effort into managing their websites. I’ll be sure to check back again real soon. 英國樓盤
Anda selalu memiliki cara unik untuk menyajikan informasi. Terima kasih! paket aqiqah depok