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.
Economy Class:
Comfort 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
Saya akan mengambil tindakan sekarang. catering aqiqah bekasi
Saya ingin belajar lebih banyak paket aqiqah jakarta
Ini adalah bacaan yang berharga. Kursus Toefl Online Bersertifikat
Informasinya sangat berguna bagi saya. harga paket aqiqah di depok
Terima kasih atas panduan singkatnya. paket aqiqah jakarta
Saya akan mencari lebih banyak artikel dari Anda. Kursus Toefl Online Bersertifikat
Ini adalah sumber daya yang bagus. aqiqah bogor murah
Complex thoughts will always สล็อตออนไลน์ have connections to each other.
Bagian favorit saya paket aqiqah jakarta
Artikel yang sangat membantu. Kursus Toefl Online Bersertifikat
Saya akan mencoba ini dalam waktu dekat. aqiqah nasi kebuli
Terimakasih atas perspektif Anda. paket aqiqah jakarta
Saya akan menyarankan ini kepada teman-teman saya. Kursus Toefl Online Bersertifikat
Penjelasannya sangat mudah dipahami. jasa aqiqah tangerang selatan
Saya ingin tahu lebih banyak. Kursus Toefl Online Bersertifikat
Artikel yang informatif dan bermanfaat. rekomendasi aqiqah jakarta
Informasinya sangat relevan. Kursus Toefl Online Bersertifikat
Saya akan menyimpan ini untuk referensi. paket aqiqah tangerang selatan
Terima kasih atas tips praktisnya. Kursus Toefl Online Bersertifikat
It’s important to emphasize that NSFW chatbots are designed for specific adult audiences who seek this type of content. Users and developers should exercise discretion and ensure that they are using or creating such chatbots in compliance with relevant laws and platform policies. Top 5 NSFW Chatbots for 2023
According to MOM, firms in manufacturing and wholesale trade sectors also raised the wages of their employees, but to a lesser degree as a result of global supply chain disruptions and weakness in trade-related activities. 메이저사이트
Nearly three in four establishments in Singapore gave wage increases as business activities picked up last year. 레진코믹스
McCarthy has summoned lawmakers from the House of Representatives back to Washington from a holiday recess to vote on the deal on Wednesday. <a href="https://www.조아툰.com/" rel="nofollow"성인웹툰
The basic framework of the deal suspends the federal debt ceiling, which is currently US$31.4 trillion, for two years – enough to get past the next presidential election in 2024 and allow the government to keep borrowing money and remain solvent. 블랙툰
“I think it’s a really important step forward,” Biden said in a brief appearance before media at the White House, urging “both chambers (of Congress) to pass that agreement”. 무료웹툰
“It takes the threat of a catastrophic default off the table, protects our hard-earned and historic economic recovery, and … represents a compromise that means no one got everything they want,” Biden added. 네이버웹툰
McCarthy, for his part, voiced optimism that the bipartisan deal could get through Congress despite skepticism from some lawmakers on both sides of the aisle. 레진코믹스
In a statement later on Sunday, the speaker and other Republican congressional leaders touted the agreement as a “historic series of wins”. 조아툰
McCarthy has summoned lawmakers from the House of Representatives back to Washington from a holiday recess to vote on the deal on Wednesday. 툰코
The basic framework of the deal suspends the federal debt ceiling, which is currently US$31.4 trillion, for two years – enough to get past the next presidential election in 2024 and allow the government to keep borrowing money and remain solvent. 뉴토끼
X, formerly known as Twitter, has reinstated Kanye West’s account on the social media platform. West will not be able to monetize his account, and no ads will appear next to his posts, the company told the Wall Street Journal on Saturday. 메이저사이트
This approach, in part, requires the team to “proactively prevent ads from appearing adjacent to content” labeled as violative. 먹튀검증
By the time most of us become adults we’re armed to the teeth with psychological sensors that tell us whether a person or situation further our best interests or not. 토토사이트
We know to a large extent what we basically want out of life and generally how to get it. 메이저사이트
cloud was a fan favorite on “Euphoria,” which has not yet started production on its third season. 토토사이트
Every morning, Mateo followed his usual routine. The fields were covered in dew, making them look beautiful and peaceful. 메이저사이트
The beautiful sound of birds singing in the morning became less noticeable as this incredible find captivated his attention. 메이저놀이터
“When you read these 19 shocking food facts, you’ll never want to eat again”
토토사이트
Saya akan berbagi ini dengan komunitas saya. harga paket aqiqah jakarta selatan
This post helps me to enrich my knowledge in specific topics. hokabet คาสิโนThanks for sharing this informative content.
Bagian ini membuat saya terinspirasi. Kursus Toefl Online Bersertifikat
“Life is a flower of which love is the honey.” 안전놀이터
“Keep smiling, because life is a beautiful thing and there’s so much to smile about.” 먹튀검증
You have brains in your head. You have feet in your shoes. You can steer yourself any direction you choose.” 사설토토
“Good friends, good books, and a sleepy conscience: this is the ideal life. 토토사이트추천
Saya akan mengikuti saran Anda. paket aqiqah murah tangerang
“I Went Vegan for 10 Weeks and This Is What Happened to My Body and Mindset”
메이저사이트
“This Is The Surprising Way Coronavirus Has Changed Travel Insurance”
안전놀이터
“You’ll Never Get Hired if You Say This in a Job Interview”메이저놀이터
“14 Hangover Cures That You Haven’t Heard Of (Number 10 Works Every Time!)”
사설토토