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

 

165,776 thoughts on “Railway Industry in France”

  1. เว็บตรงลิขสิทธิ์แท้ SKYBET66 แตก ดี แน่นอน 100% สำหรับท่านใดที่กำลังมองค่ายสล็อตเล่นง่าย เรามีเว็บตรงดีๆมานำเสนอ ทำกำไรได้จริง สล็อตแตกง่าย PG เว็บตรง ขอแนะนำ ให้ทุกท่านได้รู้จัก Slot PG ค่ายเกมสล็อต ยอดนิยม อันดับ 1 ที่มีผู้เล่นมากที่สุด อีกหนึ่งค่าย เว็บสล็อต pg แตก ดี แน่นอน 100% เว็บตรง ตัวเกมสล็อตภายในค่าย บอกได้เลยว่าเป็น เกมสล็อตใหม่มาแรง รูปแบบ 3 มิติ สีสัน ภาพ สวยงาม ชวนให้น่าหลงใหล เว็บสล็อต pg แตก ดี แน่นอน 100% ของแท้ บินจริงจากต่างประเทศ ลิขสิทธิ์แท้ ไม่ผ่านเอเย่นต์ มั่นคง ปลอดภัย ไม่มีการโกง พร้อมสามารถ เข้าร่วมสนุกเล่นเกม เว็บสล็อตpgแตกดีแน่นอน100% บนหน้าเว็บไซต์ ได้เลยทันที ไม่ต้องเข้าเล่นผ่านเว็บตัวแทนต่าง ๆ ให้เสียเวลา สะดวกง่ายต่อการเข้าเล่นเกม
    ติดต่อแอดมิน LINE : @support66 (มี @ ด้วยน้า)

  2. เว็บตรงลิขสิทธิ์แท้ SKYBET66 แตก ดี แน่นอน 100% สำหรับท่านใดที่กำลังมองค่ายสล็อตเล่นง่าย เรามีเว็บตรงดีๆมานำเสนอ ทำกำไรได้จริง สล็อตแตกง่าย PG เว็บตรง ขอแนะนำ ให้ทุกท่านได้รู้จัก Slot PG ค่ายเกมสล็อต ยอดนิยม อันดับ 1 ที่มีผู้เล่นมากที่สุด เว็บสล็อต pg แตก ดี แน่นอน 100% เว็บตรง ตัวเกมสล็อตภายในค่าย บอกได้เลยว่าเป็น เกมสล็อตใหม่มาแรง รูปแบบ 3 มิติ สีสัน ภาพ สวยงาม ชวนให้น่าหลงใหล เว็บสล็อต pg แตก ดี แน่นอน 100% ของแท้ บินจริงจากต่างประเทศ ลิขสิทธิ์แท้ ไม่ผ่านเอเย่นต์ มั่นคง ปลอดภัย ไม่มีการโกง พร้อมสามารถ เข้าร่วมสนุกเล่นเกม เว็บสล็อตpgแตกดีแน่นอน100% บนหน้าเว็บไซต์ ได้เลยทันที ไม่ต้องเข้าเล่นผ่านเว็บตัวแทนต่าง ๆ ให้เสียเวลา สะดวกง่ายต่อการเข้าเล่นเกม
    ติดต่อแอดมิน LINE : @support66 (มี @ ด้วยน้า)

  3. Betorro giriş işlemi oldukça basittir. Güncel giriş adresine ulaştığınızda, siteye erişim sağlamak için kullanıcı adı ve şifrenizle kolayca giriş yapabilirsiniz. Betorro’nun güvenlik önlemleri, kullanıcı bilgilerinizi korumak ve güvenli bir oyun ortamı sağlamak adına oldukça etkilidir.
    Adres : https://betorrogiris.com/

  4. Betorro giriş işlemi sadece bilgisayar üzerinden değil, aynı zamanda mobil cihazlar aracılığıyla da gerçekleştirilebilir. Betorro mobil giriş seçenekleri, kullanıcıların istedikleri yerden ve zamandan bahis yapmalarına olanak tanır. Mobil uygulama veya tarayıcı üzerinden yapılan Betorro girişleri, kullanıcı dostu arayüzü ve hızlı işlem avantajıyla kullanıcı memnuniyetini artırır.
    Kaynakça : https://betorrogiris.com/

  5. A unique talc-free shadow with a silky, creamy texture formulated for maximum color impact. Blends effortlessly, buildable. Exclusive Mini Ceramic Hair Straightener – Transform your hair into sleek, shiny perfection in mere minutes with the Mini.

  9. Thanks simply because you occur to generally be willing to share information and facts and specifics with us. We’ll often enjoy all you’ve got performed underneath because I know you happen to be extremely worried about our.IPRO191

  10. I recently today thought it’s rather a thought to share with you could any person different was encountering problems checking out despite the fact that My own enterprise can be a tad inconclusive simply has been allowed to suit groups as well as relates to together with in this post. slot gacor

  11. GTB Components Ltd is the leading powder metal parts manufacturer aims to produce the best quality ferrous and stainless steel sintered components which fully conform to our customers’ total requirements, at a competitive price. The Company has a Global customer base supplying the Automotive, Building Products and Home/Leisure Industries.
    vacuum hardening services

  12. GTB Components Ltd is the leading powder metal parts manufacturer aims to produce the best quality ferrous and stainless steel sintered components which fully conform to our customers’ total requirements, at a competitive price. The Company has a Global customer base supplying the Automotive, Building Products and Home/Leisure Industries.
    vacuum hardening services

  13. A fantastic content material material together with excellent layout. Your site justifies every one of the beneficial responses it’s been acquiring. I will probably be again shortly for even more high quality contents.IPRO998

  16. sensa69
    situs game terbaik dan terlengkap.banyak pilihan game. anda bisa menikmati situs terbaik di sensa138. so tunggu apa lagi segera daftar sekarang juga ya..

  18. زراعة الشعر في مصر : الحل الأمثل لاستعادة جمال الشعر
    فقدان الشعر قد يكون تجربة صعبة ومحبطة للكثيرين، ومع التقدم في علم زراعة الشعر، أصبح بإمكان الأشخاص استعادة كثافة شعرهم وثقتهم بأنفسهم. وفي مصر، تشكل زراعة الشعر حلاً فعّالاً للعديد من الأشخاص الباحثين عن استعادة جمال شعرهم وثقتهم الذاتية.

  32. WhatsApp number filter refers to the ability to control the contacts that can reach you through the platform. This feature allows users to customize their privacy settings, ensuring that only approved contacts can send messages or make calls. It adds an extra layer of control for users who want to manage their communication channels more effectively.

  35. goodchoice7.com 온라인 카지노를 선택할 때 가장 중요한 요소 중 하나는 안전입니다. 2024년 한국의 온라인 카지노추천사이트 들은 최신 보안 기술을 도입하여 사용자의 정보와 자금을 안전하게 보호합니다. 이용자들은 안심하고 게임을 즐길 수 있습니다

  38. ErrancesVoyages: Your Gateway to Pondicherry’s Wonders! As your trusted travel agency, we craft seamless journeys through this charming coastal destination. From flights to bespoke itineraries, we ensure an unforgettable experience. Let us guide you through Pondicherry’s cultural fusion. Book now for an adventure brimming with history, art, and culinary delights!

  39. https://errancesvoyages.com
    ErrancesVoyages: Your Premier Pondicherry Travel Agency! Explore the French Riviera of the East effortlessly with our expert guidance. From flights to personalized itineraries, we ensure a seamless journey through Pondicherry’s charm. Let us be your companion in discovering this cultural gem. Book now for an enriching adventure filled with history, colors, and flavors!

  40. Big Marlin Charters offers guided fishing trips, where customers can join an experienced crew on their boats to catch fish in the surrounding waters. Their fishing fleet consists of 42′, 39′, 37′, and 32′ boats, all located in the beautiful Punta Cana area. These modern and well-maintained boats are fully equipped with top-class fishing gear.

    https://www.bigmarlinpuntacana.com

  42. Hello just wanted to give you a brief heads up and let you know a few of the pictures aren’t loading properly. I’m not sure why but I think its a linking issue. I’ve tried it in two different browsers and both show the same outcome. ufa356

  43. Wow! Such an amazing and helpful post this is. I really really love it. It’s so good and so awesome. I am just amazed. I hope that you continue to do your work like this in the future also.출장마사지

  49. Treasure Tampines is a condominium development in Singapore located in the Tampines area. It’s one of the largest residential projects in the region, https://www.treasuretampines.sg/ comprising multiple high-rise towers with a variety of apartment configurations. The development is known for its modern amenities, lush landscaping, and convenient location If you’re interested in specifics like facilities, floor plans, or pricing, you might want to check the latest updates or contact the developer or real estate agents dealing with Treasure Tampines for the most accurate and current information.

  50. Indulge in the opulence of rural living at 922 Emblica Estate, where farm lands meet top-notch amenities. This pre-launch property in Dausa, Rajasthan, invites you to experience a lifestyle of registry and mutation, surrounded by fresh air and tranquility. Conveniently located just 2.5 hours from Delhi and 2 hours from Gurgaon, seize the opportunity to own a piece of agricultural luxury starting at ₹72 Lacs
    Visit – https://922emblicaestate.com/

Leave a Reply

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