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
I have read your article, it is very informative and helpful for me. I admire the valuable information you offer in your articles. Thanks for posting it Deposit Slot Pulsa
the Aviator game is, how to play it, and where you can enjoymOj
이 멋진 정보를 얻게되어 정말 감사합니다 알밤
the Aviator game is, how to play it, and where you can enjoyiIz
If you are looking for more information about flat rate locksmith Las Vegas check that right away. Situs Slot Thailand
In doing my quest online, My partner and i observed this web site post, It is rather in depth and i believe you should accept this opinion. I need money too متجر عطور
24/7 Customer Support BJ88 offers round the clock customer support to assist users with any issues from game queries to transaction concerns. Bj88
The website stands out with its clean design and intuitive navigation,
making it easy for users to find what they need.
Hokqbet88
긍정적 인 사이트,이 게시물에 대한 정보를 어디서 얻었습니까? 나는 그것을 발견하게되어 기쁘다. 당신이 어떤 추가 포스트를 포함하는지 곧 확인하기 위해 곧 다시 확인할 것이다. 카지노 사이트
Youre so cool! I dont suppose Ive read anything such as this prior to. So nice to locate somebody with many original ideas on this subject. realy i appreciate you for starting this up. this fabulous website is one area that is needed online, someone with a bit of originality. helpful purpose of bringing a new challenge towards web! rose toys
This article provides a fresh perspective on the issue, challenging common beliefs and encouraging deeper thought. Well done and insightful!
Fitspresso
This website is incredibly user-friendly and easy to navigate. slot depo 5k
This article is a must-read! It combines solid research with relatable insights, making it both educational and enjoyable for all.
Fitspresso
So nice ! BUMI36521
cheers for the actual article i have recently been on the lookout with regard to this kind of advice on the net for sum time right now so many thanks Gluco Ally Review
Thank you for providing such valuable information. This article is both informative and engaging. bu娛樂城
I like assembling useful information , this post has got me even more info! . articlemagzine
Simply wanna comment on few general things, The website design is perfect, the articles is rattling fantastic : D. articlemagzine
Here we want to convey that this blog is very good because it provides information. Therefore, if you want to know more information, of course you can directly visit our website gen77
This is such a great resource that you are providing and you give it away for free Slot Server Thailand
Such a well-written article! The content was informative and easy to follow. Keep delivering quality like this! More information at https://www.evisagov.vn/official/en-us/australia.php.
I really appreciate the kind of topics you post here. Thanks for sharing us a great information that is actually helpful. Good day! Digital marketing course Dubai
Hello! I’ve found these posts incredibly informative.
Awesome work! If you need more info or have questions, don’t hesitate to visit (https://www.etagov.la/slvisa/).
i love food and drinks that are very tasty. i do eat a lot and drink a lot of alcohol these days:: اپلیکیشن بت ۹۰
Hello I am so delighted I located your blog, I really located you by mistake, while I was watching on google for something else, Anyways I am here now and could just like to say thank for a tremendous post and a all round entertaining website. Please do keep up the great work. schuttrange
I recently visited Zeesy in Pakistan, and I was blown away by their stunning collection of artificial jewellery in Islamabad
The designs are both unique and elegant, making it easy to find something perfect for any occasion. The quality is impressive, and the staff is incredibly helpful. Highly recommend!
I was very impressed by this post, and I’ve been visiting this site more often than I used to. ottimizzazione descrizione prodotto
OrbitX Exchange is a secure and user-friendly cryptocurrency exchange platform designed to simplify digital asset trading. With advanced technology and a seamless interface, OrbitX allows users to trade a wide variety of cryptocurrencies with ease. It offers high liquidity, competitive fees, and robust security measures, ensuring the safety of your assets. Whether you’re a beginner or an experienced trader, OrbitX provides an efficient trading experience with real-time market data and professional tools. Join OrbitX to explore the future of cryptocurrency trading and make informed decisions with confidence. Start your journey in the dynamic world of digital currencies today!
https://orangecapinipl.in/orbitx-exchange/
I’ve been enjoying your articles, and I’m always searching for informative information like this. reralizzazione ecommerce prestastop
One example is that you will know your private partner from a short distance at some point. If that’s the case, an escort can be your partner for a few hours and make you feel good physically and mentally. Ahmedabad Escort Service
I had a fantastic experience at Zeesy in Pakistan! Their selection of artificial jewellery in Karachii is truly impressive. I found so many beautiful pieces that perfectly match my style. The craftsmanship is top-notch, and the staff was very friendly and knowledgeable. I can’t wait to go back for more!
This is really very nice post you shared, i like the post, thanks for sharing.. slot online
I really impressed after read this because of some quality work and informative thoughts . I just wanna say thanks for the writer and wish you all the best for coming!. SEO course in Dubai
I have recently started a blog, the info you provide on this site has helped me greatly. Thanks for all of your time & work. SEO course in Dubai
I have recently started a blog, the info you provide on this site has helped me greatly. Thanks for all of your time & work. SEO course in Dubai
Cheap Gucci Handbags Is usually blogengine much better than wp for reasons unknown? Should be which is turning out to be popluar today. acim
Understanding Your Needs as a small business owner, you might find yourself overwhelmed by the ever-changing world of digital marketing. You may have questions like, “How do I increase website traffic?” or “What are the best online advertising options for my business?”THEAPP is designed to address these queries directly. We will helpyou explore and implement strategies that focus on increasing organic traffic, improving search engine rankings, and optimizing your online presence. Let’s get started: Digital marketing tips for small businesses
Cheap Gucci Handbags Is usually blogengine much better than wp for reasons unknown? Should be which is turning out to be popluar today. a course in miracles
꽤 좋은 게시물입니다. 나는 방금 귀하의 블로그를 우연히 발견하고 귀하의 블로그 게시물을 읽는 것이 정말 즐거웠다고 말하고 싶었습니다. 어떤 식 으로든 피드를 구독하고 곧 다시 게시 해 주시기 바랍니다. 유용한 정보에 감사드립니다. 지니카지노
OrbitX Exchange is a secure and user-friendly cryptocurrency exchange platform designed to simplify digital asset trading. With advanced technology and a seamless interface, OrbitX allows users to trade a wide variety of cryptocurrencies with ease. It offers high liquidity, competitive fees, and robust security measures, ensuring the safety of your assets. Whether you’re a beginner or an experienced trader, OrbitX provides an efficient trading experience with real-time market data and professional tools. Join OrbitX to explore the future of cryptocurrency trading and make informed decisions with confidence. Start your journey in the dynamic world of digital currencies today!!
https://orangecapinipl.in/orbitx-exchange/
I wanted to thank you for this excellent read!! I definitely loved every little bit of it. I have you bookmarked your site to check out the new stuff you post. Solar permit service in USA
This is very interesting, You are a very skilled blogger. I’ve joined your rss feed and look forward to seeking more of your magnificent post. Also, I have shared your website in my social networks! Slot Deposit Dana
https://152.42.231.187:1414
https://cheatgameonline2.site
https://cheatgameonline3.site
https://cheatgameonline4.site
https://wayantogel.com
https://wayantogel.net
https://66.42.48.105:1414
https://landingpagetoto171.site