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
This is exciting, nevertheless it is vital for you to visit this specific url: how to become a payment service provider
Truly Informative.
Someone essentially help to make seriously posts I would state. This is the very first time I frequented your web page and thus far? I amazed with the research you made to create this particular publish amazing. Fantastic job! Melatonin Vape
I have been absent for some time, but now I remember why I used to love this blog. Thanks , I will try and check back more often. How frequently you update your web site? บาคาร่า มือถือ
Great job for publishing such a beneficial web site. Your web log isn’t only useful but it is additionally really creative too. ไฮโลออนไลน์
This blog is so nice to me. I will keep on coming here again and again. Visit my link as well.. how to become a registered iso/msp
Very interesting blog. Alot of blogs I see these days don’t really provide anything that I’m interested in, but I’m most definately interested in this one. Just thought that I would post and let you know. How to become a registered ISO
Thanks for taking the time to discuss this, I feel strongly about it and love learning more on this topic. If possible, as you gain expertise, would you mind updating your blog with extra information? It is extremely helpful for me. เซ็กซี่บาคาร่า
This is very educational content and written well for a change. It’s nice to see that some people still understand how to write a quality post! how to become a registered iso/msp
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. how to become an independent sales organization
After study a few of the blogs on your internet site now, we truly like your technique for blogging. I bookmarked it to my bookmark website list and are checking back soon. Pls check out my site in addition and inform me what you consider. gửi hàng sang đài loan
There a few intriguing points at some point here but I do not know if all of them center to heart. There’s some validity but I’m going to take hold opinion until I investigate it further. Excellent post , thanks and we want a lot more! Combined with FeedBurner too gửi hàng đi đài loan
I think other website proprietors should take this site as an model, very clean and great user genial style and design, let alone the content. You’re an expert in this topic! gửi hàng đi đài loan
It is truly a nice and helpful piece of information. I’m satisfied that you just shared this helpful tidbit with us. Please stay us up to date like this. Thank you for sharing. gửi hàng đi nhật
I exploit solely premium quality products — you will observe these individuals on: how to become a payment service provider
Excellent and very exciting site. Love to watch. Keep Rocking. สูตรไฮโล
Good Website! hack akun domino tanpa verifikasi
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. ไฮโลออนไลน์
Thank you because you have been willing to share information with us. we will always appreciate all you have done here because I know you are very concerned with our. ไฮโลออนไลน์พื้นบ้าน
Your website is really cool and this is a great inspiring article. voyance par telephone amour
I use only high quality materials – you can see them at: how to become a payment service provider
thanks for this usefull article, waiting for this article like this again. sexy
thanks for this usefull article, waiting for this article like this again.
This is very educational content and written well for a change. It’s nice to see that some people still understand how to write a quality post! voyance-par-telephone-amour.com
This is highly informatics, crisp and clear. I think that everything has been described in systematic manner so that reader could get maximum information and learn many things. voyance par telephone amour
I admit, I have not been on this web page in a long time… however it was another joy to see It is such an important topic and ignored by so many, even professionals. I thank you to help making people more aware of possible issues. เซ็กซี่บาคาร่า
Thank you very much for the sharing! COOL.. voyance par téléphone amour
Howdy! Would you mind if I share your blog with my myspace group? There’s a lot of people that I think would really enjoy your content. Please let me know. Cheers ทดลองเล่น บาคาร่า ฟรี
Excellent article. Very interesting to read. I really love to read such a nice article. Thanks! keep rocking. Exipure weight loss
Yes i am totally agreed with this article and i just want say that this article is very nice and very informative article.I will make sure to be reading your blog more. You made a good point but I can’t help but wonder, what about the other side? !!!!!!Thanks LeanBean Fat Burner
I read a article under the same title some time ago, but this articles quality is much, much better. How you do this.. https://instababe.fr/en/
I am looking for and I love to post a comment that “The content of your post is awesome” Great work!
Viral News
“I just want to say that your article is just as great. The clarity of your message is simple
excellent and I can assume that you are an expert on this matter.
God gave you a gift of 86,400 seconds to day. Have you used one to say, ‘thank you’
Kutools for Excel Crack
When you use a genuine service, you will be able to provide instructions, share materials and choose the formatting style. LeanBean
When your website or blog goes live for the first time, it is exciting. That is until you realize no one but you and your. LeanBean Reviews
Please continue this great work and I look forward to more of your awesome blog posts. Exipure Official Website
Thanks for sharing this information. I really like your blog post very much. You have really shared a informative and interesting blog post with people.. Exipure Review
Positive site, where did u come up with the information on this posting?I have read a few of the articles on your website now, and I really like your style. Thanks a million and please keep up the effective work. 4 week online cna programs
This is my first time i visit here. I found so many interesting stuff in your blog especially its discussion. From the tons of comments on your articles, I guess I am not the only one having all the enjoyment here keep up the good work gastrointestinal disease
This is really good idea that eliminate delay on toll roads by collecting the electronic tolls. According to the public are suffered with this toll problem and seeking help from the government to get rid of this problem. cna programs online ca
Good article knowledge gaining article. This post is really the best on this valuable topic. cna classes online
Thanks for posting this info. I just want to let you know that I just check out your site and I find it very interesting and informative. I can’t wait to read lots of your posts. online cna programs
I visit your blog regularly and recommend it to all of those who wanted to enhance their knowledge with ease. The style of writing is excellent and also the content is top-notch. Thanks for that shrewdness you provide the readers! glucotrust reviews
including reasonable comments here… online cna programs
เว็บ 285 The content is utmost appealing! I have absolutely liked reading your details and also have arrive at the summary you are right about a lot of them. You are wonderful, and your initiatives are outstanding!
I am always searching online for storys that can accommodate me. There is obviously a multiple to understand about this. I feel you made few salubrious points in Attributes moreover. Detain busy, awesome career! Private label extract
Does Walmart Take Apple Pay
I would like to say that this blog really convinced me to do it! Thanks, very good post. reformas en barcelona
เคล็ดวิธีสำคัญที่เซียนบาคาร่าไม่สมควรพลาด
เซียนพนันจำนวนมากชื่นชอบมีแนวทางที่เป็นตัวอย่างของตน โดยแต่ละท่านนั้นชื่นชอบไม่บอกกลวิธีกับผู้ใดกันแน่ ตามที่เป็นจริงแล้วจากนั้นก็ให้เทคนิค หรือ หนทางกล้วยๆสำหรับเพื่อการได้แชมป์ และได้กำไรจากบาคาร่าออนไลน์ SACASINO คาสิโนออนไลน์ ซึ่งก็คือ ท่านจึงควรกระทำเฉพาะเจาะจงเงินลงทุนในแต่ละเกมการประลอง เพื่อท่านพินิจพิจารณาได้ว่า ตลอดเวลาการแข่งขันชิงชัยนั้น ท่านสามารถทำเงิน หรือ ขาดทุนในแต่ละเกม เนื่องจากเมื่อท่านได้ลงไปแล้ว
Very superb information can be found on website . how to make money with merchant services