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

 

214,097 thoughts on “Railway Industry in France

  1. oh my goodness! Superb article dude! Many thank you, but i’m going through problems with your rss. I don’t understand the cause why i can not be part of it. Is there each person else having the identical rss troubles? All and sundry who knows the solution will you kindly reply? Thank you!! Oh my goodness! Remarkable article dude! Many thank you, but i am going via troubles together with your rss. I don’t recognize the reason why i can not join it. Is there all of us else having the identical rss issues? Anyone who knows the solution will you kindly reply? Thank you!! Became searching on aol for some thing else, though i am right here now and would just like to 메이전놀이터

  2. รีวิวเกมสล็อต Roma Plus
    เป็นเกมสล็อตที่ปีเดี๋ยวนี้ ปี 2022 ของค่าย AMB SLOT เปิดให้บริการทุกคนได้เล่นบนเว็บมาแรง เกม pg ที่ เกม pg สล็อตออนไลน์เกมนี้ มีต้นแบบการเล่น รวมทั้งเป็นรูปแบบใหม่เดี๋ยวนี้ ทหารโรมัน เข้าต่อสู้กับอสูรกาย ปกป้องเมืองรวมถึงผู้คน หรือ เข้าไปต่อสู้ในสังเวียนเอ็งลดิเอเตอร์ เพื่อเงินรางวัล สล็อตออนไลน์ บางทีก็อาจจะถูกใจเกมสล็อตนี้แน่ กับเกม Roma Plus สล็อต ที่ผู้เล่นแสดงบทเป็นทหารโรมัน อัพเดตใหม่ให้ภาพ ดารา แสงไฟ สี เสียง กราฟฟิก มีความทันสมัยมากขึ้น แล้วก็ สนุกสนานเพิ่มมากขึ้น ที่เป็นการต่อสู้กับสัตว์ร้ายในตำนาน เปิดประสบการณ์ความมันส์ครั้งใหม่ ที่จะเชิญนักพนันทุกคน PG SLOT ไปสัมผัสความบันเทิงจากการเล่นเกมสล็อตออนไลน์ ลุ้นเงินแสนได้จริงทุกวี่ทุกวัน

  3. Thanks for such a fantastic blog. Where else could anyone get that kind of info written in such a perfect way? I have a presentation that I am presently writhing on, and I have been on the look out for such great information. .Excellent blog here! Also your web site loads up fast! What host are you using? Can I get your affiliate link to your host? Pretty section of content. I just stumbled upon your weblog and in accession capital to assert that I get actually enjoyed account your blog posts. Thanks for the post and great tips: even I also think that hard work is the most important aspect of getting success. 먹튀

  4. Thanks for an interesting blog. What else may I get that sort of info written in such a perfect approach? I have an undertaking that I am just now operating on, and I have been on the lookout for such info. Newswebblog

  5. i sincerely thanks for the treasured data in this terrific problem and stay up for more first rate posts. Thank you a lot for playing this splendor article with me. I’m appreciating it very a lot! Searching ahead to every other tremendous article. Accurate success to the writer! All the excellent! Whats up there, there’s no question that your internet web site ought to probably be having internet browser compatibility issues. When i study your internet site in safari, it looks high-quality however whilst commencing in ie, it has some overlapping troubles. I simply desired to offer you a quick heads up! Apart from that, first-rate website online! 먹튀

  6. CONTENIVE solves many problems, both in business and personal life. Starting with a trivial reduction of time to work and ending with help in complex aspects of SMM activities.

    Click here to read more social media account management

  7. hi there! This blog publish couldn’t be written an awful lot better! Looking at this publish rings a bell in my memory of my preceding roommate! He constantly stored speakme about this. I most sincerely will ahead this information to him. Pretty certain he’s going to have a exceptional read. I admire you for sharing! Views living police pressure heard jokes also. Changed into are delightful solicitousness disclosed collection guy. Wanted be do common except. Visitors could surely advantage from a number of the records you gift here. We are a group of volunteers and establishing a new scheme in our community. And became engaging in a touch homework on this. 우리카지노

  8. i am so thrilled i situated your weblog website, i absolutely situated you via mistake, at the same time as i used to be taking a take a look at on google for any other factor, anyways i am below now similarly to additionally would virtually much like to insist provide thanks to for an amazing weblog publish along side an all-around enjoyable internet site. I’m simply playing analyzing your well written articles. It seems like you spend quite a few effort and time on your weblog. I have bookmarked it and i am looking ahead to reading new articles. Maintain up the good work. That is my first time visit to your blog and i’m very interested by the articles that you serve. Offer enough knowledge for me. Thanks for sharing beneficial and don’t forget, keep sharing beneficial data: 카지노커뮤니티

  9. you actually make it look so easy together with your performance but i find this remember to be absolutely some thing which i assume i would in no way realize. It seems too complicated and extremely large for me. I’m searching forward on your next publish, i’ll try to get the cling of it! That is one of these super useful resource that you are offering and you provide it away totally free. I like seeing blog that apprehend the cost. Im glad to have located this publish as its such an interesting one! I’m continually looking for great posts and articles so i suppose im lucky to have discovered this! I am hoping you’ll be adding extra inside the future. Greetings, there’s no question that your internet website ought to possibly be having browser compatibility problems. On every occasion i take a look at your weblog in safari, it seems first-class but while opening in internet explorer, it’s were given a few overlapping troubles. I simply desired to offer you a brief heads up! Apart from that, high-quality web site! 메이저놀이터

  10. what i don’t recognize is without a doubt how you aren’t honestly tons extra well-preferred than you may be now. You’re so intelligent. You comprehend consequently considerably regarding this concern, made me personally don’t forget it from numerous numerous angles. Its like ladies and men aren’t fascinated until it’s miles one component to accomplish with woman gaga! Your very own stuffs exceptional. Constantly keep it up! What’s up to every one, the contents present at this internet web site are in fact first rate for human beings. Its my first event to commenting anyplace, after i read this piece of writing 토토사이트추천

  11. I think this is an informative post and it is very useful and knowledgeable. therefore, I would like to thank you for the efforts you have made in writing this article. Birthday wishes

  12. It’s a great and helpful piece of information. I am glad that you simply shared this information with us. I also refer to our article about these sources are trustworthy to use as tools for research. thank you so much for sharing this, it is extremely useful. Thanks again . Thanks for providing such good training. & Thank you for giving us such a great information. Thank you for sharing the information. Looking for such more content in the future. I feel very grateful that I read this. It is very helpful and very informative and I really learned a lot from it. 메이저토토가입

  13. what i do not understood is in truth how you are not in reality lots greater properly-preferred than you is probably right now. You are very smart. You recognize for that reason substantially with reference to a everyday 안전토토사이트

  14. this turned into honestly an interesting subject matter and i kinda consider what you have got cited here! Whats up, i have browsed most of your posts. This submit is probably wherein i got the most useful data for my studies. Thank you for posting, maybe we can see more in this. Are you aware of any other websites on this subject . 토토커뮤니티

  15. You make so many great points here that I read your article a couple of times. Your views are in accordance with my own for the most part. This is great content for your readers. 출장

  16. I felt very happy while reading this site. This was really very informative site for me. I really liked it. This was really a cordial post. Thanks a lot!. click here

  17. Your article has proven useful to me. It’s very informative and you are obviously very knowledgeable in this area. You have opened my eyes to varying views on this topic with interesting and solid content. clicksud

  18. Wow! This could be one of the most useful blogs we have ever come across on thesubject. Actually excellent info! I’m also an expert in this topic so I can understand your effort. ibmseo instagram

  19. Wow! This could be one of the most useful blogs we have ever come across on thesubject. Actually excellent info! I’m also an expert in this topic so I can understand your effort. ibmseo instagram

  20. you’re so interesting! I do no longer consider i’ve read some thing like that before. So nice to find out a person with a few precise mind in this topic. Significantly.. Thank you for starting this up. This web web site is some thing that is required at the internet, a person with some originality! I simply idea it can be an idea to publish incase absolutely everyone else became having problems getting to know but i’m a little unsure if i am allowed to position names and addresses on right here . Exact to turn out to be touring your blog again, it has been months for me. Nicely this article that i’ve been waited for so long. I will need this put up to overall my assignment inside the college, and it has exact equal subject matter together along with your write-up. Thank you, top percentage. You have got made some definitely right factors there. I checked on the internet to learn greater about the issue and found most individuals will go together with your views on this web site. I’m going to examine this. I’ll make certain to come back lower back. Thank you for sharing. And additionally this article offers the mild in which we can look at the reality. This is very nice one and gives indepth information. Thanks for this fine article.. The appearance definitely extremely good. All of those miniature data are normal using massive amount historical beyond revel in. I need it all notably . Thanks for sharing this facts. I in reality like your weblog submit . You’ve got surely shared a informative and exciting blog publish . 먹튀사이트모음

  21. i’m additionally commenting to make you apprehend what a splendid enjoy my pal’s child gained studying your webblog. She found out such a lot of things, with the inclusion of what it’s far want to have a marvelous giving person to make women and men absolutely fully draw close some tricky concern matter. You certainly handed readers’ predicted outcomes. Thanks for supplying those notable, wholesome, educational in addition to amusing thoughts for your subject matter to emily. Its such as you examine my thoughts! You seem to know a lot approximately this, such as you wrote the e book in it or something. I assume that you may do with some photographs to power the message domestic a chunk, but as opposed to that, this is fantastic weblog. An extraordinary examine. I’ll without a doubt be back. You cann’t believe truly how a whole lot time i had spent for this information! Thank you! 가입머니

  22. after i in the beginning left a remark i seem to have clicked on the -notify me when new remarks are introduced- checkbox and now whenever a comment is introduced i am getting four emails with the exact identical remark. Perhaps there’s an smooth technique you could do away with me from that carrier? Many thanks! What i don’t understood is in truth the way you are not in reality lots greater neatly-preferred than you will be now. You’re very intelligent. You understand therefore considerably in phrases of this topic, produced me in my opinion imagine it from numerous various angles. Its like males and females aren’t involved unless it’s one aspect to do with woman gaga! Your private stuffs terrific. All of the time address it up! 먹튀사이트구분

  23. 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
    adu conversion

  24. I think this is an informative post and it is very beneficial and knowledgeable. Therefore, I would like to thank you for the endeavors that you have made in writing this article. All the content is absolutely well-researched. Thanks… sell house fast phoenix

  25. Useful article
    Atlanta Hyperbaric Center is a leading, certified hyperbaric chamber dealer, offering new and used hyperbaric chambers for sale from top manufacturers. We provide first-class products and an excellent selection, making it easy for doctors, healthcare professionals, and athletes to find the ideal hyperbaric chambers for sale to meet their needs. Equipped with long-standing industry experience, technical expertise, and commitment to customer satisfaction, our hyperbaric chamber supplier is qualified to help customers through the entire buying or selling process with fast shipping and on-demand support. To learn more about our affordable portable or localized hyperbaric oxygen chambers for sale or to buy a hyperbaric chamber, get in touch with us today. Hyperbaric chamber price

  26. hi there! This blog publish couldn’t be written an awful lot better! Looking at this publish rings a bell in my memory of my preceding roommate! He constantly stored speakme about this. I most sincerely will ahead this information to him. Pretty certain he’s going to have a exceptional read. I admire you for sharing! Views living police pressure heard jokes also. Changed into are delightful solicitousness disclosed collection guy. Wanted be do common except. Visitors could surely advantage from a number of the records you gift here. We are a group of volunteers and establishing a new scheme in our community. And became engaging in a touch homework on this. 제왕카지노 질문사항

  27. after i at the beginning left a comment i appear to have clicked at the -notify me while new feedback are delivered- checkbox and any further each time a comment is introduced i obtain four emails with the equal comment. Perhaps there may be an clean approach you are capable of remove me from that service? Many thank you! Greetings! Very beneficial recommendation on this particular article! It’s the little adjustments in an effort to make the maximum important changes. Many thanks for sharing! You’re so thrilling! I do not think i’ve read a single factor like this before. So exquisite to discover someone with a few original mind on this problem. Absolutely.. Thank you for beginning this up. This website online is some thing it is wanted on the internet, a person with a piece of originality! It­s hard to return by knowledgeable humans approximately this subject, however, you look like you already know what youíre speaking about! Thanks 먹튀사이트구분

  28. hi there! This blog publish couldn’t be written an awful lot better! Looking at this publish rings a bell in my memory of my preceding roommate! He constantly stored speakme about this. I most sincerely will ahead this information to him. Pretty certain he’s going to have a exceptional read. I admire you for sharing! Views living police pressure heard jokes also. Changed into are delightful solicitousness disclosed collection guy. Wanted be do common except. Visitors could surely advantage from a number of the records you gift here. We are a group of volunteers and establishing a new scheme in our community. And became engaging in a touch homework on this. 카지노게임

  29. hello! I may want to have sworn i’ve visited this web website online before however after browsing through a number of the articles i realized it’s new to me. Despite the fact that, i’m absolutely satisfied i found it and that i’ll be ebook-marking it and checking returned often! Thanks for each different informative site. The location else may additionally simply i am getting that kind of statistics written in such a super method? I have a project that i’m just now running on, and i’ve been at the appearance out for such data. I recognize this newsletter for the properly-researched content and amazing wording. I got so involved in this cloth that i couldn’t forestall analyzing. I am inspired along with your paintings and talent. Thanks so much . Wow, first-rate, i used to be wondering a way to treatment pimples obviously. 카지노커뮤니티순위

  30. This is really a nice and informative, containing all information and also has a great impact on the new technology. Thanks for sharing it, picuki

Leave a Reply

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