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Amadeus

White paper

Commercial agility - the next step in rail profitability

James Woudhuysen

Innovation forecaster

Competition and new players are disrupting forces. Rail companies responding with commercial agility, personalised products and omni-channel sales strategies will be able to provide the right price at the right time to the right passenger.


Commercial agility - the next step in rail profitability

Customers generally want the cheapest fare and it is key to empower them in the fare display, by accounting for preferences and upselling opportunities.  

Turning to flexible fares and pricing technology will enable rail operators to anticipate demand and allocate capacity, hence, maximising revenues from their inventory.

Taking control of your inventory

Rail pricing strategy requires instant time to market to maximise revenue.  However, many rail companies are still reliant on legacy systems that are not able to implement operational changes as quickly as their commercial strategies demand.

In many cases, governmental regulations limit the rail pricing flexibility, however, when looking to improve profitability, rail operators need to:

  • Quickly adapt fares to changing market conditions
  • Protect high yield classes and long haul routes
  • Increase productivity with easy-to-use tools and real time updates
  • Integrate revenue management techniques

Rail operators face the enormous challenge of increasing turnover in passenger travel and at the same time lowering the cost of sales.

The rail industry needs to adopt commercial agility, if it is to keep up with the volume and sophistication of tomorrow’s rail passengers.

Download the document to learn more!

Download whitepaper

Whitepaper Your path to profitability

With high levels of fixed costs achieving profitability is a challenging task for a railway. Rail operators continually need to think how to reduce inefficiency, and more importantly, how to increase their profitability.

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