Expansion of LNER 70-min flex trial area ("Simpler Fares")

[Adsy125]

Dynamic pricing should be banned in all circumstances. Such a lack of transparency is only tolerated because the public are seen by the Establishment as mugs to be exploited by big business.

So no advance fares at all? That seems like a very extreme view.

 

[yorksrob]

So no advance fares at all? That seems like a very extreme view.

Advanced fares aren't necessarily dynamic pricing. They're usually tiers of first come, first served offers. I don't object to that.

 

[Wallsendmag]

Advanced fares aren't necessarily dynamic pricing. They're usually tiers of first come, first served offers. I don't object to that.

But that's all LNER are doing although they are using a fancy name for it

 

[yorksrob]

But that's all LNER are doing although they are using a fancy name for it

Fair play to them in that case.

I think these systems where a computer puts the prices up as demand surges ought to be banned though.

 

[Haywain]

I think these systems where a computer puts the prices up as demand surges ought to be banned though.

So, it's OK if a human does it?

 

[yorksrob]

So, it's OK if a human does it?

Not really. I've said before on here that I don't think railway companies should be allowed to chop and change their AP quotas on the day regardless of how they're set.

But in terms of dynamic pricing more generally, humans aren't capable of changing prices in real time to the same extent, so the question isn't really relevant.

 

[BRX]

But that's all LNER are doing although they are using a fancy name for it

It's not really all they are doing, because they've massively raised the cap on what can be charged as advance fares. So the consequence of missing the "first come first served" fares is now different. And on top of that, the whole thing of pretending that trains are full means that some people who miss out on the "first come first served" fares will think they can't travel at all (not even at the higher price).

 

[Adam Williams]

But that's all LNER are doing although they are using a fancy name for it

So why do they need FareVantage/ROSE if that's all it is?

 

[Wallsendmag]

So why do they need FareVantage/ROSE if that's all it is?

They've had systems to do that for the last 10 years or so

 

[jayah]

Advanced fares aren't necessarily dynamic pricing. They're usually tiers of first come, first served offers. I don't object to that.

Unless advertised up front as this price until one month, that price until one week, then it's dynamic pricing.

Even offering 10 at this price and 10 at that price will produce something that looks like dynamic pricing is just as non-transparent.

In practice most long distance rail, aviation, hotels, package holidays and even some long stay parking are trying to maximise their revenue by forecasting demand and willingness to pay, and are adapting their pricing when the evidence changes.

 

[Wallsendmag]

Ok that’s simple enough then, the whole industry is already using Dynamic Pricing

 

[Dr Day]

Fair play to them in that case.

I think these systems where a computer puts the prices up as demand surges ought to be banned though.

What about when these algorithms bring prices down, which they can and do?

 

[yorksrob]

What about when these algorithms bring prices down, which they can and do?

I'd still prefer a system of tiers, rather than having an algorithm manipulating the price.

== Doublepost prevention - post automatically merged: Sunday at 08:46 ==

Unless advertised up front as this price until one month, that price until one week, then it's dynamic pricing.

Even offering 10 at this price and 10 at that price will produce something that looks like dynamic pricing is just as non-transparent.

In practice most long distance rail, aviation, hotels, package holidays and even some long stay parking are trying to maximise their revenue by forecasting demand and willingness to pay, and are adapting their pricing when the evidence changes.

Ok that’s simple enough then, the whole industry is already using Dynamic Pricing

All the more reason why the off-peak fare needs to be retained in that case then !

 

[miklcct]

I'd still prefer a system of tiers, rather than having an algorithm manipulating the price.

== Doublepost prevention - post automatically merged: Sunday at 08:46 ==





All the more reason why the off-peak fare needs to be retained in that case then !

A system of tiers can also be an algorithm manipulating the price as the algorithm can manipulate the availability of each tier. This is how traditional airline pricing works, but allocating the availability of booking class dynamically which can be matched to fares.

 

[Bletchleyite]

A system of tiers can also be an algorithm manipulating the price as the algorithm can manipulate the availability of each tier.

This is exactly how it works. Fixed tiers (you can see them all on brfares.com) with the software manipulating availability of each tier.