D5 Annex report WP 7: ETISDatabase methodology ... - ETIS plus

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D5 Annex WP 7: ETIS DATABASE METHODOLOGY AND DATABASE USER MANUAL – PASSENGER TRANSPORT SUPPLY · qualified longdistance trains, e.g. trains with EuroCity/ InterCity standard · other longdistance trains, e.g. direct trains/ interregional trains · regional trains · special international services, e.g. Thalys/ Eurostar services Furthermore, the demand side has been segmented along the trip purposes business, private and holiday. Assumptions on the demand segments have been made as follows: · business travelers use first class, buy a flexible ticket and do not buy the ticket in advance · private travelers use second class and are able to buy a ticket maximum three days in advance · holiday travelers represent a pricesensitive market segment, use second class and are able to book tickets up to three weeks in advance The ticket price a railway company raises for a journey can be assumed to depend on the following main determinants: (1) distance traveled (2) wagon class used (3) competitiveness of rail against other modes (4) comfort on board and service facilities (5) point of time of booking (6) flexibility of booking Determinants (2), (4), (5) and (6) are represented by the definition of the characteristics of the demand segments. As a proxy of determinant (3) the differentiation between highspeed rail links and conventional links could be applied, which has been considered for the definition of the service clusters. Hence, the only – and very crucial – determinant for rail ticket prices, which has not been taken into account in the demand and supply segmentation approach, is the distance of the journey. Therefore, the main target of the approach is to express the ticket price as a function of the distance traveled, for each crosssegment. The countryspecific function is generated by a regression approach. For the retrieval of prices for each crosssegment the Internet has been used where applicable. The distances have been taken mainly from the DB European rail timetable. For some countries, where information on the Internet has not been available, the railway companies have been contacted. Until October 2003 data have been available for all EU 27 countries plus Switzerland and Norway, minus Malta, Cyprus, Latvia and Estonia. The Internet websites applied for the retrieval of rail tariffs are listed in section 4.2.1. 28 R20040089.doc 27 May 2004
D5 Annex WP 7: ETIS DATABASE METHODOLOGY AND DATABASE USER MANUAL – PASSENGER TRANSPORT SUPPLY The methodology for the generation of regression functions for passenger rail tariffs is depicted by Figure 4.5. Figure 4.5 Methodology for the generation of regression functions for passenger rail tariffs Supply segments X Demand segments Regression functions per crosssegment Sample relations for attaining the regression functions Tariffs Distances (timetables, Internet) Querys Internet websites of European railway companies The analyses reveal significant differences between the tariff schemes in different European countries, not only in terms of general level of prices for rail tickets, but also in terms of applicability of the demand and supply segments defined. Several countries do not have any highspeed rail services, some countries have a common tariff system for all train types, so that the only tariff determinant – apart from the distance traveled – is the wagon class used. The following figures (combined in Figure 4.6) illustrate the type of output resulting from the methodology applied. The illustrations refer to Spain and represent the tariffs differentiated by supply segments for the demand segments business and private. R20040089.doc 27 May 2004 29
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