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Deutsche Bahn's (DB) long-distance traffic is currently in a phase of strong demand growth. There are still ambitious goals for the future that can only be achieved if more non-customers are also addressed. Non-customers partially show a latent travel potential, however it is relatively difficult to mobilize. Here, offering low prices is one prerequisite, the guarantee of a robust and reliable performance is another. [ABSTRACT FROM AUTHOR]

In an intensified competitive environment the knowledge of customer structures and requirements increasingly becomes a strategic competitive advantage. Despite a high importance customer segmentations often fail due to a lack of sustainable operational feasibility. The paper presents conventional segmentation approaches in passenger services and specifies the value-to-value (V2V) segmentation developed by the authors. This approach combines the two value perspectives of customer value management (the customer and the business perspective). In addition to the concept and the operationalization of a V2V segmentation options for sales and marketing activities based of this new customer and market perspective are presented. [ABSTRACT FROM AUTHOR]

Current discussions on the critical profit situation of German Railways [Deutsche Bahn), a recently published study that emphasizes the negative perception of the price system as well as an increasing competition from market entrants are a burden for German Railways. First, the article describes the new quality of a changing competition. Secondly, the role of the railway price system while competition increases is discussed. Thirdly, it is pointed to the special importance of saver fares (“Sparpreise"). These allow on one hand, a dynamic price differentiation and thus smoothing of peak demand, on the other hand they are regarded as an effective instrument in an intensified competitive environment. [ABSTRACT FROM AUTHOR]

Unlike airlines, express coach services and other railway companies with closed systems (TGV, Amtrak etc.) national railways in the German speaking countries (DB, ÖBB and SBB) strongly rely on the promotion of discount cards, which offer a discount on the full fare (25 %, 50 % or 100 %) against a payment of an annual fee. Since the effects of these discount cards are more complex than expected, opportunities and risks in each of the customers and the company's view are first compared and discussed. Afterwards different hypotheses (myths) are examined, which are often used to explain the mechanics of the discount cards. Finally development paths for the future modification of the discount cards are presented, which meet the modern requirements of loyalty systems. [ABSTRACT FROM AUTHOR]

As the own empirical study shows there are equally large growth potentials for railway companies in the DACH region (Germany, Austria, Switzerland). Mobilizing additional demand requires to use the price as a marketing tool properly. Here, the problem occurs that the price level of tire unrestricted full fare (Normalpreis) is rated as unattractive by most customers. Only special fares, which are clearly positioned below the full fare price level, have the chance to be perceived as favorable prices from a market. Modern revenue management systems provide a way to offer reference prices (with limited availability) in the market, to generate and (re) direct demand on trains with poor utilization, to improve this and thus limit the risk of sales cannibalization. [ABSTRACT FROM AUTHOR]