Moderator: Hugh Edwards, Principal, Consulting Strategies UK

Transcription

1 T101: Managing Rail Moderator: Hugh Edwards, Principal, Consulting Strategies UK Presenters: Béatrice Pâques, Chief Commercial Officer, Thalys Abdelaziz Bougja, Global Travel Manager, VEOLIA Environment Lionel Clavières, Consultant Solutions, Concur William Phillipson, Sr. Vice President Experience, Wandrian 1

2 European railways on the move The Thalys experience

3 History 1820 : First train 1890 : Electric power 1962 : First National High Speed train 1994 : Eurostar 1996 : Thalys 2007 : RailTeam 2010 : Liberalization / Competition 3

4 Liberalization Separation between carrier / rail / infrastructure Incoming of private companies Liberalization only on international network Liberalization on national network (~ 2017) 4

5 Historical players => Public companies 5

6 New competitors =>Private companies 6

7 Network evolution km today km in % 7 Source = Airplus

8 Time Travel Evolution Today Tomorrow Paris - Amsterdam 4h15 3h15 Madrid - Barcelone 4h30 2h30 Rome - Milan 4h30 3h30 Yesterday Today Paris - Bruxelles 2h20 1h22 Paris - Londres - 2h15 Paris - Strasbourg 4h 2h20 8

9 Business Travel in Europe 2008 Air : 50% Rail : 8% Car : 10% Hotel : 20% 9 Source = ACTE 2007

10 Rail for business travelers needs Specific lounges in railway stations Catering Wifi on board Paperless e-ticketing Specific area on board 10

11 Air vs Train + 35% (2000 => 2007) Time gained (door to door trip) More ecological, workable, stress less, 11 Source = UIC

12 Air Vs Train 12 Source = UIC

13 Why choose High Speed trains Fast (door to door journey) Convenient (96% find it worthwhile) Seamless (250 intermodal connexions) Punctual (~ 90%) Greener Economic 13

14 Example Paris - Strasbourg 2008 :11.9 travelers billions (by train) High speed train 4h => 2h17 => 1h50 ~ 80% filled Market share : 35% => ~ 70% 14

15 Some good news Alliance service More high speed trains Improved distribution (through SBT) Crisis and Green travel More traffic (business / leisure) 15

16 but still some obstacles No rail equivalent to IATA or GDS No common standards between operators High speed trains never toke care about International distribution Distributors vs. carriers vs. rail 16

17 R-evolution in booking rail Rail booking up to 14% (2008) Arrival on the GDS of domestic rail option (UK) Possible technically (through GDS) New entrants will start with a cleaning Goal of rail team 17

18 Objectives Reduce exploitation of natural resources Reduce carbon emissions, noise Increase comfort / velocity /safety and security Increase quality of timetables and connections Facilitate seamless distribution through GDS or SBT 18

19 Innovation The Thalys exemple Dematerialization => Ticketless, e-billet Wifi on board Mobile phone functions Thalys.mobi On-line tools 19

20 Perspectives Railteam 20

21 Railteam As of 2 nd July 2007 Five Railteam hubs : Brussels Midi, Lille Europe, Cologne, Frankfurt and Stuttgart. A dedicated website : Railteam.eu Realtime information : Railteam.mobi Hop on the next train : Asssitance to customers in case of train disruption Distribution: easy booking for several segments/carriers trought broker (2010) ou web base solution 21

22 FAST MOVING CONTEXT Legal environment Intra and multi-mode competitiveness And customers requirements A key asset, more than ever : dedicated people, train sets, booking engines, tarif ranges CUSTOMER FIRST PIONEERING SPIRIT Time to market is a key factor of success 22

23 European railways on the move Questions

24 L industrie du rail en Europe «du point de vue du TM»

25 De la tortue au lièvre 3000km de réseau GV 10 destinations Françaises et Européennes à 3h15 au départ de Paris Des perspectives à km de rails GV en

26 Un développement continu depuis près de 30 ans from 65M (2000) to 80M (2005) passengers : +23% 41% of the collective long distance market in France De 65M (2000) à environ 100M passagers (incluant les voyages internationaux, volume domestique : 88M pax) length (km) Lille Marseille Strasbourg Lyon Tours Le Mans

27 1. Les avantages Pourquoi choisir le rail? Temps de trajet inférieur à l aérien Un coût inférieur à l aérien Un gain de temps Temps et frais d approche réduits Ponctualité inégalée Temps d attente réduit Un confort de plus en plus conforme aux standards internationaux Un espace de travail et de convivialité Un process de plus en plus simplifié (billet électronique / ticketless) Ecologie 27

28 Grande vitesse et développement durable Un bilan environnemental meilleur que l avion ou la voiture. mais quid du bruit aérodynamique à très grande vitesse? Les lignes nouvelles (doublement prévu par le gouvernement d ici 2020) s inscrivent dans le même horizon de temps économique que le facteur 4 (2050) Un gisement de mobilité collective interurbaine : quelle mobilité individuelle sous la contrainte du facteur 4? une évaluation économique à réviser: quelle valeur du temps gagné sous le facteur 4? La vitesse n est qu un élément de la performance globale. fréquence, fiabilité, service à bord, accessibilité, 28

29 Pourquoi choisir le rail? 2. Les inconvénients Absence d organisation fédératrice (type IATA) Absence de modèle unique de distribution de l offre (type GDS) Absence de standards entre les opérateurs Absence de chambre de compensation (type BSP) Processus d automatisation des paiements central déficient Nécessité d homogénéiser l espacement des rails pour une meilleure circulation des trains européens 29

30 Demain? Libération européenne en 2010 Libération nationale en 2017?? Les nouveaux challengers L intermodalité (aérien et train) Railteam? 30

31 Préparer demain Une ligne à grande vitesse: un horizon économique de 50 ans 1) Complémentarité et concurrence : entre les modes, au sein de chaque mode. Paris-Bruxelles: report modal Madrid-Séville: report modal 100% 100% 80% train 80% 33 60% 40% 20% 0% voiture avion bus 60% 40% 20% 0% train avion avant maintenant avant maintenant 2 ) Développement durable : s inscrire dans les objectifs du Grenelle - Réduction de la croissance de la mobilité: comprendre et anticiper les besoins. - Coût de l énergie et augmentation du prix des transports: quel budget transport pour les ménages? 31

32 L Europe ferroviaire : oublier les frontières? Un réseau qui relie les grandes villes européennes Mieux ancrer la France dans l Europe. Des grands axes en cours de réalisation. Un «RER» à l échelle européen Des réseaux interopérables mais pas de vitesse normée Adapter la vitesse aux besoins (géographie, distance, ) 32

33 Un enjeu: l interopérabilité Favoriser une libre circulation 33

34 Corporate Rail Travel A Global View of Managing Rail by an End to End solution Provider Lionel Clavières Solution Consultant, Concur

35 European Rail Forecast European rail travel grows substantially as a result of Railteam Alliance to launch single reservation system in 2010 European regulatory restrictions dismantled Reduced travel times European high-speed Network plans to triple in size by 2020 Rising air fares Growing environmental concerns Source: Advito, 2009 Industry Forecast 35

36 Benefits of Managed rail Travel through the OBT The user experience is key! Full availability through Direct Connect (including Web fares) Combined air-rail display Compare air and rail on frequently traveled routes Also compare travel times and costs Corporate travel policy compliance Self-print online ticket, ticketless, local ticket printer Full support of rewards program and discounted rail fares Advantage Cards Cancellation - The ability to cancel online tickets Check timetable/reservation use of smart phone End to end solution itinerary info automatically populate your expense report 36

37 Integrating Rail Benefits Travel Program Procurement, Buyers, Travel Managers High-speed rail services are often cheaper than air Identify the main routes where rail is an alternative to air Update the travel policy to support a rail strategy and promote compliance Define the company s current volume of rail traffic and estimate the potential increase Switching from air to rail on specific routes Evaluate the savings potential Compare average ticket prices for rail and air Visibility - Reporting Track rail usage and air vs. rail compliance/volume, CO2 calculator Source: On Track for Benefits: High-Speed Rail and Business Travel, Sept

38 Technology, the challenge for Online Booking Tool providers As technology makes the process of getting a train ticket much easier, corporate buyers and agents changing attitudes about rail Access to full content More e-ticketing and touch less processing 38

39 A Global View of Rail 39

40 Thank you! 41

41 T101 Managing Rail May 14, 2009

42 Start with a quote... Two out of three people struggle to book a simple rail ticket via the internet, according to research by responsibletravel.com Wandrian, Inc. 2

43 What is Distribution? CASE STUDY Welcome - Bienvenue - Welkom - Willkommen France Nederland Deutschland Français Français Nederlands Deutsch Nederlands Nederlands Français Français Deutsch Deutsch Deutsch Nederlands English English English English Thalys 2009 KDS optimizes VEOLIA Why? business travel management France s number one provider of environmental solutions (formerly Vivendi Environnement), the VEOLIA group of companies has 250,000 employees around the world divided into four divisions: Waste Management, Energy Services, Water and Transportation. VEOLIA is the world leader in environmental services with sales of 24.7 billion euros and net earnings of 13.5% in THE PROJECT Lower costs Revenue Management Competition Improved Customer Service VEOLIA has undergone deep changes over the past few years. The Odyssey project was born in this context to streamline the Company s travel expenses based on an on-line Self-Booking Tool. VEOLIA s management became aware of the challenges and importance of potential savings related to reducing business travel expenses. To illustrate the challenges involved in this standardization, consider that VEOLIA has 2,500 entities around the world and no less than 1,500 in France. VEOLIA s corporate travel budget in France (Company s head office) is an expense item that represents 30 to 35 million euros. The objective with the KDS solution is to manage 75% of this budget on-line by the end of To implement the Odyssey project successfully, VEOLIA s management has assigned it to Abdelaziz Bougja, a multi-disciplinary project manager. A certified public accountant with substantial experience in the aerospace industry, he occupies a cross-functional position in the Corporate Human Resources Department. THE VISION The first step involves doing an exhaustive inventory of existing practices and tools. This is essential so the project has a solid foundation and also to facilitate the subsequent implementation of the online self-booking tool. Abdelaziz Bougja, Odyssey project manager at Veolia. WHY KDS? KDS was chosen based on a tender call during which VEOLIA examined the main solutions available in the market in an international environment. VEOLIA decided to place its confidence in KDS for several reasons: KDS ability to implement its KDS Corporate online business travel management solution internationally and enterprise-wide and the fact that KDS is a community-based business just like VEOLIA. Another important point for VEOLIA: KDS ability to be a proactive source of proposals and its long experience in managing change among a broad group of comparably sized international clients. Finally, VEOLIA used the occasion of implementing the online SBT solution to change its travel management company (TMC). The synergy between Carlson Wagonlit Travel (CWT), the new TMC, and KDS was a key selection criterion. The key to success on such a project is to work the TMC and on-line reservation tool together. CWT and KDS are quite familiar with each other and have worked together for several years serving major European and global corporations. Time Mr. Bougja, Odyssey project manager, describes his vision: the Human Resources Department is responsible for implementing an online business travel management solution. Transportation is a powerful vehicle for social progress. The goal is! The implementation to consolidate procurement by defining a precise scope and implementing a rigorous system. The first step involves doing an exhaustive inventory of existing practices and tools. This is essential so the project has a solid foundation and also to facilitate the subsequent implementation of the online self-booking tool. Space Belgique/België IMPLEMENTING THE SOLUTION > 1st phase: deploy initially in France, resulting in investment consolidation and a qualitative leap forward Wandrian, Inc.

44 What do we have today? No Standard No Consistency No International Inefficient Marketplace! 2009 Wandrian, Inc. 4

45 What is needed? Five aspects of product delivery: Shopping Booking Fulfillment Service Settlement Access to Data Access to Content (ATPCo, OAG, etc.) (ODD) Shopping! (ITA Software) Messaging & process Standards e-ticketing & digital-ticketing Standards (IATA, GDS, Pegasus) (IATA) Full life-cycle support (GDS) Flow of funds: sale, settlement & commissions (ARC, BSP, MD, etc.) Wandrian, Inc.

46 What to avoid? Commoditization Partial Solution Lowest Un-Scalable Solution common functionality 2009 Wandrian, Inc. 6

47 The road forward... 3-step Booking Process Mobile Support IPhone Support Coming Soon Travel Management Companies XML Direct Services Self Booking Tools Single connection to global rail content (shopping, booking, fulfillment, settlement) Efficient access to broad global distribution through single connection Air-Rail integration Online Travel Agencies Robust API Wandrian Global Rail System Wandrian, Inc.

48 Thank you For copies or more information, please goto: Wandrian, Inc. 8