Specialist
Former director at Trainline.com Ltd
Agenda
- Booking volume recovery trends
- European regulatory landscape and deregulation impact
- Competitive landscape in continental Europe
- Ticketing costs and margin trends in Europe vs UK
Questions
1.
We were cautiously optimistic about H2 2021 in our previous Interview [see Trainline & Rail Ticketing Platforms – Concession Model & Margin Dynamics – 24 August 2020], but the second wave of coronavirus and subsequent lockdowns massively impacted passenger volumes. Are there signs of recovery in 2021? What are your expectations for booking volumes and train operators?
2.
What portion of bookings do you think business travel represents in the B2C channel under normal circumstances? What share of advance tickets are typically business travellers?
3.
How have European markets fared throughout the pandemic?
4.
How might the UK government’s extensive support throughout the pandemic impact UK rail? 5-10% ridership in the UK amid the pandemic must have significantly reduced train operators’ budgets. What restructuring measures, de-privatisation or otherwise, could result from the pandemic?
5.
Do you think management contracts will stipulate a certain margin for operating companies? How will that be defined?
6.
How does the cost of retailing factor into or contribute to operators’ costs? I think commissions for Trainline’s B2C channel are around 8.5%.
7.
Is there a risk of the UK government pushing National Rail Enquiries as the de facto booking engine for rail transport?
8.
Who provides the information for rail timetables?
9.
How likely is that National Rail could become the de facto channel for digital booking? Would it be easier for the UK government to push more volume to Trainline in exchange for a lower commission on retailing?
10.
How do the UK’s European counterparts manage retailing? France has SNCF and you mentioned Deutsche Bahn, which is incredibly scaled and dominant in Germany.
11.
Could you estimate the share of tickets for international tourism in markets such as Germany, France, Italy and Spain?
12.
We touched on European regulation and new competition. What regulatory changes are being proposed?
13.
Is retailing regulated differently in continental Europe vs the UK? Does every distributor gets the same percentage commission and are commercial terms decided between Deutsche Bahn or SNCF and the individual distributors?
14.
How well-positioned is Trainline to capitalise on growth in Spain and Italy, which seem to be more promising markets? How would you describe the competitive landscape in those regions? Is Trainline the number one player?
