Jean-Pierre Farandou arrived at the head of the rail company almost a year ago and is keen to make the SNCF price list more legible. The cause is a random pricing system, which since the 90s has no longer been calculated on a per-kilometre basis, but follows the rules of airline pricing. In other words, pricing is based on supply and demand and controlled by algorithms that constantly adjust fares. As a result, these algorithms are driving up the price of last-minute tickets to levels that many users find unsustainable.
In an interview with EchoesThe CEO points out that TGV tickets are still perceived as expensive by passengers, even if the average price - currently €45 - has begun to fall since the development of the Ouigo offer.
jean-Pierre Farandou therefore wants to introduce a new pricing system. He has given himself six to twelve months to implement these changes. However, the operator does not wish to return to a per-kilometre pricing system.
The SNCF CEO also believes that it will be necessary to "It will take about two years for traffic to return to the levels seen before the coronavirus crisis. The curves are starting to rise again, but at a slow pace. On the leisure front, the summer went well, but we're a little more worried about business customers." said Jean-Pierre Farandou in les Echos. Business traffic normally represents 15 % of SNCF customers and even 30 % of Inoui TGV traffic.
