Auto Train pricing off the charts

[Anderson]

I would like to know why the auto train tickets increased about 300.00 dollars more from nov. 2013 to nov 2014. I can't seem to get a logical answer. It was always if you booked 11 months ahead the fare was more reasonable. Can someone tell me?

To quote RyanS in posting #5 of this thread:

"Amtrak is working more diligently to manage revenue and won't start selling tickets at the cheaper prices if they can expect to sell the train out at higher prices."

The initial price is now higher than it was because Amtrak thinks the demand is there at that price point. If it isn't the price might come down.

Fares tend to, from what I can tell, follow an airline-style pattern of sorts: They start off high, often come down a bit a few months in, and then move based on expected demand vs. actual demand. Usually, if there's a lot of expected open space (i.e. reverse-Snowbird flow on the Auto Train), tickets will get stuck in a lower bucket to try and move expected empty space. Otherwise, higher buckets will be used, with the price rising until close-to-the-last-minute. At that point, you sometimes get a hard drop in prices if there's unexpected space available in an attempt to move the space.

 

[gmushial]

People are willing to pay those prices. Why would Amtrak charge less?

Per the conversation in another thread: which long term makes more money: charge as much as possible, and leave the customer saying "never again"; or charge enough to cover costs, make a reasonable profit, and have the customer get home and immediately book for next year's vacation... likewise telling friends how delightful it all worked out, and how affordable it was?

 

[Dovecote]

I would like to know why the auto train tickets increased about 300.00 dollars more from nov. 2013 to nov 2014. I can't seem to get a logical answer. It was always if you booked 11 months ahead the fare was more reasonable. Can someone tell me?

To quote RyanS in posting #5 of this thread:

"Amtrak is working more diligently to manage revenue and won't start selling tickets at the cheaper prices if they can expect to sell the train out at higher prices."

The initial price is now higher than it was because Amtrak thinks the demand is there at that price point. If it isn't the price might come down.

Fares tend to, from what I can tell, follow an airline-style pattern of sorts: They start off high, often come down a bit a few months in, and then move based on expected demand vs. actual demand. Usually, if there's a lot of expected open space (i.e. reverse-Snowbird flow on the Auto Train), tickets will get stuck in a lower bucket to try and move expected empty space. Otherwise, higher buckets will be used, with the price rising until close-to-the-last-minute. At that point, you sometimes get a hard drop in prices if there's unexpected space available in an attempt to move the space.

I would say Anderson your are dead on with this analysis having traveled on the Auto Train five times this year. Two of these trips were during the height of the snowbird season. Those prices never fluctuated so instead of paying top of the mark prices my AGR points were redeemed. On the other hand, the fares on the other three trips were either the low bucket or second lowest bucket. These reservations were finalized about a month from traveling after watching fares drop in the prior weeks. On one occasion my roomette price dropped and I modified the reservation to get the lower price in the form of an evoucher.

 

[AlanB]

People are willing to pay those prices. Why would Amtrak charge less?

Per the conversation in another thread: which long term makes more money: charge as much as possible, and leave the customer saying "never again"; or charge enough to cover costs, make a reasonable profit, and have the customer get home and immediately book for next year's vacation... likewise telling friends how delightful it all worked out, and how affordable it was?

Amtrak doesn't have even 1 long distance train that makes a profit, much less a "reasonable profit."

Now maybe if Congress stopped demanding that Amtrak try to become self-sufficient then maybe they could charge a more reasonable price that would help to generate more repeat ridership than they currently do get. But I won't hold my breath waiting for Congress to be reasonable.