Is Parking in Europe Ready for Dynamic Pricing? A Reality Check for the Private Sector

Mark Friesen / Giuliano Mingardo (Sustainability, Vol. 12, No. 7, p. 2732)

Both Revenue Management (RM) and Dynamic Pricing (DP) are common practices in many industries—e.g., airlines and hotels—but they are still relatively unknown in the parking sector. In Europe, with the exception of for airport parking and in some pilot tests, DP is rarely used by private parking operators or local authorities. Continue reading “Is Parking in Europe Ready for Dynamic Pricing? A Reality Check for the Private Sector”

Learning and challenges – first steps towards a flexible pricing policy in the parking industry

Mark Friesen (Parking Trend International, Vol. 36, No. 1, pp. 12-14)

In the latest edition of Parking Trend International Dr. Friesen gives his view on the opportunities of applying Dynamic Pricing and Revenue Management in the parking industry. In the lead article with the title “Learning and challenges – first steps towards a flexible pricing policy“ he explains that despite the potential to leverage revenue by approximately 10-15 percent there is still some reluctance in the parking industry to apply Dynamic Pricing and Revenue Management at a larger scale. Continue reading “Learning and challenges – first steps towards a flexible pricing policy in the parking industry”

Online retailers change prices so rapidly

Mark Friesen (Süddeutsche Zeitung, 06. August 2018)

Dr. Friesen gave his view on personalized pricing in an article published by Süddeutschen Zeitung, Germany’s second largest nationwide newspaper, as of August 6, 2018. For a successful implementation he recommends:

  • Full disclosure of parameters and algorithms, how personalized prices are being calculated,
  • Greatest possible transparency on collecting, mining and trading of customer data and personal information, e. g. on willingness-to-pay or purchasing history,
  • Greater application of value based and behavioral pricing principles to make price discrimination for customers more comprehensible.

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Are airline passengers ready for personalized dynamic pricing? A study of German consumers

Mark Friesen et al. (Journal of Revenue Pricing Management, Vol. 17, No. 2, p. 115-120)

Today, dynamic pricing in most industries is an established form of pricing. The technological changes (NDC, Big data, IoT, etc.) in the airline industry allow further steps for price differentiation culminating in either personalized or personalized dynamic pricing. Personalized dynamic pricing as we define it is not to be confused with the traditional dynamic pricing of today‘s Revenue Management practices. Continue reading “Are airline passengers ready for personalized dynamic pricing? A study of German consumers”

Parking still has room to grow – Optimizing parking revenue at European airports

Mark Friesen (Parking Trend International, Vol. 27, No. 4, p. 37)

In some cases, international airports generate up to 50 percent of their overall annual revenue by marketing and renting space, in other words through non-aviation business. Parking maintenance at an airport plays a large part in this. 2,000 to 3,000 euros per parking space per year is not an uncommon rate. Continue reading “Parking still has room to grow – Optimizing parking revenue at European airports”

Why it is NOT a good idea to buy Swiss Chocolate in Germany – International Price Management between Price Parity and Customer Value

Mark Friesen

The strong Swiss frank has made shopping for all kind of products in Switzerland a quite expensive enterprise. Compared to retail prices in neighbouring countries like Germany Swiss prices always tend to be higher due higher purchasing power and willingness to pay of Swiss consumers. Continue reading “Why it is NOT a good idea to buy Swiss Chocolate in Germany – International Price Management between Price Parity and Customer Value”

New customer-centric tariff models – improved value-based parking for operators and customers alike

Mark Friesen (Parking Trend International, Vol. 27, No. 2, p. 38-41)

A common practice when establishing parking fees for short-term parking are tariff models that for the most part are based on hourly billing increments so as to reach a maximum in the course of the day. In the past few years, other service industries have proven that more equitable customised solutions are possible. Continue reading “New customer-centric tariff models – improved value-based parking for operators and customers alike”

The Swissair disaster – announcement effects of a failed acquisition strategy

Mark Friesen et al. (Asia Pacific Journal of Applied Finance, Vol. I, No. 5, p. 1-15

In this study we analyze the wealth effects of M&A transactions testing a sample of 52 acquisitions by the Swiss flag carrier Swissair between 1995 and 2001. During this period, Swissair followed an aggressive acquisition strategy that led the former leading European airline finally into bankruptcy. We therefore measure the stock price reactions around the announcement days when Swissair publicly declared its interest to acquire. Continue reading “The Swissair disaster – announcement effects of a failed acquisition strategy”