Hello, and welcome back to the second module of advanced competitive strategy.
We're on board the Ludwig Fessler a side-wheeler motor vessel on
Lake Chiemsee, and we're going to talk about price discrimination.
So, like all motor vessels the one we're currently on is run by the Chiemsee
Schifffahrt Ludwig Fessler, the local shipping company which operates a
number of different pricing systems and pricing schemes.
So, if you want to do a boat trip with them, you will have
to pay a different price depending on
whether you're an adult, whether you're a child
from 16 to 15 years of age, part of a family consisting of two adults,
and two children, or whether you're travelling
in a group of at least 20 people.
At the same time, you also pay different
prices, that depend on the services that you require.
It will make a difference whether you want to purchase a
ticket for a short trip, for the tour around the western
side of the lake, the tour around the eastern side of
the lake, or if you want to take the entire circle.
Moreover, you have the opportunity of combining your boat
trip ticket, with a ticket for the local steam engine.
The Chiemsee Bahn, that takes you from the pier, to the major train station.
By getting a combined ticket for both, the boat trip and the steam
engine, you essentially pay less than if you purchase the two tickets individually.
So that sounds pretty complicated right?
But, there are good reasons why they're charging all those different prices.
Watch the following videos, if you want to find out more about these strategic
advantages and benefits, that you can achieve
by implementing a suitable price discrimination strategy.