If Qantas sold paint...?
This missive started life as a joke on the internet, the author is unknown and while Q could be subttituted for any airline that uses yield management system it highlights the complexity of the pricing with the airline sector.
How hardware stores sell paint
Customer: Hi. How much is your paint?
Clerk: We have regular quality paint for $18 a litre and premium paint for $25. How many litre would you like?
Customer: 5 litres of regular paint please.
Clerk: Great. That would be $90.
Now, imagine you are buying paint from Q. First, you try reaching them by phone to ask if they have paint. All you get is music on hold, so you drive to a Q store.
Customer: Hi. How much is your paint?
Clerk: Well, sir, that depends. Our lowest price is $12 a litre, and we have 60 different prices up to $200 a litre.
Customer: What's the different in the paint?
Clerk: Oh, there isn't any difference; it's all the same paint.
Customer: Well then, I'd like some of that $12 paint.
Clerk: When do you intend to use the paint?
Customer: I want to paint tomorrow. It's my day off.
Clerk: Sir, the paint tomorrow is the $200 paint.
Customer: When would i have to paint to get the $12 paint?
Clerk: You would have to start very late at night in about 3 weeks. But you will have to agree to start painting before Friday of that week and continue painting until at least Saturday. I'll check and see if we have any paint available.
Customer: You have shelves FULL of paint! I can see it!
Clerk: But it doesn't mean that we have paint available. We sell only a certain number of litres on any given weekend. Oh, and by the way, the price per litre just went to $16. We don't have anymore $12 paint.
Customer: The price went up as we were talking?
Clerk: Yes sir. We change the prices and rules hundreds of times a day. i suggest you purchase your paint as soon as possible. How many litres do you want?
Customer: Well, may be 5 litres. Make that 6, so I'll have enough.
Clerk: Oh no sir, you can't do that. If you buy paint and don't use it, there are penalties.
Customer: What does it matter whether I use all the paint? I already paid you for it!
Clerk: We make plans based upon the idea that all our paint is used. If you don't, it causes us all sorts of problems.
Customer: This is crazy! I suppose something terrible happens if I don't keep painting until after Saturday night!
Clerk: Oh yes! Every litre you bought automatically becomes the $200 paint.
Customer: To hell with this! I'll buy what I need somewhere else!
Clerk: I don't think so, sir. You may be able to buy paint for other rooms, but you won't be able to paint your connecting hall and stairway. And I should point out, sir, that if you paint in only one direction it will be $300 a litre.
Customer: I thought your most expensive paint was $200!
Clerk: That's if you paint around the room to the point at which you started. A hallway is different.
Customer: And if i buy $200 paint for the hell, buy only paint in one direction, you'll confiscate the remaining paint.
Clerk: No, we'll charge you an extra use fee plus the difference on your next litre of paint. But I believe you're getting it now, sir.
Customer: You're insane!
Clerk: But we're now this country's only paint supplier! And don't go looking for bargains! Thanks for painting with Q.
A article from my reading materials in managing people and organization!!
Regarding some airline crazy system...
Customer:
How hardware stores sell paint
Customer: Hi. How much is your paint?
Clerk: We have regular quality paint for $18 a litre and premium paint for $25. How many litre would you like?
Customer: 5 litres of regular paint please.
Clerk: Great. That would be $90.
Now, imagine you are buying paint from Q. First, you try reaching them by phone to ask if they have paint. All you get is music on hold, so you drive to a Q store.
Customer: Hi. How much is your paint?
Clerk: Well, sir, that depends. Our lowest price is $12 a litre, and we have 60 different prices up to $200 a litre.
Customer: What's the different in the paint?
Clerk: Oh, there isn't any difference; it's all the same paint.
Customer: Well then, I'd like some of that $12 paint.
Clerk: When do you intend to use the paint?
Customer: I want to paint tomorrow. It's my day off.
Clerk: Sir, the paint tomorrow is the $200 paint.
Customer: When would i have to paint to get the $12 paint?
Clerk: You would have to start very late at night in about 3 weeks. But you will have to agree to start painting before Friday of that week and continue painting until at least Saturday. I'll check and see if we have any paint available.
Customer: You have shelves FULL of paint! I can see it!
Clerk: But it doesn't mean that we have paint available. We sell only a certain number of litres on any given weekend. Oh, and by the way, the price per litre just went to $16. We don't have anymore $12 paint.
Customer: The price went up as we were talking?
Clerk: Yes sir. We change the prices and rules hundreds of times a day. i suggest you purchase your paint as soon as possible. How many litres do you want?
Customer: Well, may be 5 litres. Make that 6, so I'll have enough.
Clerk: Oh no sir, you can't do that. If you buy paint and don't use it, there are penalties.
Customer: What does it matter whether I use all the paint? I already paid you for it!
Clerk: We make plans based upon the idea that all our paint is used. If you don't, it causes us all sorts of problems.
Customer: This is crazy! I suppose something terrible happens if I don't keep painting until after Saturday night!
Clerk: Oh yes! Every litre you bought automatically becomes the $200 paint.
Customer: To hell with this! I'll buy what I need somewhere else!
Clerk: I don't think so, sir. You may be able to buy paint for other rooms, but you won't be able to paint your connecting hall and stairway. And I should point out, sir, that if you paint in only one direction it will be $300 a litre.
Customer: I thought your most expensive paint was $200!
Clerk: That's if you paint around the room to the point at which you started. A hallway is different.
Customer: And if i buy $200 paint for the hell, buy only paint in one direction, you'll confiscate the remaining paint.
Clerk: No, we'll charge you an extra use fee plus the difference on your next litre of paint. But I believe you're getting it now, sir.
Customer: You're insane!
Clerk: But we're now this country's only paint supplier! And don't go looking for bargains! Thanks for painting with Q.
A article from my reading materials in managing people and organization!!
Regarding some airline crazy system...
Customer:
posted by 小心聲 @ 11:36 AM
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