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Comparative Study On The Service Pricing Strategy Of Car Wash Trade

Posted on:2016-04-09Degree:MasterType:Thesis
Country:ChinaCandidate:J R ZhaoFull Text:PDF
GTID:2309330479994358Subject:Industrial Engineering and Management Engineering
Abstract/Summary:PDF Full Text Request
This thesis studied the service price decision problem in car wash trade. Based on the customer perceived value theory and revenue management theory, this work used the method of queuing theory to analyze the per-use pricing strategy and subscription pricing strategy contrastively via service time(including waiting time and service time in the service process) and service ability. Considering the complexity of different pricing schemes and service capacity, this work used the service time cost, service ability cost, service-processing rate, custom arrival rate and threshold value of service value as the decision variables to build up the service pricing decision model in car wash trade. The relationship among the service time cost, service capacity cost and profit was revealed by the model. The decision goal is to determine the specific implementation strategy of service pricing scheme in car wash trade and maximize the profit. To verify the model, this work used Wushan Chezhiyuan Car Wash Company as the practical application case.The results are as follow:(1) When the service ability is fixed, the service time cost is the key factor to affect the pricing strategy. Although the subscription pricing strategy can not control the waiting time effectively, the subscription pricing strategy is indeed better than the per-use pricing strategy.(2) When the service ability can be adjusted, both the service ability cost and service time cost affect the pricing strategy. Both strategies result in minus yield when the combination of service capacity cost and waiting cost is relatively high; the subscription pricing strategy is preferred when the combination of service capacity cost and waiting cost is relatively low; the per-use pricing strategy is preferred when the service time cost is low and the service capacity cost is high, however, the profit is very low in this case. The subscription pricing strategy has more advantages than the per-use pricing strategy.
Keywords/Search Tags:Car Wash Trade, Subscription Pricing, Per-Use Pricing, Service Capability, Service Time, Queuing Theory
PDF Full Text Request
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