- On entry
- Increases entry time resulting in longer entry queues.
- Bad idea when customers are anxious to get in and might negatively affect repeat visit rates especially during peak hours/days.
- On the way out
- Decreases entry time resulting in smaller entry queues.
- Longer exit queues
- Might be better than long entry queues?
What to charge?
- Fixed Price
- Simplest model.
- Can be collected at either entry or exit.
- Based on time (e.g., by the hour)
- Can only be collected at exit as it is variable.
- Uncertainty of price
- Can be mitigated by limiting the maximum price and marginally increasing price over just a few time intervals (2 interval example: $x for 0-3 hours, $x+y for 3-10 hours where y is marginal).
- Might influence customer behaviour to a small degree
- Might incentivise customers to leave early
- A free for first x minutes policy might reinforce this.
- Based on demand and supply (charge more when supply cannot keep up with demand)
- Can be fixed or metered.
- Can be collected at either entry or exit if it is fixed and at exit only if it is metered.
- Might significantly influence customer behaviour
- Disincentivises casual customers from coming during peek hours.
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