jamesinclair wrote:"Can the X Train generate enough riders who don’t care that the trip would take longer for them than to drive in their own cars?"
Sure. Enough people ride lots of amtrak trains that take longer than a car ride. The difference is, Amtrak doesnt make a profit on these routes, while these folks would have to. Im not even talking about the 5 day trains, even the downeaster is slower than a car. Popular enough to expand, but not popular enough to support a private company.
You can't drink alcoholic beverages while driving to Las Vegas, but you certainly could while you're riding the train. The same goes for gambling.
The sheer stupidity of the DesertXpress business model is that after people make the long, long drive to Victorville, there would be very little opportunity to gain revenue from drinking and gambling on the way to Vegas. The whole purpose of the DesertXpress seems to be moving people in a hurry from the middle of nowhere to casino hotels on the strip, with very little opportunity for on-train revenue. Honestly, if you're willing to drive, or take the bus to Victorville, you can't be in much of a hurry anyway?
In the end, the Vegas X Train would seem to have low start up costs and the potential for non-fare revenue streams far in excess of DesertXpress. If UP is truly onboard with this venture, it might have an outside chance - better odds than I'd give DesertXpress.
jamesinclair wrote:goodnightjohnwayne wrote:
There are far more potential patrons for a $99 L.A. to Vegas roundtrip ticket than $400 to 600 for a round trip HSR ticket from Victorville to Vegas. I believe the fare projections from Vegas X Train, but I don't believe DesertXpress' fare projection for a second and I honestly believe that a one way HSR ticket from Victorville to Vegas would have to be between $200 to 300 just to break even, and even that is assuming unreasonably high ridership levels. I also don't see much potential for DesertXpress to subsidize ticket prices on the basis of beverage and gaming profits.
Where are you getting these ridiculous prices from? Why would it cost $200 the break even? Acela makes a profit, and they dont charge that much. The european trains are expensive, but not $300 dollars expensive.
I just picked a random date next month, and the round trip airfare from los angeles to las vegas is less than 100, after taxes.
Even better, allegient is offering a one way fare of $9.99 right now from Fresno (not including taxes). Thats not a typo, nine dollars and ninety nine cents.
If these train companies want to compete, then they need to be sub-$50.
Actually, Acela fares are in the neighborhood of $200 to 300, NYP to WAS, which is pretty good indication of what the actual ticket prices might be on the DesertXpress - although the Acela has the economic advantage of running on an exiting right-of-way improved with taxpayer money. I know I can't quote exact fares due to forum rules, but I can assure you that DesertXpress isn't going to be making a profit with charging the same sort of fares that Amtrak charges on the Acela.
As far as the Vegas X Train, a $99 round trip fare seem to be possible, especially since they are talking about buying in existing, conventional rolling stock and motive power. In addition, with 5 and a half hours, there is a very significant revenue stream from beverages, and once the train crosses the Nevada state line, gambling.