SBS Transit, SMRT ask to raise bus and train fares

[centuryegg]

cut costs or raise revenue...which you prefer?

You are not answering the question.... as an consumer NOT shareholder, I dont give a hoot about your costs and revenues. If you make me and other consumers happy, we give you business, naturally your revenue will go up. However if you dont, we will walk away and give the business to someone else. In SIngapore's situation, it is an monopoly, public transport is not a want, it is a need, we need it. Even when we are unhappy, we have no choice as there is no other choice nor company.

So whether the company cut costs or raise revenue really doesnt concern me, all I care for is fair treatment and fares. However what we see is increasing fares and increasing profits... and you ask questions that only a shareholder would ask.... cut costs or raise revenue??!

 

[datan]

Hey seriously why not YOU come out with some brillant ideas instead of asking us to blindly obey and not question. If you seem to know so much, can you let us know why bus companies are justified to increase fares every year? So far your reasonings all dont make much sense.....

what reasoning don't make sense? My point all along is that their costs have gone up so they are justified in increasing their revenues (fares).

 

[datan]

Cut cost without affrecting your customers.
Raise revenue without raising prices.

:thumbsup::thumbsup:

win already loh...like that I also can say...

why not come up with concrete ways of doing the above?

 

[CYRN]

um I mean what do you think is a reasonable margin as a percentage of their gross revenue? I mean like now rent out HDB flat people asking for 5-8% yield.

You still dun get it...

SBS might be a private company.... but they are STILL providing PUBLIC services. So their profits should be tied to what the GENERAL public is getting.

 

[datan]

You are not answering the question.... as an consumer NOT shareholder, I dont give a hoot about your costs and revenues. If you make me and other consumers happy, we give you business, naturally your revenue will go up. However if you dont, we will walk away and give the business to someone else. In SIngapore's situation, it is an monopoly, public transport is not a want, it is a need, we need it. Even when we are unhappy, we have no choice as there is no other choice nor company.

So whether the company cut costs or raise revenue really doesnt concern me, all I care for is fair treatment and fares. However what we see is increasing fares and increasing profits... and you ask questions that only a shareholder would ask.... cut costs or raise revenue??!

so what do you think is a reasonable profit level as a percentage of gross revenues?

 

[centuryegg]

what reasoning don't make sense? My point all along is that their costs have gone up so they are justified in increasing their revenues (fares).

So next year, they say again their cost increase so must raise prices and we all say "AMEN MAJULAH SINGAPURA TO MORE PRICE INCREASE"

Seems that the reasoning of cost increase has been used every year..... our bosses also use the same excuse for us all... "you know ah seng, prices outside hah increasing hah costs go up so your pay hah cannot go up hah.... if not I have to employ the china worker... he work longer for lower price..."

 

[centuryegg]

so what do you think is a reasonable profit level as a percentage of gross revenues?

Why not you tell me..... you seem to know

 

[datan]

You still dun get it...

SBS might be a private company.... but they are STILL providing PUBLIC services. So their profits should be tied to what the GENERAL public is getting.

it IS already tied to what the general public is getting.
If you look at the original article, it says that the way their fare increase is calculated as a proportion of the economic growth. In this case it is limited to 1.8% which is related to economic growth which is what the GENERAL public is getting.

 

[CYRN]

what reasoning don't make sense? My point all along is that their costs have gone up so they are justified in increasing their revenues (fares).

The flaw in your reasoning is that revenue does not = fares.

Also, being a private conpany, part of the responsibility to your customer is to keep cost to minimal.

 

[vince123123]

Now the question is who comes up with economic growth figures, and are they really reflective of what is happening on the ground?

We have seen official figures relating to education being slanted in a misleading way, things like proportion of "residents" unemployed etc - goes to show how true a picture these media released figures really paint.

it IS already tied to what the general public is getting.
If you look at the original article, it says that the way their fare increase is calculated as a proportion of the economic growth. In this case it is limited to 1.8% which is related to economic growth which is what the GENERAL public is getting.

 

[CYRN]

it IS already tied to what the general public is getting.
If you look at the original article, it says that the way their fare increase is calculated as a proportion of the economic growth. In this case it is limited to 1.8% which is related to economic growth which is what the GENERAL public is getting.

That's only on the surface, because the statistics used mean and not median income for calculation.

If you are able to, negate the top 10% and bottom 10% income earners, you'd get a better picture why there only 1 of you defending and the rest of us are against the fare increase.

 

[vince123123]

You forgot about dkw, he also thinks the fare increase is fair.

That's only on the surface, because the statistics used mean and not median income for calculation.

If you are able to, negate the top 10% and bottom 10% income earners, you'd get a better picture why there only 1 of you defending and the rest of us are against the fare increase.

 

[centuryegg]

You forgot about dkw, he also thinks the fare increase is fair.

Yes that makes 2 of them versus many

 

[CYRN]

Why not you tell me..... you seem to know

I doub't it.. I tink he's as blanked out.

 

[CYRN]

You forgot about dkw, he also thinks the fare increase is fair.

oops.. didn't see that post. :embrass:

 

[centuryegg]

I doub't it.. I tink he's as blanked out.

No lah he knows.... he keeps saying costs go up as companies claim hence he totally support their increase bid. Also companies should threaten us.... "dnt let me increase fares??!! I cut the bus routes then u know!"

 

[datan]

Why not you tell me..... you seem to know

if you look at the price data of the Straits Times Index since 1988,
it has increased by an average of 9.95% per year.

http://sg.finance.yahoo.com/q/hp?s=^STI&a=11&b=28&c=1987&d=07&e=3&f=2007&g=m

In other words, if you invest in an "average" company in the STI, you'll get annual returns of
10% per annum.

In other words, an average company is one that generates 10% profit every year.

If we look at revenue of 600m per year (which Cyrn posted a few posts ago), that translate to about $60m per year.

 

[datan]

The flaw in your reasoning is that revenue does not = fares.

revenue does not equal fares???
you want to elaborate?

Also, being a private conpany, part of the responsibility to your customer is to keep cost to minimal.

that's quite debatable.
you can argue from a social welfare standpoint maybe...but not as a publicly traded company (not private).

 

[CYRN]

Yes that makes 2 of them versus many

Actually, I'm still on the fence, the increase in energy and fuel cost is very real. My only gripe is that they are not forthcoming in their alternative cost cutting solution and straight away asking for a rise in fare.

Hey, it's just like you need this need that, pay house pay whatever and not enough SAVINGS and first thing you do is ask you boss for pay rise. :bigeyes:

 

[datan]

Now the question is who comes up with economic growth figures, and are they really reflective of what is happening on the ground?

We have seen official figures relating to education being slanted in a misleading way, things like proportion of "residents" unemployed etc - goes to show how true a picture these media released figures really paint.

so you're saying that the economic growth figures the government releases are fake?