Megabus Makes Money

A private bus company with an internet-based reservation system is succeeding wildly, perhaps paving the way for successful bus transit (and away from rail).
May 5, 2011, 12pm PDT | Tim Halbur
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Bloomberg BusinessWeek talks with Dale Moser, CEO of Megabus' parent company, Coach USA, about the strengths of the Megabus model:

"...how 90 percent of customers book online, many simply showing tickets texted to their phones to board; how the buses all offer free Wi-Fi and power outlets at every seat; how every trip includes at least one $1 fare, with prices going up as the departure date nears and as the bus fills; how there are no terminals or storefronts, just a bare-bones back-office staff; how the bus fleet is in constant use."

The author suggests that the Megabus model is so successful that it may "help kill plans for new railroads."

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Published on Monday, April 11, 2011 in Providence Business News
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