FlyerTalk Forums - View Single Post - Megabus comes to America!
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Old Mar 27, 2006, 5:36 pm
  #13  
ScottC
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Join Date: Sep 2000
Posts: 37,486
Originally Posted by jlm4dg
I agree that it's worth waiting to see whether Megabus sinks or swims. They're following a model very similar to the low-cost airlines, at least the ones that stay solvent in the long term: provide no-frills, low-cost service that just barely turns a profit after maintenance, gas, and the bus driver's salary. The sketchy Chinatown buses that run NYC-Washington DC have been offering similar deals for years with great success. And almost every single Megabus is near to, or is, a college town, so they have an instant clientele.

Amtrak and Greyhound are still going to attract a lot of folks who fit in these non-savvy travel categories:

1. People who are unwilling to commute to the Megabus bus stop. For example, people in Ann Arbor are already grumbling about the 50-minute drive to the Detroit Megabus stop.

2. People who think Megabus will attract a "worse crowd" than Amtrak and Greyhound. I don't think that's so, but non-savvy travelers think these sorts of things.

3. People who think it's too good to be true and would rather pay more for an established service.
Some already heavilly subsidized lines like the Amtrak Chicago-Milwaukee line can't last long... That trip is $21 each way, and service is spotty at best. Stations are outdated and services very limited.
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