Expretio helps bus and coach operators succeed at Revenue Management
The bus and coach industry has been facing its fair share of hardship in the past few decades. The environment is highly competitive, new entrants like car-pooling services have taken market shares, and on top of that it now has been 18 months that the sanitary crisis has started. Even if “recovery” is on everyone’s lips, bus and coach operators know they need to find quick and long-lasting solutions to some of their more pressing challenges.
A lot of operators have resorted to cost reduction to keep their head above water. But for how long? How can the bus and coach industry efficiently leverage its resources to not only face hardship, but also experience real growth? These questions are not easy to answer and often require a deep analysis of the organization’s situation. However, experience shows that one of the many useful tools used to overcome such challenges is revenue management.
Revenue management is the use of data to predict consumers’ behaviors on a given market in order to optimize price and maximize revenues. One of its most powerful lever is dynamic pricing which uses automation and artificial intelligence to find the best price for any given departures, at any given time.
Bus operators are constantly trying to reduce costs because their profit is under stress. This situation, although aggravated by the pandemic, precedes the events of the past months. Revenue management and dynamic pricing give them another way of increasing their general revenue, one that does not rely solely on cost reduction. In fact, with better demand forecasting, bus and coach operators can also improve their operations and thus achieve significant cost reductions.
Why Revenue Management?
Revenue management and dynamic pricing are concepts known in the industry, and several solutions are now available to bus and coach operators. Once in place, they use the organization’s own data and business knowledge to make predictions that will help define the optimal price scenarios. This is key because organizations that use revenue management are able to:
- Find new opportunities for revenue, helping them get back to business faster and stronger.
- Find opportunities that work for them: based on their own data and experience.
- Can easily increase their productivity since their business analysts can really focus on relevant segments.
In a nutshell, revenue management and dynamic pricing help you leverage your own resources to find the right price, at the right time, for the right customer.
Dynamic pricing and Revenue Management: all within the reach of bus and coach operators thanks to Expretio
As amazing as they sound, revenue management and dynamic pricing both require some complex analysis and manual executions, especially with legacy reservation systems. Most in-house solutions are not adapted and don’t allow organizations to react fast enough to market changes. Organizations often end up working in a vacuum, with a system that offers no responsiveness to competitors’ actions.
Luckily, a whole range of new solutions now put revenue management within everyone’s reach. This is notably the case for the Appia solution developed by Expretio.
Expretio’s solutions:
1. Give you access to real-time data for a 360-degree vision of your network. Thanks to customized dashboards, you can track departures, prices, and demand to rapidly respond to market changes and change your pricing strategy to keep up with the market.
2. Offer a complete overview of your competitor’s situation and the ability to automatically position your offer based on market information.
3. Automatize your pricing strategy to heighten the impact of the user’s actions, helping you set up specific pricing strategies for each segment.
4. Come with the support of a dedicated team of experts with +15 years of experience in revenue management and dynamic pricing.
No matter how big or small your team is, or how vast and complex your networks are, Expretio’s solutions help revenue management be within your reach.
At Expretio, we understand the challenges facing bus and coach operators. We can help you maximize revenues with complete solutions like Appia and Rivalis:
