FYI from MCI™

Bringing passengers onboard to beat high fuel prices

About a year ago, an ABA survey showed that 88 percent of member motor coach companies and tour operators reported that fuel cost increases were affecting their bottom lines. And gas hasn't exactly been getting cheaper. Still, many transit agencies, including some that run MCI Commuter Cruisers, report double-digit ridership gains over the past several months, much of which is attributable to the rise in fuel prices.

Part of the reason is simply that consumers are quick to turn to established alternatives when the price of gas is high. And part of it is marketing. Many transit agencies banded together earlier this summer for the "Dump the Pump" campaign and continue to advertise their economic merits. And MCI itself unveiled its "Go Green. Go Coach. Go MCI" slogan at last month's 50th birthday bash for the Interstate highway system.

There's plenty individual operators can do as well, beyond levying fuel surcharges and finding ever-more creative ways to trim costs.

Lamers Tour and Travel, Green Bay, Wisconsin, is one operator that is touting its services, which include shuttles as well as tours, as a way to beat high prices. Megabus has gained lots of attention and more than 70,000 riders since April with its low Midwestern fares that start at $1. Greyhound and other scheduled-route carriers still look like a bargain to consumers after a trip to the pump. And the news hasn't been all bad for charter operators, either. The ABA reported that shopping mall trips were on the rise in 2005, spurred in part by the perception of value in light of high gas prices.

Certainly operators offering trips to casinos, theatres and other attractions can enjoy similar levels of goodwill, especially with a little effort in the promotions department.

Looking for a bit of ammunition? A May 15 article on ConsumerAffairs.com urged consumers to consider group motor coach tours as a way to hedge against rising transportation costs, citing a National Tour Association study of group vs. individual pricing. The study showed that a six-day, 40-person tour of the western United States would save an individual about $300 over the length of the trip.

The NTA even offers a generic press release that operators can modify and send to their local papers to promote the economic advantages of traveling by motor coach.

Advertising also helps.

By reminding the public of your competitive prices, great attractions, luxurious ride quality and ultimate convenience, you too may be able to get passengers to leave their gas-guzzling SUVs at home.

The FYI from MCI editorial staff values your feedback. Please e-mail any suggestions, comments, or ideas for future articles to fyi@mcicoach.com.