Tuesday, September 16, 2014

Ruinous price war – first remote bus providers are on – Süddeutsche.de

Ruinous price war – first remote bus providers are on – Süddeutsche.de

The hard-fought remote bus market calls his first victim: The company City2City stops operating. The seller was number five in Germany.

  • The remote bus provider City2City will shut down October 13. Passengers get the price for previously purchased tickets refunded.
  • reason are the “ongoing challenging market conditions,” the company announced.

From October 13

The German Fernbusmarkt has a future provider less: The Frankfurt-based company provides its City2City operating an October 13, the company confirmed a report of the Berliner Zeitung . Behind City2City is the British industry giant National Express. Passengers, already have the tickets for rides after October 13 would be contacted by the company and received refund the purchase price.



Hard market environment

The reason City2City called the “constantly challenging market conditions” in the industry. The company was according to the industry association BDO been number five in the German market.

Since January 1, 2013 bus operators may offer beside the Deutsche Bahn transport for long-distance routes in Germany. Until then, the German railway had a legally protected monopoly in long-distance transport in Germany since the 1930s. Long-distance coaches were allowed to be used on routes where they made no competition of the web. Meanwhile, around 40 companies active that offer currently almost 170 connections. The market is highly competitive, and also the web has now invested a lot of money in their group’s own remote bus

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