case study

Express bus service builds explosive sales and profitability

Situation: Paramus, N.J.-based Coach USA, a subsidiary of UK-based Stagecoach Group, selected Hanser & Associates in 2005 to launch Chicago-based megabus.com, the first company in North America to offer intercity express bus service with fares as low as $1 via the Internet. Megabus.com launched service in March 2006 from its Chicago hub and seven other Midwest cities. Early business success drove megabus.com to begin expanding in 2007. Today, the company serves more than 50 cities from hubs in Chicago, New York, Philadelphia, Pittsburgh, Toronto and Washington, D.C.

PR Action: Since 2005, we have formulated and implemented an on-going, integrated PR/marketing plan which includes media relations, word of mouth, social media and advertising to position the service as a “first in North America.” The firm conducts news conferences and launch events in each new city as megabus.com expands service. We arrange for TV, radio, print and online news media across the country to do stories about passengers’ acceptance of megabus.com, benefits to travelers, and the first double-decker intercity buses in North America. Hanser & Associates also implements street team events in major cities and college campuses to drive word of mouth, and social media strategies including Facebook, MySpace, Twitter and YouTube to build megabus.com’s Online community.

Results: On-going news media coverage includes TV, radio, newspaper and online media in all markets, including The New York Times, Chicago Tribune, Philadelphia Inquirer and Washington Post  business sections. National media coverage has included Associated Press, BusinessWeek, CNBC, CNN, NBC Nightly News, NPR, The Wall Street Journal, Time Magazine and USA Today, and consumer travel media, including AARP The Magazine (world’s largest circulation magazine), National Geographic Traveler, Reader’s Digest , Everyday with Rachel Ray and TravelSmart. Megabus.com  is the subject of thousands of news placements annually, with a media value (cost if space had been purchased as advertising) of nearly $100 million since 2006. News coverage, blog conversations and online social media visibility drives an average of more than one million visitors per month to the Web site.  Company executives report “explosive” sales in markets following local news stories. Business results include serving more than 9 million passengers since launching in 2006, North America revenues and profitability ahead of goals, and ticket sales increasing more than 100 percent in 2010, compared to 2009. Additionally, the Motorcoach Council in late 2008 began using the term “MegaBus movement” to describe the rapid growth of intercity express bus service.

Posted: November 30, 2009 at 12:00 pm by sarag

Category : Events / Media Monitoring / Media Relations / Media Spokesperson Training / PR Counsel and Strategy Development / PR Program Management / Publishing / Social Media / Word of Mouth

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