Almost exactly four years after its high-profile launch of Megabus Gold, Stagecoach has announced that the ground-breaking service is to cease on 21 May.
In a statement it says: “While our sleeper coach services have proved popular with a loyal core base of customers, unfortunately the overall level of demand has been below the level required for us to be able to continue the routes.
“Despite our efforts, it has not been possible to develop a sustainable customer base to ensure the longer term financial viability of the services. The long-distance travel market is extremely competitive, and we have faced strong competition from low-cost airlines, rail services and the private car benefitting from low fuel prices.”
The pilot service, using converted Volvo B10MA articulated coaches, started in 2011 under the Megabus brand. The arrival of 10 new Van Hool TDX29 14.7m tri-axles in April 2013 – each costing £500,000 – was followed by three more as the offering expanded.
Three overnight sleeper coach routes run to and from London, serving Glasgow, Aviemore and Inverness; Edinburgh, Ferrytoll, Dunfermline and Falkirk; and Cumbernauld, Perth, Dundee and Aberdeen. During the day the coaches are used on luxury Megabus Gold routes in ‘day’ format’.
The lower deck seats 17, converting into 10 berths, and the upper deck 38, converting into 32 berths. At the launch, Stagecoach said the break-even point was 40 berths.
Now, 10 of the vehicles are used on Megabus Gold, based at Cumbernauld. The other three are driver trainers at Rugby, Cwmbran and Cumbernauld. Stagecoach says it is “looking at options regarding the vehicles.”
At the launch, the project was said to be the realisation of a 30-year ambition for then CEO Brian Souter, and had to overcome many technical hurdles. Average yields were expected to be £40; four years on, prices have changed little – single tickets can easily be had for £29.
