Factors affecting the use of bus and rail services in a deregulated environment

Abstract

In 1987, the NSW Government commenced deregulation of the long-distance bus industry in NSW. This immediately led to greater inter-modal competition and contestability within the context of changing passenger markets. This study utilises categorical data analysis methods to examine the emerging passenger markets of inter-modal competitors (bus and rail) and to assess the relative importance of socioeconomic and travel related variables which affect the use of bus and rail services along the high volume Sydney-Canberra and Sydney-North Coast corridors. Conclusions from the study indicate varied passenger markets within a relatively new contestable environment which are mode and corridor specific. Results are indicative of the need for competitors to develop marketing strategies conducive to the demands of the travelling public in order to enhance viability and commercial opportunities.