Mint Kolkata

FlixBus aims to double network by 2025

- Anu Sharma anu.sharma@livemint.com NEW DELHI

Amonth after starting operations in India, European bus travel company FlixBus is eyeing an aggressive growth path for the Indian market with an aim to double its network in the next one year, its India head said in an interview.

“We have launched a star network which currently connects Delhi to nine different destinatio­ns covering 46 cities along the way,” Surya Khurana, managing director of FlixBus India said. “We plan on doubling down on this network and expanding it to the southern part of the country. We plan to do this in the next one year.”

Khurana added that the company is targeting Karnataka, Tamil Nadu, Telangana and Andhra Pradesh, “where there is immense demand for corporate and leisure travel”.

The company, which runs close to 6,000 active buses globally, currently connects Delhi with Lucknow, Dehradun, Chandigarh, Rishikesh, Manali, Haridwar, Agra, Varanasi and Mathura.

Buoyed by improved road infrastruc­ture in the country and digitizati­on of toll payment methods, Khurana said the company expects strong growth momentum for bus transporta­tion in India. For now, FlixBus intends to focus on the air-conditione­d sleeper segment based on its popularity, but it will grow the air-conditione­d seater category as well.

“The reason to come to India is very simple. India has the largest addressabl­e bus market in the world. Right now, the market is very fragmented. There are multiple small operators who have a fleet of 10-20 buses but there is no unified India-wide brand which people can consider,” Khurana said.

Launched in 2011 in Munich, the Germany-based company has presence in 43 countries across Europe, North America, South America and Asia. Flix SE, which owns FlixBus, also operates Flixtrain, FlixCar, Turkey-based Kâmil Koç, and Greyhound Lines, which is the largest inter-city bus service provider in North America.

The company brings on board third-party bus operators along with the staff on a contract and takes over the operations including rebranding of the buses and additional training for the bus drivers and conductors in line with FlixBus standards. Hence, Flixbus operates buses or, in many cases, just handles marketing, pricing, and customer service for a commission, on behalf of bus operators.

As per the company’s latest financial results for 2023, Flix reported a 30% growth in total revenue in (calendar year) 2023 at €2 billion. This was higher than its guidance of more than 25% for the year. Last year, 81 million passengers travelled with Flix platforms compared to over 60 million in 2022, registerin­g a growth rate of 34%.

“Based on our tech foundation, we want to strengthen our position as a global leader, driving sustainabl­e and affordable travel for everyone,” André Schwämmlei­n, co-founder and chief executive officer of Flix said on 7 March while announcing the company’s earnings for 2023.

 ?? ?? Surya Khurana, managing director of FlixBus India.
Surya Khurana, managing director of FlixBus India.

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