Business

Germany's FlixBus debuts in Brazil to compete in the interstate bus travel market

The startup does not own most of the fleet in service but operates through a network of partner companies that explore routes using the FlixBus platform

Germany's FlixBus debuts in Brazil to compete in the interstate bus travel market
Photo: FlixBus/Facebook
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German mobility and road route operation startup FlixBus has just announced its arrival in Brazil to compete for a share of the interstate bus travel market. The start of operations is planned for the end of the year and should begin with routes between major centers such as São Paulo and Rio de Janeiro. The startup promises trips with wi-fi, international safety standards, and competitive prices.

The FlixBus business model unites technology, e-commerce and partnerships with transport companies. This means that the startup does not own most of the fleet in service, but operates through a network of partner companies that operate the routes using the FlixBus platform.

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FlixBus’ proprietary technology enables destination routing, fleet management and customer acquisition through the use of artificial intelligence. For the user, the ticket purchase is mostly done online and the passenger can track his bus through the company’s app, among other services.

According to the startup, the support offered by the platform allows the partner companies, which come with the fleet, to focus on the management of driver schedules and vehicle maintenance. The reduction in costs for companies results in cheaper tickets.

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The company informed that it is already in contact with several operators and possible partners in the country.

Expansion

Founded in Germany in 2013, FlixBus rode the wave of the opening of the European road transport market and quickly began operating in almost all European countries; in 2018, it reached the United States.

The expansion to Brazil will be possible thanks to the $650 million round received by FlixMobility, FlixBus‘ parent company that also operates FlixTrain, of long-distance trains.

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FlixBus considers that emerging countries such as Brazil have great potential for innovative mobility solutions. Edson Lopes, the executive who will lead the Brazilian operation, says that Brazil is now one of the company’s main focuses. “We want to build a solid operation that brings to the Brazilian consumer a new experience in bus travel,” he said.

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