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Arriva clean up again!!!

Started by hartshill busman 724210, August 07, 2012, 06:23:44 PM

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hartshill busman 724210

Latest Centro tender info and its apparent that the squeeze is on for all the operators as Arriva show they are intent on gaining work at almost any expense.The latest round of tender prices has knocked out nearly all of the incumbant operators and gained more work for West Bromwich.Great news for Centro in the short turn but if this continues a serious amount of damage to the medium and small operators in the area and potentially even for NXWM. I expect that there are those that say more competition is good for the area and i would agree,but a large group are using their muscle here without a chance of having their total costs covered by the income they are earning.

Bob

Cannock garage might be operating some services then

Tony

Quote from: hartshill busman on August 07, 2012, 06:23:44 PM
Latest Centro tender info and its apparent that the squeeze is on for all the operators as Arriva show they are intent on gaining work at almost any expense.The latest round of tender prices has knocked out nearly all of the incumbant operators and gained more work for West Bromwich.Great news for Centro in the short turn but if this continues a serious amount of damage to the medium and small operators in the area and potentially even for NXWM. I expect that there are those that say more competition is good for the area and i would agree,but a large group are using their muscle here without a chance of having their total costs covered by the income they are earning.

Have you got a link to it? I can still only find the April list.

PM

I was just about to say ive just been on centro's website and only april changes

nx4737

Same, I can only find the April tenders.

PM

Anyone managed to find this document? Any more news on the subject?

winston

Quote from: hartshill busman on August 07, 2012, 06:23:44 PM
Latest Centro tender info and its apparent that the squeeze is on for all the operators as Arriva show they are intent on gaining work at almost any expense.The latest round of tender prices has knocked out nearly all of the incumbant operators and gained more work for West Bromwich.Great news for Centro in the short turn but if this continues a serious amount of damage to the medium and small operators in the area and potentially even for NXWM. I expect that there are those that say more competition is good for the area and i would agree,but a large group are using their muscle here without a chance of having their total costs covered by the income they are earning.

It's Rotala & the smaller independents that rely of the guaranteed revenue stream from tendered work, I doubt it will affect NXWM that much at this stage that is until Arriva start up commercial operations which are looking increasing more likely in light of the above. Arriva can't be making any money from all this tendered work won at rock bottom prices, plus the April round was won on 5yr terms as well, so they must have something up their sleeve, either through setting up commercial operations or through an acquisition with an established network of commercial routes

PM

I bet Rotala are worried tho I think they should focus on the commercial services, signature, national express contracts and flights hallmark coaches and possibly redditch if it is making money

hartshill busman 724210

Info only at the moment from my contacts should be published end of week

MW

It's a simple way of attacking National Express, indirectly. What they're doing is creating an awareness of Arriva in the Black Country, and weakening a load of small operators and Diamond. Those smaller ops will probably move to commercial work, which means against NXWM. I think once Arriva have most of the tendered stuff, they'll start commercial routes. It's the best way to get into the West Midlands, rather than just compete on something like the Bristol Road or Walsall Road.

winston

Quote from: Peter123 on August 07, 2012, 08:11:06 PM
I bet Rotala are worried tho I think they should focus on the commercial services, signature, national express contracts and flights hallmark coaches and possibly redditch if it is making money

I would have thought that Arriva's actions are designed to weaken Rotala's WM operations & D&G owned Midland, Rotala Plc or D&G/Midland or even both could well be the intended targets. Rotala inherited a greater proportion of commercial work following the purchase of Diamond Bus from Go-Ahead Group, but has since withdrew from much of it as it obviously wasn't making much money

Isle of Stroma

Quote from: Winston on August 07, 2012, 08:26:10 PM
Quote from: Peter123 on August 07, 2012, 08:11:06 PM
I bet Rotala are worried tho I think they should focus on the commercial services, signature, national express contracts and flights hallmark coaches and possibly redditch if it is making money

I would have thought that Arriva's actions are designed to weaken Rotala's WM operations & D&G owned Midland, Rotala Plc or D&G/Midland or even both could well be the intended targets. Rotala inherited a greater proportion of commercial work following the purchase of Diamond Bus from Go-Ahead Group, but has since withdrew from much of it as it obviously wasn't making much money

I dunno. See, any fool can win tendered work by submitting ridiculously low priced bids* & a lot depends on how much you're prepared to lose by doing so in an attempt to achieve whatever you set out to do. If what i think is happening proves to be the case, then it all depends on how much of a loss a certain group are prepared to take in order to achieve their goals - & they'd best hope the goalposts don't move within the next 5 years....

Of course, the only victim (including tender winners & losers) is going to be anyone naive enough not to have a plan b.  ;)

* It remains the case for this to be proved so in the latest round.

nx4737

If this is true, then it'll be interesting to see what Arriva use on these newly gained routes.... Ex Tamworth B6's prehaps?

Discodave


Tony

Quote from: hartshill busman on August 07, 2012, 08:17:35 PM
Info only at the moment from my contacts should be published end of week

Yes, not officially announced yet. I think Centro are at the stage where they have told operators what they have won then waiting to see if anything gets thrown back to them before doing the general release.

I hear Arriva have done well, but haven't cleaned up. Some interesting wins including another operator winning a tender on an Arriva route!

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