Six Months Of Baybus OnDemand: Wins, Challenges And Fare Adjustments Ahead
Since launching in March 2024, the Baybus OnDemand trial in Tauranga South has offered the community a fresh approach to public transport. Designed to explore how rideshare services can complement or replace traditional fixed routes, the trial has delivered promising results and highlighted opportunities for improvement at its six-month milestone.
The trial has demonstrated the potential of flexible, customer-focused public transport:
- Patronage growth: The service has carried 18,798 passengers in six months, a 536% increase compared to the fixed Route 51 service it replaced.
- Customer satisfaction: Riders have embraced the service, with 93% awarding it a five-star rating, and 92% recognising the current fares as good value for money.
- Accessibility improvements: The service offers 1,600 virtual stops, a significant increase from the 150 stops available under the fixed-route model.
Community feedback has been overwhelmingly positive, highlighting the real-life benefits of Baybus OnDemand. One customer described it as “a fantastic service that has allowed our family to access more things, like taking my son to swimming lessons.” Another shared, “I used it today. Brilliant service. It’s not just for seniors.” For those with mobility challenges, the service has been transformative: “This service has changed my life for the better. It’s opened up so many more options in my life.”
Councillor Andrew von Dadelszen, Chair of the Public Transport Committee, says Baybus OnDemand is reshaping the way Tauranga residents view public transport.
“Public transport isn’t just about moving people; it’s about meeting them where they are and providing smarter solutions to modern challenges. The community’s positive response shows the potential of this approach, and we’re learning valuable lessons for the future.”
Running a high-quality, flexible service like Baybus OnDemand comes with unique costs compared to traditional bus routes. While operating costs are within projections, fare revenues for the most recent quarter (July to September 2024) recovered only 6.2 percent of costs.
Oliver Haycock, Bay of Plenty Regional Council’s Public Transport Director, says fare adjustments are necessary to ensure the service remains sustainable.
“This service is about creating better connections, but we also need to make it financially viable. To test how customers respond to pricing changes, we’re proposing fare adjustments that balance affordability and sustainability.”
As part of the review, Regional Council plans to adjust fare pricing in 2025, increasing the adult full fare to $5 and the Bee Card fare to $4. This change aligns with feedback, which indicated that a significant proportion of customers surveyed would continue to use the service at a higher price point.
Mr Haycock says this adjustment will allow the Regional Council to collect valuable data, test market sensitivities, and move closer to the goal of a financially viable service that remains accessible.
The Baybus OnDemand trial is expected to continue until September 2025, with further reviews planned at the 12-month and 18-month points. Data collected in the coming months will help inform future decisions about the service’s long-term potential.