The document outlines a project by Arriva to launch premium bus services under the Sapphire brand. It details market research showing potential for attracting car users, the focus on reliability and modern amenities to appeal to customers, and four initial routes launched between April-October 2013. Early indications show strong passenger growth and a good start building a customer database to tailor marketing. The goal is to generate increased passenger numbers to justify the investment in premium services.

1. Arriva Sapphire
Adding a Little Sparkle to
Your Every Day Journey

2. Project Objective
Define and test whether well marketed,
premium bus services can grow passenger
numbers sustainably and viably, primarily
by attracting non-users

3. Is There Any Hope?
60% of car users would not consider
switching to bus travel for any of the
journeys they make
40% of car users would consider
switching to buses for some of the
journeys they make

4. The Project Team
Cora Robinson
Head of Marketing
UK Bus
Mick Rossiter
General Manager
Arriva Midlands
Patrick Sibley
Head of Commercial Modelling
UK Bus
Phil Cummins
Regional Engineering Director
Arriva North West & Wales
Nigel Featham
Regional Managing Director
Arriva North East & Yorkshire
Kevin Hawkins
Regional Commercial Director
Arriva Shires & Southern
Counties

5. Crunch not Hunch - A Researched Approach
1. Desk based review of existing market data and published
research plus discussion with vehicle suppliers.
2. Customer Surveys on existing Arriva premium services
(Fastrack and MK Platinum) undertaken by GfK.
3. Customer focus groups involving people “prepared in
principle to switch to buses”.
4. Site visits to four existing premium services operated around
the UK undertaken by project team members.

6. Three key Findings
Number One; Hard Benefits Matter Most
• Passengers focus on “hard benefits” (e.g. reliability, journey time,
route design) before “image and extras”. Services need to provide
a threshold of hard benefits before soft benefits matter. Personal
space and safety matter.

7. Three key Findings
Number Two; It’s about being Modern not about being Posh
• People like feelings of modernity e.g. wifi, mobile apps, real time
data, ticketing schemes. It’s as much about being modern as up
market. This is especially true among young people.

8. Three key Findings
Number Three; Keeping things Simple and Hassle free is Key
• Simplicity is key and rests on the availability of clear information,
which stands out and conveys that services are easy to use. The
thought of using a bus can be stressful for non-users. People like
to feel in control.

9. Pipedream or a Plausible reality?
Overall, buses which are a pleasant place to be so that
you arrive relaxed and having enjoyed the journey

10. Overall Satisfaction and Recommendation levels
Fastrack B MK
Platinum
UK Bus
2011
Average
Overall
satisfaction
94% 96% 93%
Recommendation
levels
96% 98% 89%
Overall satisfaction = At least fairly Satisfied
Recommendation = Would recommend Arriva Buses to a Friend

11. More People with Access to Cars already use Existing
Arriva Premium Services
Other Travel methods passengers
could have used for their journey
Fastrack MK
Platinum
UK Bus
Average
Any 66% 73% 61%
Car (driver or Passenger) 46% 53% 38%
Foot/ walking 28% 12% 20%
Taxi 20% 29% 24%
Bicycle 7% 12% 8%
Motorcycle 2% 1% 2%
None 34% 27% 39%

12. What did we do?
• Focused on Hard Benefits first
− Committed to very high levels of punctuality and reliability
− Frequent inter-urban services already in strong markets
− Team of volunteer drivers with Sapphire Customer Care training
− Daily internal and external cleanliness audits
− Selected depots with strong operational teams
• Created a feeling of Modernity
− New or “feel like new” buses (new or substantial refurbishments)
− Free Wifi and USB plug-in points to give feeling of modernity
− 2+1 eLeather seating to give feeling of personal space
− Mobile Travel Companion (to be launched shortly)
− Use of AVL and RTI technology

13. What did we do?
• Focused on ease of use and simplicity
− No quibble money back guarantee
− Home movers targeted for marketing
− Timetables available on board and on Sapphire website
− Audible stop announcements and electronic signs showing location
• Signalled change
− Use of Arriva Sapphire naming
− New Arriva Sapphire Livery and colour scheme
− Dedicated drivers in Arriva Sapphire uniforms
− Avoided over promise; this is still a humble bus service!
Deciding what not to do was an important step too!

15. Sapphire Design
• Sapphire conveys a sense of quality and sparkle but does not
over promise and, unlike say Diamond, is not over-used as a
marketing strap line.
• The blue colour is in keeping with Arriva; the bus design is
different enough to convey something new but similar
enough to retain an Arriva identity.

18. Free Wifi and USB Plug-in Points

20. A Sustained Approach to Marketing

21. A Sustained Approach to Marketing
An 18 month centrally-funded marketing programme for each service
commencing with a high-profile launch, followed by 4-marketing waves;
− Launch activity includes; local press and stakeholder launch e.g. 29
June Sapphire Garden Party to Launch Leicester service, door drop of
taster tickets, roadside hording adverts, and micro-website
− Marketing waves include; home movers boxes, telemarking,
competitions, launch of mobile travel companion (“app”), campaign
of good news stories including announcement of customer
satisfaction survey results to be undertaken after one year
Ear marked £25k per route for 18 months in addition to central costs

22. Route Choice - 1
Arriva Buses Wales - Launched 29 April 2013
Service 1 Wrexham - Chester
PVR – 9 double deck refurbishments
• Anti Materialists – Singles and
young couples in bedsits, often
casual employment (bar work, etc.)
• Crash Pad Professionals –
Professional singles living in flats
near to town centres ideal for
commuting
• Yesterday’s Captains – Older, often
retired couples living from savings /
pensions from successful careers

23. Route Choice - 2
Arriva Midlands - Launched 29 June 2013
Service 31/31a Leicester Oadby Grange via London Road
PVR – 10 double deck refurbishments
• Garden Suburbia – Mid-life families with higher than average incomes living
in larger houses
• University Fringe – Groups of students renting private houses
• Crash Pad Professionals – Professional singles living in flats near to town
centres ideal for commuting

24. Route Choice - 3
Arriva The Shires – Launched July 2013
Service 280 Aylesbury-Oxford
PVR – 11 double deck refurbishments
• Convivial Homeowners – Fairly well
off professional families who chose
to live close to large cities
• Crash Pad Professionals –
Professional singles living in flats
near to town centres ideal for
commuting
• Foot on the ladder – Young singles
and couples in new developments,
spend a high proportion of their
income on housing

25. Route Choice - 4
Arriva North East – Launched October 2013
Service 7 Durham Newton Aycliffe
Darlington
PVR – 11 new single deckers
• Low key Starters – Low income
youngsters living in urban terraces,
normally rented accommodation
• Settled Ex-Tenants – Older couples
with children that have left home,
generally low paid unskilled workers
living in ex-council houses
• Legacy of Labour – Families on low
incomes living mostly on council
estates, typical in ex-industrial areas

26. What we are Monitoring Closely
What we are monitoring now;
• Revenue – to measure growth and monitor product mix
• Passenger numbers – to measure growth
• Operated Mileage, Punctuality and Cleaning – to ensure service delivery
• Customer complaints – this will be fed in via the Customer Services Team
• Staff feedback – to ensure engagement and learning
What we will monitor in due course;
• Customer satisfaction – on bus surveys have taken place in January 2013
and will be followed up again in January next year i.e. before and after
surveys
• Compare and contrast route performance – to understand where
Sapphire works best

27. Our Longer Term Objectives
• To generate passenger growth - We are aiming to achieve
year 1 growth of 6% and year 2 growth of a further 3%. If we
can do that the investment will be justified.
• To understand more about demography - We expect
Sapphire to work better in some areas than others. This will
help with roll-out.
• To refine the product and do more testing – To understand
what works best and test other tools on these routes e.g.
fares, making use of the CRM database.

28. What we have learned so far……
Early indications good, with
strong passenger growth year-
on-year in first 5 weeks. No
quibble money back guarantee
claims? One so far.
Generated 2,329 customer
records in first two weeks. A
good start to building a data
base of customers we can
tailor marketing towards.
32k householders within 0.5
miles of Route 1. 5,010 unique
visitors to micro-website in first
two weeks with almost half
from mobiles.
We were helped by some great
partners, designer Ray
Stenning in particular.