Riding the rails: Private operators transform Alicante-Madrid train travel. Image: iryo.eu / Facebook.
Private operators have captured nearly a third of passengers travelling by train between Alicante and Madrid.
The news comes according to a recent report by the National Markets and Competition Commission (CNMC).
In the first quarter of 2024, Ouigo and Iryo services together held a 30.1 per cent market share on this route.
Ouigo in Spain
Ouigo Spain led with a significant 26.4 per cent share, while Ilsa, operating Iryo trains, held a modest 3.7 per cent, notable given its recent launch a year ago.
The CNMC’s first quarterly report of 2024 on rail passenger transport liberalisation reveals various statistics about train corridors served by multiple companies.
On the Alicante-Madrid route, Renfe retained nearly 70 per cent market share, with 13.4 per cent coming from its Avlo service, which directly competes with Ouigo and Iryo.
Renfe offered 911,140 seats and transported 573,881 passengers in these three months, achieving a 63 per cent occupancy rate, indicating strong performance against competitors.
Increased Passengers
Competition has significantly increased the number of passengers on the Alicante-Madrid route by 50 per cent.
Ouigo, in particular, has shown robust performance, offering 277,405 seats and transporting 216,886 passengers, translating to a 78.2 per cent occupancy rate.
Ilsa’s Iryo, while smaller in absolute numbers, also performed well with a 70.3 per cent occupancy rate, offering 43,334 seats and carrying 30,454 passengers.
Overall, the three operators provided 1,231,879 seats, with 821,201 being occupied.
This increase in passenger numbers highlights the impact of liberalisation on train travel between Alicante and Madrid.
The CNMC previously reported a 50 per cent increase in travellers in 2023 due to private operators entering the market, totalling around 2,250,000 passengers.
New Record
With over 820,000 passengers in the first quarter of 2024, a new record for the year is anticipated.
Pricing has played a crucial role in this growth. The cost of a basic ticket on the Alicante-Madrid route had decreased by 27.6 per cent compared to the first quarter of 2023 when there was no competition.
The average ticket price in the first quarter of 2024 was €36.
Avlo tickets were the cheapest, averaging €21.98, closely followed by Ouigo at €23.20, indicating strong competition between these operators and Renfe.
Iryo tickets averaged €29.17, while AVE tickets remained the most expensive at €42.47.
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