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Why Digital Transformation in Ground Transportation Can No Longer Wait

Why Digital Transformation in Ground Transportation Can No Longer Wait

June 11, 2025

Written by Beatriz Ladrón

Sebastián Gómez, Director at Reserhub, shares why owning the digital channel is key to leading transformation in ground transportation.

Ground transportation in Latin America moves more than 13 times the volume of passengers compared to the airline industry; however, investment in technology and digitalization has been minimal compared to this and other sectors. With a landscape where travelers demand digital experiences that are much more tailored to their needs and business models that drive innovation in the sector, bus companies need to accelerate their digital transformation to stay competitive.

In the most recent episode of the podcast Experts in Motion, Sebastián Gómez, Director of Reserhub, explained why digital transformation has stopped being a future option and has become an immediate necessity for passenger ground transportation companies.

Competitive Advantage Comes from Adopting a Digital Operating Model

For years, buying a bus ticket meant going to the terminal, waiting in line at the ticket window, and relying on whatever information was available at the moment. Meanwhile, other sectors were advancing with digital solutions that made everything faster, easier, and more accessible.

“When we started with Reserhub in Mexico, less than 3% of sales were digital. Today, we see ranges from 20% to 50%,” says Sebastián Gómez. Even so, this progress, although significant, has not kept pace with the needs of an industry that moves millions of people every day.

Contrary to what many think, the main obstacle to digitalization is not the lack of technology but the fear of change. Companies in the sector face the challenge of breaking decades of operational status quo.

A clear example of this can be found in Colombia, where there is a pattern of last-minute discounts at ticket counters. This practice creates a vicious cycle: passengers avoid buying online, hoping for better prices at the window, while companies lose the ability to forecast demand and optimize their services.

The Three Major Challenges of Digitalization

1. Fragmented Infrastructure

Bus companies have built their technology incrementally, resulting in multiple systems that don’t communicate with each other. It’s common to find companies with a solution for travel agencies completely disconnected from their ecommerce platform.

2. Dependence on Third-Party Channels

Many companies still heavily rely on intermediaries to generate sales, which negatively impacts their profitability due to high commissions and, more importantly, cuts off their direct relationship with the traveler.

3. Underestimating the Digital Passenger

Some companies still believe their passengers aren’t ready for digitalization. However, the success of platforms like Mercado Libre, Uber, and DiDi in the region shows how mature consumers have become, willing to make their purchases through digital channels.

Signs of Change

Passengers have already changed: They buy online, demand seamless digital experiences, and expect the same level of service they receive in other industries.

A New Generation of Leaders: We’re seeing a generation of managers who understand the power of data and technology to streamline operations, generate more revenue, and differentiate themselves from the competition.

Tangible Results: Companies like Cruz del Sur in Peru have managed to increase their conversion by 20% simply by optimizing their ecommerce platform, resulting in thousands of additional purchases per year.

The Formula for Digital Success

For companies ready to leap, Sebastián Gómez identifies three elements that must work in perfect sync:

1. Assertive Communication with the Customer

The digital channel should be the space where the relationship with the passenger lives. No customers, no business.

2. Cutting-Edge Digital Commerce Technology

This includes intelligent search engines, advanced analytics, and AI-based personalization. Personalization is no longer optional; it’s a key requirement to increase competitiveness.

3. Robust Data Infrastructure

Data must be leveraged to deliver better experiences, dynamic pricing strategies, and smarter operational decisions.

Competing in the New Mobility Landscape

The land transportation industry is at a critical turning point. Low-cost airlines are applying pressure with aggressive pricing strategies, and ride-sharing platforms continue to gain ground. At the same time, new business models are emerging that, without operating their fleets, connect passengers with independent operators through technology, data, and a 100% digital experience. These players are redefining the rules of the game and setting the pace for a transformation that is rapidly advancing.

In this context, digital transformation is not just about adopting technology; it’s about completely reinventing the business model. Companies that understand they must compete on experience, relationships, and efficiency, not just price, will be the ones to succeed in the digital environment.

The Digital Channel as a Driver of Innovation

Controlling the direct digital channel is fundamental to leading innovation in land transportation. Sebastián Gómez puts it well: “If you don’t control your direct channel, you’re giving up control of your business.” This message serves as a warning for an industry facing growing competition and increasing demand from travelers for speed and ease.

For those who don’t yet know where to start, the key is to find experienced partners who can support and guide the digital transformation. This process is complex and requires both technical knowledge and a deep understanding of the market and passenger needs.

The future of land transportation is digital, efficient, and centered on user experience. Companies have a unique opportunity to positively impact millions of people—but only if they act quickly. It’s no longer about whether to digitize, but how fast they can do it before it’s too late.

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