There’s a new challenger in town, working to compete against planes, trains and automobiles, and most of all Greyhound buses. No-frills Megabus  has made Pittsburgh the latest stop on a journey that spans two continents. With Greyhound holding a monopoly on the city since buying Trailways in 1987, Megabus is hoping to make the big dog cower in fear.

With fares starting at just $1 plus a 50-cent booking fee, Megabus has clearly positioned itself to compete on price. Lowest fares are offered to passengers who book early or whose destinations are less popular. According to the Megabus president, “our highest fare is lower than other modes of travel, including car,” and the companyís stated goal is “getting people out of their auto and into the bus.”

Megabus is cutting costs by slashing overhead expenses. “Tickets” are purchased in advance, either online or by telephone, and not available on the bus, eliminating office and personnel costs. There is no physical ticket; passengers are only provided with a reservation number to give to the driver. Megabus has no bus stations, stopping at designated city locations near public transportation for passenger pickup and delivery. Initially vehicles lacked restrooms and luggage space; however buses have been upgraded for rider comfort and to cut the need for stops en route.

• Megabus was established by the Stagecoach Group in Scotland in 2003, then branched out to other UK locations and began operations in the US in April 2006.
• In England, Megatrain was added in 2005, serving London and several other UK locations.
• US operations are based in Chicago; other cities served include Milwaukee, Indianapolis, Cincinnati, Cleveland, St. Louis, Ann Arbor, Columbus, Pittsburgh, Louisville, Toledo, Detroit, Kansas City and Minneapolis.

A Megabus rider who is fortunate enough to snag a $1 seat can experience round-trip transportation for $2.50, including the booking fee. Even the mathematically challenged can determine that price is lower than the current cost of one gallon of gas, with none of the hassles of driving the interstate.

Initial Pittsburgh destinations are limited to Chicago, Toledo and Cleveland, with the Megabus stop located in front of the David L. Lawrence Convention Center. And yes, a recent trip to the site did locate some $1 and $8 fares to and from these cities. With prices at the pump again on the rise, Megabus is betting that its track of no-frills service on the cheap will give Greyhound a run for its money.