You obviously shouldn't cut a route for not being profitable but below a certain occupancy rate then surely decisions need to be made.
There have been a few articles recently about these on demand mini bus type rideshares where there is a semi fixed route but the bus only stops if booked at that stop (a stop being an area of a couple of roads I believe rather than a fixed point) and apparently these are proving quite popular.
I think there may have been something in Speke like this?
We mustn't conflate bus routes (routes being the word Killie used) with demand responsive transport (demand being the word you used). They are two entirely different types of service.
Cutting routes can impact and isolate people, particularly with low income, who may otherwise not be able to travel without a bus service.
I do agree that demand responsive transport could easily be reviewed albeit the people that use that service are often (eligible) vulnerable and disabled. Merseytravels Merseylink (dial-a-ride services) is a good example of inefficiency, they use 16-seat accessible vehicles which generally carry one, maximum two people at a time door-to-door. Its not a good use of resources and there are lower-cost ways of delivering a demand responsive service such as taxis or smaller vehicles. (putting aside the the change in the taxi market since Covid as drivers don't seem to want contract work as much).