I'd argue the most important reason why tram or rail line is better than a bus is the sunk cost of installation, which prevents rerouting and discourages withdrawal of service. This encourages private investment along the service corridor because the route is not subject to political whims. In other words, it can be relied upon for time scales on the order of decades, and that matters in real estate.
(Also they're generally much more pleasant to ride than buses, but I don't want to overemphasize aesthetics. The real reason people prefer trains over buses is reliability.)
They also use a lot less energy per passenger-mile to move due to the minimal friction of steel wheels on rails compared to rubber wheel.
Personally, I prefer the tram to the (Diesel) bus, since it's less shaky, less noisy, wider, longer and brighter. It's really a much nicer way to travel. Trams also tend to get their own signals and/or lanes a lot more than buses seem to, but that's of course not an inherent feature.
Light rail tends to arrive on time more often. I've been stuck at a bust stop for an hour only to have all 3 scheduled buses arrive at the same time. They were all stuck in traffic.
Light rail trends have shown they have a lot of green space around them. Even the space between the tracks is inlayed with grass. A bus line feels temporary while rail stations are permanent. Rail favours development.
a) It's faster because it does not get stuck in traffic usually (mostly runs in its own tracks).
b) It's more comfortable. The ride is smoother. It's quieter. It's more spacious and you're more likely to find a good seat.
I live in a city with many teams and busses and I surely prefer the trams.
E-class trams [1] that are being deployed (46 in service and more added each month) here in Melbourne can carry up to 210 passengers (64 seated, 146 standing).
[monorail song here]