Rail Europe gears up to woo Indians
The company expects 80,000 Indians this year and is targeting $10m from its India targeted operations.
By Prince Mathews Thomas, TNN |
MUMBAI: The tracks that were first laid to welcome Americans to see World War relics, are being readied to woo India Inc. Rail Europe, the self acclaimed gateway to the continent, is in talks with Carlson Wagonlit Travel India, to target Indian corporate travellers. Though last year only 15% of the 60,000 Indian passengers in the rail network were from the corporate sector, for Rail Europe this segment remains an untapped potential.
| 15% of the 60,000 Indian passengers in the rail network were from the corporate sector The company expects 80,000 Indians this year and is targeting $10m from its India targeted operations. |
“The leisure segment has done well over the years but has not found favour with business travellers. We have to tap them,” said Mr Gopi Iengar, area manager, India & South Asia, Rail Europe.
Rail Europe offers various European rail products, ranging from the famous Eurailpass that enables travellers to travel to 17 different countries, to a large variety of national and regional passes for travellers wishing to concentrate on one or two countries.
Carlson Wagonlit India is one of the well known corporate travel management solution providers in the country. Formed in 2000 as a joint venture between Carlson Wagonlit Travel and AFL, the company recently restructured its business processes that led it to post a growth rate of 35%. For Rail Europe, the latest strategy will fuel its growth in the country. The company expects to receive almost 80,000 Indians this year and is targeting a revenue of $10m from its Indian operations, a 25% growth over the revenue recorded last year.
Rail Europe’s global revenue totaled $450m in ’05. “In Europe almost half of the travellers in Rail Europe are from the corporate world. Even from India, any business traveller will have a leisure component in his schedule, we’re targeting that,” said Mr Iengar. For train journeys of two hours and less, business travellers prefer taking the rail route.
“A typical example is from London to Paris. A second class Euro train seat will be more comfortable than the flight’s first class and the journey is more picturesque. More importantly, the traveller is saved from the hassles of checking-in the airport and waiting for the flight,” adds Mr Iengar.
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After Japan and South Korea, India is the third largest market in Asia for Rail Europe and is the largest market for Swiss passes. Though the company has been selling tickets in India through various travel agencies since 1995, it was only two years ago that it opened a liaison office here.
“But India has jumped one learning curve as people are already opting for point to point tickets rather than passes,” said Mr Iengar. Seats in 90% of the trains can be booked from India through the rail reservation system — Euronet.
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