Rail Business Development: Seeing Opportunity Firsthand
Recently, I had the opportunity to visit BNSF Railway with a client, and I came away genuinely impressed with the BNSF commercial team. They weren’t just going through the motions—they demonstrated real interest in growing with our client, brought the right team members to the table, and engaged in discussions about how both sides could succeed together.
This level of proactive engagement shows that, when presented an opportunity to grow new business, the railroads aren’t only just focused on above market rate increases – they’re also hungry for growth. They want to develop long-term, sustainable partnerships with customers who are willing to share their business goals and work collaboratively.
Railroads Want Partners, Not Just Customers
Business development in rail isn’t about fighting every rate increase or waiting until renewal time. It’s about building relationships that make you a strategic partner. Railroads value customers who communicate openly, plan ahead, and show a willingness to collaborate on new opportunities.
A strong relationship can lead to more flexibility on pricing, better service commitments, and access to solutions like dedicated equipment or premium service lanes. And as I saw firsthand with BNSF, the commercial teams are eager to engage when customers demonstrate a serious interest in growth.
Here are some proven ways to capture the railroad’s interest:
Do Your Own Research – Don’t expect the railroad to do all the homework for you. Analyze your freight flows, volumes, and service requirements so you can clearly articulate what you need and how it fits into their network. This shows you’re serious, prepared, and respectful of their time.
Make a Compelling Case – Identify how your business helps the railroad win. Can your volumes fill lanes that are currently underutilized? Can your timing smooth out peaks and valleys in their network? The more you can show how your shipments improve their efficiency or market position, the more interested they’ll be.
Demonstrate Strategic Fit – Railroads want to grow in markets that strengthen their competitiveness. Frame your proposal to highlight how it supports their goals, like converting truck traffic to rail, diversifying commodity mix, or capturing new market share.
Bring Ideas to the Table – Don’t just show up with problems; come with solutions. Suggest transloading options, equipment strategies, or creative scheduling that can make your business easier to serve and more profitable for both parties.
Show Commitment to Long-Term Partnerships – Railroads prefer customers who think in years, not months. Communicate your willingness to work together to build a relationship, including shared investments or volume commitments if appropriate.
Our Perspective: Helping You Grow with Rail
At Russell-Kroese Partners, we help businesses build relationships with railroads to include and go beyond transactional rate negotiations. We will sit at your side and get you the best deal possible in a negotiation. We also work proactively alongside our clients to identify opportunities, engage the right stakeholders, and structure agreements that enable sustainable growth for both parties.
Whether you’re shipping raw materials, finished goods, or specialized products, we understand what railroads want in a partner and we can help you position your business for success. Reach us at info@russellkroese.com