Stop Getting Railroaded: Train Your Team For Smarter Rail Business
Negotiating with railroads isn’t like dealing with a typical vendor. These are publicly traded companies, governed by a complex web of regulations, and often operate as de facto monopolies in the regions they serve. They own the tracks. They control the lanes. And if you don’t understand the rules of the game — or where the leverage lies — you’re almost guaranteed to leave money on the table.
At Russell-Kroese Partners, we specialize in helping shippers, logistics teams, and even investment firms navigate the opaque world of rail transportation. With the right knowledge and strategies, you can turn an overwhelming challenge into a cost-saving opportunity.
Why Railroads Are Different — and Why That Matters
Railroads operate in a unique environment. They control proprietary infrastructure, yet allow limited shared access. They price based on market conditions — but what does that really mean? If you've ever heard a railroad contact say “we price to the market,” and wondered what’s behind that phrase, you’re not alone.
Understanding how railroads price routes and commodities, where negotiating power actually exists, and what options you can bring to the table is critical. For instance:
Negotiating fuel surcharge programs is often much harder than working competitive lanes served by multiple carriers.
There are numerous levers to manage your costs — including volume, lanes, commodity mix, accessorial charges, and alternate routing.
Without using these levers, many companies simply absorb the standard 5%+ annual rate increases — needlessly.
Our Proven Training Delivers Real Value
We’ve developed targeted training for both small and large shippers, as well as tailored programs for investment firms looking to understand rail exposure in portfolios. Across all engagements, a few themes consistently emerge:
Clear ROI
Our training builds internal competency that translates to bottom-line results. Clients who understand the system don’t get surprised by rate hikes — they anticipate and manage them.Strategic Perspective
We help your team uncover the value you bring to the railroads and evaluate where you can optimize lanes, explore competition, or leverage relationships.Clarity & Confidence
From decoding “pricing to market” to understanding regulatory thresholds like Revenue-to-Variable Cost (RVC) analysis, we shine a light on the hidden mechanics behind your rates.
Avoid Costly Missteps
Rail contracts are dense and unforgiving. A single misstep can lock you into unfavorable rates for years — or worse, push you onto a public tariff or circular, exposing your business to multiple mid-year rate hikes with little warning.
Don’t waste time and money trying to learn this niche industry on your own. At Russell-Kroese Partners, we’ve been on both sides of the table. We know where the leverage is, how the system works, and how to help your team play offense — not defense — in your rail negotiations.
Ready to Stop Getting Railroaded?
Whether you're renewing contracts, managing rate inflation, or just trying to better understand your options, we can train your team to get the insights and tools they need to negotiate smarter, we can sit at your side at the table or we can run the negotiations for you. We create solutions tailored to your needs.
Contact us today at info@russellkroese.com to schedule a consultation or inquire about our customized training programs and rate negotiation options.