by James Ruggia
Last updated: 10:00 AM ET, Mon February 9, 2015
This year Rocky Mountaineer is celebrating its 25th anniversary as arguably the world's most prominent luxury train ride. It hasn't always been the case that a train in Western Canada could compete head on successfully with huge rail icons such as Belmond's Venice Simplon, the Australian Ghan or India's Maharaja Train. Besides the majestic scenery of the Canadian Rockies and the Pacific Northwest, Rocky Mountaineer can also look to the inspired leadership of its President & CEO Randy Powell.
It raised some eyebrows when Powell joined Rocky Mountaineer in 2007 as president and just two years later was named President & CEO, just as the company was launching a new more dynamic branding. Now the decision by the Armstrong Group, which took possession of the company in 1990, looks brilliant. The Armstrong Group acquired what was a listless government-operated passenger train and immediately set about making it into a luxury rail experience. Now it's the largest privately owned passenger rail service in North America and has carried more than 2 million passengers.
Powell came to Rocky Mountaineer with a strong background in food marketing as President of Maple Leaf Fresh Foods, President & CEO of Second Cup and President of S.C. Johnson and Sons. "Randy's background was strong in consumer-facing organization with powerful brands like Campbell Soups, he came with an innate ability to listen to and respond to what consumers are looking for from a product," said Bob Nicholas, the company's vice president of global sales.
Under Powell the train has continued to expand its route network; dramatically improved its onboard service; created a significant network of trade partnerships with cruise lines, operators and travel agents as well as hotels and overhauled the company's online presence. The online presence was upgraded for consumers and for the trade, adding TRACKS, a travel agent training program.
"Under Randy, we are all encouraged to listen closely to agents, the passengers and to always be cautious of preconceived ideas," said Nicholas. "You have to use a fresh approach. Just because the industry has been doing something one way for a long time doesn't make it the right way."
According to Nicholas, Powell's innovations have manifested themselves in several ways. First, there were route innovations. "He listened to the passengers and understood that they were consistently asking for more time on board, so we added more days actually spent on board the train," said Nicholas. Rocky Mountaineer's network of 45 scenic rail packages are based around five core rail routes with a variety of experiential options and hotel stays added in to create different journeys.
"Then came such physical innovations in our hardware as better coaches and the introduction of SilverLeaf service and our highest level GoldLeaf. Now we are finding that our two top tiers of service are more in demand than RedLeaf service."
Working closely with trade partners has had an especially powerful impact on the luxury train. About half of their business now comes from guests who combine a train ride with Alaska cruises. Vancouver, where the company is based, and Seattle are the top gateway ports for Alaska cruising.
In 2013, Rocky Mountaineer began using Seattle as a terminus for its Coastal Passageway journey. "Our experience and the Alaska cruise experience complement each other wonderfully," said Nicholas. "Now we are seeking ways to approach those travelers who love river cruising, because we see so many similarities in the experience we offer."
Powell's Seattle innovation also created an ease of access for U.S. travelers in terms of entry procedures and lower air fares for U.S. citizens to Seattle than an international flight to Vancouver would require as well as the access to Seattle's cruise port. In 2014, Rocky Mountaineer ran a full program of Coastal Passage journeys with 24 departures connecting Seattle and the Canadian Rockies.
"Agents are the gatekeepers in the travel industry," said Nicholas. "They are critical to the mission." Rocky Mountaineer's online agent training program uses various modules to teach agents about the nuances of the product. The modules focus on the history of the train, the different classes of service, routes, destinations, selling tips, rail and cruise combinations, and more. The program has already graduated at least 800 agents.
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