Amtrak's Acela To Compete With Northeast Shuttles
<B> Amtrak's Acela To Compete With Northeast Shuttles</B>
By Jay Campbell
Taking a tack from the airline shuttles with which its high-speed trains soon will become competitive, Amtrak said it has begun a sales effort targeting big buyers in the Northeast.
In preparation for the launch later this year of its high-speed service between Boston, New York and Washington, D.C.--and to help it achieve a goal of $180 million in revenue growth--Amtrak has been reaching out to the corporate travel community. Spokesman Rick Remington said its sales force so far has met with 63 companies in Boston and 16 in Providence, R.I.
While many companies contract with Amtrak for its Metroliner service between New York and Washington, D.C., business travel to Boston is mainly going to one of the two air shuttles, Delta Air Lines or US Airways (<I>BTN,</I> April 26). But it is the Boston-New York segment that will enjoy the largest cut in travel time, as Amtrak's new Express service will shave the trip from midtown to midtown from about four-and-a-half hours to just three. That compares much more favorably with the airline shuttles, especially given the notorious airport traffic in these two cities.
"Frankly, we are not competitive with the airlines now in that market," said Remington. "But the new high-speed train will make us competitive--and it has been designed with the business traveler in mind."
Estimated one-way business class fares are $130 for Boston-New York and $140 for New York-Washington.
"Amtrak has been proactive with the new service to the Bank," said BankBoston's manager of global travel and relocation, Bruce Miller. "Given the economics, service, frequency and dependability of the new service, BankBoston would certainly explore options with Amtrak."
But a few buyers and consultants in the area said they had not yet heard from Amtrak, which branded the high-speed service "Acela" (uh-CELL-ah).
Fred Fischer, manager of corporate travel services at John Hancock Mutual Life Insurance, was surprised Amtrak hasn't yet dropped by. "They've got a great opportunity to talk to corporate clients here and start selling the high-speed service," he said.
Fischer said his company has two frequent travelers who fear flying and always use the train, as well as four more who simply prefer it. He expects more to move that way as the travel time is cut. He also noted that the chances of a train ride getting canceled because of bad weather are slim, where that happens often with winter flights. In addition, the train offers the option of holding a meeting, which is virtually impossible on a plane.
Amtrak said trips between New York and Washington will be cut from about three to two-and-a-half hours on 304-seat Amtrak Express trains. Amtrak Express will include all-reserved first and business class cabins between Boston and Washington, while Amtrak Regional will offer 72 seats of all-reserved business class and unreserved coach traveling to these, as well as nearby and in-between smaller cities. Amtrak Commuter trains will run between New York and Philadelphia.
The rail line is promising at-seat electronic outlets for laptop computers, which it already offers at scattered seats, extra luggage space and "pub-style" café cars. In business class, conference tables will be available, with 32 on each Amtrak Express. At its "plush seats with footrests and adjustable head cushions" in first and business class, Amtrak will offer, respectively, video and audio entertainment. It also is considering modem outlets.
Meanwhile, Amtrak this summer will initiate a new nationwide customer service training program, starting with 4,000 employees in the Northeast.
Amtrak soon will take delivery of the second of 20 new trains capable of reaching speeds of 150 miles per hour.