Shortline railroads typically provide better local service than Class I carriers can on low-density lines. Their operations are more flexible, allowing for more consistent and frequent service tailored to the needs of local industries. This responsiveness can be crucial for businesses that rely on timely deliveries and pickups.
Improved service levels can lead to increased rail traffic as shippers gain confidence in the reliability of rail transportation. This, in turn, benefits the overall rail network by maintaining volumes and keeping lines active.
Shortlines often have a targeted sales, marketing, and commercial focus on their specific lines and regions. They build strong relationships with local customers, understand their unique needs, and can develop customized solutions. This level of attention is challenging for Class I railroads to provide given their scale and broader focus.
By fostering closer ties with customers, shortlines can stimulate growth in rail traffic, introduce new services, and adapt quickly to market changes. Customers benefit from personalized service and support, which can enhance their operational efficiency and competitiveness.
To summarize, here is a quick bullet point list of the benefits that shortline railroads can provide shippers as compared to Class I railroads:
- Flexibility: Shortline railroads often have more flexibility than larger railroads when it comes to adapting to the needs of their customers. They can offer customized solutions and specialized services that may not be available from larger railroads.
- Local knowledge: Shortline railroads often have a deep knowledge of the local area and the communities they serve. This can be valuable for customers who need to transport goods to or from these areas.
- Personalized service: Shortline railroads are typically smaller and more focused on customer service than larger railroads. This can result in a more personalized and responsive experience for customers.
- Cost-effectiveness: Shortline railroads may be able to offer more competitive rates than larger railroads, especially for smaller shipments or shipments to and from remote areas.