To get Amtrak to a blue ocean, I propose to make it a more family-friendly product with a kids’ car (similar to Disney’s kids’ activities on their cruise ships), and replacing the snack car with food franchise cars to allow for more healthy and varied food options.
My sequencing for Amtrak includes the four steps of buyer utility, price, cost and adoption hurdles (Kim & Mauborgne, 2005).
- The buyer utility for Amtrak first and foremost is that train travel contains fewer hassles than car and air travel. With the added features listed above as well as assigned seating on every trip, train travel could surpass air travel as the number one way customers travel in the country.
- The price of this service would be comparable with or slightly lower than commercial air travel; however, given the new Blue Ocean strategy, Amtrak should have no problems attracting and retaining customers.
- As for cost, Amtrak currently operates a snack or café car. With the removal of this service, the pri (...) Read more? Sign up for free