Eurail Group GIE: Marketing Rail Travel in Europe

In May 2006, the Eurail Group G.I.E³ (Eurail), an incorporated association of 37 European railway and shipping companies, reported a sales growth of 9% in the first quarter of 2006. Earlier in January 2006, it had reported a 24% growth in passenger traffic for the year 2005. The healthy growth levels, coming as they did in a period fraught with natural disasters, increased levels of terrorism, and dramatic exchange rate fluctuations, seemed to affirm the popularity of Eurail's travel passes, called Eurail Passes.

In 1959, individual railway companies of 13 European countries came together with the intention of encouraging tourism and expanding their market.

In order to better market the Eurail brand, the Eurail Community, which by then had grown to include 17 companies, was replaced by an incorporated company in 2001. Rail travel using the Eurail travel pass was promoted as a better option for traveling in Europe, compared to other modes of travel such as road and air. The company also introduced a wide range of passes in order to cater to every kind of travel budget and itinerary. Eurail distributed its passes through authorized sales agents and expanded their availability throughout the world. Over the years, in spite of competition from other modes of travel, Eurail was able to hold its own mainly because of its convenience and the uniqueness of the experience it provided to the travelers.