Bachmann Trains & Accessories

Model Railroad O Scale Engines
Model Railroad O Scale Engines

For a period of over 100 years now, the Lionel brand has become one of the most enduring brands in the model train industry. In fact, Lionel trains are so famous that they were included in the U.S. National Toy Hall of Fame, which recognizes products that are well-known, enduring, and innovative. Despite this brand recognition, many are not aware of the incredible story behind the product.

The story begins with Joshua Lionel Cohen, an American inventor and co-founder of Lionel Corporation, the company that manufactured these model trains. Cohen came from a large family and never completed his college education. However, he had the knack for inventing things at an early age. When he was just seven years old, he invented a toy wooden train with a small steam engine. Yet no one realized Cohen’s initial invention would eventually result in a model railroading empire.

In 1900, Cohen and his partner formed Lionel Corporation. Although the company was initially focused on electrical products such as fans and lighting, Cohen invented Lionel’s first train, the Electric Express, shortly afterwards. Originally, this train was not intended to be sold to the general public. It was positioned as a storefront display to help market other merchandise. No sooner than the display was set up, members of the public began inquiring about purchasing the Electric Express train. This initial demand prompted Lionel to develop trains that would become an iconic brand.

Interestingly, it was Cohen’s marketing skills, not his talent for innovation, that made him a fortune. For instance, in the 1920s, Cohen promoted the tradition of linking toy model trains with Christmas displays; he persuaded department store owners to set up elaborate displays to help drive demand for trains especially as Christmas gifts. Cohen also decided to paint the Lionel trains in bright colors so it would attract more women purchasing these products for their children.

At its height in the 1950s, Lionel rose to become the largest American toy train manufacturer, outselling its closest competitor, American Flyer, and generating well over $25 million in sales per year. However, the company began to decline after 1956 as children began to prefer toy cars and airplanes instead of these trains. By 1959, Cohen sold off his entire stake in the company to Roy Cohn and retired.

After Cohen retired, the company continued a steady decline, including several changes in ownership. In 1969 the company was sold off to General Mills after struggling with bankruptcy. By 1986 the company had been sold yet again to collector, Richard Kughn. Kughn then sold the company to Wellspring Associates Consortium in 1995.

Many Lionel train enthusiasts and aficionados consider 1959 to be the end of the true Lionel train. It is no coincidence that this year also marks the end of Cohen’s tenure and involvement with the company and its products. Even if the current company is a mere shadow of its former glory, Cohen’s story of how he built the company and this iconic brand will continue to endure as an inspiration to many generations of entrepreneurs.

Gabriel O. Delaney is the author of “Model Train Secrets Exposed” which teaches you everything you wanted to know about Lionel model trains, including valuable information on how to save the most time and money with this hobby.

For a free subscription to Gabriel’s “The Secrets of Successful Model Railroading” course, visit UltimateModelTrainTips.com.

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