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2. Train ticket as part of your "flight" booking
Here you book the train leg as a fixed portion of your ticket with a specific train, a "flight" number and a seat reservation. The class of travel depends on your ticket (eco and eco+ are 2nd class, Business and First are 1st class). You cannot just change the class of travel in the train. You pay as part of your overall ticket price.
Luggage handling works the same way as in case 1: you pick it up at the Rail terminal. In case your flight (or luggage delivery) get delayed you have to be re-booked to a later train. LH sells train connections with at least 1hr connection time. You will collect FF miles for the train leg.