The large information in journey is that Southwest Airways has principally given up their distinctive “We’re totally different!” company id and turn out to be simply one other commodity airline that tries to look as low-cost as doable upfront (solely $200!) whereas including a number of charges on the backend for all of the issues that was included (need to sit subsequent to one another? checked baggage? respectable legroom? okay positive it’s actually $500). As educated shoppers, our job is to grasp the modifications to their worth proposition and regulate accordingly. Right here’s a listing of the brand new Southwest realities:
- Primary Economic system has arrived to Southwest. The most affordable fare tier is now known as “Primary”, not “Wanna Get Away”. You possibly can not make free modifications; you solely get a non-transferrable credit score that expires after solely 6 months. Earns solely 2X factors, down from 6X factors (elite status-holders get slightly extra). They’re stripping all the things doable as a result of Southwest believes that individuals simply choose the bottom fare no matter options when listed on a comparability web site like Google Flights or Expedia.
- No extra free baggage. Beginning 5/29, on most fares you’ll not get two free baggage included they usually’ll begin charging you want everybody else. Enterprise Choose fares and A-Checklist Most well-liked elites will get 2 free checked baggage. A-Checklist elites and co-branded credit score cardholders will get 1 free checked bag.
- No extra open seating. Should pay for seat alternative. Southwest is transferring to assigned seats as nicely, which implies Primary fares must pay as much as choose their seats or be caught within the worst center seats or within the again.
- No extra affordable legroom for everybody. Southwest was identified for respectable seat width and legroom in all its seats. Southwest is now including “premium” extra-legroom seats in case you pay further $$$. This normally means the remainder of Economic system loses a couple of inches in return (proper now it appears like seat pitch will go all the way down to 31″ from 32″, much like Primary Economic system for different main airways).
- Modifications to Fast Rewards factors redemptions. When redeeming Fast Rewards factors for flights, it won’t longer be instantly linked to the present money fare. Mainly, they need to have the ability to cost no matter quantity they need, and restrict the variety of award tickets obtainable on sure flights. It’s not clear precisely how the per-point worth will change, however I doubt it’s going up.
I wouldn’t really learn this Southwest press launch as a result of it has a lot PR-spin that it’s fairly trifficult to grasp, however this connected graphic is helpful:
It’s virtually humorous as a result of you may nonetheless lookup their previous speaking factors and interviews on why open seating is best, why retaining free checked baggage is best, why the truth that Southwest treats everybody nicely is necessary, however now it’s simply the precise reverse. Your distinctive model was round for 50 years, however now you’ve traded all of it for a brief bump in share value.
Nicely, Southwest, in order for you us to simply choose you on value, that’s fantastic with me. Promoting a commodity product is normally a tricky enterprise, although. Prediction: The subsequent step is to be merged away with one other main airline quickly.
Within the meantime, I’m unsure if this makes their co-branded bank card extra fascinating or not. The cardboard has principally added a free checked bag profit that may be helpful, however in case you have been a loyal Southwest flier, these new modifications could trigger you to not fly them as a lot anymore and now check out different airways.
