5typos.net
Southwest Airlines Outlines Changes to Make itself Unremarkable
Southwest Airline, on swamedia.com:
Southwest Airlines Co. (NYSE: LUV) is evolving rapidly, implementing new initiatives that support business objectives and create choice for current and future Customers of America’s largest domestic carrier.1 Initiatives announced today will reward the airline’s most loyal Customers and give all Customers more options for a broader range of travel experiences.
The positive biz speak spin here is pathetic. I didn’t see any comment from Southwest loyal customers that were positive. I used to go out of my way to fly back to Costa Rica with Southwest given its two-bag policy. Now that’s gone, and with it goes any benefit of using Southwest versus any other airline.
CJ, on crankyflier.com:
At the JP Morgan Industrials Conference today, Southwest will announce the following:
- First and Second Checked Bag Fees will be implemented for all tickets purchased from May 28 (elites and credit card-holders still get at least 1 bag free)
- Basic Economy will be introduced with Basic effectively taking over the pricepoint where Wanna Get Away is today
- Flight Credits will once again expire after 1 year from the date of ticket issue (Basic is 6 months from date of issue, so… why bother?)
- Rapid Rewards points will now be redeemed on a variable scale with no transparency (or, um, transfarency?) in what the multiple vs the paid fare will be
In other words, Southwest has erased every single positive differentiator it ever had.
Adam Tow, on tow.com:
I’ve flown Southwest Airlines more times than I can count. Growing up in San Diego, we took Southwest flights to the Bay Area to visit relatives, and later, I relied on them to travel back and forth between college.
[…]
At the end of every flight, Southwest flight attendants usually say something like, “We know you have a choice when you fly, and we thank you for choosing Southwest. Welcome to San Jose!” But with these changes, I won’t automatically consider Southwest my first choice anymore. I understand the company feels the need to increase revenue—or, rather, activist investors are forcing them to. But alienating loyal customers comes with a risk.
May they generate lots of shareholder value.