Can the first class, long flights and the airport lounge be next in southwest airlines? After all the changes in the long -lasting trade model of the airline in recent months, bag fees, assigned seats and big Loyalty program shake-upThe top officials of the company feel that anything is happening.
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“We are not staying here,” Southwest CEO Bob Jordan admitted, speaking at an industry conference in New York on Thursday.
Till next year, Jordan said, South-West plans are planned to unveil their next round of long-term schemes-Agala chapter, if you do, in the development that has entered the assigned seats so far, $ 35 bags And, for the first time in the airline, the basic economy.
What else can happen on the horizon?
“There is no disclosure today,” Jordan warned. But he also gave some “fictional” examples of what the airline can consider.
“For many of our people who love south-west, we cannot do things-we cannot provide products-what you want. Like a first class. We can’t reach you long-halls to international destinations. If a lounge is important for you, we don’t have a lounge,” Jordan said in Bernteen Strategic seeds.
“I am not predicting any of those things,” he reiterated, clarifying that “we will continue to pursue the consumer.”
And consumer demand for a lounge in some major south -west cities, Jordan said, “Super High”.
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He also admitted that the international strategy of the south-west (and pushing beyond your small flights in places like Mexico and Caribbean), “You may need to think about a separate aircraft.” The carrier currently has a fleet of a completely narrow-body Boeing 737.
“What am I promising you,” Jordan said, “… this is that we will never have a shortage of” where we are five years from now. “
Development, but rapidly different
Then, none of it is officially “on the table”, so to speak.
But from Farewell bid for your hallmark wants to receive a distant fare (Remember those advertisements?) Increasing its own type of boarding process And Launch Red-I flights Earlier this year, recent months have been shown in a south -west, which cut its teeth when separated, as an airline that is oblivious to rapid changes.
Financial pressures have a lot with it.
In view of the Koronwirus epidemics, these are carriers such as Delta Air Lines and United Airlines, which have increased for the highest gains of the US airline industry, which are inspired by their strong international networks, Premium seats And attractive credit card portfolio.
Meanwhile, the South -West has not maintained its historically high margin – a motivational power behind the shift that is going on through the airline in recent months.
Andrew Watson, the Chief Operating Officer of the southwest, admitted the company’s earnings call last month, “The old model was not working and so we have now put up.”
Competition with premium airlines
Nevertheless, there is a real reality in the south-west axis: yes, soon its additional-ligroom rows will have more premium options. Yes, it will provide “upgrade” to A-list alite members and some Rapid reward credit card holder,
But even in the south-west southwest, the fees on fees for the bag (and ultimately some rent seats) in charging Delta, United, American Airlines and Alaska Airlines are matching fees, it will still not be the first class seats and offer those carriers. Even Frontier Airlines is Adding boon fide premium seatsAnd Jetbu has announced Lounge And one Domestic first class product For a long time to complement mint mint suites.
In contrast, as Brian Summers of Airline Observer Written in marchOf course, the South -West in a loss because it begins to look more like its rivals in other areas.
And this is a contrast, which I recently presented a few weeks ago during an interview, customer and brand executive vice -president Tony Roach.
“There is nothing to announce on a lounge or first class,” Roach warned that Jordan this week with a similar tone during his comment.
He said, “But you can almost assume that, if it is a product that our customers are eventually going to seek and demand from the South -West airlines, we have demonstrated that we have to continue to meet those needs, to meet those needs more,” he said. “We continue to look at the future of the South -West, which we, again, offer more things that are going to give people more reasons to choose the southwest.”
plans for the future
Will the customers continue to select a very different looking southwest The subject of a lot of speculation This spring.
So far, so well, the authorities had claimed last month, keeping in mind the carrier, yet, the passengers had not shed the contestants.
“After announcing these changes, we did not see any evidence of the bookway,” Jordan told analysts in April.
But while maintaining that speed, he suggested this week, the southwest may be required so that it can be continued.
It is comprehensible that Quest can take the airline to more features – and flights – that its competitors (and their customers) have participated in a herd in recent years.
Jordan said on Thursday, “Because we cannot offer some products and you can get some destinations, even those customers who love the south -western, we force you to fly on someone else. And then we force you to carry someone else’s cobrand (credit) card,” is committed to “study” in the coming months on Thursday.
“I will think about that,” he said, “… as a question of 2026.”
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