Southwest Airlines has recently made a significant shift in its strategy by listing its fares on Google Flights, something the airline had previously avoided in order to cut distribution costs and build customer loyalty. The change in approach comes as Southwest looks for ways to remain competitive in the face of an international and premium travel boom, as well as challenges from Boeing delivery delays that have led to capacity cuts and hiring freezes. The airline’s flights have also started appearing on Chase Travel’s booking portal, but other credit card companies do not yet have access to Southwest flights.
In addition to listing fares on Google Flights, Southwest is considering other major changes to its model as it conducts an in-depth study into consumer preferences. CEO Bob Jordan mentioned during a call with analysts that the airline is debating implementing assigned seating and adding premium cabins to its fleet. These potential changes would be significant for Southwest, which has traditionally differentiated itself in the industry through its economy seating and open boarding process. Despite the exploration of new options, Jordan affirmed the airline’s commitment to customer-friendly policies.
Southwest reported a first-quarter loss of $231 million, slightly below Wall Street expectations and worse than many of its competitors. During the Skift Aviation Forum 2023, Jordan addressed questions about potential changes in seating and boarding, stating that there was “nothing underway” in that regard. While other airlines have raised baggage fees in response to inflation and rising operating costs, Southwest remains committed to its policy of allowing customers to check in two bags without any fees. Jordan highlighted that Southwest’s lack of bag fees is a key reason why many customers choose the airline over its competitors.
The decision to list fares on Google Flights represents one of the biggest strategy shifts in Southwest’s history as the airline aims to increase its visibility on the platform and attract more customers. By providing users with enhanced access to flights, fares, and services on Southwest.com through Google Flights, the airline hopes to make it easier for customers to compare fare options and book their selected itineraries. While Southwest is open to making changes to better meet customer expectations, it remains committed to its customer-friendly approach and is focused on adapting as needed to stay competitive in the evolving airline industry.
Southwest’s consideration of major changes such as assigned seating and premium cabins reflects the airline’s willingness to evolve to meet the needs and preferences of modern travelers. As the industry faces challenges like increased competition and rising costs, Southwest is exploring different options to improve its offerings and maintain a strong position in the market. By staying true to its commitment to customer-friendly policies and unique selling points like no baggage fees, Southwest aims to continue attracting and retaining loyal customers while also attracting new ones through initiatives like listing fares on Google Flights.
