Jun 13th, 2017

Southwest Airlines: The Game Changer

Posted in Aviation News

This is the third part of the trilogy: Southwest Airlines Arrives in Cincinnati.  In the first blog I touched on the leadership of Southwest: https://doctoraviation.com/southwest-in-cincinnati/  .  In Blog 2 I looked at their strong culture, highlighted by Fun: https://doctoraviation.com/southwest-airlines-power-culture/ .  I have just one more set of thoughts to share.  How Southwest Airlines developed a new paradigm in the aviation industry.  In other words, how Southwest Changed the Game in Flying.

As a reminder, a paradigm is a framework for how to approach a task in a certain discipline.  For example, a scientist may approach physics using Newton’s set of Laws.  A church may enter worship services from a very traditional, liturgical approach with lots of readings and prayers, while another takes a more contemporary approach.

Airlines in the United States have approached transportation using a spoke and hub approach, especially since the deregulation of the airline industry in 1977 under President Jimmy Carter.  It is similar to the spokes on a bicycle wheel, the spokes lead to a central hub and go back out via another spoke.

Example Spoke and Hub using Denver International Airport

An US airline, let’s use Delta for example, will have several major hub cities such as Atlanta, Cincinnati, Salt Lake City and Minneapolis.  Passengers from smaller cities such as Birmingham, Alabama, who want to fly to Washington DC, would be flown from Birmingham to Atlanta, Georgia.  From Atlanta they would switch planes and then be on to Washington DC.  As an illustration of how often hubs are used, Atlanta is such a busy and popular hub that Billy Graham once stated that to get to Heaven you have to go through Atlanta.

Southwest Airlines changed all of that.  Southwest Airlines began their service between three cities, Dallas, Houston and San Antonio.  There were no hubs, they just went from city to city in a triangular pattern.  Due to fights over the use of Dallas Love Field, versus Dallas Ft. Worth Airport, Southwest was initially limited to how they could fly out of the state of Texas.  Even after those restrictions were lifted Southwest continued their policy of flying city to city without relying on hubs.

In addition to the spoke and hub approach, major airlines in the United States also have a policy of varying ticket prices based on when you make the reservation and in which cabin you desire to fly (e.g. Coach or First Class).  Those flying in First Class pay substantially more and those in Coach need to make their reservations well in advance in order to receive a discounted ticket.

At Southwest tickets are another thing, entirely.  First of all, there is no First Class.  I will never forget my first flight on Southwest Airlines.  I wanted to fly from Lubbock, Texas to Albuquerque, New Mexico to watch an Air Force – New Mexico football game in the Fall of 1985.  I heard that Southwest had cheap tickets.  So I looked into it.  It was $59 one way!  I went to the airport.  I bought a ticket.  They gave me a plastic card with a number on it.  I asked, what is was for.  The ticket agent informed me it was my number as to when I would board the airplane.  But which one is my seat, I asked.  Whichever open seat you can find once you board was the reply.  I was stunned.  It was like open seating at my old high school basketball games, the first one in the gym got the best seats.

Today, passengers get a boarding order on their boarding pass, not a plastic card, but the concept remains the same.  Open seating first come, first served.  No spoke and hub, rather city to city.

There is one more important distinctive as to why Southwest Airlines is so popular – free bags.  For those of us who began flying prior to 2010 the concept of having to pay to have your suitcase fly on the airplane borders on the repugnant.  I can’t imagine a bus, or a taxi, uber charging someone to bring their suitcase with them — you’re going on a trip for crying out loud.  If I buy a seat, I want to bring my suitcase…what I am supposed to do, wear the same set of clothes for a week!

Southwest is the only airline that I know of (in the United States) that did not adopt the ludicrous policy of paying to bring luggage during the recession of 2008-2012.  I understand the airlines desire to make ends meet, but now that airlines are making record profits, do they still need to charge for bags – apparently the common airlines feel they do.  Southwest feels they don’t.  Hence their popularity.

By the way, Southwest has had a lot of fun poking fun at the other airlines over the luggage issue as can be seen in this commercial:  https://www.youtube.com/watch?v=Cfy2xUP_zW0

Great ticket prices, routes that make sense, free luggage, great service and fun (I did not even mention the great relationships between the pilots and the company) are what has made Southwest Airlines so popular with the American people.   Welcome to Cincinnati, we are glad that you are here!

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