I don't buy the loosing business to Spirit, Allegiant or Frontier.
With WN you get what you get and you know what you are getting.
If you start dicking around with other fees such as checked bags, carry on etc then it's a recipe for disaster.
WN needs to do what they do best. Reasonable, all inclusive fares with quick turn arounds. Sure, have 3 price levels. That's ok. Keep the refund/credits as they are - that's ok