Will Southwest win the fee vs. no fee war?
#346



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Southwest spokesman reportedly says "never" to changes fees
In a story on MSNBC.com, "Airline Fees Test Travelers' Limits," a Southwest spokesman is reported to have said "never" to change fees:
Entire story: http://www.msnbc.msn.com/id/38566055...l-travel_tips/
At least some airlines are not gouging their customers. Southwest does not charge passengers a fee to change a ticket and never will, said Brad Hawkins, a Southwest spokesman (though it does charge any fare difference). [emphasis added]
#348
Moderator, Southwest Airlines and Choice Privileges


Join Date: Mar 2008
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1. The check is in the mail.
3. We won't nickel and dime our passengers.
4. We will never charge change fees.
Based on how long #3 lasted, don't count on the party lasting a whole lot longer.3. We won't nickel and dime our passengers.
4. We will never charge change fees.
WN doesn't charge change fees because they can't.
Think about the fees WN has had over the years: excess bag fees; award reissuance fees; more recently pet fees and UM fees. None of those fees were ever "attached" to a ticket. You have too many bags? Pay a fee to the lady at the counter when you drop them off. You want us to reissue an award? Send us the info and the money and someone in Dallas will take care of it. Pet or minor? Pay the nice lady at the counter. In every case there is a gatekeeper to collect the fee and cause or allow something to happen.
Now think about the most common fees WN does not charge: fuel surcharge; change fee; short-notice award ticketing. All those fees are very closely tied to ticketing transactions. WN doesn't charge them because they can't.
Or at least...they couldn't. EBCI is a potential game changer, especially with the new la carte method of collecting it. It suggests that WN may be moving closer to having the ability to attach fees to ticketing transactions. The facts that EBCI still can't be paid with TTF and that it isn't refunded when you cancel suggest there may still be a level of separation between the ticketing transaction and the EBCI fee.
So, yes, in the beginning they kept it simple. When change fees came on the scene they were small and SWA didn't want to be bothered rewriting the software for some $25 fees. Now with fees as high as they are the reprogramming cost can be pretty easily justified. "No change fees, Denver!" doesn't reassure me, given the relatively weak commitment to no change fees in the shareholder meeting prepared statements. If they are just now giving the software the ability to charge change fees, they can certainly make them variable by market, or introduce "change fee holidays" where you get a limited window to change without a fee. (Of course they'd probably zero out the low fare buckets during the change fee holiday, similar to the "50% off" city promo specials.)
I have little doubt that one thing IT is working on now, or soon will be, is adding the ability to charge fees tied to ticketing transactions. There may not be plans to adopt them yet, but once the capability exists they are no longer off the table has they have been in the past.
#349
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#351
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Spirit Airlines Inc. President Ben Baldanza is expected to testify at the hearing, scheduled for 2 p.m. EDT. Spirit, a low-cost airline, was among the first carriers to introduce ancillary fees. Also expected to testify: a Southwest Airlines Co. (LUV) executive, a U.S. Transportation Department official and two consumer advocates.
I would love to see a WN commercial based on these hearings -- either an excerpt of the actual testimony or a caricatured, humorous version.
#352
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Yeah. Especially if it includes the segment where the WN exec is asked: "You sold these drink coupons without an expiration date, and 16 months later you retroactively imposed an expiration date on them?"
#353
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What they've been doing is methodically adding restrictions one by one, banking on the fact that most people won't notice:
1. "Freedom" awards
2. 2 free bags instead of 3
3. increasing base fares
4. restrict TTF usage
5. enforce drink coupon expiration
They can continue to tout no garbage fees and act as if the generous target-rich playground we've all enjoyed frolicking in still exists. When in fact, they have started the process of planting land mines all over the place.
#354
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There's an interesting discussion of baggage fees from an economics perspective at:
http://www.theatlantic.com/business/...#disqus_thread
I caution the reader that the source text for the original post came from an old Joe Brancatelli column. Joe is sometimes wrong but rarely in doubt.
Hey, wipe that smile off your face! Many of us here fit that description...
http://www.theatlantic.com/business/...#disqus_thread
I caution the reader that the source text for the original post came from an old Joe Brancatelli column. Joe is sometimes wrong but rarely in doubt.
Hey, wipe that smile off your face! Many of us here fit that description...
#355

Join Date: Jan 2008
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#356
Join Date: Nov 2006
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#357
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bag fees are a very tangible concern for travelers, since they often know whether or not they'll need to check a bag in advance. Ticket changes, however, typically come only when travelers face an unforeseen change of plans
I hope it's very successful, to the point of shaming other airlines to eliminate or drastically reduce change fees. But I am not too optimistic about it, given they've been able to INCREASE baggage fees in the 2 years since they began with little downside. And baggage fees are the easier item to campaign against.
#358
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I was on a completely packed LAS-SJC flight on Sunday (they even took volunteers off after we boarded, it was 137).
To of the last 10 or so people to board both had guitars with them. You know how much baggage they had to rearrange to get the guitars stowed towards the front of the plane? None, there were two bins in the front of the plane with plenty of room. I ended up putting my computer in the overhead before pushback, since the one above my seat was only 1/3 full.
I certainly notice that overhead bin storage is much less of an issue on WN than other airlines because bags fly free for everyone (certainly some flights still have problems, especially on -300's and -500's, but on average it's less of an issue), I doubt I'm the only traveler who notices this. Of course elites on other airlines get their bags for free, but I think it is also inarguable that bags fly free for all passengers benefits everyone.
To of the last 10 or so people to board both had guitars with them. You know how much baggage they had to rearrange to get the guitars stowed towards the front of the plane? None, there were two bins in the front of the plane with plenty of room. I ended up putting my computer in the overhead before pushback, since the one above my seat was only 1/3 full.
I certainly notice that overhead bin storage is much less of an issue on WN than other airlines because bags fly free for everyone (certainly some flights still have problems, especially on -300's and -500's, but on average it's less of an issue), I doubt I'm the only traveler who notices this. Of course elites on other airlines get their bags for free, but I think it is also inarguable that bags fly free for all passengers benefits everyone.
#359
Join Date: Jun 2010
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I certainly notice that overhead bin storage is much less of an issue on WN than other airlines because bags fly free for everyone (certainly some flights still have problems, especially on -300's and -500's, but on average it's less of an issue), I doubt I'm the only traveler who notices this.
You are not. Two at-capacity WN flights today, and no-one having to check bags on either. Being elite on legacies might help you if you're at the gate area well in advance and can board 40 mins before take off, but it won't do diddly squat for you if you have a large rolling carry on and rock up at the gate towards the end of the boarding process- as I did today.
On legacies, all infrequent flyers try to avoid checking anything. On WN, FFs take carry on only (unless they're lugging around demo equipment, for example) and everyone else checks bags. It was like this on legacies in the old days, and I find it much more civilised.
In terms of WN trying to advertise the no change fees, I agree that is a tougher sell. Apart from in extreme cases this will not affect the bulk of their passengers- a vacation in Vegas tends not to change date/time except in emergency- but that said, even legacy elite biz flyers get zapped for changes if they don't happen to be same day. It's gonna take some cleverness, but they might just swing it.
Cheers,
Paul.
You are not. Two at-capacity WN flights today, and no-one having to check bags on either. Being elite on legacies might help you if you're at the gate area well in advance and can board 40 mins before take off, but it won't do diddly squat for you if you have a large rolling carry on and rock up at the gate towards the end of the boarding process- as I did today.
On legacies, all infrequent flyers try to avoid checking anything. On WN, FFs take carry on only (unless they're lugging around demo equipment, for example) and everyone else checks bags. It was like this on legacies in the old days, and I find it much more civilised.
In terms of WN trying to advertise the no change fees, I agree that is a tougher sell. Apart from in extreme cases this will not affect the bulk of their passengers- a vacation in Vegas tends not to change date/time except in emergency- but that said, even legacy elite biz flyers get zapped for changes if they don't happen to be same day. It's gonna take some cleverness, but they might just swing it.
Cheers,
Paul.
#360



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I certainly notice that overhead bin storage is much less of an issue on WN than other airlines because bags fly free for everyone (certainly some flights still have problems, especially on -300's and -500's, but on average it's less of an issue), I doubt I'm the only traveler who notices this.
You are not. Two at-capacity WN flights today, and no-one having to check bags on either. Being elite on legacies might help you if you're at the gate area well in advance and can board 40 mins before take off, but it won't do diddly squat for you if you have a large rolling carry on and rock up at the gate towards the end of the boarding process- as I did today.
You are not. Two at-capacity WN flights today, and no-one having to check bags on either. Being elite on legacies might help you if you're at the gate area well in advance and can board 40 mins before take off, but it won't do diddly squat for you if you have a large rolling carry on and rock up at the gate towards the end of the boarding process- as I did today.
With the major ad campaign, it's fresh on their mind that they can check in their bags for free on Southwest and do.


