Southwest Airlines has announced a significant change in their seating policy, opting to assign seats to passengers rather than maintaining their traditional open seating system. This decision comes as a response to customer feedback and aims to enhance revenue opportunities for the airline.
The airline’s President and CEO, Bob Jordan, emphasized that this change was driven by customer preferences, with 80% of passengers expressing a desire for assigned seating. Despite Southwest’s historic reputation for open seating, evolving passenger preferences, particularly on longer flights, have prompted this strategic shift.
Southwest’s move towards assigned seating aligns them more closely with traditional carriers like American Airlines and United Airlines, departing from their longstanding practice of offering low fares and a simplified business model.
During a recent conference call discussing the airline’s second-quarter results, Bob Jordan revealed that Southwest generates nearly $1 billion from early boarding fees and ancillary services. The anticipated increase in revenue from assigned seating and the introduction of premium seating options is expected to significantly surpass this figure.
