Southwest Announces Negative Changes to Baggage Policy, Fares, Awards And More
Mar 12, 2025
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In this discussion, Julian Kheel, the founder and CEO of Points Path, shares insights on the drastic changes at Southwest Airlines. He reveals how the beloved 'bags fly free' promise is now in jeopardy, affecting many travelers. The conversation dives into the new fare structures and the expiration of flight credits. Julian also touches on the implications of these shifts for leisure travelers and examines how Southwest’s evolving policies stack up against legacy carriers. It's an eye-opening look at air travel's shifting landscape!
Southwest Airlines has abandoned its 'bags fly free' policy, requiring most customers to pay for checked baggage, a significant shift from its tradition.
The introduction of a new Basic Fare Class aims to attract price-sensitive travelers but risks alienating loyal customers who enjoyed Southwest's inclusive ticket offerings.
Deep dives
Changes to Southwest's Baggage Policy
Southwest Airlines has announced significant changes to its baggage policy, moving away from its longstanding 'bags fly free' mantra. Starting soon, most customers will have to pay for checked bags, deviating from the airline's tradition that set it apart from competitors. Only those with elite status or who purchase higher fare classes will benefit from free checked baggage, which could lead to dissatisfaction among loyal customers who appreciate Southwest's former policy. This shift is surprising, especially since just months prior, the airline maintained that the free baggage policy was sacrosanct.
Introduction of Basic Economy Fare Class
The introduction of a new Basic Fare Class marks another notable change at Southwest, aligning it with practices adopted by other airlines. This class will offer minimal benefits, following a trend seen in low-cost carriers, and could attract price-sensitive travelers who don’t require additional amenities. However, this move may come at the cost of alienating existing customers who valued Southwest’s no-frills approach paired with an inclusive ticket package. It highlights a significant shift towards a more conventional airline structure, aiming to compete directly with traditional carriers.
Potential Loyalty Program Impact
There are concerns regarding the future of Southwest's loyalty program, specifically the valued companion pass. Historian changes suggest the airline may introduce higher qualifying thresholds and restrictions, which could undermine its appeal for frequent flyers. The possibility of needing to pay more or meet stricter requirements to earn this benefit reflects a broader trend towards monetization within the airline industry. This could negatively affect customer loyalty, particularly among the die-hard fans who have long valued the program for its unique advantages.
Industry Trends and Competition
Southwest's strategy shift appears to be an attempt to respond to financial struggles and competition within the airline industry. By adapting its business model to resemble those of rival airlines like Delta and American, Southwest aims to enhance its pricing competitiveness. However, this shift raises questions about the airline's ability to maintain its unique identity while engaging in broader cost-cutting measures. Observers note that while these changes might attract new customers focused on lower fares, they risk losing the loyalty of longtime patrons who valued the airline's distinctive service offerings.
NEW: Chapters are listed at the bottom of the notes!
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Southwest dropped some news this week, and it was all uniformly bad. These were not small changes, and many customers will be upset. "Bags Fly Free" is no longer a surety on Southwest. Many customers, including those that don't have elite status or a credit card with the airline, will now pay for checked bags. Fares are getting more restrictive, award flights are getting more expensive, flight credits will now expire. It's really not good news. Julian Kheel fills in this week to go through all the changes. As the founder of Points Path, he's also the sponsor of our giveaway this week. Be sure to weigh in with your thoughts on the Southwest changes for a chance to win! Chapters: 0:00 Intro 2:25 Southwest Changes 8:46 Devil's Advocate 15:03 Southwest Falls Short vs. Legacy Carriers 23:05 Poll Questions 24:22:00 The Effect on Leisure Travelers 26:23:00 Future of the Companion Pass 30:52:00 Outro
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