Dallas-based Southwest Airlines is an outlier in the airline industry with its unassigned seating policy. Measured by the number of flights offered, Southwest is now the world’s fourth-biggest airline. But Southwest doesn’t dictate where you sit. However, according to the incoming CEO, that may change.

Southwest’s new CEO flags introducing allocated seating

As reported in Travel Weekly, Bob Jordan, due to take over the top job at Southwest Airlines next month, flagged dropping the unallocated seating practice at a town hall meeting held on Wednesday.

“Could we one day need to take back up the assigned-seating question? I think we may have to do that,” he said.

Southwest Airlines has long argued that its unassigned seating policy is popular with passengers and facilitates speedier boarding. That means planes spend less time at the gate and more time in the air generating Southwest money.

Over the years, the airline has tinkered with the no-system boarding system. Around 15 years ago, Southwest began assigning boarding numbers within each boarding group, in the process better controlling the boarding process as more and more people took to the air.

Around the same time, Southwest stopped allowing travelers with young children to jump the queue and board early. That was an equity issue, preventing families from deliberately rocking up to the gate at the last minute on the cheapest fares and going straight to the front. These days, if you are traveling with a child aged six or under, unless you pay the premium, the best Southwest will do is board you between the A and B groups.

Monetizing the Southwest Airlines unallocated seating practice

Bob Jordan told yesterday’s town hall meeting that changes to how the airline boards passengers aren’t a top-tier priority. But Mr Jordan is interested in minimizing the time aircraft spend at gates and courting favor with high-valued business travelers.

“Just know this. We are committed to continuing to look at our product, making sure it’s relevant,” the incoming CEO said.

Southwest’s seating free-for-all is an interesting tactic. Southwest likes to style it as a passenger-friendly option. “At Southwest, we let you sit where you like. We don’t assign seats on our flights, so feel free to sit in any available seat once you board the plane,” the airline says.

Southwest controls what would otherwise be an unseemly scramble by assigning every passenger to one of three boarding groups and a numbered boarding position.

In the 2020 calendar year, Southwest Airlines made nearly 28% of its overall revenues from ancillary fees, and like any respectable low-cost carrier, successfully monetizes the boarding process. Depending on the itinerary, Southwest passengers can sidle up to the agent at the departure gate and pony up between US$30 – $50 to go straight to the front of the first boarding group.

Alternatively, passengers can choose to pay Southwest’s full-fare option on a flight rather than buy a ticket in a discounted fare bucket. Southwest’s Business Select fare also guarantees passengers a spot at the front of the first group to board.

Other changes on the horizon at Southwest

Meanwhile, Bob Jordan flagged a few other things will stay the same while others may change. He confirmed there are no plans to create a Southwest first class product. Nor are there any plans to start charging for checked-in baggage.

But the new Southwest CEO says the airline does need to provide better inflight WiFi and hire up to 10,000 more employees. The latter move, which Mr Jordan wants to get done this year, will help solve the cancelations and delays that have recently plagued Southwest and caused significant problems for tens of thousands of Southwest customers.

Source: https://simpleflying.com/southwest-airlines-allocated-seating/