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Airline Profits

All articles tagged with #airline profits

Southwest ends open seating with a fanfare as it shifts to assigned boarding to lift profits
business1 month ago

Southwest ends open seating with a fanfare as it shifts to assigned boarding to lift profits

Southwest Airlines has scrapped its 54-year open seating policy and begun using an eight-group, assigned seating system, a move executives say reflects customer demand and aims to boost profits; the rollout was celebrated with gate events and banners, but many loyal flyers criticized losing the open-seat perk and other advantages like free bags, signaling a broader shift toward profit-focused changes that follow cost-cutting and investment pressure.

Southwest Ditches Open Seating for a Profit-Driven, Group-Based Boarding
business1 month ago

Southwest Ditches Open Seating for a Profit-Driven, Group-Based Boarding

Southwest Airlines is moving away from its open seating model to assigned seating loaded by groups using the Window-Middle-Aisle (WILMA) method, backed by a multi-tier boarding scheme that rewards priority boarding, extra legroom, and other perks for frequent fliers and credit-card holders. The change aims to lift profits—Intel says extra legroom could add about $1.5 billion annually—yet experts warn the added perks may slow boarding and complicate operations, reflecting a broader industry push toward revenue optimization over pure efficiency.