Southwest airline is best known for their free bags and open seating policy, allowing passengers to select the first open seat they see during boarding. Love it or hate it, it it has been an operating principle for the past 50 years. Following extensive research, Southwest Airlines announced that they will begin assigning seats and will offer premium seating options. While specific details are still in the research and development phase, Southwest projects about a third of the seats onboard will be premium seats. At the moment no exact timeline has been given to when these monumental changes will go into effect.
A Shift In Consumer Demand
To no surprise, Southwest Airlines has conducted significant market research before coming to the decision to ditch open seating. According to Southwest, “80% of Southwest Customers, and 86% of potential Customers, prefer an assigned seat. When a Customer elects to stop flying with Southwest and chooses a competitor, open seating is cited as the number one reason for the change.” Additionally, the open seating policy may have worked for their smaller Boeing 737 aircraft, but the larger MAX 8 aircraft seat nearly twice as many passengers resulting in a longer boarding process. In preparation for the assigned seating, Southwest Airlines is placing new new slimline seats from RECARO on new aircraft deliveries beginning 2025. “Moving to assigned seating and offering premium legroom options will be a transformational change that cuts across almost all aspects of the Company,” said Bob Jordan, President, CEO, & Vice Chairman of the Board. “Although our unique open seating model has been a part of Southwest Airlines since our inception, our thoughtful and extensive research makes it clear this is the right choice— at the right time—for our Customers, our People, and our Shareholders. We are excited to incorporate Customer and Employee feedback to design a unique experience that only Southwest can deliver. We have been building purposefully to this change as part of a comprehensive upgrade to the Southwest experience as we focus on Customer expectations – and it will unlock new sources of revenue consistent with our laser focus on delivering improved financial performance.”