What Southwest Airlines changes, bag costs to the basic economy

Southwest Airlines Announced Tuesday which was once unthinkable: it will start to charge customers to check their luggage.

It is a bet of $ 300 million. Last year, Southwest said that her “rigorous research” had revealed that she would lose as many market share if she was starting to charge bag fees. Politics have distinguished Southwest from its competitors for decades.

Getting rid of its famous strategy “two bags without theft” is part of a massive push to the carrier to abandon its longtime advantages and policies. Southwest also announced last year that it spent seats open to a single cabin in order to increase income. Another change announced Tuesday: basic economic tickets that do not allow free changes.

Here is what travelers should know about new politicians:

Travelers who buy a ticket except the high -level high -level price price will have to pay fees to check the bags. Customers who buy a business select ticket will be able to check two bags for free.

Members of the primary level of level of level of level of level level will also notify two bags verified for free. Members of the A-headed level will be able to check a bag for free, as well as those with a Southwest credit card.

Southwest has not revealed how much it will cost to check a bag, but the costs start at $ 35 each on competitors Delta,, United And American.

The new recorded luggage costs come into force for tickets purchased on May 28 or after.

Hand luggage policies have not changed, even for basic economy tickets.

All tickets will include free hand baggage, even for new basic economic tickets.

Southwest told employees on Tuesday, just after the announcement, that customers “would undoubtedly continue more luggage than before”, so he takes a few steps to try to make things happen.

Gate agents will have printers of mobile bag bag “reducing the need for string bag labels” and the company will design new guides with hand luggage size so that customers can see if their luggage adapts as a hand luggage, according to a memo of the staff of Justin Jones, EVP of operations, and Adam Déacaire, vice-president of planning of the network, CNBC.

The airline also plans to accelerate the renovations of its Boeing 737-800s and maxals to include larger air bins.

Maybe. In airport lobbies, Southwest said he could redistribute staff to manage the changing customer needs with new bag rules. He will also provide the staff with mobile printers.

“With an additional step for customers to pay the ticketing or kiosks bags, we have to plan transaction and longer queue times, even if fewer customers check their bags completely,” the managers wrote.

Southwest underwent increasing pressure to increase revenues and improve yields after the hedge funds from Elliott Investment Management activists have participated in the airline last year and made changes to the carrier’s business model.

The leaders of the Southwest have long declared to investors and customers of Wall Street that its policy “two bags without theft” is sacrosanct, which distinguishes it from competitors.

During a day of investors in September, the carrier said that it would cost up to around 1.5 billion dollars if it was billed for bags but would lose $ 1.8 billion in market share compared to the change of policy.

A lot! Southwest will launch a basic economic rate which is not refundable and does not allow changes. It will not allow watch tickets the same day.

The flight credits for these “basic” tickets, if unused, will expire in six months while credits for other flights will expire in 12 months. Previously, the southwest credits did not expose.

Last year, the carrier planned to start selling tickets with attributed seats, ending its open old policy for several decades. It will also soon offer seats with an additional leg space, an offer to compete with more airlines with full service.

Southwest Airlines CEO Bob Jordan said on Tuesday that the carrier’s management team thinks that policy changes would lead to registration for their co-marked credit card.

He said that the airline’s new channels sold tickets, like Expediawill help the carrier.

Southwest passengers will earn rapid rewards from frequent traveler miles depending on the quantity they pay for their ticket. The buyout rates will depend on the flight demand, a model similar to what other carriers have.