Categories: Entrepreneur

Southwest Raises Prices for ‘Upgraded Boarding’ Service

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Southwest Airlines Quietly Introduces Seat Selection Fees

Southwest Airlines, known for its unique boarding process where passengers do not have assigned seats, has quietly introduced a new option for passengers to pre-select their seats in exchange for higher fees. The airline hinted at potential changes during a Q1 2024 earnings call in April, and it seems they have followed through with the implementation.

Reports indicate that Southwest has increased fees for an “upgraded boarding” option, allowing passengers to board earlier for a better chance at securing a preferred seat. The fees have jumped from $30 to $149 per ticket, up from a previous maximum of $80. Passengers who opt for this upgrade will receive seating assignments in the A1 to A15 range, but must make the decision 24 hours or less before the flight.

Additionally, the airline has raised fees for “early bird check-in” which now range from $15 to $99, compared to the previous cap of $25. This option places passengers in an earlier boarding group, increasing their chances of getting a desirable seat.

Southwest CEO Bob Jordan mentioned potential changes in seating and boarding procedures during an interview with CNBC in April, following a quarterly loss of nearly $231 million. Despite the financial challenges, Southwest reported a record-high operating revenue of $6.3 billion in Q1, marking a 10.9% increase year over year.

While the airline’s stock was down over 7% year over year, the introduction of seat selection fees may help Southwest navigate through the turbulent times and cater to evolving customer preferences.

Team@GQN.

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