Southwest

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• Southwest Airlines Co. is an American low-cost airline.

• The airline has its headquarters on the grounds of


Dallas Love Field in Dallas, Texas. Southwest is the
largest airline in the world by number of passengers
carried per year.
• Southwest maintains the third-largest passenger fleet
of aircraft among all of the world's commercial airlines.
• As of May 3, 2009, Southwest operates approximately
3,510 flights daily
• Southwest's successful business model involves flying
multiple short, quick trips into the secondary (more
efficient and less costly) airports of major markets, and
using only one aircraft type, the Boeing 737.
• The mission of Southwest Airlines is dedication to
the highest quality of customer service delivered
with a sense of warmth, friendliness, individual
pride, and company spirit.
• It primarily provides short haul, high-frequency,
point-to-point, low-fare air transportation service
among 58 cities (59 airports) in the United States.
•  
• Main competitors are Continental Airlines and
American Airlines. Substitute products include
the train and bus which cover long distances.
• While these alternates cannot offer the speed
of travel, most of Southwest Airlines'
customers are attracted to the low price.
• Customers include both residential and commercial
sectors.
•  Southwest is simple and direct at the goal of their
service; "a primarily short-haul airline that flies
directly from city to city, with just one type of plane--
the Boeing 737 - and the lowest costs".
• The company's source of competitive
advantage is its low price tickets.
• Most of its customers are people who are
willing to forego in-flight meals, direct routes
and fancy seats if that would mean for a
cheaper ticket.
• Southwest doesn't provide direct flights, but
that is offered at a higher price.
Reason behind Success
• One plan fits all
• Point-to-point flying
• Simple In-Flight Service
• No frills, No fees
• Strong management
Contd…
• Reservation system.
• Happy workforce
• Aggressive fuel hedging
• Type of Aircraft.
• Choice of markets
Opportunities
• There are opportunities for expansion to new markets.
• The new Boeing 737-700 has the ability to fly longer distances
non-stop, which may change the definition of "short haul
• Demographic trends appear favourable to an airline focusing
on price and reliability.
• The consumer continues to seek convenience and time
savings.
• Flying, rather than driving, will meet that need if the price is
right and the airline is reliable.
• The competition is looking to international, rather than
domestic markets, for growth opportunities.
THANK YOU

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