• 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