• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Stock

Southwest to get rid of open seating, offer extra legroom in biggest shift in its history

by July 26, 2024
written by July 26, 2024

Southwest Airlines is ending open seating and will offer extra legroom seats on its airplanes as mounting pressure on the carrier to increase revenue prompts the biggest changes to its business model in its 53 years of flying.

The airline plans to start selling the first flights that will offer extra legroom next year, it said Thursday. It also plans to begin overnight flights, starting in February.

Southwest executives have said for years that they were studying such changes and hinted in April that the airline was seriously considering assigning seats and offering pricier seats with more legroom. The airline currently puts customers in one of three boarding groups and assigns a number, setting off a mad dash to check in a day before the flight. Customers can get earlier boarding though if they pay for a higher-priced ticket, they’ll get a better boarding slot.

When travelers choose a competitor over Southwest, the airline found in its research that its open seating model was the No. 1 reason for that choice, the carrier said in a release that outlined the changes. It also said 80% of its own customers prefer an assigned seat.

“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,” CEO Bob Jordan said in a news release Thursday.

Southwest did not, however, unveil any changes to its beloved two free checked bags policy.

The airline is under even more pressure now to segment its product like other airlines after activist investor Elliott Investment Management disclosed in June a nearly $2 billion stake in Southwest and called for new leadership as the carrier underperformed competitors.

“We will adapt as our customers’ needs adapt,” Jordan said at an industry event last month.

Southwest said it expects about a third of the seats on its Boeing 737s will offer “extended legroom, in line with that offered by industry peers on narrowbody aircraft.” The Federal Aviation Administration would need to approve the cabin layouts, the airline added.

The Dallas-based carrier had prided itself and raked in steady profits for most of its more than five decades of flying on its simple business model. Jordan said last month that not assigning seats was easier to offer when planes weren’t so full.

Analysts criticized Southwest for moving too slowly. Rival carriers offer a host of options to upsell customers like extra legroom seats, premium economy or business class. Other airlines, however, like Delta, United and American, four years ago took a cue from Southwest and ended flight change fees for most tickets.

Southwest will provide more details about the upcoming changes at an investor day at the end of September.

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Ford Stock: Is it a Good Sell or Buy?
next post
Balancing a fixed income with inflation, a Georgia retiree feels stuck

related articles

Paramount acquires Bari Weiss’ The Free Press, naming...

October 7, 2025

YouTube to pay $24 million to settle Trump...

October 1, 2025

Charlie Javice sentenced to 7 years in prison...

October 1, 2025

Video game maker Electronic Arts to be acquired...

October 1, 2025

Nearly 200,000 BMWs recalled over potential fire risk

September 30, 2025

Trump says U.S. will impose new tariffs on...

September 29, 2025

Former Fed chairs warn that removing Lisa Cook...

September 27, 2025

Amazon to pay $2.5 billion to settle FTC...

September 27, 2025

The charm of watching movies in theaters is...

September 25, 2025

Ben & Jerry’s co-founder resigns, claiming parent company...

September 18, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • House GOP releases scathing report on Biden’s withdrawal from Afghanistan

    September 8, 2024
  • As Gaza war drags past 1 year mark, hope fades for a deal to bring hostages home soon

    October 9, 2024
  • Stefanik undercuts Speaker Johnson in stunning public House GOP spat

    April 29, 2025
  • Here’s what happened during Trump’s 3rd week in office

    February 8, 2025
  • Trump clears Nippon merger with U.S. Steel

    May 24, 2025

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 3

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 4

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (6,285)
  • Investing (634)
  • Stock (936)

Latest Posts

  • In one of last speeches in office, Biden attempts to rehabilitate image of late segregationist Strom Thurmond

    January 6, 2025
  • Top House Dem fires back at Trump’s ‘unhinged’ shutdown remarks amid collapse of gov funding talks

    September 23, 2025
  • Trump directed envoy to warn Qatar ahead of ‘unfortunate’ Israeli strike, White House says

    September 9, 2025

Recent Posts

  • WATCH: Republicans rally behind Trump, continue to support Musk amid ‘big, beautiful’ brawl

    June 6, 2025
  • Fed minutes point to ‘likely’ rate cut coming in September

    August 22, 2024
  • Trump-backed plan to avoid government shutdown advances to House-wide vote as Republicans defect

    September 10, 2024

Editor’s Pick

  • VP Harris faces backlash in crucial swing state after her ‘disastrous’ anti-fracking position resurfaces

    July 23, 2024
  • Retail panic: What the end of the ‘de minimis’ exemption means for brands across the globe

    August 29, 2025
  • This drone detection technology could have intercepted assassin’s drone 2 hours before Trump shooting

    July 26, 2024
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock