Strategies to success in the Airline Industry
Even though Southwest Airlines has hundred of thousands of people to pay, thousands of planes to refuel and maintain, and incredibly high upkeep... they are one of the most profitable firms in the industry. South West has advantages over nearly every other country because they have strategies to minimize expenses. Not only do they provide one of the best customer satisfaction rates, they have ways people cam save on flights like free bags and "miles" you can redeem for free tickets over time. Southwest is able to generate loyal customers this way and although they have low prices, the amount of people that prefer to fly South West over competition generates a lot of revenue. In an article I found ten of the most interesting statistics and facts I thought would surprise you.
1.) South West Airlines uses ONE type of plane (Boeing 737 Series) while the average amount of planes for each other Industry is around 20-23 different types!
2.) South West saves hundreds of millions of dollars on maintenance due to only having to be knowledgeable about one plane type. Also, they don't have to have many spare parts for other planes.
3.) They have 113,000 people employed. This shows how they helped create lots of job opportunities all the way from entry level jobs to important roles running their company.
4.) Southwest doesn't assign seat numbers. A practice only used by South West but is extremely efficient. It is much more convenient than you think. People prefer to fly SouthWest because of how user friendly is in.
5.) Bags fly free. Simple yet still this must dig in to their profits alot. But actually it doesn't. People will spend a lot more money to fly southwest because of this and it also attracts a lot of new customers and helps keep loyal customers loyal.
6.) South West has 680 planes of the same type. Thats a lot of planes. I thought that was really cool because you cant really imagine 680 mega planes side by side.
7.) They fly 100 million passengers annually. This is interesting because not only is that A LOT of people. It shows how efficient they are and makes sense why they are one of the top customer loyalty counts and customer satisfaction rates.
8.) South West has the fastest turn around (the time between the plane lands and the time it takes off). Although experts have not been able to figure out why, I believe it is because since it is only one type of plane, they are so experienced and quick.
9.) They have the lowest prices... but yet they still have one of the best profit-margins in the industry. How? They are the smartest airline and know their way around keeping good customers and reducing expenses.
10.) South West acquired Air-Tran like it was pocket change. Another example of how much money South West has. Usually when other companies buy another out they acquire a loan or have to dig very deep into their funds, but South West has the money to buy out other companies easily.
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| South West planes taking off and landing at the same time. |
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