Southwest Airlines

1370 words 6 pages
Michele Lynn
October 12, 2008
Marketing – Resnik
Case Study: Southwest Airlines Air travel has its ups and down, as does basically any type of travel. However, Southwest Airlines has always been my favorite airline to fly. As a young single who loved traveling, I found their fares and schedules to be the most convenient for my taste. I always appreciated the staff’s sense of humor, and it really never bothered me where I sat, so I didn’t mind the “A, B, C” boarding groups as opposed to assigned seats: I actually appreciated the freedom of choice. It wasn’t until after a couple of marketing classes that I realized the things I preferred about Southwest were intentional marketing strategies that the company used to differentiate
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Product Positioning – Operating under an intensely competitive environment, Southwest Airlines carefully projects its image so customers can differentiate its product from its competitors, as clearly noted by even the most novice travelers. Southwest positions itself in all its marketing communications as the only low-fare, short-haul, high-frequency, point-to-point carrier in America that is fun to fly. Southwest tries hard to differentiate itself with unusual tactics. For example, not assigning seats in its flights, Southwest is able to turn the airplanes quicker at the gate, which helps to reinforce its image that it gets passengers to their destinations when they want to get there, on time, at the lowest possible fares. If an airplane can be turned quicker, more routes can be flown each day, which generates more revenue, so that Southwest can offer lower fares. Pricing Strategy – With a clear customer target, SWA’s pricing strategy is to charge the lowest possible fare that still enables the airline to make a profit. This reflects its decision to compete not only with airlines, but with all other forms of transportation, including automobiles. To successfully secure its market position in the airline industry, Southwest needs to be extremely cost-efficient, a concept in which this company has mastered. Southwest offers a travel product that is built around flights targeted to specific demographics

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