Case Study on ‘Rapid Rewards at Southwest Airlines’

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Name: Vishwas. KSection: A | | | | | | |

Registration Number: 151202032 | | | | | | |

Number of words: 582 | | | | | | |

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Criteria | 1 | 2 | 3 | 4 | 5 | |

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Problem Identification |   |   |   |   |   | |

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Case study on ‘Rapid Rewards at Southwest Airlines’

Overview of the case

Southwest airlines was founded by Rollin king and herb Kelleher in 1967 based in Dallas and a small airport was opened in 1974. This company is one of the most successful short haul airline in the industry over next 30 years, and it runs over 500 Boeing 737 aircraft in 67 cities in the US. By the year 2000, southwest provided service from 58 airports throughout the country with 2700 flights daily. Southwest Airlines main competitors are: Continental Airlines, USAir ways, Delta, United airlines, and American Airlines.

Operational tactics

Southwest airlines has achieved a remarkable position in the airline industry by adopting below important operational tactics.

Flying one type of aircraft, Boeing 737s in order to achieve lower training cost for maintenance and flight crews. The company reduces turn-around time by using point-to-point strategy, has avoided the use of complicated reservation process system thereby using the minor league airports which have helped the company to reduce traffic delays and increase passenger convenience. Southwest did not assign seats on its planes, but rather relied on a first come, first served system and also by giving greater preference for frequent for frequent flyers.

Customer service strategy

Southwest airlines uses a of different kind of reward programs to increase customer satisfaction, such as,

The reward for frequent fliers – companions travel includes free flights according to the number of flights. The company offers...