Comments on: Southwest Airlines Profits from Free Bags http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/ The New Imperative to Add Value to Customers' Lives Thu, 21 Jul 2011 00:20:59 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Not All Wi-Fi Wants to Be Free – Marketing with Meaning http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/comment-page-1/#comment-2049 Not All Wi-Fi Wants to Be Free – Marketing with Meaning Sat, 24 Jul 2010 05:07:17 +0000 http://www.marketingwithmeaning.com/?p=1038#comment-2049 [...] its free baggage benefit, but it created a marketing campaign around “Bags Fly Free.” The results are pretty amazing: Southwest gave up an estimated $300 million in profit by forgoing the fees, but [...] [...] its free baggage benefit, but it created a marketing campaign around “Bags Fly Free.” The results are pretty amazing: Southwest gave up an estimated $300 million in profit by forgoing the fees, but [...]

]]> By: Coke Captures a Moment of Happiness – Marketing with Meaning http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/comment-page-1/#comment-1088 Coke Captures a Moment of Happiness – Marketing with Meaning Thu, 21 Jan 2010 14:34:23 +0000 http://www.marketingwithmeaning.com/?p=1038#comment-1088 [...] believe the biggest lesson here is that Coke has focused its Brand Purpose on “Creating Happiness.” If you step back and think about what the Coca-Cola product [...] [...] believe the biggest lesson here is that Coke has focused its Brand Purpose on “Creating Happiness.” If you step back and think about what the Coca-Cola product [...]

]]> By: Bob http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/comment-page-1/#comment-1054 Bob Wed, 13 Jan 2010 15:53:23 +0000 http://www.marketingwithmeaning.com/?p=1038#comment-1054 Great point, Jonathan. And when you see even a company like McDonald's offer free wi-fi, it starts to look very bad for hotels to continue charging. But what hotel has a "brand" and purpose like Southwest? Certainly none that I can think of (maybe a business opportunity...) http://www.boston.com/business/ticker/2010/01/many_mcdonalds.html Great point, Jonathan. And when you see even a company like McDonald’s offer free wi-fi, it starts to look very bad for hotels to continue charging. But what hotel has a “brand” and purpose like Southwest? Certainly none that I can think of (maybe a business opportunity…)

http://www.boston.com/business/ticker/2010/01/many_mcdonalds.html

]]> By: Jonathan Richman http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/comment-page-1/#comment-1053 Jonathan Richman Wed, 13 Jan 2010 14:34:51 +0000 http://www.marketingwithmeaning.com/?p=1038#comment-1053 Great post. Where to begin with trying to figure out which other industries could benefit from this type of thinking? One right off the bat: hotels. I'm sick of paying $12.95 a DAY for an Internet connection (usually a slow one). I pay for this every time I stay in a hotel, so essentially, each stay is $13 more per day than advertised. It's not a giant amount, but I know that given the choice, I'd pick the hotel with the free Internet over the one that charges for it every single time. Why don't they get this? Great post.

Where to begin with trying to figure out which other industries could benefit from this type of thinking?

One right off the bat: hotels.

I’m sick of paying $12.95 a DAY for an Internet connection (usually a slow one). I pay for this every time I stay in a hotel, so essentially, each stay is $13 more per day than advertised. It’s not a giant amount, but I know that given the choice, I’d pick the hotel with the free Internet over the one that charges for it every single time.

Why don’t they get this?

]]> By: Stan Phelps http://www.marketingwithmeaning.com/2010/01/12/southwest-airlines-profits-from-free-bags/comment-page-1/#comment-1048 Stan Phelps Wed, 13 Jan 2010 04:27:35 +0000 http://www.marketingwithmeaning.com/?p=1038#comment-1048 Bob, Great post. There are very few large companies that have an employee base that buys into the importance of customer satisfaction. Southwest gets the concept of lagniappe. They overdeliver and give their customers that little unexpected something extra. And its not just what they do, its how they do it. They do it with pride. It's pretty powerful when you witness a company acknowledging that it's the customer base that keeps the company in business. Add in the belief that their sole purpose is to operate for the benefit of its customers and not solely for just the benefit of the shareholders. Best, Stan @9INCHmarketing #PurpleGoldfishProject Bob,

Great post. There are very few large companies that have an employee base that buys into the importance of customer satisfaction. Southwest gets the concept of lagniappe. They overdeliver and give their customers that little unexpected something extra. And its not just what they do, its how they do it. They do it with pride.

It’s pretty powerful when you witness a company acknowledging that it’s the customer base that keeps the company in business. Add in the belief that their sole purpose is to operate for the benefit of its customers and not solely for just the benefit of the shareholders.

Best,
Stan
@9INCHmarketing
#PurpleGoldfishProject

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