Southwest Airlines 2013 Annual Report Download - page 13

Fare Structure
Southwest
Southwest offers a relatively simple fare structure that features competitive, unrestricted, unlimited,
everyday coach fares, as well as lower fares available on a restricted basis. Southwest bundles fares into three
major categories: “Wanna Get Away®,” “AnytimeSM,” and “Business Select®,” with the goal of making it easier
for Customers to choose the fare they prefer.
• “Wanna Get Away” fares are generally the lowest fares and are subject to advance purchase
requirements. They are nonrefundable but, subject to compliance with Southwest’s No Show policy,
funds may be applied to future travel on Southwest. As discussed below under “Operating Strategies
and Initiatives — Ancillary Services and Fees,” during 2013, Southwest implemented a No Show
policy associated with Wanna Get Away tickets that are not canceled or changed at least ten minutes
prior to a flight’s scheduled departure.
• “Anytime” fares are refundable and changeable, and funds may also be applied toward future travel
on Southwest. Anytime fares also include a higher frequent flyer point multiplier under Southwest’s
Rapid Rewards®frequent flyer program than do Wanna Get Away fares.
• “Business Select” fares are refundable and changeable, and funds may be applied toward future
travel on Southwest. Business Select fares also include additional perks such as priority boarding, a
higher frequent flyer point multiplier than other Southwest fares (including twice as many points per
dollar spent as compared to Wanna Get Away fares), priority security and ticket counter access in
select airports, and one complimentary adult beverage coupon for the day of travel (for Customers of
legal drinking age).
AirTran
AirTran also offers a user-friendly fare structure that features a variety of competitive fares and products.
Unlike Southwest, AirTran currently offers a Business Class product. With the exception of Business Class fares,
all AirTran fares are nonrefundable, but can be changed prior to departure, subject to payment of a service
charge. AirTran Business Class fares are refundable and changeable and include additional perks such as priority
boarding, oversized seats with additional leg room, bonus frequent flyer credit, no first or second bag fees, and
complimentary cocktails onboard. In addition, AirTran’s Business Class product can be purchased separately or
through an upgrade of a non-Business Class fare within 24 hours of travel.
Websites
Southwest.com and AirTran.com
The Company’s Internet website, southwest.com®, is the only avenue for Southwest Customers to purchase
and manage travel online. Any part of a Customer’s trip can be planned directly from the southwest.com home
page. Southwest.com is designed to help make the Customer’s experience personal and intuitive with features
such as recognizing the Customer’s location to provide relevant deals, remembering recent searches to make it
easy to get to trips of interest, and shopping cart functionality allowing Customers to purchase air, hotel, and car
all at once. Southwest.com highlights points of differentiation between Southwest and other air carriers, as well
as the fact that southwest.com is the only place where Customers can purchase Southwest fares online. In
addition, southwest.com and swabiz.com (the Company’s business travel reservation web page) are available in a
translated Spanish version, which provides Customers who prefer to transact in Spanish the same level of
Customer Service provided by the English versions of the websites. Additionally, as discussed further below
under “Other Initiatives — Mobile Website and Mobile Boarding Passes,” Southwest offers Customers a mobile
website and apps to provide Customers the ability to transact with Southwest anytime they have access to their
mobile device.
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