Southwest’s new bag fees open the door for rivals to encroach on its turf

The opportunity: Southwest Airlines’ decision to move away from its signature perks, including its "Bags Fly Free" policy and open seating, is opening the door for competitors to woo its once-loyal customers.

  • Frontier Airlines is jumping at the opportunity by temporarily offering Southwest-style perks, such as a free checked bag and free flight changes—a strategic move that stays true to its ultra low-cost model while appealing to budget-conscious travelers.
  • Spirit Airlines, fresh out of bankruptcy, is reinforcing its value-driven approach by rolling out ticket bundles that include perks like seating assignments and luggage, making fares more transparent and competitive.