When Southwest Airlines comes to town, rivaling airlines take serious notice. According to USA Today, it is called the “Southwest Effect,” and it is an effective market force. The force is so powerful that within an hour of announcing new routes into SC, the competition scrambled to drop rates by 30 percent or more.
Customers saving big time with Southwest Airlines
In Charleston and Greenville-Spartanburg, South Carolina, Southwest announced flights would be going there. Southwest Airlines shook up the industry and made competitors change rates to be more competitive and cheaper. It is going to be nice for those of the Palmetto State to be able to fly cheaper. The Southwest Effect has already happened. There came a remark from Charleston’s The Post and Courier. It said, “within an hour of Southwest Airlines’ revealing details of its service launching from Charleston International Airport next year, local airfares plunged to $59 each way to Southwest-bound destinations — but only after March 13.”
Travel agents foresee additional industry
The Travel Management Group in Charleston’s John Powers commented on it. He said there will be a ton of savings because Southwest Airlines moved there. “All major carriers cut their rates by at least 30 percent,” he said Southwest Airlines have been met by competitor flights which had to lower from $228 to $59.
ABC affiliate News 4 of Charleston shared similar reports of reduced airfare for flights originating after March 13. From Charleston to Chicago on a one way flight used to cost $219 but went down to $99. Even flights to New York City which require stop-over’s went down from $400 to $129. Travel industry experts expect that flights from Greenville-Spartanburg will start going down drastically too.
Articles cited
USA Today
travel.usatoday.com/flights/post/2010/10/southwest-effect-in-south-carolina/128388/1
ymptoms of the Southwest Effect contain lower fares
youtube.com/watch?v=bMXNVUHmGU0
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