In Focus

3 brands with winning discount strategies

Southwest Airlines

Here's a company and brand that has borrowed and attempted to deliver on one of the most basic emotions we all have experienced, or seek to experience: LUV (the company's stock symbol). Southwest has delivered on that promise to millions of consumers via more on-time flights, legendary customer service, a near flawless safety record and, of course, some of the best prices in the industry. Its website is a reflection of the company's values, as well as its emphasis on saving money: low fares, no hidden fees.

Now, many people maintain their loyalty to other airlines because of perceived superior service, more flexible schedules or guaranteed seats. But I would be remiss if I didn't mention Southwest in the context of this piece. Think about it: "Ding; you are now free to move about the country." "LUV is freedom from fees." "Wanna get away?" These are just a few ways Southwest combines its low prices and discounting strategy with bigger emotional hooks and its overall brand experience.

As a consumer, I expect to pay more during peak travel times, when I book my flight last minute or when I want a direct flight at a desirable time. However, I still get the same security, service and quality brand experience when I plan ahead and fly on a Southwest Saver Fare from Chicago to Nashville to visit my parents. Yet I'll then turn around and pay four times that fare to get closer to my parent's house by flying into Knoxville. Low fares, low prices and no fees are certainly part of the Southwest promise, but the brand continues to mean so much more. You are now free to form your own opinions.

 

Comments

Sean Cheyney
Sean Cheyney October 8, 2008 at 3:05 PM

Absolutely excellent article illustrating the examples of who's doing things right. Companies like the ones you show understand how to discount properly without cheapening their brand.

In terms of the first comment here, he's off base. First, most people don't want to scroll down in one endless page. Second, the top notch content you'll find on this site (like your article) each and every day is freely available to anyone who wants to consume it. People are very naive if they think the content is not going to be ad supported. The content, including the advertising layout on this website, are very professionally done.

Finally, as a part of the advertising and marketing community, I'd be laughing and scratching my head if iMedia didn't take advantage of the opportunity to showcase the first class array of sponsors that flock to iMedia.

Carlos Hernandez
Carlos Hernandez October 8, 2008 at 10:39 AM

It is unfortuante that your well thought out blog post is spread out admidst three web pages.

The publisher's motive appears to be manipulative so one is exposed to ads.

I stopped reading once the tactice became evident.

Where else do you have your work published so I may read it in professional manner?