With all due respect, don't be so naive! Disney has increased holiday charges on rooms and now holiday surcharges on many meals because they can, period. Please don't poor Disney me. It's laughable. You can love Disney( and Southwest) which we do, and still be critical of some of their policies. The real issue here is SW's new policy, which is in reality a fee. I just spent over $400 a ticket to fly to Florida. Some of these tickets were much more. The idea of having to pay a fee to make sure my family can sit together and not randomly looking for middle seats all over the plane is ridiculous I believe this is what will happen on flights during holidays for the poor people who don't or can't pay for the additional fees.
I never said anything about cancelling our reservation. There are no other direct flights to Florida from our airport other than SW. They have a captive audience!
With all due respect as you said, there is absolutely nothing NAIVE about believing that Disney is facing hard economic times, just as Southwest is. Do you pay attention to earnings reports? Do you know that Disney is having a horrible year financially? Do you realize that their cash cow - the ability to repackage DVC loans and sell them to other lenders - has dried up? Do you know how many people they laid off this year? If you look at programming, do you see how thye've cut back shows such as Fantasmic? Have you noticed that they not only extended the now-traditional
free dining period but began offering it in the fall? What about the 4/3 deal...these are deals they only offer when they are really in need of filling rooms. Unfortunately, it somewhat backfired because the guests did come, but they still weren't spending money in shops and restaurants, at least during the 4/3.
Look at earnings. Look at stock prices. Look at projections. If you look at that and think that a small increase per head on seasonal dining or an increase for the short holiday periods will make that up, then you being naive as well.
But let's move on to Southwest. Again, have you followed their profitability, or lack thereof, this year? Do you realize they have been on track for a bad year? they posted a quarterly loss in 3Q08 - their first in 17 years, thanks to fuel prices. And remember they have some pretty excellent fuel positioning, so if THEY lost money, you know the other airlines took a bath. They went on to post losses in 4Q08 and 1Q09. CEO Gary Kelly said:
We face the toughest revenue environment in our history. A rapid weakening in passenger demand during first quarter, particularly among business travelers, led to our first quarter net loss, he said. Although competitively strong and financially resilient, we are not immune to the challenges the worldwide recession is having on air travel.
They broke the losing streak with a modest gain in 2Q09 but the CEO said that they were making great efforts to stimulate traffic with promotional fares, but if demand did not rebound quickly, 3Q09 would look bad. Guess we'll know in a few weeks.
The problem with Southwest's model is that it works exceptionally well when demand is high. When demand is low, there aren't a lot of places to go for cost cutting. They have bet the farm on no bag fees, so with virtually everyone else charging fees for SOMETHING, they have to figure out what fees customers would be willing to pay. They NEED that cash, and to say that they are greedy or disgusting for making an effort to bring in revenue makes you appear uninformed or naive, to use your word again.
By all means, be critical - we as the buying public should be! - but please make an effort to ground your criticism in reality, not in a what appears to be a knee-jerk reaction based on your own willingness to pay these fees. And remember that there is no one forcing you to pay this OPTIONAL fee. No one at all.
BTW, I've just paid more to fly from home to Orlando than ever before on Southwest. I have been willing to pay their price (low or not) because they're the only nonstop option for me. But the nonstop option was much higher than I wanted to pay (by almost $200 total). So I went with the earliest flight that does stop in BWI. That flight was still just slightly less than Delta or USAirways when I factored in the fact that we'd likely check a couple of bags. But the advantage still goes to Southwest since it's all 737, not regional jets. I don't mind paying $10 each for the EBCI because I'd rather not have to get up early the day before and do OLCI. The same is true for the trip back - $10 each to not have to worry about signing in on my iPhone and time where I am (like not in the queue for Soarin', where I know there's no signal)? Well worth the OPTIONAL fee.
And I maintain that if someone can't pay an additional $10, they really cannot afford to fly.