Keep it simple business model

Southwest Airlines provides an example of a “keep it simple” service offering (simple = concentrated, specific, focused; see post below); in other words, execution is key (and easier):

  • They don’t fly everywhere
  • Sparse customer amenities
  • No seating class distinctions
  • Fewest customer options
  • No choices on type of aircraft
  • Simplest pricing structure
  • Bare-bones frequent flier program
  • No frills
  • Few pretenses
  • Peanuts, not meals

But…

  • Good schedules for destinations served
  • Fewest cancellations
  • Best on-time performance
  • Safest airline worldwide
  • Fastest gate turnaround
  • Employees appear to be happy
  • Simplest customer-interface
  • Highest customer ratings
  • Most consistently profitable
  • Lots of peanuts

UC Irvine Administrative and Business Services via Signal vs. Noise

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