A company can embrace an idea so tightly and for so long that abandoning it can be shocking. So it was March 11, when Southwest Airlines announced it was getting rid of something it had promoted since its birth 54 years ago: Its “Bags Fly Free” guarantee for all passengers. Starting soon, only its select, more upscale customers will be able to check at least one bag without paying a fee.
The news comes one year after Southwest said it would phase out another distinctive difference: Its open boarding policy. Now Southwest is moving toward assigned seating, and with its new move toward bag fees, customers might feel prompted to ask “What makes Southwest different now from any other airline?”
Southwest’s decision to stop flying bags free and having passengers board by number carry a lesson for LBM dealers. Many dealers also have service features that they’ve offered for years. Some exist out of a belief that they still matter to customers, even if that’s no longer the case. Over 15 years ago, the idea of imposing delivery charges or fuel supplements struck fear in the hearts of many dealers. Then, when high gas prices made the charges necessary, dealers discovered customers understood and were OK with paying a supplement.
What will be the next free feature to go away? I would bet on material price takeoffs. They are one of the most important things a dealer does, yet there might not be a dollar value attached for the work that the customer sees. At the least, there will likely be a charge that is credited back when the order is placed.
