Southwest has launched its in-house vacation packager, Getaways by Southwest. Getaways replaces Southwest Vacations, a packager whose operations were outsourced to Apple Leisure Group (ALG).
In an interview, Southwest vice president of product development Phil Gouel praised the work ALG did with the airline, but said the time had come for Southwest to shift its packaging strategy. Gouel said Southwest wanted "more engagement" with customers buying vacation packages, and that Getaways gives Southwest the "opportunity to capture more high-margin ancillary revenue."
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Getaways offers customers new benefits. They earn five Rapid Rewards points per dollar spent on a vacation package, and they get two free checked bags on the flights. Customers can alter packages without paying a change fee. And when they cancel a package, they get credits toward their next Getaways package, which they must book during the next 18 months.
When Southwest announced Getaways last September, the airline said customers would have the option of applying credits toward flight-only trips. However, that's not yet available. Customers also can't yet use Rapid Rewards points to buy vacation packages, though both initiatives are in Southwest's plans.
Getaways customers can bundle air with a hotel, rental car and ground transportation. Gouel said the airline has 21 direct lodging partners, including Caesars, MGM, Fontainebleau and Marriott. Lodging aggregator Hotelbeds is also a partner.