Dive Brief:
- Spirit Airlines wants to woo travelers seeking elevated experiences by providing greater access to higher-end seats for Free Spirit loyalty members and cardholders, the carrier announced Tuesday. It will also offer more legroom for premium seats.
- Free Spirit members can now redeem points for all four travel options Spirit offers, and members are eligible for complimentary Big Front Seat and Comfy Seat upgrades based on availability and status. Starting later this year, Free Spirit Travel More Mastercard cardholders will be able to check two bags for free.
- Spirit will add four inches of extra legroom to the more than 40 Go Comfy seats in its planes, bringing the total pitch to 32 inches. The rollout will begin in June and is expected to reach the majority of the fleet by July.
Dive Insight:
Spirit’s new perks weren’t introduced in a vacuum.
The carrier is competing with budget and legacy airlines alike in pursuit of premium customers — including those who may be upset that Southwest eliminated its free checked bag policy earlier this year.
“We're also adding more value and perks for our loyalty members at a time when others are taking away benefits, giving our most loyal guests even more reasons to choose Spirit,” Rana Ghosh, SVP and chief commercial officer at Spirit Airlines, said in a prepared statement.
Spirit likely had its free bag perk ready for some time but chose to launch it at a strategic moment, according to Katy Nastro, travel expert at Going.com. The benefit isn’t necessarily unique among carriers, but Ghosh’s statement is a marketing jab aimed at Southwest’s recent actions, she said.
“Two free checked bags tied to a credit card perk is a trick similar to a rabbit out of a hat for a magician — it's predictable, yet crowd-pleasing,” Nastro said in an email. “Airlines have used this perk under their credit card programs to lure in potential card holders since customers are frequently frustrated by bag fees.”
Delta Air Lines, JetBlue and American Airlines, among others, have reported growth among premium customers even as overall travel growth falters. Spirit Airlines, which emerged from Chapter 11 bankruptcy in March, may be exploring the same opportunities.
Premium offerings generate fewer seats, but offer higher return, according to Nastro. They generate extra revenue that doesn’t get taxed like a base fare, which means premium cabin seats generate more revenue per seat mile compared to an economy seat.
“Airlines are jumping on the premium-leisure bandwagon, trying to capitalize on the fact that customers in recent years are looking to spend up for better experiences,” Nastro said.
Spirit’s loyalty and legroom additions could slightly improve premium customers’ likelihood to choose Spirit over a legacy carrier, but the airline’s main advantage remains its price — which may not be enough to sway many leisure travelers, according to Nastro.
“Why would a Delta SkyMiles member opt for a Spirit flight when they can spend slightly more and get SkyMiles out of it?” Nastro said. “They are unlikely to pull any decent customer base away from the big three, but they are demonstrating to other budget carriers that they intend to play in the premium pond more aggressively.”
