The Changing Skies of Southwest
For decades, Southwest Airlines has been the go-to for families heading to Walt Disney World or Disneyland. Between the legendary “bags fly free” policy and the unique open-seating scramble, it always felt like the most budget-friendly way to get the crew to the magic. However, recent moves from the carrier have many travelers noticing a significant jump in the cost of their tickets. In a recent investor conference, Southwest CEO Bob Jordan confirmed that the airline has implemented seven fare increases since February 2026 alone.
This isn’t just about a few dollars here and there. According to the CEO, these are the most significant fare hikes he has seen in his 38-year career with the company. If you’ve been wondering why your flight to Orlando or Anaheim is looking a bit more expensive, there are several structural changes behind the scenes that explain the shift.
The End of Open Seating and the Rise of Premium Tiers
The biggest driver of the price change is Southwest’s total overhaul of its boarding and seating model. As of January 27, 2026, the iconic open-seating policy is officially a thing of the past. Southwest now operates with an assigned seating model, similar to other major carriers. Along with this change, the airline introduced four new fare categories: Basic, Choice, Choice Preferred, and Choice Extra.
- Basic Fares: These tickets are the lowest cost but come with a catch. You won’t know where you are sitting until you check in, or you’ll have to pay a separate fee to select a seat in advance.
- Premium Seating: Southwest has introduced Extra Legroom seats, which offer up to five additional inches of space. These seats are located at the front of the cabin and in exit rows, but they come with a premium price tag.
- Fare Bundles: Higher-tier bundles like Choice Extra include the seat selection and extra legroom but can significantly raise the total cost of the trip for a family of four.
While the airline argues that 80% of customers prefer assigned seats, the transition has allowed Southwest to monetize specific areas of the plane that were previously “first-come, first-served.”
Why Prices Are Sticking
You might be waiting for prices to drop once fuel costs stabilize, but the CEO suggests that these higher fares are likely the new normal. Several factors are keeping the pressure on your travel budget:
- Lack of Competition: With the exit of budget carrier Spirit Airlines from the market, Southwest and its rivals have gained more pricing power.
- Operational Costs: Sustained high fuel prices and labor costs have forced the airline to focus on “sustainable margins.”
- Unchanged Demand: Despite the seven fare increases, Southwest reports that demand for travel remains incredibly strong. As long as the planes stay full, there is little incentive for fares to drop.
Tips for Disney-Bound Families
So, how do you keep your Disney vacation budget from spiraling? First, look at your Rapid Rewards status or credit card perks. Many Priority and Performance Cardmembers still receive complimentary seat selection or boarding benefits that can offset the new fees. Second, consider the Basic fare only if you are truly flexible with where your family sits, otherwise, the fees to add seats later often exceed the cost of just buying a higher fare tier upfront.
Finally, keep a close eye on the “Bags Fly Free” status for your specific route. While Southwest has historically been the holdout, recent reports show the airline has begun charging for checked bags on many fare classes as of 2025. Always double-check your fare rules before hitting that “book” button.
Disclaimer: This information is gathered from various online sources and news outlets. While we strive for accuracy, Disney plans and policies can change rapidly. We recommend double-checking official Disney sources for the most up-to-date information before making final travel plans.