He’s going places.
The year is 1967, and Herb Kelleher (HK) is totally bonkers. He wants to break into an industry riddled with red tape and politics.
Only a small pool of entrepreneurs are jet-setters in its literal sense, and HK is one of them.
He’s 35, practices law, and finds himself in court. A lot.
It has nothing to do with his day job. And everything to do with his side hustle.
Only business guys fly. And only on business guys’ cards. There’s a market gap between those who fly and those who would fly if priced a little cheaper.
That’s his cue.
Enter Southwest Airlines.
It’s the industry’s first low-cost carrier.
And it takes four years to get off the ground. HK has red tape to thank for that. Specifically, CAB - the federal airline regulation board which limits free competition across states.
A flight between SF and Dallas costs the same regardless of carrier.
So HK starts an airline…
That flies only in Texas.
His competitors sue…a lot.
But HK is undeterred. (Remember, this is the guy who later sent an American Airlines exec chocolate pudding after he questioned a Southwest poop problem).
So yeah, he likes to have fun.
And by the time Southwest does take off, he’s ready:
One plane model. No layovers. Simple boarding structure. Four plane schedule on a three plane rotation. Ten minute gate turnaround. And no in-flight cocktail.
He keeps costs down. To keep customers up (at low-ish rates).
It’s a very strange airline.
Led by a very strange guy.
HK remembers things - his employees, their kids, their pets. He’s silly, and so are they.
That’s because:
Happy employees make happy customers. At Southwest, flight attendants are “cheerleaders.” Making it a case study for customer & employee loyalty alike.
So take one from Kelleher. Turbulence is part of the journey. Be kind along the way.
And that’s the skinny.