Southwest Airlines revamps loyalty program as it targets higher-spending travelers

Traders Union
All News
Business & Wealth
Companies
Southwest loyalty program revamp

Highlights

Southwest Airlines will replace A-List and A-List Preferred with new silver, gold, and platinum tiers starting January 1, introducing higher qualification thresholds and benefits.
The new platinum tier requires 140,000 Tier Qualifying Points or 100 flights, offers a 120% points bonus, and grants unlimited Companion Pass access to top customers.
Southwest is expanding revenue streams by introducing monetized options, milestone rewards, tightened Companion Pass rules, and launching Icon airport lounges in partnership with Chase.

New tier structure and benefit changes

As reported by CNBC, Southwest says A-List and A-List Preferred status will end on Jan. 1, with existing A-List members moved to silver and A-List Preferred members moved to gold. The airline is also adding a new platinum tier for what it calls its most engaged customers, as it aligns the program more closely with structures used by larger rivals.

Tony Roach, Southwest's chief customer and brand officer, says the old tier names no longer fit the airline's updated boarding and seating model. He says the refresh is meant to reflect changes the carrier is making across the travel experience, including new seating options and other product additions.

Under the new requirements, silver status needs 35,000 Tier Qualifying Points, or 25 qualifying flights, while gold requires 65,000 TQPs or 50 flights. Platinum, the new top tier, requires 140,000 TQPs or 100 qualifying flights, and members at that level receive a 120% earnings bonus on qualifying flights as well as unlimited Companion Pass trips.

Southwest is also revising boarding access and points bonuses across the program. Silver members will board in Group 1, gold members will board before Group 1, and platinum members will board ahead of both, while silver's flight bonus rises to 40% and gold's falls to 60% from the previous A-List Preferred level.

Revenue strategy and broader customer impact

The loyalty changes sit within a wider overhaul at Southwest, which is removing long-standing customer perks and charging for options that competitors have monetized for years. The airline is seeking to reward higher-spending customers more directly as it expands revenue streams and reshapes its once-distinctive model.

Companion Pass rules are also changing from the 2027 earning year. Existing pass holders keep their benefit for the rest of their current term, but future access will be earned through TQPs or qualifying flights, by reaching a milestone reward, or through platinum status; currently, travelers need 135,000 qualifying points or 100 one-way flights to qualify.

Southwest is adding intermediate milestone rewards for travelers who fall between status levels. Customers who reach 20,000 points or 15 qualifying flights can choose either 2,000 additional Rapid Rewards points or two coupons for preferred seats, while those who earn 95,000 points or take 75 qualifying flights receive three Companion Pass trips even before reaching platinum.

The carrier is also expanding international airline partnerships and building its first airport lounges under the Icon brand with credit card partner Chase. Southwest says it is developing Icon lounges in four cities across the U.S., adding another premium feature as it competes more directly with larger network airlines.

Our previous coverage of incentive payouts for top executives at South Africa’s JSE Top 200 companies noted a sharp shift toward variable remuneration, with short- and long-term awards rising much faster than fixed pay. We also highlighted how new Companies Act rules are increasing governance pressure through mandatory pay-ratio disclosures and binding shareholder votes on remuneration.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.