On March 1, Southwest Airlines will change the rules for its Rapid Rewards program (newrapidrewards.com).
What's the upshot?
The new rules are more complicated. They make points dependent on the price of the tickets you buy and the types of tickets you buy (such as refundable or non-refundable).
Up until now, travelers earned a free ticket simply after buying eight round-trips. Under the new rules, if you always buy tickets with the same class of service, Southwest is giving you $1 back for every $100 you spend. In other words, you'll earn a free ticket after buying ten round-trips, assuming each ticket costs the same.
What's changing: Earning points
Fliers will earn points for every dollar spent. You'll earn 6 points per dollar for cheap, nonrefundable "Wanna Get Away" tickets, 10 points per dollar for fully refundable "Anytime" tickets, and 12 points per dollar for expensive Business Select tickets, which comes with perks like free WiFi and drinks. You'll also earn bonus points for buying tickets in the nicest classes of service, which means that business class tickets are much more rewarding than before.

There is a different calculation for each class of service. For a free "Wanna Get Away" ticket, you need to earn 60 points per dollar of fare to have enough for a free ticket. Case in point: If the fare for a specific flight is $100, you need to earn 6,000 points for a free ticket (60 times 100).
For a free "Anytime" ticket, you need to earn 100 points per dollar of fare. For a free "Business Select" ticket, you need to earn 120 points per dollar of fare.
What about expiration dates and blackout dates?
You can keep all of your points alive if you have some "account activity" every two years. "Account activity" can mean opening a Southwest Chase credit card, redeeming miles, or buying a ticket. Under the old system, each flight is worth one "credit," and credits expired after two years.
The airline says there are getting rid of blackout dates and dropping limits on how many reward seats are set aside on any given flight.
What if you don't have enough points?
You can buy points. It costs $50 for 2,000 points, and then $25 for every additional set of 1,000 points.
How does you do under the new rules as a budget-conscious traveler?
Not as well under the old system on average, though it depends on the type of flights you take and how often you fly Southwest. In general, the change favors high-spending travelers. If you are someone who mostly flies short-haul flights at the dirt cheapest prices, you're going to have to work harder now—spending about 20 percent more, roughly speaking -- to earn the valuable long-distance or last-minute flight.
What's the best deal under the new rules?
Buy lots of "Anytime" tickets and then redeem for a cheap "Wanna Get Away" ticket.
What about the credits you've already earned but haven't used yet?
Each old credit is worth 1,200 new points each. For a short time, if you have a bunch of credits and just need a little more to get a free round trip you can convert points from the new system to earn the last gasp of credits for one last award.
What do you think about the new Rapid Rewards program?
Sound off in the comments!
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Let me do some math for everyone. I am flying to Hartford, CT. Internet Fare is $137 one way and Business Select is $479. $342 More. Southwest wants me to buy the Business Select ticket and will reward me with some unquantifiable small portion of a future ticket. How about this - If I buy the Internet ticket, I save more than the price of a FULL round trip ticket. By the way, United's price was less with better flight options.
Posted By SW Sceptic on January 7, 2011, 10:07 AM
This morning I got an email broadcasting how my SW Airlines Frequent Flyer program is being improved. When you read the details, basically Southwest no longer rewards you for flying, but instead rewards you for spending. Used to be that if you flew a short inexpensive flight or a long expensive one, the reward was the same – 1 credit. Now you get ‘points’ for the dollars you spend. Southwest has offered a great reward program for years and is probably looking for ways to cut back. But don't make it sound like something that benefits consumers instead of the real story – something that benefits them.
Posted By Less than Pleased on January 7, 2011, 10:47 AM
I fly at least a couple of times every week. One of the reasons I preferred SW was their simple rewards program. You fly, you get credit. I loathe complicated points systems. I bet, redeeming the points is going to get very hard as well.
Posted By Ayan Rahman on January 7, 2011, 10:59 AM
Thanks for the comments so far. Southwest seems to have annoyed some customers by spinning their changes as "improvements." Of course, for business travelers who prefer the refundable fares, priority seating, and free WiFi of "Business Select"-class fares, this *is* an improved program.
Posted By Sean O'Neill on January 7, 2011, 11:02 AM
This is a major downgrade to Rapid Rewards for frequent short-haul travelers, which I'm sure represent the bulk of Southwest's frequent fliers.
Until now, you could spend less than $1000 for 8 cheap ("Wanna Get Away") short-distance round-trips within 2 years (often a short round trip costs as little as $80 or less), and then you would get a free round trip *anywhere*. Many destinations cost $400-500 per round-trip even with the cheapest web-only fares. So you could easily spend around $1000 (potentially as little as $650) and then get a $400 trip free.
Now (assuming you don't have lots of money to waste on expensive "Anytime" or Business fares), if you spend $1000, you'll get a free trip worth exactly $100.
Of course, Southwest trumpets all the improvements and most reporters parrot them. I've read several news stories about this, and not one described what I've pointed out here, which is probably the most typical actual effect of the changes.
Posted By Jilted LUVer on January 7, 2011, 12:52 PM
Thus continues Southwest's slow transformation into -- yikes -- the likes of AA, Delta, United.
Confusion = customer dissatisfaction.
Time to cut up my Southwest Visa.
Posted By Doug on January 7, 2011, 12:54 PM
Truly a downgrade for an airline that started out being different than all the others, but now is following in the other airlines' steps into mediocrity. Time to stop being so loyal to SW airlines.
Posted By Seth Cohen on January 7, 2011, 3:20 PM
well, it may not be the same as it was but it certainly sounds fair
Posted By level headed on January 7, 2011, 11:12 PM
Even though I'm a premier exec for life on UA, I switched from UAL to SW a few years ago because I loved the SW program. If I to pay same fares as UA to get perks on SW, I might as well fly UA! I have been using the UA miles plus money program on and it really stretches your miles. Goodbye SW and hello UA!
Nice going Gary.....I predict it won't be long before you'll see your loyal base erode.
Posted By James on January 9, 2011, 2:01 AM
I am disappointed to see SW departing from their rewards program. Since I can buy on other carriers at cheaper rates, this new incentive program actually will cause me to start flying other carriers. Until now, I have flown SW exclusively for both long and short trips.
The trip I took this weekend also involved the dreary "canned" flight safety speaches...Not the perky "pay attention" ones I am accustomed to. Not a big think, but your passengers are noticing the changes, SW!!!
Posted By Going Shopping! on January 10, 2011, 11:24 AM
I'm actually THRILLED by this. My husband travels on business quite a bit. He buys the full fare price because he has to travel last minute much of the time. We will now be able to accrue tickets faster at the higher level of spending, and then use "Wanna Get Away" fares using RR tickets for vacation travel.
For those of us who are getting more for SPENDING MORE... SWA can count on us to be more loyal than ever. LUV the changes!
Posted By MzGrape on January 10, 2011, 3:18 PM
There is no longer any reason for me to drive 2 hours to Raleigh to fly SW. I had switched last year because with the web only fares and no charge for bags, it was worth it. I hate to say it, but they're no different than NW, Delta, US Air and the rest. SW initiated the higher fares, and all the other airlines followed suit. I hate it, but I'll be going back to other airlines.
Posted By P High on January 13, 2011, 10:35 AM
Up to now, SW was the first carrier I would check for a potential flight. I loved the simple frequent flier system. It now looks like I'll be traveling much less with SW and my SW visa card will be replaced by a card with more advantages. This is sad. The first major wrinkle in SW's marketabililty. They will lose many loyal customers.
Posted By G Behrns on January 14, 2011, 9:56 AM
Like the majority of Southwest loyal customer base, I fly weekly on Southwest and have for over 15 years for both business and personal travel. The sole reason I paid higher fares and drove out of my way to maintain my loyalty to them was their easy and outstanding rapid rewards program. I understand needing to cut back during these economic times and would have fully supported making us fly more flights to get a free ticket, increasing prices or doing other changes. But to instead come out with such a complex and non-rewarding system sadly makes me no longer a loyal fan. I will now go with the cheapest and most convenient airline and explore the next best rewards program. I will also cancel my visa.
It's been a great ride Southwest - I wish you well but losing such a long standing loyal fan base I don't think will serve you well in the end.
Posted By monique on January 14, 2011, 5:12 PM
Its stinks. Last spring when checking on flights the freedom award deal effectively cut the value of Regular Rewards in half. So they have been slowly making these changes and this last points change did it for me.
I had already cut back on using the SWA Visa card, now as others I will be looking and going elsewhere.
Posted By Katherine Edwards on January 18, 2011, 10:29 AM
My husband flies cross country bi-monthly for business and will finally be rewarded for all the extra miles. The previous rewards program favored short haulers (cheaper flights) and penalized those regularly taking long flights. He's flown SW anyway because he can always get front or aisle seats without paying an extra fee, and he doesn't have to deal with luggage fees. Now he'll be rewarded with commensurate reward points, too. These changes are definitely an improvement for us.
Posted By Dosborn on February 14, 2011, 11:50 AM
One positive is points don't expire as long as you fly every 24 months. That means
1.)no more "forced" vacations to use up earned free flights.
2.) No need to have a SW Visa @ $59/year. I had this to earn additional credits before my flight credits expired.
With no expiration there is also no need for loyalty to SW or the SW Visa.
Posted By John on February 25, 2011, 1:48 PM
The new program crucifies loyal customers in so many ways. Under the old program I used my RR awards for short notice flight changes that would help me avoid having to pay $400 for short notice one way airfares. Under the new program one will have to have accumulated a huge number of points just to book one short distance short notice flight like say: Omaha to Dallas. Huge
downgrade! Worst of all, SW boasts the new program benefits everyone instead of admitting a majority of it's customer base will suffer severely.
Posted By Verla on February 28, 2011, 10:13 PM
Do any other carriers offer companion status?
Posted By Kit on March 1, 2011, 12:33 PM
Companion doesn't do much good when some fares are $400+ each way on SW and much less on other airlines that actually fly nonstop, unlike SW. This new system is terrible, and it appears the 7 rewards that I've built up will be diluted into less points which means less roundtrips.
Posted By Jim on March 1, 2011, 8:16 PM
SW states: In addition to earning points from flights and Partners, a Member will have the ability to purchase points. Point purchases must be paid for with a credit card. Points will be offered in blocks of 1,000 with a minumim purchase of 2,000, maximum of 40,000, and priced at $.0250 per point." They are careful not to tell you that these points will not apply to tier status. If you use these points, any itinerary will cost you far more than simply purchasing the itinerary outright.
Like the majority of Southwest loyal customer base, I fly weekly on Southwest and have for over 15 years for both business and personal travel. The sole reason I paid higher fares and drove out of my way to maintain my loyalty to them was their easy and outstanding rapid rewards program.
Why put up with loner flights, a customer service phone line which goes, unanswered, few non stop flights.
There is no reason to fly Southwest as they have become just like other airline in their disregard for loyal customers, and the service that set them apart in the past. It was a good ride while it lasted. They too will become a relic.
Posted By Hal on April 21, 2011, 1:39 AM
Over the past 13 years, I have flown weekly on Southwest for both business and personal travel. The sole reason for this was Southwest's formerly easy-to-understand, easy-to-use web site, and outstanding frequent flier program.
In early March, like so many other loyal, Southwest Airlines customers, I received an e-mail from Southwest Airlines proclaiming how my Southwest Rapid Rewards Frequent Flyer program is being "improved." A quick review of the details, makes it abundantly obvious that this is anything but the plain truth.
Southwest, an airline which once boldly proclaimed: "Southwest gives America the freedom to fly," now no longer rewards its once loyal customers for flying (the essence of a frequent flier program). Now it has done an about face and has distanced itself from the previous rewards program based on flight segments flown, and has succeeded in assembling a complicated, tier/status-based, frequent flier program which encourages and rewards greater spending, ironically for the same airline seats on the same planes. Huh? (This is reminiscent of the same and wasteful excessive spending which caused the larger national economic downturn.)
An airline which once held that such egalitarian principles: "every seat is a first-class seat," now rewards you only for this increased spending, based on a now openly admittedly tiered system (Business Select, Anytime, and Wanna Get Away fares. A-List and A-List Select tiers. ). Both the tiers and the so-called rewards are expensive to achieve and offer little in return for such large expenditures.
Now customers will have to spend substantively more to achieve rewards benefits similar to those in the old plan. The most expensive fare, offering the most Rapid Rewards benefit, Business Select, now more than ever seemingly is designed for just that, the "Business Select." I thought we were moving away from corporate and business excesses and waste?
Under the previous program, most flight segments resulted in the same 1 point reward. Paying more in the "business select plan" achieved 1.5 points per segment, along with the "perks" of earlier boarding and a drink coupon. Now you get ‘points’ based on the dollars you spend. Spend more on a ticket for the same seat to go to the same place, on the same plane - you get more points, basically. 'Sound wasteful, because it is. If you need flexibility on flights with no effective change fee, and perhaps this model "flies." Otherwise, Southwest would propose to encourage you to spend more, to earn more points?
'Don't have enough points? 'Don't worry. You can buy points from Southwest. SW states: "In addition to earning points from flights and Partners, a Member will have the ability to purchase points. Point purchases must be paid for with a credit card. Points will be offered in blocks of 1,000 with a minimum purchase of 2,000, maximum of 40,000, and priced at $.0250 per point."
They are careful not to tell you that these points will not apply to elevating tier status. Southwest won't tell you that your purchase of points is done so at a significantly diminished return, far less than if you simply used dollars, and significant restrictions on how these points can be used. In other words, if you use these purchased points, in turn to purchase an itinerary, this will cost you far more than simply purchasing the itinerary outright in dollars. 'Sounds confusing, because it is.
Throughout the years, I have patronized Southwest Airlines throughout the years enduring its infamous cattle call boarding, limited airport access, old and crowed terminals, peanuts, lack of non-stop flights on long hauls, and a tiered seat system, all with the goal of economical flying, employing both a consumer friendly web site and frequent flier program.
Until now, I have flown Southwest predominantly for both long and short trips, just for its rewards program. I once believed the airline run by Herb Kelleher was concerned about and appreciated its patrons that catapulted Southwest to national prominence in the field.
Since I can now buy on other carriers at cheaper rates and with similar levels of service, this new incentive program actually will actually cause me to start flying other carriers more often. In this, I am sure I will not be alone.
There were clues as to this downturn for Southwest customers. The implementation of the "Freedom Award" - who comes up with these oxymorons? - was a hint. It effectively halved the value of Rapid Rewards Points. In June of 2010, Southwest stopped offering Rapid Rewards points through the
American Express Membership Rewards Program. The Southwest Rapid Rewards Visa card was hugely successful as its chief perk was the accrual of Rapid Rewards points linked with usage of this card. This came with higher interest rates and a $59 annual fee. Without these advantages, the savvy consumer will replace this a card with a card offering rates and more usage advantages. In June of 2010, Southwest stopped offering Rapid Rewards points through the American Express Membership Rewards program.
Southwest had offered both a simple and great reward (emphasis on "reward") program for years. It is through this program that the airline has developed its loyal fan base of customers. The fact of the matter that this a major blow to existing Rapid Rewards member and Southwest patrons.
Southwest now insults its customers with this new program, in saying that this change benefits customers when in reality it benefits more so Southwest Airlines. I am sure the competing airlines just love the new Southwest plan. Perhaps they will incentivize Rapid Rewards members to switch over?
Southwest still has an opportunity to make this right. Southwest, admit you were wrong. Return to the older (simpler) plan. Though I doubt they will.
Shame on you Southwest. Just where has the LUV gone?
In closing, I would like to cite a well written (author unknown) Facebook posting:
"Southwest had one of the most LOYAL customer base out of any airlines. Their passengers regularly raved about the Southwest experience. The company has remained profitable while most of the industry has struggled. Still Southwest felt the need to recruit the coveted BUSINESS TRAVELER who tends to (or is willing to) spend more on a ticket. The new Rapid Rewards program may to do exactly that, but the question becomes, “at what expense?”
While Southwest may increase their income, they’ve hurt–at least in the immediate future–their reputation. They were known for being different, for treating each customer the same, for keeping things simple, and for keeping things fun and honest. Now, many of their loyal fans now say “they are just like the other guys.” Southwest, in an attempt to reach one goal, sacrificed so many of the things that kept them profoundly unique and made them special.
Not only that, but then they failed to listen and at least acknowledge the concerns of a customer base that truly felt betrayed. Instead, they simply said, “it’s better” when most of their customers could plainly see, it was not–at least for them.
I’ve seen this happen to other groups who have tried to hit the same level as another organization and lose the core of what makes them unique in the process. They fold and fail. I don’t think this will necessarily be the case for Southwest, but I have trouble believing they will be able to maintain such a loyal following.
As leaders, we do need to evolve. We do need to make changes, but we also need to ask if those changes sacrifice who we are at a core, and if they truly benefit those that we serve. Southwest had built a reputation by being an airline with affordable tickets, and yet in their press release, the CEO of the company was quoted saying that he thinks the new program will get people to pay more money for tickets? (What was that last part again?)
Have you ever done the same thing in your organization? I’ve seen some schools spend so much money on making a prom “so amazing” (because they heard what another school did) that the price of a ticket
exceeds the amount that many students can pay, ultimately hurting attendance and changing the prom experience.
I’ve seen other schools complain about student apathy at events, but fail to really listen to the feedback from their peers, dismissing any critique as someone “who just doesn’t get it.”
I’m interested to see what happens with the Southwest situation in the coming weeks. I won’t say I will never fly with them again, but I’ll be honest and say that if the new program remains unchanged, they will lose a great deal of my business as it works in my favor to fly another airline now.
As we lead, as we serve, we must remember that there is never a guarantee that anyone will work with us or attend what we plan. We must all have customer service in the forefront of our minds. We must find the ways to benefit our constituents. We won’t always make everyone happy, but we must also find the ways to be real with them when we’ve upset them. It builds a better relationship in the long run. It builds loyalty. It builds advocates. "
I hopeful that Southwest has a glimmer of the humanistic values yet that led to its success to date. The lack of those values or compromise of the same will lead to its downfall.
Goodbye Southwest. It has been a great ride while it lasted.
Posted By Hal on April 21, 2011, 1:58 PM
Southwest, you need to go off these points. Stay with the old program. Raise the flights to 9 or 10 for a free ticket if needed.
I would fire anybody for choosing a Business Select and expensed it at my company, without a doubt.
Pull your head out and see the light. I have been loyal for 10yrs, I know I'm changing to another airline.
NBR
Posted By nbr on April 28, 2011, 12:59 PM
I agree with all the folks who have commented about the so called "positive changes" to the SW airlines Rapid Rewards program. My husband and I are frequent flyers (seniors) who have always flown SW for over 12 years. Now we will fly with another carrier as all that was good about SW and the simplicity of the Rapid Rewards programs no longer exists. We will be canceling both our Business and regular credit cards in the very near future. We are very disappointed that SW has gone the way of other carriers. They will lose in the end as a result of these changes.
Posted By Dee on May 20, 2011, 6:00 PM
Southwest airlines frequent flyer program wasn't great and they've succeded in making it worse. Someone needs to explain to them what a "real" loyalty program is all about. Sorry SWA but you screwed this one up.
Posted By Maria on February 10, 2012, 4:16 PM