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Southwest Airlines introduces variable award prici...

Two weeks in the past, Southwest Airways revealed it could carry new “variable” award pricing to its Rapid Rewards loyalty program.

Now, it is right here.

Final week, the airline quietly started rolling out its much more fluid redemption charge for purchasers seeking to guide flights utilizing factors, a spokesperson confirmed to TPG Wednesday.

Going ahead, how a lot worth you will get out of a Southwest level will fluctuate — maybe considerably, in some instances — from one flight to a different.

It is a shift Southwest executives revealed March 11 as a part of a a lot bigger overhaul to the provider’s business technique, which additionally included the end to its long-standing “bags fly free” policy.

‘The Day Southwest Died’: Reactions pour in about the carrier’s big changes

How Southwest Fast Rewards redemptions are altering

To be clear, redemptions on Southwest have been already dynamic, in a way: They fluctuated primarily based on the money value of a flight however at a comparatively mounted (and predictable) charge.

SEAN CUDAHY/THE POINTS GUY

Whereas the setup did not lend itself to the candy spots traditionally discovered on airways that used an award chart for mileage redemptions, it supplied relative consistency.

TPG’s March 2025 factors and miles valuations peg the worth of a Southwest Fast Rewards level at roughly 1.35 cents — consistent with a JetBlue TrueBlue level and a United MileagePlus mile however barely greater than the worth of a Delta SkyMiles mile.

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What we’re seeing

TPG is at present reviewing the adjustments to Southwest’s redemption charges to see how they will have an effect on the following journey you are hoping to guide with factors and can report again on what we see.

Listed below are just some examples, although.

On this flight in the course of the week of July 4 from Phoenix Sky Harbor Worldwide Airport (PHX) to Honolulu’s Daniel Ok. Inouye Worldwide Airport (HNL), the one-way, $597 flight could be redeemed for 54,000 factors. That is a charge of 1.1 cents per level — properly beneath TPG’s earlier charge of 1.35 cents.

However, for this Tuesday flight in September from PHX to San Francisco Bay Oakland Worldwide Airport (OAK) in California, you may get simply over 1.7 cents per level by redeeming 7,500 factors as an alternative of paying the comparably low-cost $129 for the flight.

For flights on one Friday in June from Baltimore/Washington Worldwide Thurgood Marshall Airport (BWI) to Las Vegas’ Harry Reid Worldwide Airport (LAS), redemption charges are at present hovering round 1.2 cents per level. That very same day, redemption charges for flights from Cancun Worldwide Airport (CUN) in Mexico to Houston’s William P. Interest Airport (HOU) are on par with historic marks (between 1.3 and 1.4 cents).

In the meantime, you will get round 1.17 cents per level in worth for a Memorial Day weekend departure from Chicago’s Halfway Worldwide Airport (MDW) to Louis Armstrong New Orleans Worldwide Airport (MSY).

Hit notably arduous: flights to and from Hawaii, Bay Space-based household journey blogger Leslie Harvey, of Trips With Tykes, informed TPG after checking award costs for about 100 flights on Wednesday.

“I am seeing principally throughout the board that Hawaii flights are a worse worth than different kind of extra normal, mundane flights,” Harvey, an avid Southwest flyer, stated whereas discussing a few of the adjustments she noticed with TPG. “I believe it is principally detrimental. I’ve seen a few flights which have been I suppose, higher than I am used to seeing. However they appear to be true outliers.”

We’ll maintain crunching the numbers and report again on traits we discover.

Backside line

Southwest’s shift on Fast Rewards redemptions got here simply weeks after the airline slashed the number of points passengers could earn on its lowest fare lessons.

SEAN CUDAHY/THE POINTS GUY

Wanna Get Away Plus flyers now earn simply 6 factors per greenback, down from 10 factors per greenback beforehand.

Wanna Get Away passengers earn solely 2 factors per greenback, down from 6 factors per greenback beforehand. Efficient Could 28, Wanna Get Away can be changed by a brand new “primary” fare class.

Nonetheless, Enterprise Choose passengers will proceed to earn two free checked baggage — even after the “baggage fly free” profit ends — and can earn extra factors per greenback (14) than they did beforehand.

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