A Southwest Airlines Boeing 737 MAX8 takes off from San Diego International Airport heading to Chicago on March 4, 2025, in San Diego, California.
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ARLINGTON, Texas — Southwest Airlines is exploring options such as airport lounges, upgraded seating, and even international long-haul flights to attract high-paying customers, CEO Bob Jordan stated on Wednesday.
“Whatever our customers may want in 2025 and 2030, we’re not ruling out any options. We’ll approach it the Southwest way, but we won’t claim that we would never consider it,” Jordan shared during an interview with CNBC at an airport industry event. “We recognize that we send customers to other airlines because there are features they seek that we don’t provide—like lounges, true premium offerings, and long-haul international flights.”
Currently, Southwest is undergoing significant changes. This includes revising policies such as open seating, a uniform cabin setup, and allowing all passengers to check two bags for free—elements that previously distinguished it from competitors over its 54 years of operation.
However, the airline is facing challenges from competitors, and an activist investor recently pushed for increased revenue. Additionally, airfare in the U.S. has decreased.
This year, Southwest and other airlines withdrew their revenue forecasts for 2025, due to economic uncertainties. Jordan noted on Wednesday that the airline continues to experience lower fares.
“Typically, summer prices are not discounted, yet this summer we see significant sales,” he commented.
Even though changes like the introduction of basic economy tickets and baggage fees, which are already common with competitors, have not led to customer losses, Jordan emphasizes the need for improvements at the premium level as well.
Rival carriers such as Delta Air Lines, United Airlines, and American Airlines have introduced more luxurious travel options and spacious, costly seats, along with substantial investments in airport lounges. For instance, American recently announced plans to significantly expand its lounge space at Miami International Airport.
Jordan noted that it’s “far too early to disclose any specifics” regarding potential modifications, but he highlighted Nashville International Airport—where the airline holds over a 50% market share, according to data—as an area with customer demand for luxury options.
“Nashville appreciates us, and we know many Nashville travelers want lounges, first-class service, and options to travel to Europe,” he mentioned.
However, without these offerings, those customers might turn to other airlines, which could lead them to consider adding that airline’s co-branded credit card, he pointed out.
“My goal is to divert fewer customers to other airlines,” he stated.
Jordan also mentioned it’s premature to determine if Southwest would shift to acquiring longer-range aircraft necessary for European operations, given that the airline has relied on the Boeing 737 for over 50 years. However, Southwest has started to build international partnerships, including with Icelandair and China Airlines, and landing a Southwest aircraft in Europe could eventually become a reality, he stated.
“There’s no commitment yet, but it’s certainly conceivable that one day Southwest Airlines could serve long-haul routes like Europe,” he remarked. “Of course, we would need different aircraft for that mission, and we are open to exploring what that would entail.”
In the short term, Southwest is still waiting for deliveries of the Boeing 737 Max 7, the smallest model in the Max series, which has yet to gain approval from the Federal Aviation Administration. Jordan indicated that while the manufacturer has seen recent progress with deliveries, Southwest does not anticipate operating the Max 7 until 2026.