Southwest Devalues Rapid Rewards Points
Southwest is often considered a customer friendly company. But some people might now think otherwise, when they wake up and find out that its rewards program has been devalued overnight without any advance notice. The value of Rapid Rewards points has dropped, and now most flight require 6% more points. This change is already live on the website when you try to book any award flights.
If you have been keeping track of prices, you should see higher prices for points bookings, even though the cash price is still the same. The higher pricing shows for all three fare classes, Wanna Get Away, Anytime and Business Select. This is unexpected for a revenue based program, and even more so when it’s done during a pandemic.
Before this devaluation, you would need 78 Southwest Rapid Rewards points per dollar, and now you need 83 points. That brings the value down to 1.20 cents per points, from 1.28 prior to this devaluation.
The change was first noticed by TPG, earlier today. They also have remarks from Jonathan Clarkson, Southwest’s managing director of marketing. he explains that the “6% hike isn’t directly related to the pandemic — there hasn’t been in adjustment in three years, so it could have happened around this time either way.” He also added this… “customers have been earning points at similar rates throughout the pandemic, even though air travel has declined.”