Southwest Airlines is "actively pursuing" the possibility of opening a network of airport lounges, CEO Bob Jordan told CNBC on Wednesday, as the airline industry continues to fight over premium travelers."I think lounges would be a huge, next benefit for our customers," Jordan said in an interview. "And you [would] have a lounge network that allows you to offer that premium credit card that provides lounge access."Southwest is discussing airport leases and lounge possibilities, along with its credit card pa ...

Core Insights - Southwest Airlines is exploring enhancements such as airport lounges, premium seating, and long-haul international flights to attract high-spending customers [1][2] - The airline is undergoing a transformation, revising its long-standing policies to remain competitive in the market [2][4] - Economic uncertainty has led to a drop in airfare, impacting revenue forecasts for 2025 [3] Company Strategy - CEO Bob Jordan emphasized that the airline will consider all options to meet customer needs in the future, indicating a shift from its traditional business model [2][3] - The introduction of no-frills basic economy tickets and bag fees has not resulted in significant customer loss, but high-end changes are still deemed necessary [4][5] - Competitors like Delta, United, and American Airlines are investing in luxury offerings, prompting Southwest to reassess its service model [5] Market Dynamics - Southwest Airlines has a stronghold in Nashville International Airport, where there is demand for luxury services among customers [6] - The airline's market share in Nashville exceeds 50%, indicating a solid customer base that desires enhanced offerings [6] - The competitive landscape is shifting, with customers potentially opting for rival airlines that provide the luxury services they seek [7]