What a top airline CEO says about state of airfare prices
Southwest Airlines CEO Bob Jordan has a new warning for travelers about higher airfares, which he said could be here to stay as the industry grapples with rising fuel costs and broader economic pressures, though demand for travel remains strong.
In an exclusive interview, Jordan told ABC News that while ticket prices have risen, airfare increases have not outpaced inflation since the COVID‑19 pandemic.
"I'm very proud of the fact that Southwest has everyday low pricing," Jordan said, adding that the airline's ability to use its aircraft more efficiently than competitors has helped keep fares lower. "That’s a big key to being able to offer the low fares that we offer you every single day."
Still, Jordan acknowledged that external factors like global conflicts and volatile oil prices could eventually affect consumers.
"We don't control the war, we don't control fuel prices," he said. "If input costs come up and they stay there -- it's like any other industry where supply chain costs rise," he explained. "The fares will have to adapt, and therefore that'll affect the consumer."
Like other major carriers, Southwest recently increased its bag fees to help cover their rising costs amid the war with Iran.
Jordan also shared more on what led to his decision to do away with Southwest's open seating.
"We knew that 80% of our customers wanted assigned seating, and 88% of customers that would not fly us wanted assigned seating," he said, adding that open seating was hard with families "because we could not guarantee you in advance that you could sit together."
"You've gotta follow your customer. And this is all about that and we're not gonna stop," he continued.
With that same customer demand in mind, Southwest has started rolling out red-eye flights and premium cabin seating options. Jordan said the airline's real‑time view of consumer behavior shows Americans are still prioritizing travel despite economic uncertainty.
"It's very clear that consumers prioritize travel. They want to fly. They want travel. They want experiences. It's also really clear that the consumer is incredibly resilient," Jordan said of his read of Americans and how they're thinking about spending.
For travelers planning to fly this summer, Jordan suggest it's time to book those tickets sooner than later.
While many people book flights within 30 to 45 days, Jordan said 90 days or more ahead of your travel dates is the time to lock in the best deal.
