How do you decide which of Southwest’s fantastic business credit cards to apply for — the Southwest Rapid Rewards Performance Business Credit Card or the Southwest Rapid Rewards Premier Business Credit Card?
One of the most popular strategies for earning Southwest’s famed Companion Pass involves applying for one personal and one business card quickly to earn the necessary 135,000 points and free flights for your companion for a year (or more).
We will look at how these two cards stack up and help you answer an important question: Which Southwest business credit card is right for you?
Southwest Performance Business vs. Southwest Premier Business comparison
| Southwest Rapid Rewards Performance Business Credit Card | Southwest Rapid Rewards Premier Business Credit Card | |
|---|---|---|
| Annual fee | $199 | $99 |
| Sign-up bonus | 80,000 points after spending $5,000 in the first three months | 60,000 points after spending $3,000 in the first three months |
| Earning rates | 4 points per dollar on Southwest purchases
3 points per dollar on Rapid Rewards hotel and car rental partner purchases 2 points per dollar on local transit, social media and search engine advertising, internet, cable and phone services 1 point per dollar everywhere else |
3 points per dollar on Southwest purchases
2 points per dollar on Rapid Rewards hotel and car rental partner purchases and local transit 1 point per dollar everywhere else |
| Anniversary bonus points | 9,000 | 6,000 |
| Elite qualifying benefits | Earn 1,500 Tier Qualifying Points for every $10,000 in purchases | Earn 1,500 Tier Qualifying Points for every $10,000 in purchases |
| Perks & statement credits | Four A1-A15 boarding passes per year when available
Up to 365 $8 Inflight Wi-Fi credits per year (covers all-day passes) Up to $100 every four years to cover enrollment fees for Global Entry, TSA PreCheck or Nexus |
Two EarlyBird Check-Ins each year
25% back on inflight purchases |
Southwest Performance Business vs. Southwest Premier Business welcome bonus
With the Southwest Performance Business, you’ll earn 80,000 points after spending $5,000 in the first three months. Meanwhile, you’ll earn 60,000 points with the Southwest Premier Business after spending $3,000 in the first three months. Those bonuses are worth $1,120 and $840, respectively, per TPG valuations.
If you can hit the extra $2,000 spending threshold, the additional 20,000 points are well worth it with the Southwest Performance Business.
Winner: Southwest Performance Business
Southwest Performance Business vs. Southwest Premier Business benefits
When comparing an entry-level card to its premium competition, the key question to ask yourself is, “Do the increased benefits outweigh the additional cost of the annual fee?” In this case, the Southwest Performance Business costs $100 more each year than the Southwest Premier Business, so that’s the threshold for added benefits it needs to be worth it.
The Performance starts strong by offering 9,000 bonus points on your account anniversary versus 6,000 with the Premier. TPG values Southwest points at 1.4 cents each, and since Southwest uses a revenue-based award pricing scheme, you should be able to score this exact redemption value without any real work. Those extra 3,000 points are worth $42, narrowing the gap between these cards to just $58.
The next standout benefit of the Performance card is the Wi-Fi credit. Essentially, you can buy an $8 daypass every day of the year, or at least as many days as you actually fly Southwest. For business travelers who value their time, this is a great perk that can be incredibly valuable. If you fly Southwest just eight times per year, your Wi-Fi credits would come out to $64 and completely negate the remaining higher annual fee of the Performance card.
Daily Newsletter
Reward your inbox with the TPG Daily newsletter
Join over 700,000 readers for breaking news, in-depth guides and exclusive deals from TPG’s experts
If you fly more than that, the choice becomes even clearer. The Performance card also comes with four space-available A1-A15 priority boarding passes. Southwest charges between $30-$80 per round-trip flight for these, so even on the low end, this represents $120 a year in additional savings.
Winner: Southwest Performance Business
Earning points with the Southwest Performance Business vs. Southwest Premier Business
The Performance card also has noticeably better bonus categories, but those only make sense if you can take advantage of them.
The Performance offers 4 points per dollar on Southwest purchases to the Premier’s 3 points per dollar, plus 3 points per dollar on Rapid Rewards hotel and car rental partner purchases to the Premier’s 2 points per dollar. You’ll also enjoy 2 points per dollar on local transit with both cards, though the Performance also offers 2 points per dollar on social media and search engine advertising, internet, cable and phone services.
Of course, there’s still a compelling case to opt for the Southwest Premier instead. If you fly Southwest only occasionally — and don’t spend tons on social media and search engine advertising, internet, cable and phone services — you might not be able to get the full value out of the Performance’s earnings rates.
Winner: Southwest Performance Business
Redeeming points with the Southwest Performance Business vs. Southwest Premier Business
The primary way to redeem Rapid Rewards points is by using them for Southwest-operated flights. Southwest has a straightforward redemption process where the cost of a flight in points aligns with its cash price. This means that no exceptional deals are available, but it ensures that you consistently receive value for your rewards.
Redeeming Southwest points is a simple online process when booking flights on the Southwest website. Instead of paying with cash, you choose the “Points” option, and the website will display the corresponding award pricing for your selected itinerary. It is important to note that, like with any airline’s award tickets, additional taxes and fees are still applicable, starting at $5.60 per way. However, tickets booked with points are fully refundable, and there are no penalties for cancellations as long as you cancel at least 10 minutes before the scheduled departure time.
While Southwest also offers international flights, hotels, and car rentals through its travel portal, the rates for these options are generally not as favorable compared to using your points for Southwest-operated flights.
Winner: Tie
Should I get the Southwest Performance Business or Southwest Premier Business?
With the Southwest Performance‘s 9,000 anniversary bonus points, Wi-Fi credits and superior priority boarding passes, the card is worth the extra annual fee if you fly Southwest regularly. However, the Premier is better if you are a less regular flyer. And if the famed Companion Pass is your priority — i.e., you fly Southwest very frequently and want to make the most of it — it could make sense to apply for both cards.
Bottom Line
No matter which Southwest card you decide to apply for, you should be able to earn considerable value. Small businesses have ample options when looking for a credit card.
The higher annual fee of the Southwest Performance can easily be made up for between the 9,000 anniversary bonus points, the daily $8 Wi-Fi credit and the business-friendly bonus categories. If you’re trying to earn the Southwest Companion Pass this year, however, applying for both the Performance and Premier might be the fastest way to do it.
Learn more in our full reviews of the Southwest Performance and Premier.
Official application link: Southwest Rapid Rewards Performance Business Credit Card
Official application link: Southwest Rapid Rewards Premier Business Credit Card
