Southwest Performance vs. Premier: Which business credit card from Southwest is best for you?

How do you choose between Southwest's excellent business credit cards — the Southwest® Rapid Rewards® Performance Business Credit Card or the Southwest® Rapid Rewards® Premier Business Credit Card?

Today, we will compare these two cards to help you determine: Which Southwest business credit card fits your needs?

Comparison of Southwest Performance Business and Southwest Premier Business cards

Welcome bonus comparison: Southwest Performance Business vs. Southwest Premier Business

With the Southwest Performance Business, you can earn 80,000 points after spending $5,000 within the first three months of account opening. In contrast, the Southwest Premier Business offers 60,000 points after a $3,000 expenditure in the same timeframe. As of September 2024, these bonuses are valued at $1,120 and $840, respectively, according to TPG valuations.

Champion: Southwest Business Performance.

Benefits comparison: Southwest Performance Business vs. Southwest Premier Business

When assessing an entry-level card against its premium counterpart, the crucial question is, "Do the added benefits justify the extra annual fee?" In this scenario, the Southwest Performance Business has a $100 higher annual fee compared to the Southwest Premier Business, making that the benchmark for its additional benefits to be worthwhile.

The Performance card shines by providing 9,000 bonus points on your account anniversary, compared to 6,000 points with the Premier Business. As of September 2024, TPG values Southwest points at 1.4 cents each, and since the pricing is revenue-based, you should easily achieve this redemption value. The Premier Business anniversary bonus amounts to $84, while the Performance bonus is valued at $126.

Another significant perk of the Performance card is the Wi-Fi credit. Essentially, you can purchase an $8 day pass for each day of the year you fly Southwest. For business travelers who prioritize their time, this can be an invaluable benefit. If you fly Southwest just eight times a year, your Wi-Fi credits would total $64, effectively offsetting the higher annual fee of the Performance card.

For those flying even more frequently, the decision becomes clearer. The Performance card also provides four space-available A1-A15 priority boarding passes. Southwest charges between $30 and $80 per round-trip flight for these passes, translating to at least $120 in annual savings on the lower end.

Champion: Southwest Performance Business. Higher annual fees typically yield greater benefits, and the Performance card delivers on that promise.

Points accumulation: Southwest Performance Business versus Southwest Premier Business

The Southwest Performance card features noticeably superior bonus categories, but these are only beneficial if you can effectively utilize them.

The Performance card grants 4 Rapid Rewards points per dollar spent on Southwest purchases, compared to the Premier Business's 3 points per dollar. Additionally, it offers 3 points per dollar on purchases with Rapid Rewards hotel and car rental partners, while the Premier Business provides 2 points per dollar. Both cards allow for 2 points per dollar on local transit, but the Performance card also rewards 2 points per dollar on social media and search engine ads, as well as on internet, cable, and phone services.

However, there is a strong argument for choosing the Premier Business instead. If you fly Southwest infrequently and don't spend heavily on social media and search engine advertising, internet, cable, or phone services, you may not fully benefit from the Performance card's earning rates.

Champion: Southwest Performance Business. Its superior earning rates and additional bonus category make it the clear winner over the Premier Business.

Points redemption: Southwest Performance Business versus Southwest Premier Business

The main method for redeeming Rapid Rewards points is by using them for flights operated by Southwest. The redemption process is straightforward, where the points required for a flight correlate directly with its cash price. While exceptional deals may not be available, this ensures consistent value for your rewards.

Redeeming Southwest points is an easy online process when booking flights on the Southwest website. Instead of opting for cash payment, you can select the "Points" option, and the site will show the corresponding award pricing for your chosen itinerary. It's important to remember that, as with any airline's award tickets, additional taxes and fees apply, starting at $5.60 each way. However, tickets purchased with points are fully refundable, and there are no cancellation penalties as long as you cancel at least 10 minutes before the scheduled departure time.

Redeeming points earned on your Southwest business cards can open up exciting opportunities for both your family and your business. With Southwest Rapid Rewards points, TPG managing editor Erica Silverstein was able to take her family on their first major theme park adventure.

Although Southwest provides international flights, hotels, and car rentals through its travel portal, the rates for these options typically don't compare favorably to using points for Southwest-operated flights.

Champion: Tie. As both cards offer the same redemption choices, there isn't a definitive winner in this category.

Should I choose the Southwest Performance Business or the Southwest Premier Business?

With the Southwest Performance's 9,000 anniversary bonus points, Wi-Fi credits, and enhanced priority boarding passes, the card justifies the higher annual fee for frequent Southwest flyers. On the other hand, the Premier Business is more suitable for those who fly less often due to its lower annual fee.

How to transition from the Southwest Performance Business to the Southwest Premier Business

While switching between these two cards is possible, it's generally wiser to open both to take advantage of the bonus points from their welcome offers. If you do decide to switch, you'll need to contact Chase's customer service to request a product change, as this cannot be done online or via the app.

Before making the switch, check if you can obtain an upgrade offer to move your Premier Business to a Performance Business.

Final thoughts

Regardless of which Southwest card you choose to apply for, you can expect to earn significant value. Both cards offer excellent Southwest benefits and earning opportunities. The best choice for you will ultimately depend on your specific business needs and priorities.

For more information, check out our comprehensive reviews of the Southwest Performance and Premier Business cards.