Goodbye, A-List and A- List Preferred.

Southwest Airlines ( Southwest Airlines ) will begin to cancel its two frequent flyer programs next year and instead introduce Silver, Gold, and Platinum card levels, which is closer to the common practices of other airlines. As this airline, once known for its unique style, seeks to increase revenue and reward its most frequent customers, it is making this adjustment.

Southwest Airlines executives have been reshaping the airline, including abolishing long-standing customer benefits such as two free pieces of checked baggage and open seating arrangements. Now, the company has also begun to charge for some of these options, just like its competitors have done for many years.

In addition to changing from two classes to three, the airline will also alter the names of each class. Under the old system, passengers could be categorized as A-List or A- List Preferred, with the latter being the higher class.

"If you think about it, A-List and A- List Preferred, we no longer even have flight crews for A, B, or C now," said Tony Roach, the Chief Customer and Brand Officer of Southwest Airlines, in an interview. "So it's time to update and integrate these new seating arrangements as well as the additional experience changes we've introduced."

The changes to the Frequent Flyer Program are as follows:

• The levels of A-List and A- List Preferred Rapid Rewards will be canceled on January 1st.
• A-List Customers will be upgraded to the Rapid Rewards Silver Card level. A- List Preferred members will receive the Gold Card level.
• Airlines will introduce a new Platinum card tier, aimed at their "most active" customers.

Customers can consume using the co-branded credit card with Chase through Southwest Airlines, earning 1 tier qualification point for every $1 spent, or TQP. The new tier requirements are as follows:

• Silver cards require 35,000 TQP points or 25 eligible flights. Previously, A-List required 35,000 points or 20 flights. The flight point rewards for silver card members will be increased from 25% to 40%.
• A gold card requires 65,000 TQP, which is lower than the previous requirement of 70,000 points for A- List Preferred membership, or 50 flights taken. For this level of membership, the flight mileage bonus will be reduced from 100% (i.e., double miles) to 60%.
• The new top-tier Platinum card requires 140,000 TQP or 100 flights that meet the criteria. Platinum card members can earn a 120% bonus in points on flights that meet these requirements.

Silver card members will board via Gate 1, while Gold card members will board before Gate 1. Platinum card members will have a higher boarding priority than both Gold card members and those boarding via Gate 1. The Platinum card level also includes unlimited Companion Pass trips.

Southwest Airlines' Companion Pass will also be adjusted. This benefit allows designated individuals to travel for free when accompanying passengers who hold this benefit, but taxes and fees must be paid.

Members who currently hold Companion Pass can continue to retain this benefit during its validity period. However, starting from the cumulative year of 2027, Companion Pass will be available through TQP or by achieving milestone rewards on eligible flights, or by obtaining it through a Platinum card status.

Currently, Rapid Rewards members need at least 135,000 qualifying points, or they must take 100 one-way flights, in order to be eligible for this benefit.

Southwest Airlines is also expanding its cooperation with international airlines and building its first batch of airport lounges. On Thursday, the company previewed the concept of the new lounges, naming them "Token Issuance N." This project is being jointly pursued with its credit card partner Chase. Southwest Airlines is establishing "Token Issuance N" lounges in four cities in the United States, with more projects currently in progress.

Southwest Airlines is also adding benefits to customers at different levels, similar to the practice of American Airlines ( American Airlines ).

For example, after accumulating 20,000 points or taking 15 eligible flights, customers can choose between receiving an additional 2,000 Rapid Rewards points or two vouchers for selecting “preferred” seats. The so-called “preferred” seats refer to those with more standard legroom, which are located closer to the front of the cabin, or the more popular aisle seats and window seats.

After accumulating 95,000 points or taking 75 eligible flights, customers can also earn three additional Companion Pass trips, which is a lower requirement than that for Platinum cards.

"This is definitely different from our past practices," said Nandika Suri, who is in charge of Southwest Airlines' Rapid Rewards Loyalty Program. She stated that this new strategy "is a way for us to truly identify and reward customers more quickly and frequently throughout their journeys of continuous interaction with us."

Overall, airlines have been continuously raising the requirements to earn membership levels, demanding more consumption, and making similar adjustments to the conditions for accessing airport lounges.

United Airlines ( United Airlines ) stated on Tuesday that next year, customers will no longer be allowed to accumulate membership points based on flight segments within their Mileage Plus program. Instead, only Premier qualifying points will be accepted, with these points coming from ticket purchases and credit card transactions made through partner cards.

United Airlines has also raised the threshold for its highest frequent flyer tier, Premier 1K, which is above the invitation-only tier Global Services; the new requirement is 32,000 qualifying points, which is higher than this year's 28,000 points.

— CNBC's Caleigh Keating has also contributed to this article.