Hawaii may be on the verge of losing one of the most disruptive airlines to enter the air travel market. While that may seem unlikely at first glance, recent moves by Southwest have raised serious questions. After nearly six years in the islands, the carrier remains in retreat—cutting flights, slashing loyalty perks, and signaling that even once-sacred pillars of its brand are now on the chopping block. The idea of them pulling out of Hawaii entirely no longer feels impossible.
The brand collateral as a result of so many rapid-fire airline changes is hard to wrap heads around. One social media commenter called it the “Last nail in the coffin.” That while a Southwest Reddit thread on the topic garnered thousands of scathing comments.
A fall from grace in Hawaii.
When Southwest first arrived in 2019, it delivered in Hawaii what long ago became known as the “Southwest Effect.” Interisland fares dropped overnight by up to 75 percent, with launch prices starting at just $29. On the mainland side, Southwest kicked things off with $49 one-way fares from California to Hawaii—unheard of at the time. They then went to $79, then $99.
Southwest has made a significant mark in Hawaii, especially given the many challenges it has faced. We previously said in a review of SW Hawaii flights, “The product is quirky… totally unique in the industry… delivered with aplomb.” Read: Seamless! Southwest Hawaii Review.
But nonetheless, Southwest’s Hawaii footprint today is dwindled to less than half of what it once was—and it’s still shrinking. As its system-wide troubles deepen and its identity rapidly shifts, a complete exit, and anything else, no longer seems to be off the table.
Interisland dominance is a real risk for Hawaii travel.
Nowhere would a Southwest retreat be felt more than in the interisland market. Before 2019, roundtrip tickets often approached $200 each way. Southwest instantly changed that, offering just $29 fares and pulling the competitor’s customers with it. That severe competition and price undercutting, however, in part, helped return Hawaiian to the verge of another bankruptcy before Alaska stepped in to buy them up.
Low fares have stuck around largely because Southwest remains in the mix. If it pulls out, the interisland Hawaii market will be left entirely to the newly combined Alaska and Hawaiian Airlines, which are integrating operations under a single certificate that is expected by October.
With no other competitor, fares would inevitably return to previous highs or higher, especially during peak travel times. That’s not just a vacation cost issue. Hawaii residents rely on interisland flights for work, school, medical care, and family connections. A sharp fare increase could strain residents economically and limit mobility across the islands. Before Southwest, BOH editors were among those here who avoided interisland travel when humanly possible due to the extreme cost at the hands of Hawaiian. And then that all changed.
Flight frequency could also change, reducing the current dual-airline schedule flexibility and putting more pressure on limited seat availability.
Mainland routes could see major shifts.
Southwest’s reach from the mainland is limited but impactful. Its routes from cities like Las Vegas, San Jose, Sacramento, and Oakland have continued to provide consistent, affordable access to the islands. The competitive pricing Southwest introduced would vanish if they exit. Those gateways in particular suffer from little additional competition.
Other airlines might step in if that happens, but the pricing dynamic would shift dramatically. Travelers from secondary West Coast cities could face higher prices, possibly more connections, and less predictability.
The impact of further changes to Southwest Hawaii flights wouldn’t stop with individual vacation budgets. Hawaii’s visitor economy itself depends heavily on accessible airfare, and fewer flights with rising costs could ripple through hotels, activities, and transportation services. Smaller businesses—especially on neighbor islands—could be hit hardest if fewer budget-conscious travelers can afford to make the trip.
More than just low fares—Southwest’s culture changed Hawaii travel.
Southwest didn’t just bring cheap tickets. It has a different airline culture: free checked bags, no change fees, and a transparent, people-first approach that reset expectations.
Now, that’s changing fast. The airline is next rolling out basic economy after already limiting points earned on low fares, cutting award ticket values, and reinstating travel credit expiration. Even free checked bags will not apply to the basic classes most of us in Hawaii relied on going forward. This matters for Hawaii travelers, especially those flying frequently or with families.
Market consolidation is already here.
With Alaska and Hawaiian Airlines combined under a single operating certificate in the months ahead, Southwest remains the only major competitor on many Hawaii routes. If they leave, it cements a single-airline system with significant control over pricing and schedules.
This kind of change brings clear risks. The Alaska-Hawaiian deal drew scrutiny from regulators and concern from travelers—particularly about the return of higher interisland fares.
Nothing is off-limits anymore.
Southwest once stood for consistency above all. But the airline that brought price transparency and simplicity to Hawaii is now shifting so rapidly that it is head-spinning. From cutting routes to gutting decades-long established perks, Southwest’s rapid-fire changes have thus far left travelers with more questions than answers.
Even if a complete exit from Hawaii still seems far-fetched—especially after six years of investment—the pace and scope of change make it harder to rule out than ever before. They’re pulling back in so many areas, so fast, that it’s no longer clear what the behemoth airline will look like in another year.
What’s left is uncertainty—and a growing sense that nothing is off-limits anymore. Even their most loyal customers are sharing their concerns and contingency plans in the event things get worse.
Why now? A broader industry reckoning.
Part of driving these changes is a wider shakeout in the U.S. airline industry. Labor shortages, and rising wages, among a myriad of issues, continue to challenge operations. Leading carriers like Delta and United are under extreme pressure to cut costs, streamline networks, and rework loyalty programs, all in the name of investor profits. And Alaska is certainly facing the same issues as the big boys.
Southwest is not immune.
Southwest’s Hawaii drawdown to date and what may lie ahead are in part symptomatic of broader strategic shifts rather than exclusively Hawaii-specific issues. However, these moves feel especially consequential for a company that once prided itself on being the exception in a rule-driven, stodgy U.S. airline industry.
Why they might stay in Hawaii.
Still, there are significant reasons Southwest may remain in Hawaii. The airline has invested heavily in the island market, from staffing and ground operations to route-specific marketing campaigns and a dedicated presence at Honolulu and across the state. Hawaii is also a high-profile leisure destination that aligns with the airline’s brand.
As one reader, Dan J, noted, “They have made a long term investment in Hawaii and when Boeing gets their crap together they will execute fully on their plan… we should support Southwest interisland to show our appreciation for the lower prices and improved inter island service!”
Walking away now would mean ceding one of the most visible parts of its network and undermining years of investment. It would also raise questions about the airline’s long-term strategies beyond Hawaii.
So while the pullback is real, a full retreat could be a step too far.
What it means for Hawaii travel now.
Southwest is still flying to and within Hawaii, but it is no longer the steady presence it once was. Routes have been cut, prices are up, and the perks that once defined the airline have fast faded.
For residents, looking at the potential return of a near-monopoly in interisland travel would mean higher costs and fewer choices. For visitors, especially from West Coast cities, vacation planning may soon get pricier and less convenient. For Hawaii’s tourism industry, there are growing concerns about the impact on already concerning visitor numbers, as well as maintaining accessibility, especially for neighbor islands and the businesses that rely on budget-conscious travelers.
As one reader, Kim, put it: “They came in aggressively, but the long-term commitment just wasn’t assured. If they pull out, interisland fares in particular are going to shoot up fast and no one else is going to step in.”
As Southwest continues to evolve, Hawaii travelers and policymakers alike will need to adapt to a changing landscape—and keep a close eye on what comes next.
Let us know how you feel about what’s happening at Southwest with regards to Hawaii.
Lead Photo: Taken by Beat of Hawaii on approach to Kauai.
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Also, SWA is about to start hubbing many flights to the islands out of Los Vegas. From what I know, many Hawaiians consider Los Vegas the fifth island.
I think SWA put its foot in the door of the Hawaiian market to get a feel for the Hawaiian market, at this point they have a much better idea for what will work and what will not. Now, they are going to implement what will work for them. That’s probably not going to be what we were familiar with.
I have reservations in May Maui to Denver in SWA. It may be the last flight to and from Maui I take on SWA.
All the reasons I chose SWA are gone. For all practical considerations SWA has already quit Hawaii.
Previously, SWA had so many advantages compared to the competition, it is no surprise it cornered the Hawaiian market. It has fallen from the top to less than mediocre. How and why would they keep it running?
It may be argued that SWA is reacting to the anti tourist politics of Hawaii. If so it was government, not the market that killed the airlines.
When SWA started in Hawaii, they were trying to be everything to everybody at an unprofitable price. It was a house of cards & you just had to wonder, “How long will this last?” Now, the good times are over for the subsidized fare to Hawaii was offset by other profitable routes within their network. The well has run dry. The time has come for the Hawaiian air routes to be profitable for the share & stock holders demand it! Sorry bargain hunters, but the party is over!
Shareholders don’t benefit if people don’t fly on your planes. Bargain hunters? …………
Southwest will take a tremendous hit if they pull out of Hawaii. Their investors will see the effect on their stock value………….
It’s insane to think that Southwest is better off increasing prices when the other big airlines will just wipe them out over time if their discounts no longer exist. People do two things when flying: pay a lot for first-class and comfort seats or look for discounts. Southwest is not United, Delta, or even Hawaiian-Alaska………….. You can’t survive without perks in the Pacific Islands with the other huge competition. So, they’re in a Catch-22 situation with the gamble they took. If you’re a happy investor, you have a rude awakening coming.
I, for one, will start flying SWA because they are getting rid of the stupid open seating. Free bags for everybody? Not anymore, just people who are mileage members or use their credit card. It won’t be anarchy in the aisles anymore. Even flight attendants are looking forward to the perk purge. For FA’s, fliers are easier to track and manage with assigned seating. Yes, SWA is charting a new course – a better one. Discriminating fliers may once again safely book seats on their Boeing planes. SWA will be maikaʻi again.
I have always been a loyal SWA flyer (a million points so). It’s unfortunate that the people of Hawaii refused to change brand because they were “loyal” to Hawaiin Airlines and wanted to support Hawaii (even though there wasn’t much left of Hawaii in HA). I have flown both airlines and didn’t see a real advantage fir the extra price. I will say, this latest move by SWA has caused me cash in my points. Once that is done, I will no longer be so loyal. I am not so loyal that I will pay more…like many Hawaiians have with HA.
Maybe it’s time to get creative again. Remembering Aloha Airlines and Island Air? Hawaii needs more options—not fewer. Bad news here.
Southwest helped me see my family on different islands so many times. Without them, I’m not sure I could afford to do that anymore. This is bigger than just vacation travel.
If Southwest leaves, we’re back to the bad old days. $300 interisland fares, less flexibility, and fewer flights. That’s a huge hit to both locals and frequent visitors.
I remember jumping on that $49 fare when they first launched Hawaii routes—felt like we were finally being treated fairly. It’s hard to watch them become just another airline now.
When Aloha Airlines went away, there was no competition for HA. Inter- island travel skyrocketed! It was cheaper to fly to the mainland than to take a 30 minute flight to another island! This did not help the local people to visit ohana or for businesses that need to travel within the islands. I hope it doesn’t go back to that!
Ultimately, this is the fault of Boeing. If the 737-800 deliveries had been on time, Southwest would have rapidly expanded their presence and been dominant in the market before other events set in. At this point, Southwest should just pick a few profitable Hawaii routes and drop competition in the others.
Southwest flight to and from the Mainland are Full and profitable.
The only Flights inter Island that seems to be profitable are ITO-HNL.
Elliot management voice their concerns about Only about Inter Island network.
But At the JP Morgan conference Bob Jordan talked about getting a smaller aircraft type that would better services smaller markets.
Inter island Hawaii is definitely one of those type of markets.
The only question Is How quickly can they adjust their fleet type to accommodate those markets or will they just keep waiting on the delayed MAX7 Aircraft from Boeing. Basically give it one last attempt before throwing In the Island hoping towel.
When they came in, Southwest changed Hawaii travel for the better, but they’ve slowly chipped away at everything special about the brand. Not sure what’s left to keep loyalty alive. The airlines are all terrible and Southwest just joined the crowd.
I can’t imagine Southwest completely leaving Hawaii—it would be such a public admission of defeat. But nothing surprises me in air travel these days! It is all so weird.
We saved thousands flying interisland with Southwest the past few years. It was great while it lasted, but I guess the aloha pricing party couldn’t go on forever. Very sad situation all around.
Southwest used to feel like a friend flying us to Hawaii. Now it feels like just another airline chasing profits. Sad to see the spirit fade away.
I see many comments that people will switch away from Southwest due to bag fees, more restrictions, etc. – which the other airlines already have. If enough do, Southwest may pull out completely and then watch prices Soar on the other airlines – especially those that service the West Coast airports that SWA covers. Remember before SWA entered the market?? Hope those that switched and end up paying higher prices accept that trade off.
We have Always flown Southwest…but we are now looking at other options.
First, since the cuts in routes, we can’t get flights aligned with our travel times. We live a 7 hour drive from Oakland and the airline that flies to Oakland doesn’t sync with flights leaving from there to other cities.
Second, since Southwest decided to now charge for bags….well, that explains it all…..
Third, being able to select our seats was Way Down on our list of priorities. We didn’t mind just getting on the plane and finding seats ourselves.
Now I hear they are going to charge for carry-ons as well??? Not sure if that is true, But I understand why and I also am pretty angry at all the travelers who can’t seem to follow the “rules”, which is what caused them to re-evaluate their rules in the first place……
Thank you for listening….hope others have the same opinions and Southwest will sit up and take notice.