JetBlue becomes the latest airline to go premium

JetBlue is looking to be like Lamborghinis and drinkers of Hailey Bieber’s Erewhon smoothie – fueled by premium. After more than two decades of flying, the airline is opening its first airport lounges in a bid to attract more high-paying passengers.

The lounges will open at New York’s JFK Airport in late 2025 and Boston Logan International Airport soon after, and will be accessible to select premium travelers only.

Timing is everything

JetBlue has historically shied away from lounges because of their high cost to operate and maintain, deciding instead to focus on other aspects of its operation (like in-flight entertainment, food-and-beverage service, etc.) to create a competitive edge.

But this strategy hasn’t been too successful in recent years. The lounge openings are part of a broader operational revamp overseen by CEO Joanna Geraghty to return the struggling carrier to consistent profitability, Bloomberg reports. JetBlue is also planning to launch a new “premium” credit card with Barclays, in a bid to tap into what’s been a lucrative revenue stream for other airlines (~40% of overall airline revenue is generated by credit card and loyalty programs).

📸 Big picture: Airlines are working harder than Jared during Pied Piper’s pivot to attract premium travelers (and the $ that comes with them). Southwest is eliminating its longstanding open-seating policy to offer pricier seats with extra legroom, while Spirit and Frontier have also launched bundles that include seats with more space and earlier boarding.