(Reuters) - Spirit Airlines ( SAVE ) unveiled plans on Tuesday to tap into a growing demand for premium travel as the budget carrier chases high-margin revenue to mitigate cost pressures and increase its earnings, sending its shares up 7%.

The airline joins budget carrier Southwest, which announced its move to premium seating last week, in looking towards the booming demand for premium travel for a path towards a return to profitability.

While all U.S. carriers are facing pressure to discount fares due to an excess supply of seats in the domestic market, airlines such as Delta and United are leaning on high-margin premium cabins to protect their profit.

Spirit will begin offering new travel options ranging from premium to basic economy for bookings on Aug. 16 and launch the new options by Aug. 27 this year.

The airline's most premium offering, labeled "Go Big", includes a big front seat with snacks, drinks and priority check-in among other amenities.

Spirit Airlines ( SAVE ) said there will be four new travel options, including plans for priority check-in, seats with extra leg-room and online streaming access through in-flight WiFi services.

These products also mark a shift away from the traditional business model of ultra-low-cost carriers (ULCC) which offer a no-frills experience at rock-bottom fares and charge heavily for ancillary services.