Originally Posted by
SmilingBoy
But as I have argued before on VFT, this does not make sense. If you expect to have one free seat in F, and are willing to sell one more seat, you do not need to decide between F1 C0 and F0 C1. You can simply offer F1 C1 and then go to F0 C0 if either an F or a C seat is sold. Even if the chance of an F seat selling before a C seat is low, it is larger than zero -> so it should be more profitable to offer F1 C1 than F0 C1.
I think F1 C0 does make sense. There are some last-minute customers who must fly
right now, regardless of the expense. If LH is already in a serious overbooking situation (where they may have to downgrade/compensate passengers) they want to be sure to maximize their revenue from these last minute passengers. If they are already beyond full, they want to make sure that any additional passengers are worth the trouble they cause.