FlyerTalk Forums - View Single Post - Design the new process to solve IVDB (a constructive, positive thread)
Old Apr 13, 2017, 6:27 pm
  #94  
Kevin AA
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Join Date: Jul 2011
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Originally Posted by tarlinian
I think it's important to note that in the current business environment, the "natural market outcome" for IDBs is likely significantly higher overbooking rates and little to no meaningful IDB compensation. (i.e., with no regulation on IDB compensation requirements the CoC would likely say we can bump you for any reason we want at any time and you will be refunded and/or moved to a flight of our convenience). The domestic airlines have more than enough market power to pull this off. (Whether this immense market power is an inherent problem depends on how you think markets with natural monopolies should be regulated.)

The existing IDB regulations are better than nothing, but not good enough. IMO, the right solution is to massively increase the minimum required IDB compensation ($10k+) so that you would always be able to VDB folks for less than the cost of an IDB.

I think the other interesting problem brought on by this situation is how to handle the possibility of denied boarding once you get on the plane. As many of you have noted, at that point negotiations for VDB become much more complicated. If a starting offer doesn't immediately result in sufficient volunteers. I think at that point, direct negotiations should occur with only the people who volunteered for a possible bump during check-in or on the app. Since the list of these passengers is pre-populated, it should be possible to have new itineraries available for inspection.
bolding mine

I was on a UA flight where they needed 5 volunteers because weather at ORD had deteriorated since boarding began. It was no more complicated than doing this at the gate. They offered 5 roundtrip tickets on UA anywhere in the lower 48 and at least 5 people volunteered. I was one of those five. We were re-accommodated but obviously not on the same flights as we were not all going to the same place.

So, if they don't get enough volunteers, and let's say for the sake of example that 3 more are needed, I say, get on the PA and announce "we need 3 more volunteers and we need to know how much compensation is required to convince you to get off; please ring your call button if your travel plans are flexible at all". A few people will ring their call buttons (anything from $500 UA money + miles or a free ticket, to a million dollars), so the GA just goes from one person to the next, write down seat number and dollar amount/general offer, then go back to the gate and figure out who should be selected for VDB (obviously the $500 people not the one million dollar people), then go back on the plane and resolve the situation and get your needed volunteers. It's not that hard.

An app is utterly useless in a fluid situation where you are on the plane and suddenly it is overweight because of additional fuel requirements due to weather. @:-)
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