Originally Posted by
audio-nut
Overbooking does not hurt CX, it contributes to their profitability. It is beneficial to the occasional traveler seekin low priced fares as it makes more discounted seats available. It is unfortunate when they have to involuntarily bump pax but overall the system works for everyone. A larger fleet will not make a bit of difference as CX will continue the practice.
I agree that the concept of overbooking may be profitable, but it has to be handled appropriately. I was bumped from J to Y on a recent flight from HKG to US. I was given cash, and they refunded the difference between a oneway J and Y ticket. I am not sure what type of fares they used (walk up vs. advanced) to calcluate it, because they gave me 75% of my ticket back to me in cash which they said was the difference between a oneway J and Y ticket. To me this seems to me that they will be losing on every bump or breaking even depending on how much they charged the passenger who took my seat.