Every seat is not the same
Mar 22, 2006 | 10:06 am
#16
Join Date: Apr 2000
Location: Palm Beach/ New England
Programs: AA EXP 3MM, DL GM, Marriott Platinum
Posts: 4,459
Amtrak charges more for downstairs seating (quieter, more private) than for upstairs seating on applicable trains in coach.
Choice tables at high-end restaurants are reserved for return customers, owners, or for those who pay more (usually a "gratuity" to the maitre d').
Seats at theaters and at concert halls are organized into pricing levels. These distinctions are frequently further modified (the best seats retained by the house) for the best customers, patrons, shareholders.
Taken to an extreme (and an ideal market pricing theory), every seat would have its own price, and they could all be unique. That price would be the highest revenue that each particular seat could fetch when it was marketed: 105 seats, 105 prices.
IMHO, increased variability in pricing is the future for many types of items with reservations, for example, time at the dentist, at the mechanic, at the museum. Highest pricing bucket for the most desirable times, next bucket for the shoulder times, next bucket for the earlybird or off-hours times, lowest bucket will be the standby people (no reservation) who will be first come, first serve after all reserved customers are admitted.
Choice tables at high-end restaurants are reserved for return customers, owners, or for those who pay more (usually a "gratuity" to the maitre d').
Seats at theaters and at concert halls are organized into pricing levels. These distinctions are frequently further modified (the best seats retained by the house) for the best customers, patrons, shareholders.
Taken to an extreme (and an ideal market pricing theory), every seat would have its own price, and they could all be unique. That price would be the highest revenue that each particular seat could fetch when it was marketed: 105 seats, 105 prices.
IMHO, increased variability in pricing is the future for many types of items with reservations, for example, time at the dentist, at the mechanic, at the museum. Highest pricing bucket for the most desirable times, next bucket for the shoulder times, next bucket for the earlybird or off-hours times, lowest bucket will be the standby people (no reservation) who will be first come, first serve after all reserved customers are admitted.
Mar 22, 2006 | 12:57 pm
#17
Original Poster
Join Date: Apr 2001
Posts: 3,083
Personally, I don't like what NWA airlines is doing, but in a transparent world where everyone is competing on price, this may be the only salvation for airlines: Have everyone see / pay for the services they do / do not want.
This looks very different than today's world and will make people upset during the transition as the 'old deals' are replaced with new ones.
This looks very different than today's world and will make people upset during the transition as the 'old deals' are replaced with new ones.
Mar 22, 2006 | 3:38 pm
#18
Join Date: Dec 2003
Location: LAX...Ex MAD Ex SJC Ex ORD
Programs: US Chairmans, AA Lifetime Gold, SPG Platinum
Posts: 845
Yes, many places in Europe have 3 prices: one for the bar, one at in indoor table, and one (the highest) for the outdoor terrace tables.
The world over, it sometimes takes a tip to the maitre 'd to get a great table.
Some restaurants limit what you can order at some tables...for example, seats in the dining room for dinner only, not drinks OR no real dinner service in the bar etc.
So restaurants do a form of this, but there is no formal extra charge for the raised booth in the back overlooking everyone else (yet.)
The world over, it sometimes takes a tip to the maitre 'd to get a great table.
Some restaurants limit what you can order at some tables...for example, seats in the dining room for dinner only, not drinks OR no real dinner service in the bar etc.
So restaurants do a form of this, but there is no formal extra charge for the raised booth in the back overlooking everyone else (yet.)
Mar 22, 2006 | 4:47 pm
#19
Join Date: Jan 2005
Location: Vancouver, Canada
Programs: United MileagePlus Silver, Nexus, Global Entry
Posts: 8,810
Originally Posted by AAaLot
Personally, I don't like what NWA airlines is doing, but in a transparent world where everyone is competing on price, this may be the only salvation for airlines: Have everyone see / pay for the services they do / do not want.
Cheers,
Geoff Glave
Vancouver, Canada