United Airlines is developing a new technology platform that will help in overbooking flights, making it a lucrative opportunity, according to information from the Skift website.
Called the Flex-Schedule Program, the model seeks to find a solution to the issue of passenger withdrawal from the aircraft, without having to pay them, and thus ending with the practice of selling more tickets than seats. This novelty may also prevent other cases like the one happening in April from happening again.
HOW IT WILL WORK
The airline will send newsletters in which customers will have the option to sign up for rewards, provided they are willing to change their itineraries a bit. Offers will also be available up to five days in advance, allowing United to resell its tickets with a higher profit margin.
Only those who make the reservation on the airline’s own website and choose to receive the email marketing will have access to the offers. The passenger will never be asked to change dates or airports and seat preferences will remain. It will also always be indicated if it is selecting downgrade from Economy Plus to the regular economy, for example.
While there will be times when the program will help move people off an overcrowded plane, the main goal will be to free up a valuable seat and offer it to someone who needs it most, according to United’s Vice President of Price and Revenue Management, Dave Bartels.
The tool will be advantageous for the company and for the consumers that travel to work. Airlines will be able to create revenue without relying on ancillary fees and corporate travelers, who usually book flights at the last minute, will have an inventory of routes already sought.