upvote
If you were going to take a flight anyway and it finds you a 50 dollar option instead of a 200 dollar option, that's very expensive for United.

if you're paying for flights you don't want to take, then I'm sure they're happy for the extra spending money of course. Why would you want to do that?

reply
Why is United selling a ticket for $50 that they would prefer went unsold?
reply
They might need to have seats on that flight offered to meet a contract with the airport, or they might be using personalized pricing to only offer the 50 dollar price to certain customers (if you keep searching often the price goes up for instance) or any number of other stuff. Airline pricing is like car pricing.
reply
No it is not. Cars have static MSRPs and then you haggle over the price person-to-person at a dealer. Airlines prices are based on markets (literal demand and supply between city pairs,) expected load factor, and what can best be described as a min-maxing algorithm to minimize spoilage (% of unsold seats when the flight takes off.) It's all predictive analytics, constraints modeling, and optimization at scale while finding opportunities here and there to maximize within local factors.

Contractual discounts--which corporations do have--are usually balanced by a guaranteed spend figure. For small and midsized companies, the spend is often paid in advance, to the benefit of the airline, which can carry the float and lock up a portion of market certainty.

My two cents: I have a deep amount of respect for United's tech stack. It is the best amongst US airlines and among the best in the world. However, this is the wrong move for them, and unless other airlines follow (doubtful, since United taking the lead here gives others competitive advantage,) United will have to backtrack in a year or two.

reply
I don't see why they would _ever_ prefer an unsold seat unless:

* they are trying to artificially inflate the price

* they could send cargo that is, per pound, more lucrative than the cost of a ticket

It's not like the weight of a person is going to cost an extra $50 in jet fuel

reply
There's a surprisingly high price floor on airline tickets. Like $30 (one way) in fees to the government and the departure airport. Plus the incremental fuel [0] and any complimentary consumables, etc.

Not much of a factor on more expensive fares, but for short flights where a $50-100 fare is realistic.

[0]: even with today's oil prices, the extra fuel is only $20-30 for a transcontinental US flight. negligible for short flights.

reply
> If you were going to take a flight anyway and it finds you a 50 dollar option instead of a 200 dollar option, that's very expensive for United.

And? They offered a $50 ticket. Did they expect people not to buy it?

If I search manually and find the $50 flight I planned spending $200 on, I’m not going to decide it’s too cheap. MCP acts the same. For at least a decade there have been services that will alert you when a specific flight drops in price, letting a human basically do what the agents are doing.

If United doesn’t want to sell a ticket for $50, then they should, y’know, not sell tickets for $50.

If airlines didn’t want to play pricing games, they could stop playing pricing games. List a standard fare for a route if you want to sell fares at a standard rate. If you want to try and squeeze me for an extra $20 because I’m buying during work hours, or $100 because I visited your site 5 days ago and now you think I’m desperate then you don’t get to complain when I use underhanded tactics to get the best deal. They make the rules, they shouldn’t be surprised when their convoluted system gets exploited by people that know the rules.

reply
> If airlines didn’t want to play pricing games, they could stop playing pricing games. List a standard fare for a route if you want to sell fares at a standard rate. If you want to try and squeeze me for an extra $20 because I’m buying during work hours, or $100 because I visited your site 5 days ago and now you think I’m desperate then you don’t get to complain when I use underhanded tactics to get the best deal. They make the rules, they shouldn’t be surprised when their convoluted system gets exploited by people that know the rules.

Nicely put.

reply
Morally sure, but they absolutely are going to complain even if they're in the wrong about it. And they'll try and ban things and stop you from getting the deal obviously. Why wouldn't they? Have you ever known airlines to deal fairly?

They make the rules, and so they'll try to do that again.

reply
They did offer it. Now they only offer it to humans. They have no interest in games, only in making money.
reply
And I have no interest in their pricing games, only saving money.
reply
Claude cannot occupy a seat. An airline seat is only used by humans.

If they aren't interested in games they could publish a set fare for a set route. Instead they have 4 or more fare classes visible to end users and more in the backend leading to opaque unpredictable pricing, they gamify the experience using literal points and rewards, they constantly change prices, they charge fees for services that vary depending on fare class, what credit card you purchased the ticket with, what credit card you currently hold, how many times you've flown in the past year, how many miles you've flown, how many dollars you've spent to fly those miles. I'm not sure they could make it more of a game (BTW, games are not in opposition to making money, they frequently enable making more money. Exhibit A is airlines. Game theory textbooks use them as examples).

reply
Ah ok. So the worry is me being able to shop around more and find better deals? What's stopping me from using an agent to shop around still, and I just do the final booking myself?
reply
Just a little extra friction, but if they want to ban agents from booking I'm sure they'd love to ban them from looking up prices too. But showing prices is kind of their advertising too, so it's harder to just cut it off - same reason why Google flights is allowed I suppose
reply
What's stopping me from using an agent to shop around still, and I just do the final booking myself?

Sounds like Google Flights.

reply
Because like with everything else people have been applying AI to, it's not going to stop at "I used it to book my flights" and it's going to turn into "we used it to book every flight and now we are reselling them at a massive markup so we can then use it as an excuse to spam you because you signed up for our 'service' and that counts as 'consent'."
reply
dunno about that, tickets are non transferable generally. I'm cynical it is more to do with the 'buying experience' and the opportunity to up-sell, introduce tempting offers, and confuse with navigation patterns and such. Agents will breeze past all that, meaning the money the airlines make will reduce.
reply
Scalping seems unlikely. Airline bookings are non-transferable.
reply