American Airlines' New Policy To Reduce Bump Compensation

I think it’s a good idea because they will end up having more than enough volunteers at the gate so flights won’t actually end up overselling. I’ve flown non rev standby on flights before where they already cued volunteers and in the end still got a seat.

This is no different than DL’s system and it’s really not that hard for a gate agent to sort the VOL list from low to high. Very rarely will they need to solicit additional volunteers beyond those who put their name on the list.

If they told you what the reroute would be before you bid, then it would be a lot less likely to sting and this seems to be american playing the follow delta (but worse) game again.

American needs to stop being a Delta follower. At the end of the day, if they have all the same policies but Deltas in-flight product is better.... people are just going to go to DL. Do things that set you apart from DL. It shows a complete lack of ingenuity if you just try to copy another airline all the time (but doesn't invest in the product) The new 321 Oasis Jas 20 first class seats but still only 4 flight attendants. When they said first class customer service wpuld improve tremendously if they could have to FAs up there American just said "well the other airlines just have 1 up there" - so? I thought your whole motto was going for great. Be different. Invest. Think outside the box. Stop being a follower and then wonder why your customer satisfaction is so low.

From the popular Spirit Airlines gameshow.

Now showing on all AA gates.

The price is right!
With your host Doug Parker.

Moral of the story- - don’t bid in the ap. Have the “individual” conversation with the gate agent and offer no less than $1,000.

The AA gate agents can make their lives easier by simply telling everyone the maximum amount AA is willing to compensate them for voluntary denied boarding. By doing so, no individual conversations would be needed and everyone who volunteered would be happy.

Seems like there’s no incentive to list as a volunteer in the app unless you’re a pensioner or something and would do it for almost any amount of money.

I used to always be an automatic “yes” regardless of the rerouting options, because I knew it would be at least $300.

I guess I know what I'm doing when AA asks for volunteers. gonna go right up to the gate and snipe potential volunteers. We'll be able to drive a harder bargain for everyone if we team up.

$1100 was the offering yesterday, or so I was told. I would be upset if I received $200 and the other person receive $1100. Most people don't understand the process and haven't a clue what happened until after the first flight leaves and the gate agent is explaining in great details why they are not on the flight and why they need to wait 8 hours for the next flight.

If I'm aware of an oversold situation and I have flexibility, I inquire about the rebooking options first. if they work for me, I tell the gate agent that I can help them out in exchange for whatever $ amount it takes to clear the last passenger and then I take a seat and get out of their hair. If AA wants to play this game, then I will no longer volunteer. (Well, this is an empty empty threat. I no longer choose to fly on AA so its not likely they will see me again soon.)

It doesn't matter what others get as long as you are happy with yours. This is what you call 'minimizing consumer surplus'

@Richard: "$1100 was the offering yesterday, or so I was told. I would be upset if I received $200 and the other person receive $1100."

Unless things have changed recently, it has always been my understanding with AA that if someone volunteers for a lower amount and then the offer increases because they need more volunteers, everyone gets the higher amount.

Just in time for the holidays, the time of year where the flights are oversold and "the next flight is December 26" isn't an answer anyone is willing to tolerate.

The old us airways was best. If used give volunteer a r voucher good anywhere domestically and put them on next available flt. Advising them in advance when next available flt is

@James - Incorrect. Delta will pay all volunteers the same amount. If some volunteers at a lower amount and the gate agent has to increase the amount to get enough volunteers, all volunteers whose seats are used will receive the higher amount

Would be nice if they let you write in the amount you would like on the app vs. their pre-selected amounts.

This is ridiculous. Simply stupid. This will only make AA customers more mad.
We know this game, we understand what is voluntary vs involuntary denied boarding.
Please explain to the regular Joe that he only gets $150 for a flight 10 hours later versus Mike next to him will get $1000 and a flight in 2 hours.

For those that say this is what DL has been doing --- I'm confused. Earlier this year when my flight departing from LGA was oversold, the gate agent was publicly announcing the compensation amount, so I don't see that as the same rules AA just made. Did DL just change the policy before AA did or what?

@Mike Did you read the article? Yes, there is a recent change "effective immediately".

Frank - For the exact same reason regular Joe paid $500 for the ticket and Mike paid $1000...

Granted most people are morons, but there's only so much people should have to do to accommodate that.

@ Callum

Nope. Its not based on how much you paid, its based how much you 'bid'. In my example Joe could have paid more for the ticket or just used miles. It just doesn't make sense at all.

They missed step one, which is being able to make confirmed changes through the app along with a confirmed compensation.

“Fly through ORD instead of DFW, arrive 30 minutes later. Here’s $100.” Maybe even allow for faster routing and no compensation - even call it a “complimentary same-day routing upgrade”. Win-win for everyone.

Last weekend the max I was offered from Los Angeles to Mexico City was $500. On the way back the max was $250. It seems to me that the amount of compensation is directly related to the value of local currency. $250 was certainly not enough for me to take a flight the next day but it was a lot of money to the Mexican national who took the offer. I liked the old system where you could get a lot more than $500.

Does Delta specify the alternative flight when they ask if you'd like to bid? Seems like Ben's complaint - and it's a legitimate one - is that you're being asked to bid for an unknown alternative. If enough people use the app, the system could work without any input from gate agents at all if people have all the info they need within the app.

AA also seems to be missing a fundamental issue: they have information (the number of oversold seats, the number of people willing to bid) that the customer does not. By keeping all of that information secret, the airline can take advantage of the customer's lack of knowledge about the market s/he is participating in. But if they make announcements to solicit volunteers, and people get a sense (by watching the podium) of how many people are bidding for a known number of vouchers, it will influence how much they bid.

So, for example, if I know that there are 30 oversold seats and almost no takers for vouchers, I might demand $1000 or more because there is little competition for the service I am providing the airline. But if I have no idea how many oversold seats there are and how many people are bidding, I might be perfectly happy to accept $200.

And American thinks up one more way to create confusion, stress and unhappy customers.
How very cutting edge.
(Sometimes when I am flying I just don't want a never-ending series of decisions and complications to add to the supremely uncomfortable seat and crowded-elevator experience.)

Has anyone ever asked and received AAdvantage Miles for compensation instead of a voucher?

Sad for the gate agents where the area is poorly staffed.

I volunteered my paid first seat for $800, stood by the gate and was thinking about using that airline for something fun. I was the only volunteer, when I went to get my voucher they said get on the plane, there is not enough time to process someone else to upgrade, move them, and get the standby on.

I was upset because i lost the $800 and a free hotel in the area, and standby guy was upset because he was stuck in Dallas.

Old or new process, if it’s going to impact D0 then involuntary bumps will be happening.

Wouldn't it be easier and cheaper just to stop over selling flights? I've been a gate agent for three major airlines and can say that oversales are extremely time-consuming and disruptive at the gates.

IANAL but I thought they had to give the same amount to everyone? e.g. I once volunteered for $700 on DL but got $900 because they had to go up to dislodge the second person needed.

I have not seen the highest-amount-to-all-volunteers noted in the article actually practiced by AA. We volunteered for a bump last year, at the next-to-last offer made by the gate agent. We did NOT get the higher, last amount offered. Just the one announced before we volunteered.

As an agent for American this policy is ridiculous and makes it so much harder for the gate agent. When a passenger bid a low amount and I told them the next flight was tomorrow they asked if they could raise the amount they bid to which the answer, per the over sales department, was no. We ended up having to involuntarily deny boarding to 5 passengers due to lack of volunteers and write checks for several thousand dollars. American wants to oversell these flights and doesn’t want to pay for it. It’s no wonder they have the highest rate of involuntary denied hoardings of any airline.

I didn't understand this policy and volunteered (thought there would be an accept button in a new screen on the app). Our itinerary is not flexibe
Is this binding? Can I call AA and get off the volunteer list?