Given the importance of cheap travel deals, such as cheap airplane tickets, discount travel packages, and cheap vacation packages, most travelers are unwilling to pay full price for Business or First Class seats.
Fortunately getting bumped up to Business Class is becoming more affordable. In August Iberia because the latest airline to announce an online auction process whereby customers can bid for seat upgrades. Airlines hate it when seats fly empty, particularly their more expensive premium seats.
The bid process varies by airline, with some offering upgrades to First Class as well. Who is allowed to participate in the bidding process also changes by airline.
Frequently the selection process is determined by the route and the number of open premium seats. Occasionally a passengers frequent flier status is taken into account.
Bidding is blind. Customers must enter how much they are willing to pay and if their bid is higher than other bids they win. The cost of an upgrade is extremely variable, depending on the particular airline, season, and route.
While airlines will not share any information concerning how much is needed to secure a winning bid (or even any information on past winning bids), the final price tends to be less than a full fare Business Class ticket.
To date, a dozen airlines have introduced upgrade auctions to their websites. That number is expected to double by the end of this year.
Airlines that move to upgrade auctions are not believed to be at risk of eating into their premium seat revenues because there is no guarantee that customers who request upgrades will receive them.
The emerging auction service is for passengers who want to treat themselves for a little more money and are willing to live with the uncertainty of not being upgraded.
Austrian Airlines is one of the few airlines that allow everyone, regardless of frequent flier status, to bid on an upgrade so long as any are available on a given flight.
The emergence of these upgrade auctions is expected to reduce the number of free upgrades awarded to passengers. By eroding the complimentary upgrade process airlines run the risk of offending their elite travelers who have come to expect complimentary upgrades.
The notion that a smile to a ticket agent can result in a free upgrade is fantasy. It does not happen. Such upgrades are usually based on necessity in operational situations or given to frequent fliers.
www.cheapfares.com