overbooking policies

Overbooking policies are practices airlines and some hotels use to sell more reservations than available seats or rooms, based on the expectation that some customers won't show up. This helps them maximize occupancy and revenue. When more passengers or guests arrive than available, they may be bumped to later flights or re-accommodated at no extra cost. Policies typically include compensation offers, voluntary rerouting options, and clear communication. Overbooking is managed to balance customer inconvenience with operational efficiency, and regulations often govern how affected customers are compensated and treated.