Airline ticketing is a turbulent journey filled with hidden fees, complex booking processes and flight disruptions. However, blockchain ticketing offers promising solutions. Let’s read about it:
1. Dynamic Pricing and Fare Fluctuations:
The impact: According to a study conducted by Airlines Reporting Corporation (ARC) and Expedia, airfare prices can fluctuate by up to 50% within hours or days.
Blockchain’s potential: By utilizing a decentralized and transparent ledger, blockchain can provide real-time fare information and eliminate price manipulation. This could result in a reduction in fare fluctuations, leading to more stable pricing for passengers.
2. Hidden Fees and Add-Ons:
The impact: The U.S. Department of Transportation reported that in 2019, U.S. airlines collected over $5.8 billion in baggage fees alone.
Blockchain’s potential: Through smart contracts, blockchain can offer transparent and automated processes, reducing the chances of hidden fees and ensuring passengers are aware of additional costs upfront. This could lead to a more straightforward and cost-effective booking experience.
3. Lack of Transparency and Complex Booking Processes:
The impact: A survey conducted by Travelport revealed that 55% of travellers find it challenging to understand the fees and charges associated with airline tickets.
Blockchain’s potential: With blockchain’s transparent and immutable nature, passengers can have access to accurate information regarding baggage allowances, refund policies, and ticket restrictions. Simplified booking processes can result in a more streamlined experience for travellers.
4. Overbooking and Flight Cancellations:
The impact: According to the U.S. Department of Transportation, in 2019, over 250,000 passengers were involuntarily denied boarding due to overbooking.
Blockchain’s potential: By recording ticket transactions on the blockchain, airlines can accurately track seat availability, reducing the likelihood of overbooking. In the case of flight cancellations, blockchain’s decentralized nature enables efficient communication, allowing for prompt rebooking or compensation processes and minimizing inconvenience for passengers.
5. Name Edits, Transferability, and Resale Possibilities:
Blockchain’s potential: Blockchain technology can enable secure and verifiable name edits, transferability, and even ticket resale. Passengers who are unable to travel can transfer their tickets to others, provided it aligns with the terms and conditions set by airlines. This facilitates flexibility for passengers and eliminates the complexities and limitations often associated with changing or reselling tickets.
With the power of blockchain, airlines can finally bid farewell to the hidden fee monsters, and passengers will no longer be haunted by unexpected charges. Transparent pricing and enhanced security will become a reality. Additionally, blockchain ticketing will enable name edits, transferability and ticket resale, providing greater flexibility to passengers. As the industry continues to evolve, embracing blockchain ticketing will pave the way for a transformed and passenger-centric airline ticketing system, offering improved trust and reduced costs.
