Depends on the restaurant. A number of high end restaurants have started to require deposits and if the reservation is unused the diner forfeits the deposit.
The restaurants are probably like airlines and overbook everything, knowing there will be cancelations/rescheduling/secondary market action. How soon before the restaurants and ticketmaster find out there is a secondary market that they arent getting a piece of?
I’m a “free market guy” and prefer price discovery. Anyone should be able to resell their tickets without restriction. Of course that thinking applies when there is a normal supply and demand. I.E a person that fully intends to attend gets the ticket or reservation, sees its vs value has gone up, decides to sell. Some of the tactics the scalpers and ticket brokers use, or like this guy using bots to take *all* the reservations (or a bulk of them) shows pretty classic disconnect between an “academic” ideal of a free market, and some of the market distortions that can be created by bad actors. What is happening here is this guy is taking reservation supply off the market (reservations that themselves would have been free), then using that artificial scarcity to create “value”.
Everyone has "disrupter" brain thanks to silicon valley. At least in this case its just a bunch of people with too much money that want to go to the snobbiest restaurants being robbed. It might even benefit people who want good dining and dont have to wait at high quality restaurants that arent currently trendy or "hot" with the bougie crowd.
I am going to try this with sports. Gonna buy all the UF vs Samford tix and retire on the scalping profit!
Yep, you just have to buy up all the seats in the stadium. You can charge based on it being possibly anyone's best chance to see a win.
Already mentioned, a number of restaurants are borrowing a tactic used at least in part by the by the airlines by requiring nonrefundable deposits for reservations. The difference is that airlines are still offering refundable fares for travelers willing to pay much more.
I had never heard of that in dining, but the “deposit” thing makes much more sense dealing with no-shows in an open booking reservation system than some jackass hoarding all the reservations for arbitrage.
Here's an article on the subject. While it may discourage "reservation brokers" it's the average diner who is hit by the practice. Making a restaurant reservation? That'll be $100 — without food or drinks. It's become increasingly common for restaurants to charge customers' credit cards even before they step foot into an establishment, let alone order food or drinks. Referred to as a "reservation fee" and applied at the time of booking, the charge ranges in amount but inevitably peeves diners who don't want to be on the hook for what can add up to hundreds of dollars, if their dinner plans — for, say, a party of four — change at the last minute. But that is precisely why restaurants are increasingly implementing the fees. Here's another Deposits, a new weapon against no shows
Ultimately it is your choice. The money is yours until you willfully give it to someone. No one makes you go to a restaurant. Exception - Sometimes my belly makes me go to Taco Bell
Well, this is like someone buying all the tacos at Taco Bell at 2am in Gainesville and reselling them right outside for double the price.
Time to grab some frozen burritos from a quickie mart then or just go to sleep. I can't understand why some people continue to frequent some places while getting less quality ,quantity and paying more for it.
Does that money get applied to your bill? I get it if you don't show up but if you do, you shouldn't have to pay it.
As an example, in NYC I had reservations at Peak....which is also part of The Edge, which is an observation ledge that provides amazing views. When making the reservation I had to give a CC deposit that was refundable if cancelled up to a window prior (can't remember how long, think 24 hours). The deposit was just applied to our bill. Place was packed and reservations are hard to get. Makes sense the way they handle it. Perhaps when they aren't such a hot spot they will get rid of the deposit requirement, but for now they are doing the right thing.
A little different in that airline reservations are non-transferrable, and they do check your I.D. before you board. A restaurant is unlikely to check for I.D. when you tell them who you are, unless they have multiple reservations under the same last name.
It's capitalism. He saw a gap in the market and filled it. Restaurants can adjust if they're unhappy with the results.
