New York restaurants fight back against reservations by bots
High-end New York restaurants are grappling with bots and scalpers that hoard online reservations and resell them for hundreds of dollars, effectively creating a gray market for tables. Commenters explore potential fixes such as deposits, ID-verified or non-transferable bookings, dynamic pricing, and even a return to phone-only or walk-in systems, but note each option risks either annoying customers or adding operational burden. Many see parallels with concert and airline ticketing, warning that any move toward auction-style or surge pricing could improve efficiency while also accelerating the “enshittification” of dining out.
Scope of the Problem
- Bots and scalpers grab reservations at high-demand restaurants, then resell them, sometimes for hundreds of dollars.
- Some argue it’s only a problem for a tiny elite tier of venues; others warn that it could generalize because bot costs are low and arbitrage is profitable.
- Many note that restaurants still get full dining rooms, so their direct financial incentive to change is weaker than diners’ incentive.
Proposed Technical/Policy Fixes
- Strong identity binding:
- Require the person who reserved to be the person seated (ID check, name on card must match).
- Make reservations non-transferable, possibly cancel and re-release if “transferred.”
- Critics say restaurants won’t turn away paying guests or risk arguments at the door.
- Deposits / card-on-file:
- Upfront deposits or no-show fees (often applied to the bill) to deter bots and flakes.
- Objections: legitimate diners dislike non-refundable deposits; scalpers treat them as a business cost.
Charging for Reservations & Dynamic Pricing
- Many suggest restaurants should capture the “scalper margin” via:
- Paid reservations, seat minimums, variable pricing by time or day, auctioned slots.
- Examples discussed: prepaid tasting menus, deposits credited to the bill, per-seat minimums (Dorsia-style).
- Concerns:
- Higher expectations and entitlement if guests pay just to enter.
- Perception of nickel-and-diming or “Ticketmaster-ization” of dining.
- Dynamic pricing can reduce consumer surplus and increase complexity.
Fairness, Ethics, and Scalping
- Strong criticism of scalpers as rent-seekers exploiting a commons; others defend them as “price discovery” and resource rationing.
- Big side-thread on economic concepts: consumer surplus, dynamic pricing, wealth inequality, “democratic” vs money-based allocation.
- Some want lotteries or local-priority schemes instead of pure pay-to-play.
Alternatives to Traditional App-Based Reservations
- Phone-only or in-person reservations, callbacks to confirm, or no-reservations/first-come-first-served.
- Virtual waitlists and long lines as deliberate signals of popularity.
- Prepaid “tickets” to dinner, with partial or full refunds on timely cancellation.
Parallels to Ticketing and Legal Constraints
- Strong analogy to event ticketing: secondary markets, bots, dynamic pricing, and legislative battles.
- Some jurisdictions restrict banning transfers; this could eventually apply to restaurant reservations, limiting ID-binding solutions.