These points are also used for auctions. We auction the raid gear (including events) out to our members. There are minimum bids on items, but it's pretty low. It keeps the players that boss the most happy since they basically have first choice at gear with those points.
Curious, how can someone have first choice if it's an auction?
@OP there are only so many ways to distribute loot - random/dice roll, auction/points system, loot council, and 'kiss your chieftains ass for loot'. there are variations, but those are the main ones.
There are two types of people in this world: Those who crave closure
A business is more profitable if they don't gouge and piss off customers.