Airlines and NDC: Pioneering the next era of travel
NDC enables more personalised traveller experiences and generates significant increment revenue for airlines (over USD 60 billion was projected for 2022 as per a report by IdealWo Kumar feels that it is no surprise that airlines seek to accelerate NDC adoption by travel agencies and, in particular, the lucrative corporate market.
The discussion of today’s airline landscape and traveller experience would be incomplete without addressing the significance of New Distribution Capability (NDC). NDC represents a new and more
sophisticated “distribution pipe” that enables airlines to deliver more robust and differentiated offers to travellers purchasing through online travel agencies (OTAs), travel agencies, and corporate booking tools.
From extra-legroom seats to priority boarding and dynamically-priced offers, NDC is essential to endeavours to modernise airline retailing and distribution, with the ultimate goal of creating superior,
more personalised experiences for travel sellers, corporations and their NDC enables more personalised traveller experiences and generates
significant incremental revenue for airlines (over USD 60 billion was
projected for 2022 as per a report by IdealWorks. It is, therefore, no
surprise that airlines seek to accelerate NDC adoption by travel agencies
and, in particular, the lucrative corporate market. Some airlines are
taking a proactive stance by removing their fares and packages from
traditional corporate travel channels, aiming to gain more control over
pricing and service distribution. A recent notable example is American
Airlines, which announced its decision to limit access to over 40 per cent
of its fares for travel management companies not using NDC-enabled
technology.
This shift in content availability in corporate booking tools has farreaching implications for business travellers and travel managers alike. It
can lead to confusion among travellers who suddenly find certain flights
or fares unavailable through their usual booking tools or apps. For travel
managers, this underscores the growing importance of collaborating
with NDC-enabled technology platforms for online booking. Through customer satisfaction and loyalty. For Online Travel Agencies (OTAs),
embracing NDC translates to improved access to airline content,
empowering them to offer travellers a broader range of options and more
personalized experiences. This advancement in travel e-commerce
creates a mutually beneficial scenario for both airlines and OTAs,
fostering improved customer service and increased revenue
opportunities.Here post-booking automation also steps in that enhances the traveller's
experience by providing comprehensive information on fare rules,
specifically explaining CAT 16 fare rules, and ensuring smooth execution
of changes and cancellations. Refund and exchange procedures are
seamlessly automated for each Travel Order, allowing supported NDC offers a number of benefits for both airlines and travellers,
including:
Greater flexibility and control for airlines: NDC gives airlines more
control over how they sell and distribute their products and services.
This allows them to offer more personalized and tailored experiences to
their customers.
Improved customer experience: NDC can help to improve the customer
experience by making it easier for travellers to book and manage their
flights. For example, NDC-enabled bookings can be made on a variety of
different channels, including airline websites, travel agent websites, and
mobile apps.
Increased efficiency and reduced costs: NDC can help to streamline the
booking process for both airlines and travel sellers. This can lead to
increased efficiency and reduced costs.
Unlocking a New Era in Airline Retailing in 2024
The future of airline distribution is shaped by emerging trends in New
Distribution Capability (NDC). Central to this evolution is
personalization, as NDC empowers airlines to seamlessly integrate
individual preferences, while Artificial Intelligence (AI) utilizes customer experience. Virtual Reality (VR) transforms how customers engage with
travel offerings by offering immersive glimpses into travel experiences.
To navigate this evolving landscape, airlines are encouraged to stay
informed through industry engagement, embrace innovation, maintain
agility, and cultivate collaborative partnerships with stakeholders. By
staying attuned to trends and harnessing the power of NDC, airlines can
confidently shape the future of distribution with innovation and
adaptability.





