NDC: A Critical component in restoring Travel Agencies competitiveness
TBO Group is again first with the unveiling of NDC (New Distribution Capability) platform that will enable the travel industry to transform the way air products are retailed to corporations, leisure and business travelers, by addressing the industry’s current distribution limitations: product differentiation and time-to-market, access to full and rich air content and finally, transparent shopping experience.
NDC is a travel industry-supported program (NDC Program) launched for the development and market adoption of a new, XML-based data transmission standard (NDC Standard) says Ankush Nijhawan, Managing Director, TBO Group.
“The NDC Standard enhances the capability of communications between airlines and travel agents. The NDC Standard is open to any third party, intermediary, IT provider or non-IATA member, to implement and use, Ankush Nijhawan added.
The NDC Standard enables the travel industry to transform the way air products are retailed to corporations, leisure and business travelers, by addressing the industry’s current distribution limitations.
The past 20 years have not been the kindest to the global travel agency community. Changes in airline distribution strategies and airlines’ abilities to use digital channels to sell directly to consumers have all contributed to a decline in the share of airline reservations processed by the world’s travel agencies.
Airline’s changes to their business models have affected their distribution strategies, primarily through GDSs. Some airlines, particularly “Ultra Low Cost Carriers” (ULCCs) avoid GDSs altogether. Others may distribute in only some of the countries where a GDS operates. Some carriers may offer only a portion of their content in a GDS. The result: GDSs are no longer the comprehensive “department stores” housing all airline content.
The way the world searches, plans, and buys air travel is continuously changing as digital technologies and a changing airline commercial environment spur product innovation. A key part of this is the New Distribution Capability (NDC) that consists of a series of XML-based schemas that enables participating airlines to improve how third parties, including GDSs and travel agencies, search for and book flights.
(NDC) is a bold, broad-based initiative which is intended to modernize the way airline products are distributed through third-party channels, including travel agencies. Another objective for NDC is to help the world’s travel agency community improve their productivity in selling airline services.
For and by the travel industry
Airlines, travel management companies, online travel agencies, corporate buyers, global distribution systems and other technology players contribute to the NDC Standard, says Ankush. Through a collaborative approach, participants ensure that the supporting schemas are functional and can be used by all regardless of business focus, geographic location, size, target markets and individual commercial policies.
The power of standardization
Adopting NDC platform will enhance industry standard and will facilitate a more efficient airline distribution system, thereby benefitting airlines, agents, GDSs, IT providers and travel start-ups. Structured around seven distribution-related functions, the NDC Standard provides the opportunity to address the end-to-end airline distribution process, e.g. booking, shopping, etc., and to deliver enhanced customer experiences.
Governance
Bring your skills, knowledge and expertise and help with the development and adoption of the NDC Standard adds Ankush.
TBO platform has over 47,000 travel agents across more than 100 countries. TBO Academy has an innovative learning platform which allows travel bookers to learn about new destinations. We encourage all travel suppliers, and hotels to think about the B2A channel differently from the B2C and B2B channels to reach out to the offline customers without fear of rate abuse”, he added.
TBO believes that Travel Agents account for the bulk of travel sales globally. Travel Agents act as a very important link between travel suppliers and the end consumers, educating travelers on new destinations, new hotels and new experiences. Travel Agents provide end to end fulfilment for both leisure and business customers including complex itinerary planning, visa facilitation, forex, and more.
NDC Leaderboard Airlines
Aeroflot Air, Canada, Air France, American Airlines, Austrian Airlines, British Airways, Brussels Airlines, Cathay Pacific, China Southern, Finnair, Iberia, Jet Blue, KLM, Lufthansa, Qantas, Qatar Airways, SAS, Singapore Airlines, SunExpress, SWISS, United Airlines Oman Air.
