If you have been working in the travel or airline industries, NDC or New Distribution Capability is not new! Over the past few years, we have seen a steep rise in corporate employees traveling globally for various reasons. However, this approach led to rumors and misconceptions that airline NDC is set to redefine and modernize air travel services.
And with such a steep increase in travel, the demand for personalization and more efficient travel experiences also increased. Such demands by travelers led to the International Air Transport Association (IATA) developing a standardized framework to streamline and distribute air travel products and services.
Hence, in this blog, we are going to debunk the top 5 airline myths in travel booking:
1. Myth: NDC is a Buzzword with Little Practical Impact
One of the major misconceptions about airline NDC is that it is just a buzzword that does not practically impact the travel booking process. However, this is not true. Contrary to popular belief, NDC is a set of technology standards set by IATA with the main purpose of enhancing communication and data exchange between airlines, travel managers, consumers, and third-party distributors.
With New Distribution Capability, travelers get a more personalized and efficient travel booking experience as it provides rich content and a broad range of ancillary services. This myth might stem from a lack of understanding of the airline industry’s extensive changes behind the scenes. The truth is, that NDC is a transformative force, reshaping how airlines reach their customers.
2. Myth: NDC Tickets Cannot Be Modified On GDS
When NDC was first introduced, concerns were that it might not be fully compatible with existing GDS. GDS is the primary system travel agents use to book and modify flights. This led to fears that NDC tickets might be harder to modify or manage than traditional GDS-issued tickets. This myth likely originated from the early days of NDC implementation when integration challenges were more pronounced. The myth also revealed that travelers cannot choose the seat of their choice or add additional baggage without GDS.
Significant progress has been made in integrating NDC with GDS over time. Major GDS providers like Amadeus, Sabre, and Travelport have developed NDC capabilities and continually enhanced their systems to support NDC content. Modern GDS platforms that support NDC can handle many aspects of NDC booking management, including modifications.
For instance, a travel agent can choose a preferred seat, add extra baggage, etc, through GDS instead of booking on the airline’s website. While there might have been initial limitations, technological advancements and cooperation between airlines, GDSs, and travel agencies have addressed many of these issues. According to recent research, Travelport now provides accessible NDC content from America to travel retailers in 73 countries worldwide. As of late 2023, more than 70 airlines have implemented NDC to varying degrees, with major carriers like Lufthansa, British Airways, and American Airlines leading the way. These airlines are offering a significant portion of their fares and ancillaries through NDC channels.
3. Myth: Booking Changes and Cancelations are Harder with NDC
The myth that NDC makes processing cancellations and charges more difficult stems from early implementation challenges. Initial technical integration issues with existing GDS made processing cancellations, booking modifications, and managing charges seem more complex and cumbersome. Inconsistent support across airlines, partial integration, and the need for manual interventions further complicated the process. This contributed to the perception that NDC was more difficult to use compared to traditional methods.
In reality, NDC has significantly matured, addressing these initial challenges. Major GDS providers have developed robust NDC functionalities. This enables seamless and automated processing of cancellations and charges. User-friendly interfaces and detailed fare rules ensure that travel agents and travelers are updated in real time. Travelers can now easily get in touch with travel agents and inform them about changes, refunds, or booking cancellations. Moreover, comprehensive training programs and consistent airline policies have further streamlined the process. This makes NDC a reliable and often superior option for managing cancellations and charges.
4. Myth: NDC Compromises Data Security and Privacy
Most travelers have a common concern around New Distribution Capability: data security and privacy. Some believe adopting NDC might expose sensitive data and traveler information to potential risks. However, this NDC air travel myth will only remain a myth about the security measures implemented within the NDC framework.
Contrarily, IATA and the airline industry have focused on prioritizing data security during the development of NDC. They have standards that include robust protocols to safeguard travelers’ data. With the direct interaction with the airlines, NDC minimizes any intermediaries involved during the travel booking. This reduces the risk of any data breach.
5. Myth: NDC Only Benefits Airlines, Not Travelers
Another common NDC airline myth is that most people believe that NDC benefits only airlines, neglecting the travelers’ priorities. This NDC air travel myth is too good to be true, as the fundamental and main principle of airline NDC is to create a win-win scenario for both airlines and their passengers. With NDC, airlines can offer their passengers better, more diverse, personalized products and services, enhancing the overall traveler’s journey and experience.
As a part of NDC, airlines present a wide range of ancillary services. These include seat upgrades, baggage options, amenities inside the flight, and a direct booking process. This leaves travelers with more choices and transparency; thus, they can curate their travel journey according to their preferences. In essence, NDC transforms the booking process into a customer-centric experience, debunking the misconception that it solely serves the interests of airlines.
Embrace the Future of Business Travel with Airline NDC
The myths surrounding airline NDC, or New Distribution Capability, often stem from misunderstandings and misinterpretations of its purpose and impact on the travel industry. Hence, it is crucial to disregard these misconceptions and recognize NDC as a transformative force that benefits both airlines and travelers alike.
ITILITE is a new-age corporate travel management company that helps organizations and employees travel seamlessly. We provide a wide range of services, such as round-the-clock travel support, travel inventory sourced from GDS, virtual travel consultants, robust travel and expense policy, personalized experiences, lightning-quick expense reimbursements, and many more.
To know more about ITILITE, contact us now!
