NDC APIs are transforming the travel technology landscape and catering to the fundamental needs of everyone involved in a customer’s journey. If we take the airline industry per se, initially, a large portion of their spending would not allow them to differentiate products and sell them to their clients. The legacy GDS or Global Distribution System did not offer the kind of primary benefits that the NDC API does.

What is NDC API Integration?

An acronym for New Distribution Capability, the NDC is the brainchild of IATA or the International Air Transport Association, which believes in carrying out the best practices to the benefit of travelers as well as the industry. Working per the international air travel regulations, using XML, a system was developed that could offer comprehensive information, allowing airlines to promote their products and services better. The NDC also eliminated issues around conventional structures, making travel shopping an experience the customer could enjoy. IATA has been testing, adjusting, and fine-tuning the NDC since its deployment in 2012. Currently, the NDC API is being used by several airlines. However, the integration today has expanded beyond just the airlines – such as hotels, activities, and even cruises. End-to-end content acquisition through the modernized NDC API, meant for every travel business sector, is a great way to ensure that customers get a seamless experience wherever they begin their journey.

Conventional APIs

Traditionally, the GDS or Global Distribution System was used to facilitate transactions between customers, travel providers, and OTAs. Information review, comparison, and purchase could be facilitated with vendors in real time using EDIFACT or Electronic Data Interchange for Administration, Commerce and Transport, and TELETYPE. EDIFACT or Type A messages provided interactive communication synchronously, while Type B messages or TELETYPE were meant for international booking. However, with no or limited scope of product comparison, the GDS was a mere display of flight times and prices. The airlines recognized that there was a need for more.

Stark Differences

While both were APIs or application programming interfaces that integrated data, NDCs provided rich content, while GDS showcased information. This means there was only a reservation system that gathered information from various sources, while the NDC lookup API offered more tailored services and, of course, the lowest fares.

Historically, low-cost carriers were excluded from the GDS. Now, the NDC allows them to compete with the big carriers directly. Due to the NDC's ability to support rich content, LCCs (low-cost carriers) can be compared visually against high-end carrier offerings.

Conclusion

Airlines can produce and deliver offers most appropriate for their clients regardless of the distribution channel with the NDC data interchange. Besides, GDS fees are eliminated for reservations on the providers’ websites. Some benefits of the latest IATA NDC APIs are individualized offers, efficient pricing, and superior passenger experience. Rich content derived from the modern system also contains visuals, videos, and graphics. Most significantly, the information encourages users to pay more for premium experiences, which, in turn, boosts airline earnings.