- 11 Apr 2024
The Collective Power of NDC for Airlines, Agents, and Customers and its benefits in the travel chain
In the travel sector, NDCs, or New Distribution Capability aggregators, act as channels between travel agencies and airlines, making access to content extremely easy. The NDC XML-based data transmission was introduced by IATA so that richer airline content may be provided with more customized offerings and simultaneously boost airline distribution. By combining NDC APIs from several platforms, aggregators offer information on a single interface.
NDC brings a host of benefits to airlines, travel agents, and customers alike. For airlines, it provides greater control over product offerings, pricing, and ancillary services, enabling more targeted and personalized offerings. This translates to increased revenue opportunities and enhanced competitiveness in the market. Travel agents benefit from streamlined access to rich content, real-time inventory, and improved booking processes, empowering them to deliver better service and tailored experiences to their clients. As for customers, NDC ensures a more seamless and personalized booking experience, with access to dynamic pricing, ancillary options, and a wider range of choices.
Benefits of NDC Aggregators for Travel Agents
NDC aggregators revolutionize the way content is distributed and significantly enhance the competitiveness of travel players in the market. Some of the key advantages of aggregators are:
Rich Content
A primary benefit, a broad range of airline content is distributed when compared to traditional channels from basic fares to scheduling information and ancillary services including baggage options, seat selection, amenities onboard, and others.
Bookings
The booking process is presented under a unified interface, helping agents provide a choice of airlines, products, and offers to their customers. This means eliminating the navigation through multiple websites and interfaces to search, compare, and book flights, delivering a seamless booking experience while saving valuable time and effort.
Time-to-Market
OTAs can instantly respond to customer requests and adjust to market changes quickly with the help of aggregators. They can leverage opportunities and maximize their services when they get quick access to current rates, promotions, and inventory updates via the NDC. Agents and travel providers can stay ahead of the competition by staying updated with new market dynamics and trends.
Personalized Offers
With the NDC, airlines can directly deliver personalized offers and prices to agents, who can customize packages based on customer preferences. They can also check consumer historical behavior and loyalty levels to provide improved and tailored recommendations, making them competitive in the market.
Analytics
NDC aggregators provide comprehensive analytics and tools for reporting, which helps OTAs understand their client preferences, business performance, and industry trends. Areas for optimization may be identified to modify services and make better business decisions or create offerings depending on client demand. A data-driven strategy helps improve agent processes and increase the efficacy of marketing and sales while also staying ahead of the competition.
Maximizing Profitability
OTAs can easily sell auxiliary services directly to customers, creating new revenue streams and maximizing their profitability. They can raise per-booking revenue by offering a combination of insurance, seat upgrades, extra baggage, and more, increasing overall earnings.
Why is NDC Important for Airlines?
Due to its transformative potential in modernizing and enhancing the distribution landscape NDC enables airlines to have more control over their product offerings, pricing, and personalized ancillary services, fostering a seamless and tailored booking experience for passengers. Moreover, NDC facilitates direct connections between airlines and travel sellers, reducing distribution costs and fostering stronger relationships with travel partners. In conclusion, NDC empowers airlines to adapt to the evolving needs of travelers in a digital-first era, driving revenue growth and competitive advantage in an increasingly complex marketplace.
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