Industry Insights
Brian Tarns
March 16, 2023
New Distribution Capability (NDC) is a moving change that has impacted the entire travel industry, so you may be asking, what is it? For historical context, this standard originated out of a desire to push technology capabilities within the airline distribution ecosystem and initially evolved from airlines creating their Direct Connect initiatives. This hidden world of airline distribution, pricing strategy, and operations has been active behind the scenes for decades.
NDC is an XML-based data transmission standard created by IATA (International Air Transport Association) that enables airlines to distribute rich content and offers directly to travel sellers. Think of it as a modern API that replaces the legacy systems airlines have used for decades.
For airlines, NDC means greater control over how their products are presented and priced. For travelers, it can mean access to more personalized offers and content. For TMCs and corporate travel programs, it means adapting to a new way of accessing airline content.
Adoption varies significantly by airline and region. Some carriers, like Lufthansa Group, have gone so far as to add surcharges on non-NDC bookings. Others are taking a more gradual approach.
ITS has invested significantly in NDC integration. Our platform supports NDC connections with major airline groups, ensuring our clients can access the best available content and pricing regardless of distribution channel.
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