Airline New Distribution Capability (NDC)

In an industry that loves acronyms, NDC (or New Distribution Capability) is the one garnering most attention at the moment.

What is NDC? Put simply it is a new way for airlines to retail their product through indirect channels of which Travel Management Companies such as Gray Dawes Group are a prime example. First announced by IATA back in 2012, NDC is seen as a way by which airlines can better differentiate their product from their competitors by more efficient release of new fare types, promote their cabin environment/s, sell ancillaries etc.

NDC uptake by the airlines has been slow but we are now seeing increasing movement from within the industry to embrace this new distribution method, led by Lufthansa in 2015 and more recently British Airways announcement that they will be utilising NDC from November 2017.

So, why is NDC such a hot topic at the moment? Along similar lines to Lufthansa, British Airways have announced that they will be imposing a surcharge on non-NDC bookings from November of this year. This includes bookings made via Global Distribution Systems (GDS) which are the mainstay of TMC’s travel booking systems including Gray Dawes Group.

How are Gray Dawes Group reacting to NDC? We always put the interests of our clients first, and are proud of our total independence in that regard. As such we have, for some time, been in discussions with both our GDS, technology partners and also the airlines themselves concerning these changes to ensure that we continue to offer the very best fares for each and every itinerary request.

Vital negotiations between the British Airways and the GDS’ continue and we need to wait for these to conclude before we can definitively advise as to the options and implications of the changes arising from the introduction of NDC. We will of course be back in touch as soon as details are confirmed.

Should you have any questions or queries regarding NDC then please do not hesitate to contact your Gray Dawes Group Account Manager via the usual channels.

By |September 27th, 2017|Airlines|

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