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Comment: Embrace NDC or risk being left behind

Diversity Travel chief commercial officer Sam Whittle says forward-thinking businesses are looking to create a retail-like experience for travellers

In a world where technological innovation constantly reshapes industries, the travel sector stands at a critical crossroads with New Distribution Capability (NDC). This Iata-led initiative promises to transform how airline content is distributed, yet the industry’s response has been decidedly mixed.

For travel management companies (TMCs), the choice is becoming increasingly stark: embrace the NDC revolution or risk being left behind.

Modern-day travellers are demanding a more advanced, retail-like experience when booking trips. They expect the same level of personalisation and seamless service they receive from online retailers, and NDC is the airline industry’s answer to this expectation.

According to Iata, NDC technology will be used by 100% of its members by the end of the decade – a clear signal that this is not merely a passing trend but the future of travel distribution.

Early adoption

At Diversity Travel, we recognised early that NDC represents both challenge and opportunity. There are fundamentally two approaches available to TMCs regarding NDC implementation: proactive engagement or reluctant resistance.

As a TMC with innovation at our core, we’ve chosen to embrace NDC wholeheartedly, working proactively and collaboratively with all stakeholders involved – our customers, airline partners, and technology providers. This collaborative spirit is the cornerstone of our approach and the key to our success.

Our customer-centric philosophy drives our NDC strategy. We understand our primary obligation is delivering the best available air content to our clients. Experience has taught us that waiting passively for content to be delivered is not an option; instead, we must actively engage with airlines and technology partners to ensure NDC content and functionality meets our customers’ evolving needs.

Diversity Travel has been one of the early adopters of NDC technology, beginning our journey in 2017 with our first direct NDC connection. Our proactive stance has positioned us advantageously in today’s rapidly evolving landscape. Without this early adoption and positive mindset, we simply wouldn’t be equipped to meet our customers’ current requirements.

Methodical implementation

Our implementation strategy has been methodical and deliberate. We’ve participated in limited NDC trials and pilot programmes, rigorously testing functionality and content access while keeping our customers’ requirements firmly in focus. We’ve invested significant resources in identifying optimal technology partnerships, conducting comprehensive market analyses to evaluate the benefits of aggregators, GDS partners, and direct airline connections.

Today, we utilise multiple channels to access NDC content, ensuring maximum flexibility and breadth of offering.

The evolution of NDC can perhaps be viewed as a two-phase development: the initial phase focusing on pricing advantages, followed by a second phase centred on enhanced functionality. To date, the primary tangible benefit for customers has been more competitive pricing.

However, we anticipate the next three to five years will deliver the customisation advantages initially promised: expanded customer choice, bundled service options within unified orders, and improved integration with loyalty programmes and corporate schemes.

Compelling business case

The business case for NDC adoption is compelling across both leisure and corporate travel sectors. Aligning with a forward-thinking partner who embraces innovation and works collaboratively offers significant advantages over choosing organisations resistant to change and clinging to outdated paradigms.

NDC is unquestionably the present and future of travel distribution, and we’re committed to ensuring this technology’s development accommodates our role as a TMC, advocating for our customers’ preferences while supporting our airline and technology partners throughout this transformative journey.

As we navigate this evolving landscape, one thing remains certain: the TMCs that thrive will be those that view NDC not as a threat but as an opportunity to enhance their value proposition. By embracing rather than resisting these changes, we position ourselves to deliver the advanced, personalised experiences that modern travellers increasingly demand.

The NDC revolution is underway. The question is no longer whether to participate, but how effectively you’ll adapt to the new reality of travel distribution.

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