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Exposing the Truth : 5 Airline NDC Myths in Travel Booking

Airline NDC

If you have been working in the travel or airline industries, NDC or New Distribution Capability is not new! Over the past few years, we have seen a steep rise in corporate employees traveling globally for various reasons. However, this approach led to rumors and misconceptions that airline NDC is set to redefine and modernize air travel services. 

And with such a steep increase in travel, the demand for personalization and more efficient travel experiences also increased. Such demands by travelers led to the International Air Transport Association (IATA) developing a standardized framework to streamline and distribute air travel products and services. 

Hence, in this blog, we are going to debunk the top 5 airline myths in travel booking:

1. Myth: NDC is a Buzzword with Little Practical Impact

One of the major misconceptions about airline NDC is that it is just a buzzword that does not practically impact the travel booking process. However, this is not true. Contrary to popular belief, NDC is a set of technology standards set by IATA with the main purpose of enhancing communication and data exchange between airlines, travel managers, consumers, and third-party distributors. 

With New Distribution Capability, travelers get a more personalized and efficient travel booking experience as it provides rich content and a broad range of ancillary services. This myth might stem from a lack of understanding of the airline industry’s extensive changes behind the scenes. The truth is, that NDC is a transformative force, reshaping how airlines reach their customers.

2. Myth: NDC Only Benefits Airlines, Not Travelers

Another common NDC airline myth is that most people believe that NDC benefits only airlines, neglecting the travelers’ priorities. This NDC air travel myth is too good to be true as the fundamental and main principle of NDC is to create a win-win scenario for both airlines and their passengers. With NDC, airlines can offer their passengers better, more diverse, personalized products and services. This enhances the overall traveler’s journey and experience. 

As a part of NDC, airlines present a wide range of ancillary services. These include seat upgrades, baggage options, amenities inside the flight, and a direct booking process. This leaves travelers with more choices and transparency; thus, they can curate their travel journey according to their preferences. In essence, NDC transforms the booking process into a customer-centric experience, debunking the misconception that it solely serves the interests of airlines.

3. Myth: NDC Leads to Higher Ticket Prices

It is a common belief that leveraging airline New Distribution Capability automatically leads to higher ticket prices for travelers. The belief is that the enhanced services and personalization offered through NDC come at a premium price, making air travel very expensive. 

Understanding the impact of NDC on ticket prices requires considering various factors in the airline industry’s complex pricing dynamics:

Enhanced Services and Personalization: NDC empowers airlines to provide more personalized and value-added services directly through booking. While these services may cost additional, the myth oversimplifies the relationship between NDC and ticket prices.

Streamlined Distribution: One of the primary goals of New Distribution Capability is to streamline the distribution process by enabling direct connections between airlines and travel agents or passengers. This reduces the reliance on global distribution systems (GDS) and other intermediaries. Streamlined distribution can contribute to more competitive pricing strategies.

Market Forces and Economic Factors: Ticket prices are influenced by various external factors such as fuel costs, economic conditions, and market demand. While NDC in airline introduces changes to distribution, it is just one element in the broader pricing landscape. Economic factors and market forces play a significant role in determining ticket prices.

NDC air travel myth

4. Myth: NDC Compromises Data Security and Privacy

Most travelers have a common concern around New Distribution Capability : data security and privacy. Some believe adopting NDC might expose sensitive data and traveler information to potential risks. However, this NDC air travel myth will only remain a myth about the security measures implemented within the NDC framework.  

Contrarily, IATA and the airline industry have focused on prioritizing data security during the development of NDC. They have standards that include robust protocols to safeguard travelers’ data. With the direct interaction with the airlines, NDC minimizes any intermediaries involved during the travel booking. This reduces the risk of any data breach. 

5. Myth: NDC Neglects the Importance of Loyalty Programs

Some professionals believe that airline NDC doesn’t give any importance to airline loyalty programs, as the focus is more on personalization, which comes at the expense of loyalty incentives. Contrary to the NDC air travel myth, NDC complements loyalty programs by enabling airlines to customize their offers and promotions based on travelers’ preferences.

By leveraging the capabilities of NDC, airlines can enhance the effectiveness of their loyalty programs, fostering stronger connections with their frequent flyers.

It’s essential to dispel these myths to foster a better understanding of NDC’s role in the air travel industry and its potential to create a more efficient, personalized, and competitive booking environment.

Embrace the Future of Business Travel with Airline NDC

The myths surrounding airline NDC, or New Distribution Capability, often stem from misunderstandings and misinterpretations of its purpose and impact on the travel industry. Hence, it is crucial to disregard these misconceptions and recognize NDC as a transformative force that benefits both airlines and travelers alike. 

ITILITE is a new-age corporate travel management company that helps organizations and employees travel seamlessly. We provide a wide range of services, such as round-the-clock travel support, travel inventory sourced from GDS, virtual travel consultants, robust travel and expense policy, personalized experiences, lightning-quick expense reimbursements, and many more.

To know more about ITILITE, contact us now!

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Corporate travel management can be extremely daunting. Getting travelers to stick to budgets while booking travel, monitoring spends or finding support for travelers – there is always something that needs to be done. That’s why we built a solution that makes corporate travel management simpler.

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