AGENTS are growing
frustrated with delays in the
implementation of Iata’s
NDC (New Distribution
Channel), which promises to
enhance travel retailing and
the customer experience.
“There’s all this talk about
the commercial side of
things, while the technical
side isn’t in place,” said
Ian Heywood, Travelport’s
global head of new
distribution.
The building bricks are still
being built, while agencies
are wanting full functionality.
“The good news is that the
industry is working together,
but the more we do, the
more we realise needs to
be done.”
What is it that an API
connection can give the
airline that they can’t get
from an ATPCo solution?
“The airlines want
information about the
customer at the point of
search. Some agents may
be reluctant to give that
information as they don’t
trust the airline. It’s a
question of who will have
control of the customer and,
at this stage, who knows?”
said Ian.
In an effort to increase
ancillary sales, agents
would see a move from
fares to ‘offers’, whereby
airlines would personalise
corporate and leisure
packages based on dynamic
pricing, said Ian. “This will
mean more fares available
and fares changing often
and quickly.”
While the industry
continues to discuss
technical issues, agents
are left asking – what’s
happening on the
commercial side of things?
“NDC has nothing to do
with financial models and
everything that airlines
are doing on their financial
model changes could
happen without NDC.
They’re using it as an
excuse,” said Ian.
The industry was
seeing different tactics
by airlines – the carrot or
stick approach – to driving
adoption of NDC. Some
airlines were offering
payment for ancillary sales
or API bookings, frequent
flyer points, or offering new
content only in API,
while other
airlines
have
implemented
GDS surcharges
or removed content from
ATPCo, said Ian.
“Agents need to engage
and turn NDC on its head
and ask: ‘How can we make
this work for us and our
customers?’. They should
be asking for differentiated
content and demand that
airlines don’t treat them the
same as other customers.
Airlines want agents to
come with retail solutions
and propose the value they
offer,” Ian said.
What
can agents
expect to see
in the next six months?
“Leading airlines connected
to GDSs, enabling agents
to access NDC content;
technology becoming less
of an inhibitor, enabling
utilisation of capabilities;
more airlines announcing
their NDC ambitions; agents
and corporates discussing
new deals and content; and
more sticks and carrots
to encourage NDC usage,”
said Ian.
NDC – agents, know your worth
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