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How NDC helps airlines boost revenues and delight passengers

Julia Sattel

Senior Vice President, Airlines, Amadeus

An ancient Greek philosopher wisely suggested that the only constant is change. This rings true in the airline industry and the emergence of IATA’s New Distribution Capability (NDC) is further evidence of this maxim.

We believe that embracing change enables airlines to create memorable journeys. That’s why we have confidence in NDC’s ability to deliver value for our airline customers.

We see that airlines want to become retailers by putting travelers at the center of everything. NDC is one of the ways they can do this. It will empower them to further personalize their offers, build loyalty, and increase revenues. They will be able to sell more exciting content, and deliver full flight experiences.

We’ve been doing a lot to date with airlines in terms of NDC. Over the last year, our NDC program has really taken off. An example is Qantas and American Airlines having joined our NDC-X program.  We are working with our partner airlines and travel sellers to enable a full end-to-end workflow using the IATA NDC standard. Our aim is to ensure that airlines can distribute NDC content and make it available and relevant for multiple travel sellers across the globe, so they can ultimately sell that offer to the traveler.

We also work with airlines through Amadeus Altéa NDC.  This solution enables airlines using our Altéa Passenger Service System to distribute offers to third parties. This allows airlines to have a more consistent shopping experience and advanced merchandizing technologies with multiple partners, such as meta-search engines, travel sellers, and technology providers. For example, we joined forces with Finnair and Skyscanner  to boost conversion through Altéa NDC. The airline closed the first semester in 2017 with a 30% growth in bookings, while the click-to-book rating jumped four points – from 8% to 12%. Other Altéa NDC customers include Saudia  and Avianca

By embracing NDC, airlines can maximize their reach and profitability. It will take time to mature and be adopted, because it changes how our industry works, but NDC is an inspiring destination. When the industry comes together, it will transform the way we interact with our customers, shape our offers and distribute our services.

Have alook at this video for insights and learn more about NDC here.


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