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OOSD: Offer, Order, Settle and Deliver
About OOSD
OOSD (Offer, Order, Settle, and Deliver), is a framework used in airline retailing to describe the full process of selling, delivering and servicing travel solutions and services. It covers how airlines create and present offers, manage traveler orders, handle financial settlement, and deliver the purchased services. In simple terms, OOSD brings together the key stages of the airline retailing journey into one connected model, helping airlines modernize operations, improve coordination across the value chain, and better respond to evolving traveler expectations and needs.
The mechanics behind OOSD
OOSD works by connecting four stages of airline retailing (offer, order, settle, and deliver) into one continuous process.
- Offer: The offer phase involves creating airline offers that may include fares, ancillary services such as extra baggage, in-flight meals, or seat upgrades, as well as loyalty-related benefits. Airlines can generate dynamic offers based on factors such as customer preferences and booking history, while supporting distribution across multiple sales channels.
- Order: Once an offer is accepted, it becomes an order. The order brings together all purchase details into a single record, replacing the traditional PNR (Passenger Name Record), e-ticket and EMD (Electronic Miscellaneous Document). This supports more accurate tracking and management of customer purchases, while helping airlines handle servicing and distribution in a more consistent way. For travelers, a single order means a simpler, more reliable travel experience—one record, one view of the journey, and smoother service when things change.
- Settle: The settlement phase manages the financial transactions linked to an order, including traveler payments as well as commissions or fees associated with distribution channels. By supporting modern payment processes, it helps improve the accuracy and efficiency of reconciliation while reducing the risk of delays and errors.
- Deliver: The deliver phase focuses on fulfilling the services included in the order, such as air travel, baggage services, and onboard products. It ensures that the purchased services are provided as planned, supporting a smooth and consistent customer experience throughout the journey.
The way airlines transition to OOSD
Airlines can transition to OOSD by taking a modular and phased approach that combines business, technology, and operating model change rather than treating it as a single system replacement. First, they typically need to define a clear business case and roadmap, with measurable value at each stage, so internal stakeholders can align on priorities, investment, and expected returns. From there, airlines strengthen the foundations for modern retailing through NDC and related offer and order capabilities. A practical transition also requires interoperability with existing airline systems and partner environments, since airlines still need to support interline, codeshare, distribution, settlement, and servicing across the broader travel ecosystem during the transformation period. Finally, airlines will need to redesign internal processes across commercial, servicing, operations, and finance teams so that offers, orders, settlement, and delivery work as one connected retailing model.
Unlocking the full benefits of agentic AI through OOSD
OOSD helps airlines unlock the full benefits of agentic AI by providing a structured retailing framework, unified order logic and connected operational flow that AI agents need in order to move from insight to action across airline shopping, booking, servicing, settlement, and delivery.
Benefits of OOSD for airlines
The OOSD framework is playing an increasingly crucial role in the next phase of modern airline retailing.
Dynamic and personalized offers can help airlines identify additional revenue opportunities while supporting customer interactions.
Streamlined settlement and delivery processes can help reduce administrative effort and support greater accuracy across airline operations.
A unified approach to Offers and Orders helps support a more coherent customer experience across the travel journey, particularly in case of disruption. When disruption occurs, passengers can receive clear notifications, personalized alternatives, and digital options to accept or change their travel plans instantly. The result is faster recovery, less stress for travelers, and better outcomes for airlines.
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Frequently asked questions about OOSD
Air pricing optimization
The ability to offer air pricing optimization based on overall demand.
Order tracking
Real‑time order tracking capability across all direct and indirect sales channels.
Manage cash flow
Improve cash flow management through faster reconciliation of payments and settlements.
Personalization
Offer services such as pre‑selected meals or specific seating preferences for a more personalized experience.
OOSD is expected to be an important part of modern airline retailing as the industry evolves. As technologies such as artificial intelligence and machine learning become more integrated into airline systems, the framework will help support greater efficiency and more customer focused retailing processes. For airlines, adopting OOSD solutions can help enable a more seamless, personalized, and efficient experience across the traveler journey while supporting airlines' ongoing retailing transformation.
OOSD can help airlines create more personalized offers, manage orders more consistently, and deliver services more effectively. This can contribute to a more seamless and traveler-centric journey.
OOSD helps travel agents by simplifying airline retailing across the full booking lifecycle, replacing multiple records with a single order record that is easier to manage, update, and service. It also gives agencies access to richer NDC based content and more personalized offers, making it easier to sell ancillaries and broader trip options alongside the flight. At the same time, OOSD supports a more connected retailing model across airline and agency channels, helping reduce servicing complexity, in case of disruptions, and improving coordination with partners during the travel journey.
OOSD adoption is challenging because many airlines still depend on traditional PSS environments built around separate records, so moving to an order-based model often requires multi-year system modernization and significant investment. Beyond the technology shift, airlines also need a strong internal business case, cross functional alignment, and significant organizational change across reservations, ticketing, accounting, and servicing. At the same time, progress depends on interoperability across airlines, GDSs, agencies, and other parties, with backward compatibility still essential during the transition.
