The travel industry is continuously evolving, and with the introduction of New Distribution Capability (NDC) technology, the landscape for airline ticketing is undergoing significant changes. The Airlines Reporting Corporation (ARC) has recognized the challenges and complexities introduced by NDC and published a comprehensive set of best-practice guidelines. These guidelines aim to facilitate smoother servicing and support for airline tickets booked through NDC technology, ultimately enhancing the customer experience and promoting wider adoption.
NDC technology was intended to modernize the distribution of airline fares and services, enabling airlines to present their products in a more flexible and personalized way. However, the transition has faced hurdles, particularly in terms of training travel advisors and ensuring consistency across various platforms. The guidelines crafted by ARC’s NDC Advancement Working Group serve as a valuable tool to address these issues.
Developed over the course of the year through collaboration among representatives from airlines, travel technology providers, online travel agencies (OTAs), ticket consolidators, and travel agencies, these guidelines stem from a collective effort to overcome barriers hindering NDC adoption. As of October, a report indicated that only 19.1% of air transactions settled by ARC were NDC-enabled, with OTAs taking the lead in this area. This slow uptake has prompted the ARC to take action, hoping that clarity in servicing protocols will encourage wider acceptance of NDC across the industry.
One of the most prevalent challenges with NDC transactions is the disparity in servicing offerings among airlines. Unlike traditional Global Distribution Systems (GDS), NDC places the airline in control of the entire process, from the initial offer to the final service. This creates inconsistencies, making it difficult for travel advisors to navigate these transactions effectively. The guidelines released by ARC provide a structured approach to mitigate these discrepancies, offering a stable framework for servicing NDC bookings.
The guidelines feature a total of 20 best practices categorized to streamline various aspects of ticket servicing. These include best practices related to executing exchanges, managing debit memos, handling waivers, and providing clear timelines for processes. Noteworthy recommendations include mandating that when an exchange request is denied by an airline, the NDC interface must provide a detailed explanation along with options for submitting an alternative request. Additionally, the guidelines advocate for technology providers to enable a comparison of NDC and GDS fares, empowering travel advisors with the necessary tools to make informed decisions.
These best practices are not merely administrative; they hold profound implications for the overall travel experience. By addressing inconsistencies and uncertainties in the NDC process, travel advisors will have the confidence to support their clients effectively. This increased efficiency can lead to a more streamlined travel experience, fostering greater customer satisfaction.
Looking Ahead: A Bright Future for NDC
As the travel industry continues to adapt to technological advancements, the work of the ARC and its collaborative partners is crucial for the successful integration of NDC. With the publication of these best-practice guidelines, the hope is to standardize processes, thereby accelerating adoption rates. The collaborative nature of this initiative underscores the importance of stakeholder engagement across the entire travel ecosystem.
The steps taken by ARC to publish best practices for NDC servicing represent a significant move toward smoothing the transition into this new era of airline ticket distribution. As travel advisors and airlines embrace these guidelines, the potential for NDC to revolutionize the industry becomes increasingly tangible—a transition that is vital for the future of travel.