DistributionExpertDeepLineConsulting: AirlinesShouldImplementNDCNow
"It'swellknownthatIhavealways beenaproponentofrapid deploymentofNDC,evenwhen theIATAstandardwasbeing bashedbycriticsdefendingthe legacystatusquo.
"Withover70airlinesalready sellingthroughNDCchannels, it'scaseclosed",saidPeter vonMoltke,CEOofDeepLine Consulting.
Themoreobviousandwell-knownbenefits arewidelyknown.Herearesomeofthelessknownbenefits:1.Foranairline,NDC enhancesitsIntegrationwithairlinealliance partners.Itfacilitatesimprovedairline partnershipinfrastructure,includingcode sharing&interlining.
NDCalsofacilitatesthe integrationofloyaltyprograms withinalliances,makingthe implementationbetweenNDC carriersfarmoreefficient,with richerfunctionality.
2.NotdeployingNDCpresents
significantfuturerisksthattheairline willincreasinglybecomeisolatedand fallbehinditscompetitors,withmostof theinnovationnowoccurringinthenew digitalchannelsversuslegacyEdifact.
Othershavedrivenincremental profitabilitybywithholdinglowfarecontentfromtheGDS channel,realizinglowerbooking costsandhigherfaresfromGDS bookings.
3.Airlinedistributionischanging
morerapidlyrightnowthanatany timeinitshistory.QuotingLenin:
“Therearedecadeswherenothing happens,andthereareweeks wheredecadeshappen”.
Non-NDCairlinesriskbeing caughtbysurprisebysudden competitormovesinNDC channelsorareobliviousto emergingopportunities.
4.NDCwillenablerich partnershipswithothertravelrelatedbusinesses,generating incrementalrevenuesand travelerconvenience(e.g.with railroads).
“Wehelpguideairlinesthrough themostcomplexchallengesthey willfacewiththeimplementation ofNDC,layoutroadmaps,aswell asdetailedimplementationplans”, saidvonMoltke.