New Distribution Capability: The Future of Airline Bookings

As we all know, the NDC in travel industry is transforming how agencies and airlines do business. Airlines are moving toward a system called New Distribution Capability (NDC) — a standard developed by the International Air Transport Association (IATA NDC). But what is NDC airline distribution, really? It’s a shift from legacy GDS systems to direct, dynamic offers using airline NDC technology that allows real-time content delivery, better pricing, and customised travel options for agents and customers alike. This technology gives travel agents more control over the services they offer their customers. To learn how travel agents can make the most of it, keep reading!

What is NDC or New Distribution Capability?

In simple words, NDC (New Distribution Capability) is a technology developed by IATA (International Air Transport Association) that allows airlines to sell tickets directly to travel agents and customers, bypassing the limitations of traditional systems. Unlike GDS, which offers only basic fare information, NDC airline content delivers rich, real-time information. This includes:

  • Special discounts and exclusive promotions

  • Customizable seat selection

  • Extra baggage and gourmet meal options

  • Access to premium services like priority boarding and airport lounges

This direct connection means agents can now offer a far more personalised and complete booking experience through modern NDC booking platforms.

Benefits of NDC for Travel Agents

1. Get Better Fares & Exclusive Deals

Airlines often reserve their best prices and deals for NDC users. This means travel agencies using NDC integration can sell flights at a lower cost than those still using GDS. More competitive pricing means more sales!

More competitive pricing = happier customers = more bookings.

2. Offer a Richer Booking Experience

Imagine a customer asking, “Can I get an aisle seat with extra baggage and a special meal?”
With GDS, the answer might involve multiple steps or a “maybe.” On the other hand, with NDC, the answer is a smooth “Yes!”

Travel agents can now offer B2B airline booking solutions that are dynamic, personalised, and efficient. As NDC enables travel experts to provide a more dynamic and seamless experience. Whether it’s adding a Wi-Fi package, choosing specific seats, or offering flexible cancellation, everything can be done in one platform.

3. Generate Higher Commissions & Increase Revenue

Flight bookings are no longer limited to just tickets. Travel agents can now offer a variety of ancillary services like:

  • Extra baggage
  • Onboard meals
  • Seat upgrades
  • Lounge access
  • In-flight Wi-Fi and more

Each of these adds an opportunity for additional revenue. With NDC enabled airlines, more of these options are available in real-time.

4. Stay Ahead in the Industry

The industry is moving fast, and more airlines are prioritising NDC over GDS. Some carriers have already stopped offering their best fares on GDS entirely. Early travel agency NDC adoption positions agencies as innovative and client-focused.



NDC vs GDS: 7 Key Differences

New Distribution Capability (NDC) and traditional Global Distribution Systems (GDS). While both serve as distribution channels, their approach, flexibility, and overall capabilities differ significantly. 

1. Technology & Structure

  • GDS: Based on legacy systems that have been in place for decades. While reliable, they are limited in delivering personalised or rich content.
  • NDC: Uses modern XML APIs for direct communication, supporting seamless NDC integration for travel agencies.

2. Content & Personalisation

  • GDS: Offers standardised fare data with limited scope for ancillary services or personalisation.
  • NDC: Provides access to rich, real-time airline content such as seat selection, baggage options, meals, lounge access, and promotional offers—directly from the airline.

3. Access to Offers & Pricing

  • GDS: May not display exclusive or dynamic offers. Some airlines have already withdrawn their lowest fares from GDS platforms.
  • NDC: Enables airlines to share exclusive deals and dynamic pricing with travel agents, giving them a competitive edge.

4. Revenue Opportunities

  • GDS: Primarily focused on basic ticket sales.
  • NDC: Facilitates ancillary revenue through add-ons like Wi-Fi, seat upgrades, and other premium services, increasing earning potential for agents.

5. Control & Transparency

  • GDS: Travel agents rely on third-party systems with limited control over how content is packaged or priced.
  • NDC: Enables greater transparency and customisation, allowing agents to tailor offers based on client preferences.

6. Integration Flexibility

  • GDS: It typically relies on intermediaries and outdated infrastructure. 
  • NDC: On the other hand, IATA NDC can be integrated into modern travel solutions like Riya Connect, offering tailored NDC booking platform options.

7. Industry Adoption & Future-readiness

  • GDS: Still widely used but gradually losing exclusivity as airlines shift to more direct models.
  • NDC: More carriers are going NDC-first. NDC adoption by travel agencies is crucial to staying competitive.

As airlines rapidly adopt NDC, many have begun removing their lowest fares and premium content from GDS platforms. This means agencies still relying solely on traditional booking systems risk losing out on competitive deals, ancillary upsells, and client satisfaction. Thus, by adopting IATA’s New Distribution Capability, travel agents can position their business for long-term success in a rapidly evolving travel landscape. 

Unlock 23+ NDC Enabled Airlines with Riya Travel

At Riya Travel, we empower B2B travel companies with direct access to 23 NDC-enabled airlines, unlocking content beyond what GDS can offer. Whether you’re a TMC, OTA, or consolidator, our NDC booking platform supports your growth with dynamic fare access, ancillaries, and exclusive content.

Common Concerns About NDC (and the Reality)

  1. Is NDC Complicated to Use?
    Not at all. Platforms like Riya Connect simplify NDC integration for travel agencies, making onboarding fast and scalable.
  2. Will GDS Disappear Completely?
    Not immediately. However, with more airlines shifting to NDC, it’s time to adapt before GDS becomes obsolete.
  3. Is NDC Only for Big Travel Agencies?
    No — NDC for travel agents of all sizes is available. Even small and mid-size businesses can benefit from better fares, higher commissions, and modern tech.

NDC is not just another airline trend, it is the future of travel bookings. If you’re a travel agent or tour operator, adopting NDC now will help you stay competitive, increase earnings, and provide a better experience for your customers. Are you ready to take the next step? Contact us at Riya Group to learn how we can help you integrate NDC into your travel business.

 

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