Airline business all over the world is undergoing revolution in a very fast pace, and digital revolution is now the survival mantra as well as the mantra of growth. The greatest innovation leading the revolution is perhaps IATA's New Distribution Capability (NDC). Although NDC is the underpinning for intelligent airline distribution, it's revolutionary platforms like OpenNDC that put its full potential on the table.
In this blog, we’ll break down how OpenNDC works, why it matters, and how it simplifies airline distribution through seamless NDC integration. From solving long-standing distribution challenges to enabling direct airline control over retailing, OpenNDC is leading a new era in travel technology.
What is OpenNDC?
OpenNDC is a next-generation travel technology platform designed to optimize airline distribution via NDC protocols. OpenNDC allows airlines to communicate directly with distribution partners and provide customized content, prices, and ancillaries in real time.
Unlike the dependent, rigid, and aging legacy system architectures, OpenNDC offers a flexible API-based framework that accommodates GDS as well as direct channel integration, all of which still leave the airline firmly in control of their product offerings.
Knowing NDC: The Backbone of OpenNDC
To learn how OpenNDC functions, we need to have an idea first of what New Distribution Capability is all about. IATA has developed NDC, an XML-based standard that replaces current systems, with rich content delivery support, dynamic pricing, and passenger offer personalization.
OpenNDC adds to this standard the infrastructure and tools to implement NDC at scale.
How OpenNDC Works: A Technical Overview
OpenNDC streamlines airline distribution through the blend of robust NDC capabilities with intelligent integration technology. What follows is a behind-the-scenes look at how OpenNDC works:
1. Centralized API Integration
OpenNDC combines several data feeds — i.e., airline reservation systems, GDSs, and NDC-ready APIs — into a single-stop travel distribution module. This translates into channel-to-channel harmonious communication and price and offer consistency.
2. Dynamic Offer Generation
Airlines are enabled to construct real-time, personalized offers depending on passenger experience, market demand, journey history, and seasonality. From airfares to ancillaries, all of this is dynamically generated.
3. Smart Aggregation and Filtering
OpenNDC aggregates and indexes content from different sources and eliminates redundant or irrelevant information. This enhances partners' and agents' search and booking experiences.
4. Rich Content Delivery
OpenNDC is able to provide rich media, allowing airlines to make images, fare comparison, seat maps, and brand content available during the booking process. This enhances conversion and user experience.
5. Custom Rules and Pricing Logic
OpenNDC enables the airline to nimbly apply pricing rules and fare rules independently without depending on third-party systems. Loyalty pricing, group booking reservations, or time-based offers — all in real-time.
Why OpenNDC?
Today, airlines require more than a technology solution — they require a trusted partner to revolutionize the way they distribute and sell their products. Here's why OpenNDC works:
Control and Flexibility
OpenNDC gives complete control to the airline. You have the ability to decide how, where, and to whom your content is delivered — no middle layers determining content presentation.
Seamless NDC Integration
Since OpenNDC is designed with NDC principles, it supports fast onboarding, easy integration, and uniform performance in all the NDC-enabled channels.
Cost Optimization
By diminishing dependence on legacy systems and middlemen, OpenNDC enables airlines to lower their cost of distribution while enhancing offer quality.
Greater Retailing Potential
OpenNDC makes your inventory a retail store — with branded fares, ancillaries, bundles, and upselling integrated into the offer logic.
How OpenNDC Sees Major Market Challenges
The world airline business has a special set of challenges — the bulk of which arise from legacy tech, broken systems, and rigid business models. How OpenNDC identifies and solves the top pain points as mentioned below:
1. Relying on Legacy Systems
Most airlines continue to rely on legacy systems for reservation and inventory management. OpenNDC has new API integration that can exist alongside or even displace legacy parts.
2. Non-Consistent Content Across Channels
Airlines have difficulty keeping fares and ancillaries uniform in more than one channel. OpenNDC addresses this with centralized offer management and parity everywhere.
3. Limited Offer Personalization
Airlines miss out on revenue without personalization and dynamic pricing. OpenNDC applies customer data to personalize offers and increase relevance and conversions.
4. High Distribution Costs
Old distribution patterns are inflexible and come with high charges. OpenNDC minimizes these with connect direct functions and flexible price models.
5. Long Time-to-Market
It takes months to introduce new fare products or ancillaries to market with legacy systems. OpenNDC modularity shortens go-to-market timelines through rapid configuration and deployment.
Advantages in the Real World of Implementing OpenNDC
With effective implementation, OpenNDC has quantifiable effects on different KPIs:
More Ancillary Revenue: With real-time upsell promotions and tailored bundles
Lower Booking Process: Fewer latency and real-time access to inventory
Better Customer Experience: Polisher UX with deep content and standardized promotions
Scalability: Scalable for regional carriers and large network carriers
Future-Ready Architecture: Evolves cleanly into emerging tech trends and market forces
Last Thoughts
With digital retailing and real-time personalization, airline distribution has to change — and OpenNDC is leading the way. With a New Distribution Capability commitment and an airline-first, bulletproof platform focus, OpenNDC supports carriers in moving towards simplifying, streamlining, and future-proofing distribution.
Whatever your airline needs to cut costs, enhance passenger experience, or foster deeper partner relations, learning how OpenNDC operates is a vital initial step toward digital transformation.
Discover what OpenNDC can do for your airline today — and set the pace to more intelligent, more responsive distribution.