ARC Transformation: Travel Agency DistributionIATA NDC Certification Validates that NDC messaging...
Transcript of ARC Transformation: Travel Agency DistributionIATA NDC Certification Validates that NDC messaging...
ARC
Transformation:
Travel Agency
Distribution
Shelly Younger
Sr. Manager, Industry Relationships
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All Rights Reserved.
Airline Distribution Strategy
Omni-Channel
Customer Experience
Airlines want the ability to offer consistent personalized
shopping experience across all their channels.
Retail Shopping
Capabilities
Airlines want to merchandise and target their product offerings,
providing customized offers to both business and leisure travelers.
Control Of
Content
Airlines want control over how their product is displayed and sold. They
seek “one version of the truth” that is consistent, accurate and transparent.
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What is the Future of Distribution?
It’s a personalized shopping experience across
all channels, within all contexts – offering the
right content to the right traveler at the right
time.
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New Distribution Capability (NDC)
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ARC Proprietary and Confidential – 2018. Redistribution in any format requires written permission by ARC.
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All Rights Reserved.ARC Proprietary and Confidential – 2018. Redistribution in any format requires written permission by ARC.
New Distribution Capability (NDC)
Refresher
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• NDC is an XML standard which allows the airline to differentiate their airline products
• One standard that can be used by multiple technology partners which improves “time to market”
• Supports personalized offers by allowing agents to provide customer details before the ticket is issued
• Allows for the transmission of rich content which is a way to visually display product features
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Airline Distribution – Agency Channel
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Customer
GDS builds offer from schedule, fare rules
and availability
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Airline Distribution – New Distribution Capability (NDC)
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IATA NDC Certification
Validates that NDC messaging meets existing IATA NDC standards
• IATA NDC certification – Levels 1, 2, 3 and 4 (new)• Level 1 - Basic (basic shopping, ancillaries post booking)
• Level 2 - Offer management (extensive use of offer management API, shopping)
• Level 3 - Offer and order management (extensive use of offer and order management API)
• Level 4 – (forthcoming) NDC at scale
Airlines Registered for IATA NDC Certification
IT Providers Registered for IATA NDC Certification
Sellers Registered for IATA Certification
Aggregators Registered for IATA
Certification
Airlines and NDC
Where do things stand today?
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Are Airlines Required to Implement NDC?
Will All Airlines Implement NDC?
Will Airlines Implement NDC in the Same Way?
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All Rights Reserved.ARC Proprietary and Confidential – 2018. Redistribution in any format requires written permission by ARC. ARC Proprietary and Confidential – 2018. Redistribution in any format requires written permission by ARC.
Will Airlines Implement NDC in the Same Way?
Airline A - Focus on implementing NDC for
ancillaries with possibility of phasing in NDC for shopping
and booking in the future.
Airline C - Focus implementing NDC for shopping, booking,
payment and ticketing for multiple agency types and
markets.Airline B - Focus on
implementing NDC for shopping and booking, possibly for specific agency types (OTAs, Leisure or Corporate markets) or in specific markets (Europe,
South American etc.).
Airline D - Focus implementing NDC for shopping, booking, payment and ticketing first through metasearch engines
with a plan to phase in NDC for multiple agency types and
markets.
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IATA Leaderboard Airlines
GDSs (Aggregators) and NDC
Where do things stand today?
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Where Does Amadeus Stand on NDC?
IATA NDC Level 3 - Aggregator
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Where Does Sabre Stand on NDC?
IATA NDC Level 3 - Aggregator
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Where Does Travelport Stand on NDC?
IATA NDC Level 3 - Aggregator
ARC and NDC
Where do things stand today?
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Flexible Distribution Options
One Size Does Not Fit All
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ARC supports the full spectrum of airline distribution models in the travel agency channel and provides flexible transaction processing workflows, payment processing and settlement options, and outputs that enable airlines and travel agencies to efficiently and effectively manage their partnerships.
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Input Format
Airline BAirline A
Reporting
File Transmission
Business Rule Application
Settlement
RET
IAR modifications, voids, refunds and exchanges are
inhibited
Transaction errors returned to airline on rejection file
Via IATA WebLink
Cash and Commissions Only (No CC Processing)
Yes – Cash FOP and CC with Commissions
Flexible Distribution Options
SPRF
IAR modifications, voids, refunds and exchanges are
allowed
Transaction errors corrected by agency in Interactive
Agent Reporting
Via IT Provider
Cash and CC
Yes – All Transactions
RET
IAR modifications, voids, refunds and exchanges are
inhibited
Transaction errors – path TBD
Direct from Airline or via GDS Host
Cash FOP Only (CC in the future)
Yes – Cash FOP Only
RET
IAR modifications, voids, refunds and exchanges are
inhibited
Transaction errors returned to airline on rejection file
Via IATA IFG
Cash and Commissions Only(No CC Processing)
Yes – All Transactions
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Enhanced Distribution - Release 1
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• Accept airline or neutral ticket stock
• Process multiple file formats (SPRF/RET*)
• Integrated with IATA NDC Link
• Credit card billing options – airline or ARC initiates credit card billing
• Option to prevent IAR error correction or modifications
• NDC identifier in agency sales reporting tool (IAR)
• Output of NDC and non-NDC transactions on agency BOS file
• Output of NDC and non-NDC transactions on CAT
*Limited functionality available for RET processing
Features
Airline testing: Nov. 2017 – January 2018
Code implementation on: Feb. 8, 2018
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Airline Distribution – Agency Channel
ARC Process Flow
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Cu
sto
me
r
Airline
GDS
Agent
Direct Connect
ARC Data Warehouse
SPRF/RET/Other
Aggregator
Internal Airline
Processing
Product
Price and
Availability
Engine
Airline API
GDS
Agent
Interactive Agent
Reporting (IAR)
BOS
Cash Sales
Carrier
Accounting
Tape (CAT)
Credit Card
Processors
Airline
Credit Card Billing
API/Direct Connects (NDC)
Traditional GDS
Distribution Model
NDCLink
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ARC Participates in multiple NDC, One Order and
Settlement with Orders (SwO) Industry Meetings
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NDC Discussion
Topics with
Industry
Partners
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NDC Topics for the Agency to Discuss Internally
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What are some topics to discuss within your agency?
• Do some research on NDC and what it means for your agency’s business strategy. Does your agency need to take any next steps right now?
• Reach out to strategic partners (airlines, GDSs, technology companies, corporate booking tools, customers) and initiate discussions on how best to partner around NDC implementations (ARC can help facilitate that).
• Based on how an airline implements NDC (ancillaries, shopping/booking etc.) will drive additional questions.
What is the impact to your ticketing process (website, other tools)
Will there be any special handling for post-ticket services? If so, what is the process?
How will any performance agreements or commission/discount contracts be impacted?
Will there be any impact to the agency’s customer invoicing or servicing (especially in the situation of irregular operations)
How will NDC transactions be integrated into corporate booking tools
Is duty of care impacted?
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NDC Discussion Points – Airline Outreach
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What are some topics to bring up when you reach out an airline?
• What is the airline’s strategy and timeline to implement NDC?
• What types of NDC messages will/does the airline support?
• Post-Sale Ancillaries, Shopping, Booking, Ticketing, Payment, Servicing etc.
• Does the airline support post-sale servicing?
• Refunds and Exchanges . If not, what is the timeline for that capability?
• What fare types will be available with the airlines’ NDC implementation
• Published, private, contract, net, bundles, fare families etc.
• What payment types are supported
• Credit/debit forms of payment, local payment types (country specific), and cash
• How will credit card chargebacks be managed?
• If your agency has any type of up-front commission contract, how will commission be applied through NDC?
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NDC Discussion Points – GDSs/Aggregators
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What are some topics to bring up when you reach out a GDS/Aggregator?
• What is the GDS’s strategy and timeline to implement NDC?
• Will the GDS display both NDC and non-NDC fares in a seamless tool?
• How will their implementation impact your agency’s business?
• Will the GDS still provide integrated back/mid office support/data?
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Thank You!
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