Time for buyers to ignore the noise around content distribution and start looking for results

It may have taken a while, but New Distribution Capabilities (NDC) now seems to be reaching critical mass. In disrupting and redefining how corporate air travel is shopped and bought, the standard continues to bring new opportunities – as well as ongoing growing pains – on various fronts. Just how much progress has been made? While some contend they’ve seen real advances, others identify more modest but still significant developments.

“Rather than a breakthrough, we’re seeing stronger engagement and growing alignment across the industry, particularly between airlines, TMCs and technology providers,” says John Balloch, chief partnership officer global air and GDS at CTM. “That momentum is encouraging.” He recalls that historically, servicing has been a barrier to broader NDC adoption, especially for corporate travel programs that rely on consistent and efficient support. For success at scale, NDC processes need to match, or ideally exceed, the functionality of the existing EDIFACT product. “The industry is not quite there yet, but it is still moving in the right direction,” he says, noting that continued collaboration will be key to delivering a solution that works well for airlines, TMCs and customers.

“The last six months have marked tangible progress for NDC adoption,” says Paige Blunt, senior manager of Direct Connect and One Order at ARC, which added seven airlines to Direct Connect in 2024 and continues to have a strong pipeline of airline interest in 2025. Between January and March of this year, the percentage of NDC transactions within ARC’s settled transactions rose from 18.4 percent to 20.3 percent. Leisure ticket sales remain the primary driver of NDC transaction volume, Blunt notes, but many TMCs are actively testing NDC capabilities as industry confidence in modern airline retailing grows.

Thane Jackson, SVP of global distribution strategy and supplier management and delivery at BCD Travel, points to a couple of significant factors leading to recent progress. “Access to relevant content is growing, which is critical for all corporate travel programs,” Jackson says. “And the NDC ecosystem is evolving thanks to significant supplier collaboration.” That collaboration is also driving enhanced capabilities as suppliers develop and continuously improve core NDC content features.

The real story with NDC over the past year isn’t so much the technology itself, which has steadily evolved, but the industry-wide acceptance and deeper understanding of its value, says Rich Liu, CEO of Navan Travel. For far too long, he explains, traditional TMCs have insisted that NDC was still far from delivering meaningful impact. If those organizations are coming around then that could spell a major shift. “They’re realizing the old limitations of legacy systems are a thing of the past, and direct content, personalization and high serviceability are now realities.”

For those who bet on NDC years ago, the current situation is great validation, Liu notes, with Navan looking at NDC content as not merely just as serviceable, but actually more easily serviced. “The industry mindset has shifted, and NDC is now the foundation for truly innovative and seamless travel experiences.”

The ways in which the standard is being adopted also continue to evolve, notes Tom Rigby, SVP of commercial for Reed & Mackay. “In some cases, lower fares are now only available via NDC,” he says. “We’re also seeing that airlines are making more moves with NDC.” He notes that Qantas, for example, is using a “not all NDC is equal” approach through which they’re offering premium and standard NDC options.

Reaping Benefits 

Just who stands to benefit from the growing acceptance of New Distribution Capabilities? At its core, NDC was designed to give airlines more control over distribution, pricing, and personalization, allowing them to get closer to the traveler and deliver tailored offers. So obviously, airlines clearly benefit. “But that doesn’t mean TMCs, corporations, or business travelers are left behind,” according to Greeley Koch, director of travel services at Acquis Consulting. “If we shift the conversation away from just the process and instead focus on the purpose – supporting a productive, compliant and cost-effective digital traveler journey – then NDC becomes a valuable tool, not a threat.” 

The key, Koch explains, is how companies access that value. Whether through a GDS that supports NDC, a direct connection via their TMC, or airline partnerships powered by third-party tech, there are multiple paths forward. Those who benefit, whether airlines, TMCs, tech providers or corporate travel programs, will be the ones who align their access strategy with traveler needs and program goals, regardless of the pipe that gets them there.

“The cost savings and the ability to increasingly tailor options mean NDC is of benefit to customers and airlines alike,” Rigby says. He points out that as early adopters, Reed & Mackay has been able to deliver NDC at scale through multiple airlines, at multiple points of sale, online and offline, using their own tech stack. The results, he reports, have contributed to consistently high CSAT and client retention scores.

Ultimately, it’s the travelers who will benefit most from NDC, Liu argues. “With NDC, travelers gain access to better-matched content and more transparent pricing, while richer, simpler servicing enables agencies like Navan to deliver a truly seamless experience.” In the process, companies that partner with agencies leveraging NDC will see more savings, better choices, and far better support, which benefits the traveler while also leading to stronger travel programs. 

“But it’s also clear that those players who cling to legacy models and fail to prioritize traveler needs risk being left behind,” Liu cautions. “In this evolving landscape, putting the traveler first with modern, tech-forward solutions isn’t just an option, it’s a necessity.”

Best Business Model? 

For all involved, determining the best business model for NDC doesn’t necessarily mean the same thing, Koch notes, since everyone wants to define “best” from their own perspective. Are we talking about the best model for the airline? The GDS? The TMC? The tech provider? The corporation? “NDC often gets painted with a broad brush, but the truth is much more nuanced,” he advises.

In fact, business models are the battleground for NDC progress. “You can’t modernize the content without modernizing the commercial model, but not everyone’s ready to let go of the old playbook,” Koch asserts. “The tension isn’t just about technology, but about who gets paid, how, and by whom.” From a buyer’s perspective, the best model is one where the airline, TMC, and tech partners work together to deliver the right content in the right channels, in a way that’s commercially sustainable for everyone involved. That’s easier said than done. “The jury is still out on how this ultimately plays out, and whether the ecosystem can strike the right balance.”

Balloch says that the first thing to ask is, will NDC deliver the same level of servicing, or better, from day one? “If not, the trade-off is that you’re looking at more offline bookings, added complexity for your team and higher costs,” he says. “It’s also important to be clear on what’s available now versus what’s on the roadmap.” If the ability to easily change flights on NDC fares or request refunds is not ready, you need to plan for how that’s going to be managed. In the end, the best business model is one that supports travelers without adding friction and gives customers confidence that service and support won’t take a step backward.

“There is no one-size-fits-all solution for NDC integration,” Blunt says. To determine the optimum NDC business model for a specific corporate travel program, an organization must determine priorities like customer experience, servicing and content access. “Organizations should work with their TMC partners to assess how ready their program is and find out where gaps exist,” she adds. “Engaging with airlines and aggregators is a great way to explore options for post-booking support.” 

For travel managers looking to make the most of the opportunities offered by NDC, Balloch advises that a good start can be had by working closely with your TMC to understand if their mid-office, back-office and OBT are ready to support NDC content. That includes, importantly, whether they can do so without compromising the booking and traveler experience. 

“Be transparent with your internal stakeholders about where NDC capabilities are today, especially around servicing,” he says. “If certain functions need to be handled offline, that can mean added time, effort and cost, and that should be factored into any decision-making.” 

It’s also helpful to keep in mind that airline offers available through NDC, including discounts, may change over time. “What looks like a saving upfront may come with additional servicing costs,” Balloch notes. “It’s about taking a whole travel program view to make sure NDC adds value.”

A central element to consider, according to Jackson, is the integration of personalization into corporate travel, with travelers having the option to customize their experiences by choosing ancillary options such as seat upgrades, additional baggage and WiFi. That means travel policies should be updated to allow these options while adhering to corporate guidelines. “It’s crucial for travel managers to find a balance between offering greater freedom to travelers and controlling costs for the company,” Jackson says.

Clear and open communication with corporate travelers is also essential, he adds. “Travel managers should inform employees about the new policies and the benefits of NDC, explaining how these changes can improve their travel experience and contribute to greater corporate efficiency,” he advises. “Educating travelers on how to use these new options is a crucial aspect of effectively implementing the new policies.”

Seizing the Day? 

“Travel managers can’t afford to be bystanders anymore,” Koch says. “It’s time to become architects designing programs that work for the company, not just around the industry’s status quo.” He adds that while NDC may be today’s disruptor, something new is always around the corner. 

“Think NDC for hotels, AI-powered pricing, or content shifts we haven’t even imagined,” Koch says. The goal isn’t just to react, but to stay ready. That requires building a program that’s flexible, future-proof, and driven by purpose, not legacy process. “Because in this new era, adaptability isn’t a nice-to-have,” he says. “It’s your edge.”