In a rapidly evolving travel industry, the need for faster, smarter, and more personalized distribution has never been greater. For any travel management company or business offering travel & tour services, understanding the shift from traditional Global Distribution Systems (GDS) to the New Distribution Capability (NDC) is essential.
But what exactly is NDC? And how does it compare to the traditional GDS you might already be using? More importantly, what’s the right choice for your travel business?
What is NDC?
New Distribution Capability (NDC) is a data transmission standard developed by IATA (International Air Transport Association) that allows airlines to distribute their content directly to travel agents, corporate booking tools, and online platforms via modern XML-based APIs.
Unlike legacy systems, NDC enables airlines to offer rich content, personalized fare bundles, ancillary services, and real-time availability without going through a third-party GDS filter. For example, seat selection, baggage options, or onboard Wi-Fi can now be booked directly during the reservation process.
Traditional GDS: Still Relevant, But Aging
Global Distribution Systems like Amadeus, Sabre, and Travelport have long been the backbone of travel booking. They aggregate flight inventory from multiple airlines and make it available to thousands of travel agents and tour operators worldwide.
While GDS platforms offer vast reach and standardized booking, they are often limited when it comes to modern retailing. Ancillary products, personalized pricing, and real-time changes are harder to implement via GDS.
Key Differences Between NDC and Traditional GDS
Benefits of NDC for Travel Management Companies
As a travel management company, you’re expected to offer value-driven, customized experiences for corporate clients. NDC provides the tools to do exactly that:
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Tailored Offers: Book personalized fares and service bundles directly from airlines.
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Increased Transparency: Access real-time pricing, fare rules, and seat maps.
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Improved Customer Experience: Faster bookings with more control over preferences.
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Cost Savings: Reduced reliance on GDS booking fees and potential access to exclusive NDC-only content.
Where Travel & Tour Services Benefit from NDC
If you operate in travel & tour services, especially offering holiday packages or regional getaways, NDC can empower your team with:
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Dynamic Packaging: Combine flights, ancillaries, and experiences in a single booking.
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Rich Content: Show customers images, seat types, meal options, or Wi-Fi availability at the point of sale.
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Competitive Pricing: Access airline promotions are not always available in GDS platforms.
For example, a tour operator selling premium safari packages can now offer customers a curated flight experience—such as business class seating with lounge access—right during the booking phase.
When to Stick With GDS
Despite its limitations, GDS still has its place:
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Multi-Airline Itineraries: GDS is unmatched when booking complex routes across several carriers.
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Wide Supplier Integration: It supports not just flights but also hotels, car rentals, and rail.
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Corporate Contracting: If you rely heavily on negotiated corporate rates, GDS may be more suitable—at least for now.
Which One Is Right for You?
Here’s a quick guide:
Final Thoughts
The choice between NDC and traditional GDS isn’t binary. Most successful travel management companies are adopting a hybrid strategy—leveraging the best of both worlds to offer better service, control costs, and improve customer satisfaction.
As more airlines push exclusive content via NDC and as APIs become easier to integrate, the balance is shifting. Whether you’re offering tailored corporate solutions or curated travel & tour services, adopting NDC could future-proof your operations and help you stay ahead in a competitive marketplace.
Now is the time to evaluate your tech stack and distribution strategy—because the future of travel booking is here, and NDC powers it.
