Continuing its shift away from legacy GDS distribution, Air Canada has announced that it has signed a multi-year partnership with Sabre for its NDC-sourced content to be available worldwide to Sabre-connected advisors.
The deal with Sabre is good news for Canada's travel advisors, according to Open Jaw's Retail Analyst, Rocky Racco, CEO of TTI Travel.
As Open Jaw reported, on 19APR, the airline announced its move to IATA's NDC (New Distribution Capabilities) program, following its signing of a multi-year deal that provides access to the airline's NDC-sourced content via Amadeus.
Air Canada calls NDC a "cornerstone of Air Canada’s distribution modernization strategy."
At APR's launch event, Air Canada said the NDC would provide new benefits, expanded content and additional trade support for agencies and travel buyers. Airline executives said the program will provide a competitive alternative to legacy distribution, giving agents access to Air Canada inventory, fares, ancillary services, ticketing, and digital products as NDC focuses on providing more personalized content as well as access to the best possible prices across channels.
In the long run, Air Canada officials say, advisors will be better off with a new, streamlined system that allows them to serve customers more efficiently.
Initially, content available on NDC technology via Amadeus included domestic Basic fares. Beginning 14JUN, best available seat inventory and discounted ancillary pricing becomes available via Amadeus.
Also on 14JUN, the airline begins to charge $20 to $30 USD per ticket issued via GDS EDIFACT for 'Distribution Cost Recovery.' On the flip side, an NDC incentive for agencies, worth $2 per coupon, will also be introduced beginning 14JUN and will apply to eligible NDC bookings made directly with an Air Canada NDC API connection or via select NDC certified technology partners.
The new deal with Sabre, announced 13JUN, will see Air Canada's NDC content begin to become available via that channel "in the coming months," according to Air Canada's statement.
Once Air Canada’s NDC connection to Sabre is live, the Distribution Cost Recovery fees will be waived for Sabre-connected travel agencies using this path.
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According to Racco, that will level the playing field for Canadian travel advisors, as "approximately 80 per cent of all large travel agencies are in Sabre," he told Open Jaw.
However, he points out not all problems for retailers with NDC are solved. "NDC still creates a number of bottlenecks for retailers as it no longer offers aggregated results," Racco pointed out to Open Jaw. "They now have to create APIs with all separate carriers as NDC only delivers one carrier’s content."
He added, "We need streamlined aggregation."