Delta Airlines recently announced new distribution agreements with the three major Global Distribution Systems (GDSs) that will benefit travel advisors by providing access to full content without any surcharges on legacy systems. This move aims to streamline the booking process and enhance the overall user experience for travel advisors and their clients.
During the Delta Business Showcase, senior vice president of global sales, Bob Somers, highlighted the completion of multi-year agreements with two of the three GDSs, with the third agreement nearing finalization. These agreements include full-content commitments across all channels and pave the way for New Distribution Capability (NDC) integration and further display enhancements on GDS-owned platforms. The length of the agreements, however, was not specified, leaving some room for speculation in the industry.
Somers emphasized that the new agreements will uphold Delta’s value-based approach to compensating GDSs, which involves scaled payments based on the value of each booking. This strategy aims to incentivize GDSs to drive higher-revenue bookings by investing in merchandising platform improvements, including legacy display enhancements and NDC platform development.
Progress on NDC Development
Delta’s managing director of sales technology and global sales support, Sara Reid, provided a progress report on Delta’s NDC development during the Business Showcase. The airline expects to have a basic selling solution connected with technology partners such as Google, Accelya, ARC, and IATA by the end of the year. Testing of a basic NDC selling and servicing solution with select agency partners is slated to begin next year, offering agencies the flexibility to adopt Delta’s NDC solution at their own pace or continue using legacy GDS systems.
To assist agencies in transitioning to the new NDC solution, Delta has established an NDC consulting team that can provide personalized guidance and education. This initiative aims to empower agencies to make informed decisions about when to integrate Delta’s NDC solution into their operations, ensuring a smooth and seamless transition process.
Delta’s new distribution agreements with the major GDSs underscore the airline’s commitment to supporting travel advisors and enhancing the booking experience for all stakeholders involved. By prioritizing full-content access, NDC integration, and value-based compensation models, Delta is paving the way for a more efficient and customer-centric approach to air travel booking. Travel advisors can look forward to a more seamless booking process and enhanced support from Delta as the airline continues to innovate and evolve in the ever-changing travel industry landscape.
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