June 29, 2018

Digital disruption seems to be working for airlines

Airlines have focused on digital innovation in an effort to disrupt their businesses and regain a dominant claim over their customers.

A new Airline Distribution 2022 analysis by marketing consultancy Dr. Fried & Partner, finds that airlines are making progress on this goal, claiming a greater control over retailing and distribution, and predicts a major shift for GDSs and aggregators as a result.

The study’s authors write:

“Airline distribution is set to steadily further evolve in the next three to five years. The desire of the legacy carriers to intensify and further expand their relations with their customers is the main driver here.

“The most important enabler for expanding and consolidating customer relations is, in the eyes of many specialists, the IATA-standard new distribution capability (NDC)..This NDC plays a vital role in realigning airlines’ customer relations, particularly from the airline perspective. In the present study, the change in airline distribution will be presented at the airline, the aggregator and the customer level.”

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