Article Summary:
IATA is overhauling its existing NDC certification process, replacing it with a new, multilayered program called the Airline Retailing Maturity (ARM) index. This new index will also absorb IATA’s OneOrder registry. The ARM index registry will continue to detail IATA-verified NDC capabilities, but it moves away from the previous five-point certification scale (Levels 1-4, NDC @Scale). Instead, it will describe capabilities using "more straightforward business terms," such as "shop for flights" and "shop for ancillaries," instead of technical jargon like "air shopping RQ & RS," as explained by Kitty Little, IATA’s distribution, certification, and compliance manager.
Key Points:
- IATA is replacing its current NDC certification process with the new Airline Retailing Maturity (ARM) index.
- The IATA OneOrder registry will be integrated into the new ARM index registry.
- The ARM index discontinues the previous five-point NDC certification scale (Levels 1 through 4 certification and NDC @Scale).
- The new registry uses "more straightforward business terms" to explain a company’s NDC capabilities, replacing technical terminology (e.g., "shop for flights" instead of "air shopping RQ & RS").
Actionable Takeaways:
- For Airlines, Sellers, and System Processors: Proactively familiarize your teams with the new terminology and structure of IATA’s Airline Retailing Maturity (ARM) index. This is critical because the new index uses clear, business-oriented terms to describe NDC capabilities, moving away from technical jargon. Understanding this shift is essential for accurately assessing, communicating, and developing your NDC strategies and offerings within the updated IATA framework.
- For Travel Technology Developers and Integrators: Analyze how the adoption of "straightforward business terms" by the ARM index could simplify development and integration efforts for NDC solutions. The move away from technical acronyms towards descriptive phrases like "shop for flights" may streamline communication and understanding across business and technical teams, potentially accelerating the deployment of new retailing functionalities.
Contextual Insights:
- The introduction of the ARM index signifies IATA’s strategic move towards simplifying and standardizing the understanding and implementation of modern airline retailing capabilities. By replacing complex certification levels and technical jargon with "straightforward business terms," IATA aims to make NDC more accessible and comprehensible for all industry stakeholders, reflecting an ongoing industry trend to demystify complex travel technology and accelerate its adoption for improved customer experience and ancillary revenue generation.
- The consolidation of the OneOrder registry into the ARM index highlights IATA’s commitment to a more integrated and unified approach to airline distribution and retailing. This integration provides a clearer, more holistic framework for companies – including travel startups and those innovating in fintech solutions for travel – to develop and align their offerings with both NDC capabilities and the OneOrder vision for a single, comprehensive customer record. This streamlined approach could reduce fragmentation and foster innovation by providing a more coherent standard for future travel tech developments.
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