Navan releases extensive NDC Savings Index

Navan introduced the discharge of the Navan NDC Financial savings Index, a complete evaluation of the influence of scaled NDC utilization for company journey packages. The in-depth evaluation explores NDC bookings from 12 airways and hundreds of thousands of flight choices to grasp the state of NDC immediately and quantify how a lot corporations with entry to this content material might save.

“There’s an enormous distinction between merely enabling NDC versus what Navan is doing, which is main the way in which with an NDC roadmap that drives the {industry}’s modernization efforts ahead,” says Wealthy Liu, CEO of Navan Journey. “As a tech firm, we’re designed to shortly adapt to new applied sciences. Being an early adopter of NDC has allowed us to create a regular for a way TMCs ought to optimize NDC content material. The NDC Financial savings Index is the results of these efforts — illustrating the potential financial savings and traveler worth of NDC carried out proper.”

Most main airways already supply (or plan to supply) differentiated NDC content material as they proceed to leverage the know-how’s distinctive potential to enhance communication between carriers and prospects.

To raised perceive the influence of those advances, Navan analyzed the info from flight bookings made on its platform over a three-month interval (Feb. 16 – Could 16, 2024). The compiled outcomes supply an insightful deep-dive into the potential worth of NDC by uncovering NDC reserving traits (international, regional, and per airline), cost-savings alternatives, and insights from particular person airways.

Key findings:

• Almost one in 4 flights booked on Navan in Could was through NDC:
  • Within the U.S., which leads globally in reserving quantity on Navan, NDC represented roughly 24% of all flight bookings.
  • In Europe, the place a single airline is usually dominant per nation, NDC accounted for practically one-third (31%) of all flight bookings on Navan.

• Bigger journey packages with NDC entry might see as much as six-digit annualized financial savings: Sure prospects with NDC-enabled content material noticed potential financial savings per airline starting from 3.3% to 16.6%, due to prevented GDS surcharges, in addition to entry to extra worth factors and unique fares.
  • Relying on the route, Navan knowledge present that as much as 57% of fares printed by an airline might be lacking from a reserving software — resulting in a bigger share of fares exterior a journey administration software than in, creating leakage and potential mistrust from staff, in addition to a scarcity of visibility and additional overspending.

• As NDC adoption elevated, so did traveler satisfaction: As entry to NDC content material was made broadly accessible, Navan’s Web Promoter Rating (NPS) — a measure of buyer satisfaction and loyalty, the place scores above 30 are thought-about excessive — persistently elevated in the course of the take a look at interval.
  • Navan’s NPS is up 13% this 12 months and at the moment sits at 43 for Navan’s flight platform. (This rating consists of post-booking modifications and in-trip expertise.)

“With all of the modifications within the {industry}, we would have liked a platform that was agile sufficient to accommodate new know-how and processes,” says Melissa Watson, Group Journey & Company Occasions Director at Informa. “Informa is now seeing good financial savings from NDC through Navan; we’re on monitor to save lots of round $215k this 12 months.”

The NDC Financial savings Index showcases Navan’s industry-leading integrations with NDC content material now from 15 international airways. Navan connects to as many suppliers as potential to ensure appropriate content material at the absolute best worth — with out compromising on person expertise. Leveraging AI and factoring in buyer firm coverage, private preferences, and optimum pricing, Navan dynamically shows related reserving choices to prospects. NDC content material is optimized in order that vacationers profit from the identical self-serve capabilities anticipated from GDS bookings (akin to flight modifications, cancellations, and extra) — all on-line and with out the necessity for extra agent help.

“Navan’s journey with NDC and American Airways started as early as 2018, and numerous work has been accomplished to outline NDC and create an expertise that meets the wants of recent enterprise vacationers,” says Anthony Rader, Director of Airline Retailing Expertise at American Airways. “By Navan’s efforts, they’ve been in a position to present our mutual prospects extra selections with bundles and ancillaries, a seamless reserving expertise, and added servicing advantages.”