Introduction: Why Offer and Order Management is Key to 2025 Goals
In the hyper-competitive airline industry, offer and order management systems are no longer optional—they are essential. With customer expectations shifting toward personalized experiences and seamless travel journeys, traditional systems can no longer meet the demands of a fast-paced, tech-driven world. By 2025, the airlines that succeed will be those that leverage advanced platforms to enhance yield, service quality, and operational agility. This article explores the transformation of airline commerce, key platform features, and the top solutions helping airlines achieve their strategic goals.
The Transformation of Airline Commerce Through Technology
The airline industry is undergoing a massive transformation driven by advancements in technology and evolving industry standards. Legacy systems, designed for static pricing and rigid workflows, struggle to accommodate the modern needs of personalization and dynamic retailing. Enter the IATA NDC (New Distribution Capability) and ONE Order standards—two frameworks revolutionizing airline commerce by enabling a customer-centric and simplified approach to distribution and fulfillment.
NDC allows airlines to create richer, more personalized offers, moving away from the constraints of traditional distribution methods. Meanwhile, ONE Order consolidates booking records, eliminating redundancies and simplifying the order management process. Together, these standards empower airlines to provide seamless, transparent experiences for travelers while improving operational efficiency.
Key Features to Look for in Offer and Order Management Platforms
To remain competitive, airlines must adopt platforms with the following features:
Dynamic Personalization: Tailored offers based on real-time data, customer preferences, and travel history. This feature significantly impacts conversion rates by providing customers with offers that resonate with their specific needs, ultimately enhancing loyalty and repeat bookings.
Seamless Integration: Compatibility with existing systems, including reservation, inventory, and payment systems. Integration ensures a unified workflow, minimizing errors and improving operational efficiency.
Scalability: The ability to adapt to growing passenger volumes and evolving business needs. Scalability is vital for airlines targeting growth or preparing for seasonal travel surges.
Data Analytics & AI: Tools to optimize pricing, predict customer behavior, and maximize yield. For instance, AI-driven analytics can help airlines identify trends and adjust pricing strategies in real-time to maximize revenue.
Compliance with Industry Standards: Alignment with NDC and ONE Order for streamlined operations. Adhering to these standards reduces complexity and ensures interoperability across different channels.
9 Top Offer and Order Management Platforms for Airlines
1. Amadeus Nevio
Features: Amadeus Nevio provides advanced NDC capabilities, enabling airlines to create and distribute dynamic offers across multiple channels. Its scalable architecture supports airlines of all sizes.
Advantages:
Real-time pricing and offer generation.
High availability to handle large transaction volumes.
Extensive global support network.
Benefits: Airlines using Amadeus Nevio have reported increased revenue from dynamic offers and reduced operational costs through streamlined processes.
Pricing: Custom pricing based on airline size and requirements, typically subscription-based with scalable options.
2. Sabre Mosaic
Features: Sabre Mosaic excels in intelligent retailing, leveraging data to deliver personalized travel offers. Its real-time pricing engine ensures optimal revenue management.
Advantages:
Comprehensive tools for ancillary sales.
Fast and flexible implementation.
Benefits: Airlines using Sabre Mosaic have seen ancillary revenue growth and improved customer satisfaction through tailored offers.
Pricing: Moderate to high, with modular options for scaling. Pricing is structured per transaction or passenger.
3. Lufthansa Systems SIRAX/ONE Order
Features: Lufthansa Systems SIRAX/ONE Order offers modular capabilities, allowing airlines to customize their order management processes. Its focus on efficiency helps airlines streamline operations.
Advantages:
Strong integration with other airline systems.
Built with operational reliability in mind.
Benefits: Improved order accuracy and reduced operational overhead, with airlines reporting operational cost savings.
Pricing: Moderate, with flexibility for modular adoption. Licensing involves setup fees and usage-based pricing.
4. Accelya FLX Platform
Features: Accelya’s FLX Platform offers end-to-end solutions for offer and order management, designed for both large and smaller carriers.
Advantages:
Easy adoption of NDC standards.
User-friendly interface for faster onboarding.
Benefits: Simplified processes and reduced time-to-market for new offers.
Pricing: Competitive for small to mid-sized carriers, scalable for larger airlines, with subscription-based models available.
5. PROS Platform Offer and Order Management
Features: PROS specializes in AI-driven pricing and revenue optimization, helping airlines maximize profits while enhancing customer satisfaction.
Advantages:
Industry-leading analytics and machine learning capabilities.
Proven track record of improving airline profitability.
Benefits: Airlines leveraging PROS have achieved higher yield through intelligent pricing strategies.
Pricing: Premium, reflecting its advanced capabilities and high ROI. Pricing typically follows a subscription model with added fees for advanced analytics modules.
6. IBS Software iRetail
Features: A comprehensive platform that combines distribution, offer management, and fulfillment capabilities, all designed with scalability in mind.
Advantages:
Flexible solutions for full-service and low-cost carriers.
High level of customization.
Benefits: Improved efficiency and a consistent customer experience, with reported reductions in error rates.
Pricing: Mid-range, tailored to specific airline needs. Pricing models often combine licensing and usage-based fees.
7. Datalex
Features: Datalex provides a robust solution tailored to the needs of modern airlines, focusing on operational efficiency and market-specific requirements.
Advantages:
Strong presence and expertise in dynamic retailing.
High reliability and scalability.
Benefits: Datalex has helped airlines improve operational efficiency and streamline distribution processes.
Pricing: Competitive, with pricing models that cater to the needs of regional airlines. Often structured as subscription-based with setup fees.
8. OpenJaw t-Retail Platform
Features: OpenJaw enables omnichannel retailing with strong ancillary upselling capabilities. It integrates seamlessly with airline systems.
Advantages:
Powerful merchandising tools.
Superior user experience for travelers.
Benefits: Increased revenue through effective cross-selling, with airlines achieving growth in ancillary sales.
Pricing: Competitive, with options for customization. Subscription-based pricing with ancillary revenue-sharing models available.
9. FLYR Offer & Order Management System (OOMS)
Features: FLYR’s OOMS leverages cutting-edge AI and machine learning to deliver real-time pricing, personalized offers, and advanced demand forecasting. It is designed to support airlines in achieving maximum profitability through data-driven insights.
Advantages:
Predictive analytics for precise demand forecasting.
High scalability, making it suitable for airlines of all sizes.
Seamless integration with existing systems.
Benefits: Airlines implementing FLYR OOMS have reported improvements in offer accuracy and revenue due to its dynamic pricing capabilities. Riyadh Airlines, for instance, is adopting this platform to modernize its order management process.
Pricing: Flexible pricing based on airline size and transaction volumes. Typically subscription-based with added costs for advanced analytics modules.
Case Studies: Airlines Achieving Success Through Tech-Driven Platforms
Case Study 1: European Airline Adopts PROS
Challenge: A leading European airline faced challenges with static pricing, resulting in revenue losses during peak travel periods.
Solution: Implemented PROS’ AI-driven pricing system to dynamically adjust fares based on demand.
Results: Achieved a 20% increase in revenue during peak seasons and improved customer satisfaction ratings by 15%.
Case Study 2: Asian Low-Cost Carrier Partners with FLYR
Challenge: Inefficient legacy systems were limiting scalability and operational efficiency.
Solution: Integrated FLYR’s OOMS for precise demand forecasting and dynamic offer generation.
Results: Improved revenue by 18% and enhanced operational efficiency, enabling faster response to market changes.
Case Study 3: North American Airline Leverages Sabre
Challenge: Struggled with poor ancillary revenue generation and lack of personalization.
Solution: Adopted Sabre’s retailing tools to create tailored offers and upsell ancillaries.
Results: Ancillary revenue grew by 25%, with significant improvements in customer retention.
Emerging Trends in Offer and Order Management
Blockchain for Transparency: Blockchain technology is being explored for secure, transparent ticketing and payment systems.
AI-Powered Chatbots: Airlines are increasingly using AI chatbots to handle customer inquiries, creating seamless booking experiences.
Mobile-Centric Channels: With the rise of mobile-first travelers, platforms are prioritizing mobile app integration for bookings and offers.
Challenges of Implementation
Adopting new platforms is not without challenges. Common hurdles include:
Integration with Legacy Systems: Ensuring compatibility and seamless integration with existing PSS systems is critical, particularly to avoid disruptions to codeshare, interline, and partner airline operations. Vendors like Amadeus, for example, prioritize minimizing risk to PSS systems through proven integration protocols.
Cost of Implementation: High upfront costs can be a barrier for smaller carriers.
Employee Training: Resistance to change and lack of technical skills can slow adoption.
Maintaining Business Continuity: Transitioning to a new system must ensure uninterrupted operations and minimal impact on ongoing partnerships and customer services.
Strategies for Overcoming Challenges:
Partner with experienced providers for smooth integration.
Develop phased implementation plans to minimize disruptions.
Invest in comprehensive training programs to upskill staff.
Leverage vendor assurances, such as Amadeus’ low-risk approach to PSS integration or FLYR’s proactive strategies to ensure operational continuity.
Conclusion: Your Path to a Tech-Driven Future by 2025
The future of airline offer and order management lies in adopting platforms that combine technology, scalability, and customer-centricity. By investing in the right solution, airlines can enhance profitability, deliver superior customer experiences, and achieve their 2025 goals. Embrace innovation now to secure your place in the future of travel.
EYQA Platform Review Methodology
The EYQA Platform Review Methodology uses a data-driven, FAB (Features, Advantages, Benefits) approach to help CxO leaders make informed decisions about business platforms. We assess key Features like usability and integrations, revealing Advantages such as enhanced efficiency and smoother workflows. These lead to the ultimate Benefits: solutions tailored to organizations’ specific needs, driving the convergence of AI, services, and software—a crucial trend shaping the future of business.
With extensive experience evaluating platforms, our refined process simplifies business platform selection. It has proven invaluable to organizations seeking clear, actionable insights.
SME Acknowledgements
We extend our heartfelt gratitude to Kuldeep Singh Sandhu, a seasoned IT leader, for his invaluable contributions to this review. With over 15 years of experience in the airline domain, specializing in Offer & Order Management and tech-driven quality assurance, Kuldeep brings proven expertise in Project & Test Management, Test Strategy, UAT, BPT, Agile Methodologies, and Test Automation. His understanding of industry trends and the competitive landscape of airline offer and order management platforms for tech-driven businesses has informed and strengthened this evaluation.
By Pankaj Mendiratta
Last updated on January 18, 2025