Finnair extends Amadeus' modern retailing tech on ancillary bundles

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Finnair, which in May became the first airline to complete an end-to-end "offer-and-order," replacing the e-ticket and passenger name record (PNR) with a unified booking record, has extended its modern order management capabilities to include ancillary purchases.

The airline said Wednesday that it is now selling a combination seat selection and inflight WiFi bundle for a discounted price on its website, backed by Amadeus' Nevio offer-and-order platform.

The seat and WiFi combination is available in limited European markets but will be extended to all Finnair markets this autumn. 

"More combinations will follow in the future, including meals, priority services, carry-on, and lounge access," Finnair said. 

What is offer-and-order

Offer-and-order is also known as One Order, native order or modern retailing. The offer piece of modern retailing involves digitizing distribution through NDC technology and evolving away from legacy distribution technology. In so doing, airlines can merchandize a much wider suite of fares and ancillary products; they can also present fare offers dynamically and in real time, rather than having to rely on a limited set of previously filed fares.

The order management side, which has moved more slowly than NDC development, enables airlines to service and settle orders in one digitized, integrated customer record. That capability is expected to make service and settlement easier, improving processing for ticket exchanges and during disruptions, for example.

Offer-and-order also promises more flexibility, including the potential to include other trip elements, such as lodging and tours, within a unified customer record.

Finnair said modern retailing will also enhance its ability to personalize orders. 

Amadeus makes headway with Nevio tech

Since supporting Finnair's first native order in May, Amadeus has processed 40 million additional bookings with its Nevio offer-and-order solution, the company said last week. Most of those orders have been for Finnair, but Saudia Airlines has also gotten into the act.

"Finnair is growing consistently, rolling out market-by-market," said Amadeus executive vice president of airlines solutions Cyril Tetaz. "They are validating that the technology is scalable."

The Nevio platform is modular, meaning that airlines can pick which digitized offer-and-order capabilities to focus on first rather than having to implement the entire solution in whole.

Tetaz said that Saudia has begun integrating the Nevio order management solution with its reservation system, which will allow the airline to manage orders through a single record.

"It's a first step before we do as we did with Finnair," he said.

Air France and British Airways are also in earlier stages of Nevio integration.

On the offer side of modern retailing, Amadeus has entered into NDC content agreements with more than 70 airlines, 35 of which are currently merchandising via NDC on the Amadeus GDS. 

Tetaz said Amadeus is seeing an acceleration in travel agency interest in NDC, which is spurring more airline modern retailing investment.

"The airlines see the wheels turning," he said.

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