844 Airline Retailing

Airline retailing with ATPCO CEO Alex Zoghlin, IATA’s New Distribution Capability, Offers & Orders, and the Elevate industry conference. In the news, AI transformation of the airline industry, cyber criminals stealing United FA login credentials, shark skin riblets on Delta 767s, first flight of a prototype hydrogen-powered helicopter, China’s tailless 6th generation fighter jet, and a fatal helicopter crash in the Hudson River.

Guest

Alex Zoghlin is the CEO of ATPCO, a neutral industry partner that provides airline management tools, pricing data, and solutions that support airline retailing. Owned by the airlines, ATPCO blends data and systems with technology to create value for hundreds of commercial airlines around the world. The company turned 60 this year.

IATA describes Airline retailing as a customer-centric approach in the airline industry that focuses on enhancing the shopping experience across various channels. It is enabled by the New Distribution Capability (NDC), which allows airlines to offer more personalized services and products directly to consumers. This modern retailing model emphasizes frictionless, intuitive, and personalized shopping experiences for travelers. The transition to this model provides airlines with opportunities to innovate their distribution strategies and create additional value.

Alex explains how ATPCO provides value to airlines. We talk about continuous pricing and dynamically generated fares as well as some of the factors airlines use in their pricing strategies. He describes how airlines can have fixed price points for different offerings, then turn specific offerings on or off depending on the circumstances. We look at curated ticket pricing that can create the specific travel experience the customer wants – extra baggage, type of seat, lounge access, etc. With this capability, airlines could potentially compete for the flyer’s travel business.

ATPCO’s Elevate 2025 airline industry conference was held April 7-10, 2025, in Chicago. Alex says the conference theme this year was data and AI: How airlines can use the wealth of available data and some AI tools to make win-win offerings for both the airlines and the consumers.

In our conversation with Alex, we consider several other airline industry topics such as the 2050 industry carbon reduction goals and the current tariff situation in the United States.

Alex is a long-time airline/travel industry veteran. He co-founded Orbitz, sold a distribution startup to Travelport, and worked as a VP at Hyatt for 6 years. Alex has several aviation-related pursuits: He’s a pilot and a flight simmer, he has a Part 107 drone license, and he participates in launching large amateur rockets, specifically the LDRS (Large, Dangerous Rocket Ships), an annual gathering of rocket enthusiasts organized by the Tripoli Rocketry Association.

Aviation News

How AI is Transforming the Airline Industry

The Promise of Travel in the age of AI, a 32-page Skift & McKinsey report (2023), claims that AI could generate an estimated US$45bn in potential value for the airline industry globally through operational efficiencies, revenue optimization, and customer service improvements. 

AI is already impacting the airlines through organizational changes, predictive maintenance from aircraft health monitoring, AI-powered virtual assistants and chatbots, personalized in-flight entertainment options, and voice-cloning technology to provide a multilingual IFE system. In the future, look for flight path optimization for increased fuel efficiency, refined dynamic pricing models, and even autonomous aircraft.

Cyber Criminals Are Going After The Paychecks Of United Airlines Flight Attendants Using Fake Websites That Look Legit

Criminals are using website spoofing to steal the login credentials of United FAs. In addition to paychecks, Flexible Spending Accounts and Health Savings Accounts (HSA) are at risk. Airline passengers who quickly search for an airline’s phone number can also become victims of scams.

Delta Air Lines Innovates Fuel Efficiency with Shark Skin Riblets on 767s

In partnership with Australian company MicroTau, Delta is testing “shark skin” riblets that reduce drag on the Boeing 767. The claim is up to a 4% improvement in fuel efficiency. The skin is applied to the fuselage, wing, and tails. MicroTau’s Riblet Package was also tested on Boom Supersonic’s XB-1 technology demonstrator.

The engineering behind the first hydrogen-powered helicopter flight

A Robinson R44 that has been modified as a hydrogen-powered helicopter prototype achieved a successful first flight. Robinson and Unither Bioélectronique (through the United Therapeutics subsidiary) are collaborating on the project that incorporates two low-temperature proton exchange membrane (PEM) fuel cells, a lithium-ion booster battery pack, and a MagniX electric motor. The cylindrical hydrogen fuel tank is mounted under the tail boom and the cooling system utilizes two nacelles on either side of the helicopter.

See: What are proton exchange membrane fuel cells and how do they work?

New video of China’s tailless, triple-engine fighter jet has military aviation community buzzing

New video of the J-36 flying over a highway have appeared on Chinese social media sites. The highway is located near the Chengdu Aircraft Industry Group runway where the jet is believed to have been made.

See: New Video Of China’s J-36 Next Generation Stealth Fighter Emerges and 6-second video of the J-36 on X.

Fewer than 1 in 3 airlines have advanced offer and order strategies

IATA explains in Distribution with Offers & Orders (New Distribution Capability – NDC) that NDC is a data exchange format based on Offer and Order management processes for airlines. This allows airlines to create and distribute relevant offers to the customer, regardless of the distribution channel. ​​​​NDC (New Distribution Capability) was launched by IATA and is a travel industry-supported program. It’s open to any third party, intermediary, IT provider or non-IATA member, to implement and use.

See: 

• On-demand Webinar – The Future of Airline Retailing: Building a Customer-First Model with Offers & Orders
• The Future of Airline Retailing: Building a Customer-First Model with Offers & Orders
• IATA: Get Started with Airline Retailing [PDF]

Helicopter crashes in Hudson River in New York City, all 6 on board killed

The chartered helicopter was flying a couple and their three children on a sightseeing tour. Video shows the Bell 206 falling into the river without a tail rotor or a main rotor blade.

See: Deadly Hudson River helicopter crash renews calls to restrict non-emergency flights. Local New York City elected officials are calling for a ban on non-emergency helicopter traffic over the City. Mayor Eric Adams countered that there is no need for an outright ban.

Hosts this Episode

Max Flight, our Main(e) Man Micah, Max Trescott, Rob Mark, and David Vanderhoof.