best channel manager for hotels channel management software Cloud Based Channel Manager

9 compelling reasons why your Hotel needs a Channel Manager

Prabhash Bhatnagar
Prabhash Bhatnagar

 importance of hotel channel management software

Hotel channel management software play a huge role in seamlessly distributing inventory and rates on multiple OTAs. This entire process helps a hotel to maximizing bookings and, thereby, increasing revenue. By diversifying the sources of reservations for your hotel, you stand a higher chance of attaining full occupancy and Channel Managers come in handy in this endeavor. But here’s the catch! A Hotel channel management software brings with it lot more benefits than just increased bookings. This is why we recommend that every hotel invest in a channel manager. If you are still not convinced, we’ve listed 9 reasons why investing in a Channel manager is paramount to your hotel business:

1. Diversify the source of booking

“Don’t put all your eggs in one basket”. With competition always lurking around the corner, you simply cannot expect traditional ways to light up your path to success. Proactively pursue every source of booking there is to explore. This is a sure-shot way you can make sure you stay ahead of competition.

Channel managers make complete sense for every kind of hotel property. With a hotel channel manager in place, you get to connect to as many OTAs as you deem necessary and open out your inventory across all those OTAs. You can also select OTAs relevant to a specific region if most of your bookings come in from a certain region of the world! That is how visible you can be, no matter where you are or how small your property!

2.Single point inventory and rate management approach

Keeping up with changing times is not only a smarter way of doing things but also the most lucrative option, in the context of hotel management. Having a channel management software linked to your Property Management System is the only way to distribute inventory and rates, while saving time. The two-way connectivity between a cloud-based PMS and a cloud-based Channel Manager allows real-time updates both ways- updates on the PMS will reflect across all OTAs instantly, as well as updates from all OTAs get reflected on your PMS in real-time. The channel manager acts as the messenger between the two.

Your PMS dashboard is all you need to have in front of you to make or receive updates. Imagine all the time your front desk staff will end up saving, when a you invest in the best channel manager for hotels!

3. Penetrate newer, more lucrative local and global markets

The best part about investing in a hotel Channel Manager is that you can attract potential guests from across the world, from wherever you are. Think about it- Assume you’re running a ski resort in Switzerland and come ski season, your region gets a good chunk of reservations from Zaghreb, Croatia. With a channel manager connected to your PMS, you get to connect with the most popular OTA(s) in Croatia. This is extremely advantageous because without spending a bomb on geo-targeted marketing and such you can still lure people from Croatia to your resort!

4. Real-time update of inventory and rate across several channels

No more missed opportunities, is what this translates to. The problem with updating inventory and rates across OTAs manually goes beyond time management. Yes, it is unfair to constantly make your front desk staff walk on proverbial egg shells and stay alert always. But, you also cannot afford to bear the brunt of not updating inventory and rates across OTAs in real-time. There is a three-way failure when this occurs- your front desk staff suffer, your business suffers, plus you have irate guests leaving bad reviews. The best thing you can do to avoid all of this is to invest in a channel manager software which leaves no scope for error and does all updates in real-time.

5. Bid farewell to overbookings/double bookings

Like we just discussed, the consequences of manual errors are plenty (and mostly grave), but this one can jeopardize your business. Overbooking is a major issue plaguing the hotel industry, the world over.

Automating this process of updating your inventory and rate in real-time eliminates this potential threat. A distribution channel manager makes sure that no reservation is missed, updates your PMS as well as OTAs with all new developments relating to inventory and rates. This way, you not only avoid overbookings, but also improve guest experience and online reputation.

6. Increase direct bookings with the billboard effect

Take cues from psychology to subtly attract more online direct bookings. The billboard effect in the hotel industry is no breaking news. This technique has been repeatedly proven successful by multiple studies. The crux of the billboard effect in hotel industry is this- the more visible you are on multiple platforms, the higher the chances of prospective guests checking out your website.

A good hotel channel manager helps you connect with the most popular OTAs and this way, you can appeal to people visiting any (or all) of these OTAs and catch their attention. This billboard effect prompts the guest to check out your website and potentially make a reservation directly from your website. And we all know how direct bookings are, any day, the best for any hotel!

Source :

7. Increase revenue by increasing bookings

Select a channel management software which connects you to the right OTAs; the ones that make the most sense to your hotel property. By making yourself visible to the right audience, you stand a higher chance of getting increased bookings. Increased bookings automatically correlates with higher revenue, which is ideal case scenario for your hotel business.

8. Improve operational efficiency

No more manual entry of inventory and rates across multiple OTAs, no more manual errors and overbooking/double booking hassle. With automation, the level of operational efficiency you attain is incredible. Plus, your front desk staff will also save an enormous amount of time which they can dedicate to do more productive tasks.

Investing in a channel management software is, therefore, bound to bring in lot more structure and discipline to otherwise cumbersome processes.

9. Easy-to-use PMS integration to make your life easier

We’ve already seen how the two-way connectivity between a hotel channel manager and a cloud-based Property Management System can change the game for you. The focus here is on the cloud-based PMS just as much as it is on a channel manager. Sure, you can run your hotel with just a channel manager. However, the drawback of not having the channel management software connected to a cloud-based PMS is that you will still have to manually update your inventory each time a booking comes in from an OTA. That’s why integrating your cloud-based PMS and the channel manager is paramount to your hotel’s long-term success.

Hotelogix Property Management System (PMS) provides a fully-integrated Channel Management software which allows you to target a global audience hassle-free. Hotelogix channel manager connect provides a versatile solution for owners of small, mid-sized properties or hotel chains.

importance of hotel channel management software