Hospitality today is nothing like it used to be during the earlier days of the industry, when hotels relied on offline bookings and software-enabled enhancements were unheard of. Even with the rise of the internet and digital technology, it was only the larger international hotels that could afford to implement hospitality software. But with the onset of cloud technology, all this changed – software as a service (SaaS) companies began to spring up, offering expensive management and distribution services on a subscription based-model.
While the cloud has certainly made it easier for independent property owners to access modern digital technology, it’s also changed the landscape of the industry for good. With more and more independent hotels clambering onto the platform, we now have a situation where a large number of hotels of all types and sizes are now distributing rooms on global platforms, thanks to the enhanced management technology now available to them. This has contributed to the highly fragmented industry we find surrounding us today. And for hotel owners who haven’t made the switch to cloud-based management yet, the only long-term option available for them to remain competitive in such a industry is to adopt these modern digital tools.
This isn’t a bad thing – on the contrary, switching to the cloud provides hotels with a whole host of benefits that improve their efficiency and enable them to generate more revenue! Let’s take a look at some of these advantages:
1. Fewer human errors
Even with the most stringent of filters in place, human errors are always bound to creep into any process that involves people – it’s human nature! Unfortunately, in hospitality business representatives are always in contact with customers in a public space, and there isn’t any room for such inconsistencies. Rooms that haven’t been properly prepared for arrival, folios that haven’t been properly updated and other minor errors can potentially create a PR nightmare for the property. With a property management system, hotels can streamline these tasks, ensuring that the guest experience is flawless.
2. Better operational efficiency
In a hospitality business, all the various departments present need to find a cohesive way to work together in order to create the ideal experience for guests. The front desk, housekeeping, restaurant, concierge and so on need to stay in contact through-out the guest cycle. Cloud technology like the PMS enables this with a common dashboard that connects all departments of the hotel, enabling real-time communication and announcements.
3. More time for the staff
Modern property management systems can even automate a number of mundane tasks such as night auditing and reservation management, leaving the staff free to focus on the hotel’s guests. Moreover, arriving guests can be quickly checked-in and front desk agents can consolidate all folios on the spot in moments, reducing the time spent by guests at the front office and saving valuable time for employees. Front desk agents can even update rates and inventory across all sales channels instantly thanks to cloud technology – a process that usually takes a long time.
4. Increased revenue & occupancy
Cloud technology like property management systems and channel managers enable hotels to accept bookings from a number of modern sources, such as the internet, direct booking website and travel agents around the world. By putting their hotel on global distribution platforms that attract millions of travelers, hotels can witness increases in bookings and average occupancy, driving more revenue for the hotel.
While it may take several weeks to months before hotels begin truly enjoying the returns of their investments, the long-term benefits in terms of higher occupancy, increased revenue, and an overall better brand, are definitely worth the wait!
Besides, with the level of competition in the industry escalating to unprecedented heights, the cloud is the best way to properties to stay relevant in what’s becoming an increasingly fragmented marketplace.
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