How PMS helps in boosting the hotel’s revenue?
Property Management Systems (PMS) have radically changed the game for hotel operations, operating as a one-stop tool to manage many verticals of hospitality businesses. Offering a variety of services from reservation systems to housekeeping coordination, these inclusive software solutions optimise and automate processes that traditionally require time-consuming manual work. With today’s hospitality environment being what it is, performance efficiency and guest experience are key to success, and a pms hotel does both things by taking care of all the data consolidation for you as well as most work that can be automated.
The centralization enables hotels to respond faster and more efficiently to guest requests, optimise staffing levels, and do anything but reckless shots. For a hotel, state-of-the-art PMS could skyrocket revenue by improved operations and guest satisfaction in combination with all those insightful analytics for strategic decisions. There are 5 main points that this article will discuss: in what ways does a modern PMS system enhance business processes and indirectly drive revenue.
1. Effective Rate Management
A sophisticated Property Management System (PMS) can revolutionise hotel-pricing strategies with dynamic pricing capabilities that are a powerful weapon in the revenue-optimization arsenal. The feature, which is quite advanced in what it can do, lets hotels change room rates on the fly depending on any number of factors so they are always at the current market price and will benefit revenue-wise.
A PMS allows for dynamic pricing, which is particularly beneficial because it lets revenue managers assign rates that shift automatically by myriad parameters. These could include price surges (increasing prices during peak-demand times and decreasing them when demand is low to encourage occupancy) The competitive landscape is also taken into account, the system can track rates of competitors based on which it adjusts its own prices to stay in competition. Seasonal changes are taken care of, with prices automatically scaled for the peak season or holidays being close to a 100% availability resource. These prices will rise for special events such as local festivals, conferences, and solar eclipses. They are even segmented by the day of the week, where a weekday permits different rates to be listed against weekend days – think traditional business and leisure travel patterns.
2. Enhanced Booking Experience
Since a PMS with Property Reservation integration will incorporate all the reservations made from whatever touchpoints, A guest is likely to have a seamless journey from the time of reservation until check out. Such a system with centralised information is more likely to enhance the traveller’s experience that comes back for another service. This feature makes the guest’s journey a one-time process; however, at times, they interact with the organisation regardless of the touchpoint.
A 360-degree view of a customer means that the data entered on the one-hour hotline, the website, the travel agent’s office, the reservations department, the mobile app, or the front desk will be available in the same instant no matter which route a customer calls to gather information from. Thus, no two channels will require the guest to provide data. Enough said, this service saves on the need to provide the same information multiple times. For instance, if a guest orders a high-floor room with city views from an OTA, such information will be available on the day of arrival. On the other hand, if a guest requested some special dietary meals on the first day of check-in, the reception staff would see this flagged somewhere when assisting the guest reserves a meal..
3. Ancillary Revenue Opportunities
PMS platforms today offer huge potential for the generation of incremental revenues through effective promotional, direct selling, and cross-selling. Guests are notified to check out the various packages and book the rooms and spa packages through push notifications. When a guest arrives and decides to check in, there are chances of upgrading depending on his/her membership level. Follow-up emails notify guests of the restaurant or gift shop and suggest that they book their next stay there. Every single interaction point that a guest experiences during his or her entire journey can easily become a mini-revenue generator. The integrated POS module also makes it easy to handle such incidental sales of F&B, events, transfers, tours & activities, etc, new sources of revenues.
4. Optimised Operations
The repetitive tasks tend to be managed by PMS thereby reducing the burden and time taken by staff to handle such tasks, thus permitting them to engage more time in aspects like customer care and sales. Housekeeping management is much easier when it comes to determining the status of the room, its type and the bed and the special request that may have been made by the guest through the app. Assign tasks, report the status of the room, and schedule cleaning based on check-out time to promote quick turnarounds. A faster way to order and bill F&B is provided through the use of a tablet and fewer paper checks are required. Such operational efficiency has benefits such as better revenues, which are caused by increased guest satisfaction. If staff had more time for the guests then they could understand the needs of customers well and recommend the right things.
5. Data-driven Decisions
It also helps to establish an organisation’s performance in respect of revenues with the help of analytics and business intelligence delivered by PMS. Specific details regarding the bookings demand, rate comparisons, reviews, service anomalies etc. can be obtained. Knowledge of the distribution of bookings and cancellations by source, arrival dates, room category, and so on helps in making the right decision regarding pricing and distribution to the high-volume segment. As to competitor rate analysis, it directs marketing activities toward capturing the competitor’s market share. Thus, receiving feedback on the services delivered to customers reveals opportunities for improvement. Information that is gleaned from PMS data gets translated into drives and specific operational actions that seek to increase revenues.
Conclusion
An ideal PMS for the hotel industry is not only an advanced all-in-one system but also one that offers much more than just basic functions. Thus, as new hotel management software generates revenues, manages resources better, improves guests’ experiences, and provides data insights, hotels can find their profitable routes. Since all the functions starting with reservations through to check-out are on a single interface, a hotel can be run as one integrated business unit towards achieving its targets.