8 Things Hoteliers Must Know About Cloud Technology and Cloud PMS

Hotel technology is constantly evolving, from the hotel's presence on the web to the latest mobile apps. Now more than ever, hoteliers need to stay on top of how technology impacts their business. In fact, according to Statistica's study on the benefits of Cloud technology, 54% of the responders stated that cloud PMS are more flexible/agile and 53% of respondents stated that cloud hotel software enhanced guest experience in the hotel. Realizing this, hotel owners and managers are increasingly turning to cloud-based technology such as Cloud-Based Hotel Property Management Software to improve the overall efficiency of the hotel. Cloud technology is set to be the next big thing in the hotel industry, with more and more hotels adopting it. This trend will continue, according to Grant Thornton's study that predicts that in two to three years, hotels will invest 7-8% more on cloud technology and the hotels that fail to upgrade will be left behind in the silos.

With innovative features that can give updated data in real-time, cloud-based hotel property management software has, can, and will disrupt the hospitality industry. Cloud-based software also appeals to hoteliers because of its enhanced accessibility, better profitability, and user-friendly dashboards.

What is the influence of cloud-based hotel software on the hospitality industry?
To begin, cloud PMS can host a property management system (PMS) from a remote location, giving hotels the option to examine hotel data from anywhere in the globe in real-time, all they need is a browser on phone, laptop, tablet and a steady internet connection. This function is exclusive to cloud-based PMS and eliminates the need for hoteliers/ managers to be physically present at their property to check in on daily organizational processes.

Cloud-based hotel Property Management Software, as opposed to locally installed hospitality software, is hosted on a secured server and provide hoteliers with a single, scalable system that is adaptable and quickly updated. These are just a few of the many reasons why the hotel industry is nearing a tipping point in terms of cloud usage.

Key features of cloud-based hotel systems to benefit your property
Cloud-based hotel software has been found to increase productivity, efficiency, and cost-effectiveness. By automating routine everyday duties, employees can devote more time to guests, resulting in a better guest experience. Additionally, by centralising operations, hoteliers can reduce the requirement for on-premise servers at each location. This can result in significant reductions in maintenance expenditures.

Cloud PMS requires less infrastructure
On one hand, an On-Premise PMS, demands extensive and costly infrastructural and technological requirements such as software-specific hardware, local servers, and licences for each user. Mind you, none of these requirements is considered budget-friendly.

While in comparison, cloud-based hotel management system comes with significant benefits, such as zero expenditure on additional tools and devices, you don't even need to install the software to use it. All you need is a web browser and steady access to the internet, and you are good to go. Each hotel function is carried out on the cloud, and all your hotel data and information are stored in the cloud too. As a result, cloud PMS does not require any IT staff or departments for maintenance, so you save a fortune there as well.

Timelines for implementation and going live is reduced
There are no system installation headaches when you use cloud-based hotel software. Even the maintenance of the software is taken care of by the software provider. The best part? Cloud PMS is built with cutting-edge technologies to assure almost zero downtime. So, all of the changes take place without interfering with your current activities.

In contrast to cloud PMS, legacy hotel software will need to be installed on many systems individually. And you need to purchase a separate licence for each system on which you intend to use the software. When it comes to software updates, you must do that on each system as well. Certainly, upgrading all of the systems will consume a significant amount of your time and work.

You never have to worry about data security
Data security is a guarantee that comes with a Cloud PMS system. They have the ability to add strong security safeguards, making Cloud solutions far safer than on-premise alternatives.

On the other side of the spectrum, you will need to take every precaution possible including, firewalls and anti-virus software to secure your hotel data on legacy PMS solutions. Despite this, security is not guaranteed. With the rise in cyberattacks, it's more important than ever to upgrade hotel IT security and secure guest data. Neglecting this detail might result in not only high legal fees but also irreversible harm to your hotel's image.

The cloud enables on-the-go access
At the risk of sounding like a stuck tape recording, we are going to say this one last time. Cloud solutions provide on-the-go access regardless of the device you are using to log in, that too from any location and at any time.

An on-premise system does not allow for this type of flexibility login and access and requires you to physically use it from the device it is installed on. And we are done.

Cloud-based hotel software has a direct impact on the hotel's revenue
Even when demand is low, a Cloud PMS can help optimize revenue streams through smarter pricing meaning offering the right price for the right room at the right time offered with the revenue management feature. Furthermore, with integrated channel managers and OTAs, you not only get the benefit of real-time distribution but also a wider market reach to gain more bookings.

A Cloud PMS aids in the enhancement of your online reputation too, which if you didn't know, has a direct bearing on the room revenue you can charge guests. As a result, your bottom line will improve. Furthermore, income rises due to cost savings resulting from flexible pricing and the subscription-based pricing model.

Implement a complete contactless guest journey to improve the guest experience
People have a preference for safety above luxury as COVID has made our life more difficult. According to McKinsey, there is a 20% increase in preference for contactless operations since 2019. Not just that. People have also developed the attitude that they should be in command of certain aspects of their journey to make it safer, including staying in a hotel. And in the hotel, what they want is a completely contactless guest experience. With a cloud-based hotel management software, you can give them what they want, right from a completely contactless booking and check-in experience to digital keys that can open their rooms from their smartphones, contactless room service, QR code menu in the room to be accessed from phone and finally contactless mobile check-out. Did you know, according to a research study from Oracle and Skift, 70% of consumers agreed or strongly agreed they'd be more willing to stay at hospitality businesses that implemented contactless check-in procedures? We smell opportunities with contactless guest journeys.

Automation using cloud hotel software can help with labour shortages
Many hotels have resorted to technology to cover operational gaps as the continuous labour scarcity limits their capacity to function at a high level. We know that most of the hoteliers' and managers' time is spent personally dealing with customers to ensure that they have a pleasant stay. This is one of the areas where a cloud PMS can automate operations and come to your rescue by implementing digital communications. As a result, it will free your team to be engaged in guest servicing while boosting overall communication.

Additionally, automation offered with cloud PMS will also minimize the risk associated with labour shortages. It will further streamline operations by automating operations, such as check-in by enabling contactless mobile check-in, a digital registration option that can cut down on time spent at the front desk, housekeeping tasks, rate management and more.

It's evident that embracing new technology is an important part of the future of hospitality management, and cloud-based hotel management software is at the forefront of that trend. A cloud-based PMS has the potential to transform the way hotels do business, and it is already doing so.