Should Newly Opened Hotels Invest in Using a Channel Manager?

A channel manager is a software application that allows hotels to manage their rates and availability across multiple online travel agencies (OTAs), such as Expedia, Booking.com, and Airbnb. Channel managers can save hotels time and money by automating the process of updating rates and availability. They can also help hotels to increase their visibility and occupancy rates.

Benefits of Using a Channel Manager

There are many benefits to using a channel manager, including:

• Save time and money: Channel managers can save hotels a significant amount of time and money by automating the process of updating rates and availability.
• Increase visibility: Channel managers can help hotels to increase their visibility by listing their rooms on multiple OTAs.
• Increase occupancy rates: Channel managers can help hotels to increase their occupancy rates by ensuring that their rates and availability are always up-to-date.
• Improve customer service: Channel managers can help hotels to improve their customer service by providing them with a single platform to manage all of their reservations.
• Gain insights: Channel managers can provide hotels with valuable insights into their booking data. This data can be used to make informed decisions about pricing, marketing, and other aspects of the business.

Costs of Using a Channel Manager

There are also some costs associated with using a channel manager, including:

• Subscription fees: Channel managers typically charge a monthly or annual subscription fee.
• Transaction fees: OTAs typically charge a transaction fee for each booking that comes through their platform.
• Set-up fees: Some channel managers may charge a one-time set-up fee.
• Training fees: Some hotels may need to pay for training on how to use a channel manager.

Should Newly Opened Hotels Invest in Using a Channel Manager?

The decision of whether or not to invest in a channel manager is a complex one. There are many factors to consider, including the size of the hotel, the budget, and the target market.

For newly opened hotels, there are several factors to consider that may make a channel manager a worthwhile investment. These include:

• Limited resources: Newly opened hotels may have limited resources, both in terms of time and money. A channel manager can help to free up staff time and improve efficiency.
• Need to reach a wider audience: Newly opened hotels need to reach as wide an audience as possible in order to fill their rooms. A channel manager can help to list the hotel on multiple OTAs, which can significantly increase its visibility.
• Need to track reservations: Newly opened hotels need to track their reservations carefully in order to make informed decisions about pricing and marketing. A channel manager can provide hotels with valuable insights into their booking data.

Conclusion

The hospitality industry is becoming increasingly competitive. In order to stay ahead of the competition, hotels need to adopt new technologies and strategies. Channel managers are a valuable tool that can help hotels to save time and money, increase their visibility and occupancy rates, and improve their customer service.

To increase hotel revenue, do not hesitate to contact Hotel Link immediately for advice and to explore your business solutions.