A hotel booking system has become a crucial, indispensable business tool for most hotels in present times. Since it is accessible at all hours, it offers more convenience for hotels to receive bookings and guests to make reservations. Aside from that, the system can enable the hotels to save money on their bookings, which is a crucial factor in increasing their profit margins.

Effective ways to save money on hotel booking

The first step in saving money on hotel booking is to install the hotel booking system. There will be an initial setup cost, and if the hotel decides to upgrade the system at a later date or add more features, there may be an additional charge. Apart from that, the hotel does not incur any regular expenses in running and using the system. It can save money on reservations in the following ways:

The system serves as a marketing brochure

Hotels have to set aside a specific budget for marketing purposes, but they can reduce this to an extent by using their hotel booking system as a marketing brochure. Prospective guests can use the booking system to preview the interior and exterior areas of the hotel. They can view photographs and videos of the hotel lobby, guest rooms, dining area, restaurant, conference rooms, recreation areas, and gardens. They can find out about the cuisine the hotel serves and the amenities it may offer, such as spa and beauty care, and the luxury item shops it has on its premises. The imagery and the available amenities can affect the guests’ decision to book their rooms at the hotel.

By using the system as a marketing brochure, the hotel can build its brand without expending additional expenses on the marketing front. Additionally, it can build brand loyalty with it by increasing customer satisfaction. Guests, who could book their rooms quickly and easily through the system and enjoyed their stay at the hotel, are likely to leave favorable hotel reviews and recommend the hotel to their families, friends, and acquaintances. The hotel can benefit from such word-of-mouth marketing without paying for it.

The system allows for direct booking

With a hotel booking system, prospective guests can book their hotel rooms directly. They can make their room selection, provide personal details, input how long they intend to stay at the hotel, and make their payment for reserving the room. The whole process is quick and easy. And if the guests decide to make changes, such as upgrading to a more luxurious room or extending the duration of their stay, they can do that without any issue.

By enabling guests to make direct bookings through its hotel booking system, the hotel does not need to depend on online travel agencies to get reservations for it. Of course, it may decide to also partner with the online travel agencies and give them access to its system, but it is no longer essential. Some hotels may forgo working with online travel agencies altogether.

If they do that, they can save on the commission that these agencies charge. Since some agencies charge up to 30% commission for every reservation that comes through them, it can add up to a substantial amount. Saving on these commission payments can increase the hotel’s profits.

The system gathers essential guest data

The prospective guests input their details into the hotel booking system, and this information then gets integrated into the hotel’s property management system. Since they have this guest data at hand, the hotel does not need to assign a team to undertake the independent market search, and that will save their money. The hotel management staff can review the available guest data and use it to create effective marketing strategies and marketing campaigns.

They can send guests regular newsletters and provide them with information about credit card points, perks, and rewards, hotel coupons, hotel loyalty programs, off-season deals, package deals, and more. They can also use the hotel guest data to stay informed about the preferences of returning guests and improve their hospitality experience by providing them with what they like. With these simple steps, the hotel can increase its room bookings and thereby earn greater profits in the long term.