The OnRes Blog

From Traditional to Tech-Savvy: Why Hotels Should Move to Cloud PMS?

By: Steve Behrisch , President & CEO

The hospitality industry is one of the most rapidly evolving sectors, with new technologies and trends emerging every day. 

One of the most significant changes that hotels are experiencing is the shift towards cloud-based Property Management Systems (PMS). Cloud PMS hotel software is becoming increasingly popular in the hospitality industry, as it offers numerous benefits that traditional on-premise systems cannot provide.

In this blog, we’ll explore the top reasons why hotels should move to cloud PMS and how it can benefit their business.

Table of Contents

1. Enhanced Flexibility

Cloud PMS offers hoteliers enhanced flexibility, allowing them to manage their hotel operations from anywhere at any time. Hoteliers can access real-time data from any device with an internet connection, including smartphones, tablets, and laptops.

This increased mobility enables hoteliers to manage their properties remotely, freeing up time and resources that can be allocated elsewhere.

Reasons why hotels should move to cloud PMS

For instance, if a hotel manager is traveling, they can access the PMS through their mobile device to check the occupancy rates, room availability, and guest information.

They can even make updates or changes to the reservations, ensuring that everything is running smoothly, even when they are not physically present at the property.

2. Improved Efficiency

Cloud PMS can strengthen hotel operations by streamlining administrative tasks, increasing efficiency, and minimizing errors. Hotel staff can enter and manage guest data, bookings, and room assignments quickly and easily, reducing the time and resources required for these tasks. Additionally, the system can generate automated reports, saving staff time and increasing accuracy.

For instance, a cloud-based PMS can automate housekeeping tasks by assigning room cleaning schedules based on check-out times and occupancy.

The housekeeping staff can access the information from their mobile devices and mark the rooms as cleaned once they finish. This eliminates the need for manual tracking and reduces the chance of errors or oversights.

3. Cost Savings

Cloud-based PMS software can be a cost-effective alternative to traditional on-premise systems. There are no expensive upfront hardware costs or ongoing maintenance fees, as the cloud provider takes care of maintenance and upgrades.

Additionally, hotels can pay only for the services they need, making it more cost-effective for small hotels or properties with seasonal occupancy levels.

Moreover, cloud-based PMS software can also save costs on staff training, as the system is typically user-friendly and intuitive. Hotel staff can quickly learn to navigate the system, reducing the need for extensive training or specialized personnel.

4. Scalability

Cloud hotel PMS software is highly scalable, making it ideal for hotels of all sizes. As the hotel grows, the system can easily scale up to meet the needs of the business. The system can also be customized to fit the unique requirements of the property, ensuring that the hotel can provide an excellent guest experience.

For instance, if a hotel is expanding its operations to a new location, the cloud-based PMS can be easily integrated into the new property, allowing for a seamless transition.

Moreover, the system can be customized to accommodate specific needs, such as multiple languages or unique booking requirements.

5. Enhanced Guest Experience

Cloud PMS system enables hotels to manage bookings and guest data, ensuring that guest preferences and requests are met. Additionally, the system can generate automated emails and alerts, keeping guests informed and updated about their stay. By enhancing the guest experience, hotels can improve guest satisfaction, loyalty, and ultimately drive revenue.

#OnResTips: Best practices to improve hotel guest experience. 

For instance, a cloud-based PMS can enable hotels to personalize the guest experience by tracking guest preferences and requests, such as room temperature or preferred amenities.

The system can also automate email notifications, such as booking confirmations and pre-arrival messages, providing guests with valuable information about their stay, such as local attractions, events, and dining options. By providing guests with relevant information and personalized experiences, hotels can improve guest satisfaction, loyalty, and ultimately drive revenue.

6. Improved Data Security

One of the biggest concerns for hotels is data security. Cloud-based PMS software provides improved data security, ensuring that guest information is protected and secure. The system offers built-in security features, such as encryption and access controls, to prevent unauthorized access or data breaches.

More so, cloud-based PMS software provides data backups and disaster recovery capabilities, ensuring that critical data is not lost in the event of a system failure or outage. This eliminates the need for hotels to maintain costly data backup systems or hire IT personnel to manage the backups.

7. Integration with Third-Party Applications

Cloud-based PMS software can integrate seamlessly with third-party applications, providing hotels with access to a range of tools and services.

For instance, the system can integrate with online travel agencies (OTAs), allowing hotels to manage their bookings and inventory from a single platform.

The system can also integrate with revenue management tools, allowing hotels to optimize their pricing strategies and maximize revenue.

The system can also integrate with guest engagement tools, such as guest messaging or loyalty programs, enabling hotels to provide personalized experiences and increase guest satisfaction.

8. Real-Time Reporting and Analytics

Cloud-based PMS software provides real-time reporting and analytics, enabling hotels to track performance and identify areas for improvement. The system can generate reports on occupancy rates, room revenue, guest satisfaction, and more. The reports are customizable, allowing hotels to track the metrics that matter most to their business.

Real-time reporting and analytics enable hotels to make data-driven decisions, optimizing their operations and driving revenue growth. By having access to real-time data, hotels can quickly identify areas for improvement, such as room pricing or marketing strategies.

Frequently Asked Questions

A Cloud PMS (Property Management System) is a web-based software that manages hotel operations remotely. Accessible from any device with an internet connection, it simplifies tasks like reservations, guest management, and housekeeping. Unlike traditional on-premise systems, cloud PMS eliminates the need for local servers and IT maintenance.

Here’s a quick comparison of Cloud PMS and on-premise PMS to help you decide which is best for your hotel:

Hosting
Cloud PMS: Remote servers hosted by the vendor.
On-Premise PMS: Software installed on your hotel’s local computer hardware.

Accessibility
Cloud PMS: Accessible from any device with an internet connection.
On-Premise PMS: Only accessible on-site from designated computers.

Maintenance
Cloud PMS: Vendor-managed automatic updates and maintenance.
On-Premise PMS: Requires IT staff for updates and maintenance.

Scalability
Cloud PMS: Easily scales up or down based on your hotel’s needs.
On-Premise PMS: May require hardware upgrades to accommodate growth.

Cloud PMS offers a multitude of advantages over traditional on-premise systems, streamlining hotel operations and boosting overall efficiency. This translates to cost savings and allows staff to focus on delivering exceptional guest experiences.

Here are some key benefits:

  • Reduced IT Costs: No need for expensive hardware or in-house IT staff.
  • Increased Accessibility: Access the system from anywhere, anytime.
  • Enhanced Security: Cloud providers prioritize robust security measures.
  • Automatic Updates: Benefit from the latest features and bug fixes.
  • Improved Guest Experience: Offer contactless check-in and personalized services.
  • Simplified Integrations: Easily integrate with other hotel software.

Yes, many Cloud PMS offer open APIs (Application Programming Interfaces) that allow seamless integration with your existing hotel software, such as channel managers, booking engines, and accounting systems. This ensures a smooth transition and centralized data management.

Absolutely! Cloud PMS are designed with user-friendly interfaces accessible from any device. They offer intuitive navigation, streamlined workflows, and mobile app access for staff, leading to a more efficient and user-friendly experience.

Cloud PMS providers prioritize robust security measures to protect guest data. Regular updates and automatic backups ensure data integrity. Additionally, cloud-based systems are less vulnerable to physical security breaches compared to on-premise servers.

Cloud PMS often come with subscription-based pricing models, making them cost-effective for hotels of all sizes. You pay for what you use, eliminating upfront hardware and software costs. Additionally, reduced IT maintenance translates to further savings.

Yes, a key advantage of Cloud PMS is remote access. With an internet connection, authorized personnel can access the system, manage reservations, and monitor hotel operations from any device, enhancing flexibility and control.

Yes, integration with other hotel software is a common feature of Cloud PMS. They connect seamlessly with channel managers, booking engines, and other hospitality applications, streamlining operations and centralizing data for better decision-making.

Small hotels can reap significant advantages from Cloud PMS solutions. Here’s a quick rundown of the key benefits:

  • Affordability: Pay-as-you-go model reduces upfront costs.
  • Easy Setup & Use: No need for complex IT infrastructure.
  • Automatic Updates: Access the latest features and bug fixes.
  • Increased Mobility: Manage your hotel remotely.
  • Improved Security: Cloud-based security protects your data.
  • Scalability: Easily adapt the system to your growing needs.

Conclusion

The hospitality industry is constantly evolving, and technology is playing an increasingly important role in enhancing customer experiences and improving operational efficiency. 

Cloud-based Property Management Systems (PMS) offer a range of benefits to hotels, including cost savings, increased agility, improved data security, and enhanced guest experiences. 

Embracing cloud PMS solutions can help hotels streamline their operations, improve their bottom line, and deliver a better experience to their guests. 

While there may be some initial budget required to move to the cloud, the long-term benefits make it a worthwhile investment for hotels of all sizes. As the industry continues to evolve, it is essential that hotels stay ahead of the curve and adopt new technologies to remain competitive.

Steve Behrisch, President & CEO

Steve joined the OnRes Team as an account rep in 2008 and was promoted to VP of Operations a short time later. In 2011, Steve agreed to purchase OnRes and became President and CEO, and has been steering the ship since; achieving significant milestones such as rebuilding the reservation software from the bottom up, forging new partnerships, doubling the revenue, and much more…
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