Reservation and Management Control System

 A hotel reservation system is a software system that enables customers to make safe
and direct online reservations with the hotel without the need for middlemen. In essence,
the software manages online reservations made through the hotel's website and then
transfers this information to the hotel's own backend so that it can be conveniently
accessible. Bookings are then managed by hotel staff. Even though the procedure is
comparable to using an online travel agent (OTA), the hotel's booking engine simply ties
up to their own website, preventing extra costs for the establishment.
 A hotel reservation system is also called a central reservations system (CRS), it may be
housed within the hotel’s property management system (PMS) or may be standalone
software connected to the PMS.
 The CRS acts as the central hub of the reservation ecosystem, which may also include a
website booking engine, channel manager, and revenue management system. When
integrated, these components work together to help hotels manage room availability,
distribution, reservations, and revenue.
 Through the hotel reservation system software, guests can choose how long they will
stay, the type of room they want, get add-ons, and pay securely online through a
payment platform. With the boom of the Millennial traveler, now more than 700 million
people are expected to book primarily online by 2023, so having an online reservation
system is key to reaching a widespread audience. It is also key to generating a good first
impression because guests are able to place bookings without having to navigate to
another domain. Keeping the whole process internally prevents clients from navigating
away from the page before making the final booking.

How does a hotel reservation system work?

First, the hotel’s revenue manager loads the hotel’s rate codes, inventory, and
restrictions into the CRS. The information is then populated into the PMS and, with the help of
channel management software, distributed to the hotel’s booking channels. These channels
may include the hotel’s website booking engine, online travel agencies (OTAs), the global
distribution system (GDS), wholesalers, and metasearch sites.
When a traveler books a hotel room on one of these channels, the information is passed
back to the CRS and the PMS, where it is stored for retrieval when they check-in. At the same
time, availability is updated on all distribution channels. The reservation system can also link up
to the channel manager, allowing hotels to distribute their availability to both online agents in
real time.
These types of booking systems are used in the hospitality industry in order to allow
guests to book their own stays online through software. It helps facilitate a smoother booking
process and easily gathers data into your system. Furthermore, it gives you an edge over your
competitors and improves efficiency by automatically syncing across your system and channels.

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Reservation and Management Control System Page
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 This process is contingent on two-way connectivity between the CRS and the other
components. If the components aren’t integrated, the revenue manager must perform these
tasks manually, a time-consuming and error-prone process.

The difference between a ‘hotel reservation system’ and a ‘booking engine’

The terms “hotel reservation system” and “booking engine” are often used interchangeably in
the hospitality industry, but they actually refer to different things. A hotel reservation system, or
CRS, is the central hub where reservation information is stored from all booking channels,
whether by telephone, OTA, GDS, sales department, or online booking engine. A website
booking engine, also called an internet booking engine (IBE), is software that allows guests to
make a reservation directly from the hotel’s website.

What are the benefits of using a hotel reservation system?

Nowadays, having software to manage bookings is without doubt fundamental, no matter the
size of the property.
 Improved efficiency
A reservation system improves efficiency for hotels, primarily because availability is updated
immediately across all channels, including your own system. This reduces the amount of
time needed for the front desk to dedicate to administrative tasks and also minimizes the
risk of overbooking. Furthermore, an online booking system has the ability to automate tasks
like sending out booking confirmations so that staff can spend their time taking care of other
important areas like providing top-notch customer service. Since guests are essentially in
charge of generating their own reservations, bookings arrive into the system with all the
necessary information already in place – all the reception staff have to do is get ready for
their arrival. Automating processes is the key to having a successful and efficient operation
during the pre and post trip process.
 Reduces chances of human error
When you have your own system, guests are in charge of making their own reservations, so
presumably, there will be no errors in guest details and contact information. However,
should an error occur, the hotel will not be held accountable, hence keeping your reputation
intact. Moreover, since the reservation system syncs up with channel managers, the
likelihood of an overbooking due to human error is little to none. Reducing human error in
bookings allows a better service and frees up time to take care of other tasks rather than
cleaning up errors.
 Data collection is easier
Collecting customer data is key for marketing purposes, and an online booking system is a
way to ensure that data collection is easy and that all guest data is in one place. You can
easily understand guest demographics, preferences, what amenities they prefer, where they
are coming from, and how many guests are traveling. You can use this information to tailor
your marketing strategies and improve the overall guest experience, thus boosting retention
rates.

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 Easily manage rewards
A booking system allows you to keep track of your reward customer’s stays and allot them
benefits accordingly. Guests can keep track of their rewards by having a unique login so that
they input their information once and then from thereon out, it’s the system that monitors
their rewards status, with little maintenance necessary from staff.
Since hotel loyalty programs are an important means of guest retention and keeping
occupancy up in low season, the simpler it is to administer rewards, the easier it is for your
staff to keep track of, and the more likely it is you’ll be able to keep the guests coming back
thanks to rewards.
 Meet traveler expectations. These days, travelers want to book a room without having to
email the hotel or wait on hold. With a website booking engine, guests can book online at
any time, from anywhere – generating reservations while you sleep!
 Save on travel agents’ commissions. When guests book directly on your website, you
don’t pay a hefty commission to an intermediary. That’s why direct bookings are typically a
property’s most profitable booking channel.
 Offer multiple booking options. On your website or social media channels, you can
advertise multiple room types, promotions, and packages, targeting a broad range of
traveler budgets and tastes. Many third-party sites don’t offer this flexibility.
 Generate more revenue. When travelers book on your website, you also have
opportunities to upsell them to premium rooms and cross-sell onsite services like breakfast,
dining, spa, and recreation.
 Build guest relationships prior to arrival. Most OTAs don’t share guest contact details
when forwarding a booking. When guests reserve through your website, you collect this
information directly. Using email automation software, you can invite them to start planning
their stay, upgrade their room, or order an amenity.
 Reassure travelers. Flexibility with date changes and cancellations continues to be a top
priority for travelers, according to Cloudbeds’ Travel Trends Report 2022. When travelers
book through your website, they can make changes or cancel directly with your property,
giving them peace of mind.
 Manage rates and availability in real time. With a channel manager integrated with your
reservation system, you can update pricing and availability on all booking channels
simultaneously. This will help you increase occupancy, maintain rate parity, and prevent
pricing errors, overbookings, and lost sales.
 Automate your credit card payment processing. With a payment gateway connected to
your booking engine, credit cards are validated automatically and deposits are processed
quickly, reducing input errors, delayed payments, and chargebacks.

What key features should you look for in a reservation management system?
There are lots of options when it comes to choosing a hotel reservation system. To find the best
solution for your hotel operations, look for the following key features:

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  An open, cloud-based platform that is easy to implement and maintain, is accessible
from any device with an internet connection and can scale with your business.
 Integration with your hotel’s PMS to provide automatic updates to guest information
rather than having to manually transfer data from one platform to another.
 Two-way connectivity with a channel manager and revenue management software to
optimize distribution, pricing, and inventory.
 A simple, user-friendly, and commission-free booking engine that can be
customized to match your website design.
 A built-in rate comparison widget gives visitors the confidence that booking directly is
the best option.
 A mobile-friendly booking experience. In 2019, mobile bookings accounted for 43% of
online bookings in the U.S., 41% in the U.K., and 79% in China, according to Skift – and
those numbers are only climbing.
 Built-in reporting and analytics with powerful data insights to help you understand
purchase behavior and preferences.
 Language and currency functionality to allow international guests to complete a
reservation in their preferred language and currency to simplify the booking process.
 A secure system that adheres to privacy regulations and ensures guest information
and payment details are processed and stored in a secure manner.
 Customer support staff who specialize in hospitality will be there when you need them
and provide robust onboarding, training, and support services to improve the guest
experience.
The 8 best hotel booking systems in 2023
Here are a few providers of hotel reservation systems that receive high ratings from hoteliers:
1. Platforms with a booking engine, channel manager, and property management system
 Cloudbeds.
Cloudbeds provides a cloud-based, fully integrated hospitality management platform with
all the tools you need to ensure a seamless reservation process..
 RMS Cloud
Features an integrated PMS, booking engine, channel manager, and revenue
management system suitable for all types of lodging operators.
 Frontdesk Anywhere.
A cloud-based hotel management software with an integrated PMS, channel manager,
booking engine, and revenue management system built for independent hotels and
management groups
2. Platforms with a PMS + booking engine
 Mews.
Based in Prague, Mews is a cloud-based PMS system that offers integrated operations,
payments, guest journey, BI, Marketplace, and API solutions.
 Protel

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 Based in Germany, Protel is a legacy PMS provider that also offers a website booking
engine, mobile app, and events software.
 Resnexus
Based in the United States, Resnexus is a cloud-based PMS popular with bed &
breakfasts and inns that offer a website and booking engine along with guest
management, credit card processing, and automatic yield management.
3. Central reservation systems + booking engine
 Cendyn
With its recent merger with Pegasus, Cendyn now offers a flexible, scalable reservation
system with intelligent rate and inventory management tools.
 Vertical Booking
Part of the Italy-based Zucchetti group, Vertical Booking offers a central reservation
system with an integrated booking engine, channel manager, and central reservation
office (CRO).
 SHR
SHR’s Windsurfer CRS is popular with hotel groups, offering revenue management
software, a customer relationship management (CRM) system, and call center services.
 Guestcentric.
Exclusively designed for large, independent hotels and small groups, Guestcentric’s
CRS features an integrated booking engine and a Partners Integration Marketplace.

Sources:
https://www.cloudbeds.com/articles/hotel-reservation-system/
https://www.mews.com/en/blog/hotel-reservation-system
https://americas.rmscloud.com/blog/what-is-a-reservation-management-system

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Reservation and Management Control System Page
MGL