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What mistakes to avoid while choosing channel manager for better growth of hotel

alekshabigital by alekshabigital
July 3, 2024
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So, you need a good Channel Manager for your hotel and in the fast-paced hospitality industry of today ensures success & growth to the max. Channel Manager – This tool will allow you allocate & distribute rooms on different OBEs, thus ensuring that the availability in real-time and getting a chance to get as many bookings through online booking else pricing strategies! Despite its necessity, finding the right channel manager is no easy feat; select the wrong one and you risk missing opportunities and many groans. In this article, you will get to know the key errors to evade while selecting a Hotel Channel Manager and how thoughtful selection can turn out in your hotel’s favor in future.

Table of Contents

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    • Overlooking Integration Capabilities
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    • Ignoring User-Friendliness and Training Support
    • Focusing Solely on Price
    • Neglecting Mobile Compatibility and Real-Time Updates
    • Disregarding Reporting and Analytics Capabilities
  • Conclusion

Overlooking Integration Capabilities

    With the earthquake of options available, how can you know which channel manager will fit in seamlessly with your current operations? A mistake many hoteliers make when looking for a new channel manager is evaluating the feature set of each solution without considering how well it will work alongside their existing property management software (PMS) or booking engine.

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    Without the proper integration, you are bound to double-book rooms or have price errors and room availability. These problems can result in headaches for your staff AND unhappy guests, as well as poor reviews. In order to avoid this, it is critical that you test the channel manager for compatibility with your existing systems and its integration capabilities.

    Also, keep in mind the future growth of your hotel while evaluating integration capacities. As your business grows, you might need to adopt new systems (opening a new market) or upgrade the current application. Ensure You Use a Flexible Channel Manager Having this foresight will save the inconvenience of having to move over your channel manager in future – something that can take both money and time.

    Ignoring User-Friendliness and Training Support

      One of the more common mistakes for hoteliers when selecting a channel manager is not sufficiently considering how user-friendly and supported by available training support it actually will be. Whilst a channel manager that is full of features may seem appealing, if it proves to be too cumbersome for your staff then this can lead to high levels of frustration among your team and reduced efficiency across the board.

      Search for a channel manager that is easy to get used and navigate by your team. Make sure to think about how long it will take for you and everyone in your organization to get fully accustomed with the new system, as this can be thought of as a part of downtime. An easy-to-use system can also improve your staff adaptability and reduce human errors, increasing productivity as they will be able to use all functionalities of the channel manager.

      Focusing Solely on Price

        Sure, you need to be mindful of costs but selecting a channel manager on price alone will likely come back and bite you in the proverbial later down the line. The results of this choice are obvious – but hoteliers become willing victims as they tend to go for what is most affordable and not really the option with value that a higher priced software can give while scrutinized side by side.

        An inexpensive channel manager may sound appealing upfront, but it could be missing vital elements or have restrictions that would get in the way of your hotel’s scalability. It may have, e.g. limits on connected channels or lacks in advanced reporting capabilities etc… These hurdles will hold you back from growing your digital footprint and make informed decisions regarding where to invest in growth, driving revenue up.

        The key is to stop being obsessed with price and instead look at the value each channel manager can deliver for your business. Think about the variety of options offered, as well as how strong customer support is and also measure the potential ROI. A more expensive channel manager that brings you higher revenue and simplifies your routine may cost less in the long run than a cheaper one with small performance.

        Neglecting Mobile Compatibility and Real-Time Updates

          In a world where mobiles are the de facto first screen, not looking at whether or not your channel manager performs on those devices is negligence. A common mistake a lot of hoteliers make is using the services of an ancient channel manager which doesn’t have mobile compatible features or comes without any dedicated app for better reach. If you do not have a strong API, however, it can be incredibly difficult to manage your distribution channels while on the move and in real-time.

          A channel manager must be providing a mobile version or app that permits you to update prices, upload inventory and view reports on your smartphone. This level of agility is important in the high-speed world of hospitality, where availability and pricing are dynamic reflecting rapidly changing customer demand and market conditions.

          Disregarding Reporting and Analytics Capabilities

            The most important and at the same time underrated features in a channel manager is its reporting/analytic functionality. In fact, a mistake that many hoteliers make is to only think of distribution and forget about the channel manager being able to provide them with data on how they are doing business.

            A great channel manager will have detailed reporting so that you are always aware of your distribution channels and not having to rely on data points from tradespeople down the road-i.e. Trend prophetics! Among other things, you should keep an eye out for a system that grants thorough reports into some key aspects of your business like occupancy ratios, ADRs (Average Daily Rate), RevPAR numbers and channel performance comparisons.

            Conclusion

            The choice of a channel manager and Hotel Management System is one that can affect growth and success of your hotel by some orders of magnitude. Stay ahead of the game and choose a channel manager that not only meets your present needs but also plans for tomorrow by avoiding these common mistakes.

            Tags: choosing channel manager

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