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A hotel property management system (PMS) is a comprehensive software solution designed to streamline all aspects of hotel operations, from reservations and check-ins to housekeeping, billing, and beyond.
Traditionally focused on front-desk tasks, a modern hotel PMS now serves as the central hub for managing the entire guest journey, empowering hoteliers to deliver seamless, memorable experiences.
It automates time-consuming processes, optimises staff efficiency, and provides valuable insights into guest preferences and operational performance. By integrating essential functions—such as room bookings, revenue management, customer relationship management (CRM), and channel management—into a single platform, a hotel PMS allows properties to boost productivity, enhance revenue, and elevate guest satisfaction in today’s competitive hospitality landscape.
Key features of a hotel PMS
The key features, or modules, are the various components that make up a hotel PMS. The modules work in conjunction with one another to create a reliable ecosystem for managing and running a hotel.
1. Reservations
Every worthwhile hotel property management system will allow guests to make reservations and group bookings. Through the PMS, guests can browse room availability, make bookings, and pay for their reservations.
The reservation module of a PMS can also accept group bookings, send out booking confirmations to guests via SMS or email, and display bookings on a dashboard for past and upcoming trips.
2. Front desk operations
Front desk operations are the cornerstone of a hotel PMS, giving staff a full picture of the property at a glance. The front desk module of a PMS provides insight into the status of guest rooms, streamlines the check-in and checkout process, and supports daily audits to keep the business running even after the day is done.
This PMS module can also facilitate kiosk or QR code check-in for a self-service guest system. Instead of relying on multiple software tools for individual front desk operations, the property management system streamlines processes, ensuring a seamless experience for everyone involved.
3. Revenue Management System (RMS)
If you’ve booked a hotel room online before, you’ve likely noticed that prices change based on the time of the year or what’s happening in the area. For example, hotel room rates can be significantly higher around Christmas or if there is a conference or event in town.
Rather than constantly adjusting room rates on the hotel side, these price changes are set automatically through the revenue management system (RMS) of a hotel PMS.
The RMS relies on analytics, market trends, and guest value perceptions to automate room pricing across various channels and set competitive rates. This, in turn, boosts hotel earnings by using data to determine the best prices for the business.
4. Guest data & CRM software
Guest data is an invaluable aspect of running a hospitality business, and a hotel PMS is an ideal method of centralising this information, allowing properties to use it to curate personalised experiences and skyrocket customer loyalty.
Through a dedicated customer relationship management (CRM) system, a hotel PMS can track guest data, build meaningful guest profiles, and identify patterns to create customised offers for future stays. This is the ultimate way to keep people coming back for more.
5. Back office management
Aside from all the front-of-house operations a hotel PMS can support, it’s also a prime choice for back-office management.
A hotel property management system simplifies complex financial administrative tasks such as secure credit card storage through tokenization, support for multiple currencies and financial accounting. This financial module of a PMS serves as a robust solution for invoicing and billing, consolidating all financial operations into one central, easily accessible platform.
In addition to the financial component, the back office management module of a PMS supports day-to-day staff activities like scheduling, inventory, and management of hotel facilities such as gyms, spas, and event spaces.
6. Housekeeping & maintenance
Housekeeping and maintenance are essential pillars of any property, and this PMS module streamlines their management effortlessly.
It automates housekeeping schedules and planned maintenance tasks, minimising downtime during room turnovers. This ensures smoother operations and eliminates unexpected issues, creating a better experience for both staff and guests.
7. Channel management
The channel management module of a hotel PMS ensures synchronisation between various platforms to display real-time availability. This is especially important as many guests book hotel rooms through third-party websites like Booking.com or Hotels.com.
The channel management module ensures accurate representation of open rooms and dynamic pricing in line with the revenue management system to remove the need for manual rate and availability adjustment.
8. Online booking service
For guests who prefer to book directly, a hotel PMS features an integrated online booking engine that operates in real-time. This user-friendly system allows guests to seamlessly choose their preferred dates, room types, and budget.
Meanwhile, the booking engine enhances the experience by showcasing relevant options, offering compelling alternatives, and presenting targeted upsells, which not only improve the likelihood of reservations but also boost hotel revenue.
9. MICE management
MICE stands for meetings, incentives, conferencing, and events, and the term is used to encompass Business Tourism or Business Events. Since hotels are often chosen for conferences or industry events, it’s clear that a PMS should have a module that supports the booking and management of such occasions.
A MICE integration into a hotel PMS is especially noteworthy since it results in significant time savings and cost efficiency while maintaining high service and quality standards compared to traditional event management.
10. Reporting & analytics
Real-time reporting and analytics are vital features of a hotel PMS. This module allows properties to leverage authentic data to maximise revenue and the overall guest experience.
Performance metrics include aspects such as occupancy rates, average daily rate (ADR), and revenue per available room (RevPAR). The robust reporting function aids in identifying both challenges and opportunities, enabling informed decision making and strategic planning for hotel growth.
11. Centralised home dashboard
Finally, the shining star of a hotel property management system: a home dashboard that centralises all of its features for customisable access to the elements that are most important to your business.
A hotel PMS dashboard is intuitive, easy to use, and makes integration a breeze. Minimal staff training is required, and the dashboard gives immediate access to all of the PMS modules. This is efficiency at its finest.
Different types of PMS
There are two main types of property management systems used by hotels. Here’s a quick breakdown of both:
1. Cloud-based PMS
A cloud-based PMS is the best and most efficient way to manage hotel operations. The modules are deployed over the internet, giving easy access from dedicated workstations or web browsers, including mobile access.
A cloud-based PMS is maintained by the vendor, which means that any maintenance is handled by the PMS provider rather than the hotel itself. Additionally, a cloud-based PMS stores data on a secure server, removing this responsibility from the property.
This type of system is also notoriously flexible and straightforward to implement, with an intuitive, customisable interface and personalised modules.
Overall, a cloud-based PMS is a well integrated solution for handling hotel operations, removing a great deal of responsibility from the property so that the hotel can focus on leveraging the guest experience through the PMS rather than getting bogged down with the security and technical maintenance of the system.
2. On-premise PMS software
On the other hand, on-premise PMS software refers to a system that is physically installed at the hotel. Rather than remote servers that deploy a cloud-based PMS, an on-premise PMS system relies on hardware located and managed at the property.
After a one-time setup, the hotel is responsible for the upkeep and maintenance of on-premise PMS systems. Hotels that opt for on-premise PMS systems are responsible for data security, necessary hardware, and technical links between systems, such as between the PMS and the hotel’s point of sale (POS). In contrast, cloud-based PMS systems make these links naturally, cutting down on the need for additional tech that takes time and a significant budget to implement.
On-premise PMS software also requires in-house storage and maintenance, which places responsibility for the system's upkeep on the property.
Due to the demanding requirements of generally outdated on-premise systems, this type of software is significantly more costly than cloud-based PMS. Aside from the extravagant initial license fee, additional costs include added licenses for more workstations, maintenance fees, the cost of the hardware itself, and any associated IT fees for upkeep.
In contrast, most cloud-based PMS systems run on affordable pay-per-use subscription models and skip out on hardware, maintenance, and deployment fees. For this reason, on-premise PMS systems are customarily reserved for behemoth properties, as opposed to independent hotels or smaller ventures.
Cheat sheet: On-prem PMS vs Cloud PMS
Benefits of a cloud-based PMS
As technology continues to advance, cloud-based PMS software has quickly become a front-runner for many hotels around the world. Below are the main benefits of a cloud-based PMS, which makes it evident why this type of software is the future of hotel operations.
1. Centralised system accessible from anywhere
The main benefit of cloud-based PMS software is that it’s an all-in-one hotel solution. Rather than having multiple pieces of tech to manage hotel operations, cloud-based PMS software tackles everything from front desk to back office tasks, plus gives access to robust reporting and analytics.
Since a cloud-based PMS is deployed over the internet, the modules are available from anywhere, be it from inside the hotel or via mobile or remote access. Talk about getting more done without being chained to a desk.
2. Enhanced security
Sensitive information, from card details to guest profiles, is stored securely through vendor servers, taking the risk and responsibility away from the hotel. Instead of an outdated system that collects privileged information on-site, a cloud-based PMS offers enhanced security through tokenisation and remote third-party storage.
3. Intuitive to integrate and deploy
With a cloud-based PMS, there’s no need to lose precious time (and capital) through costly integrations and training. Cloud-based PMS systems are intuitive to learn, with modules that are simple to set up and easy for any staff member to deploy.
There’s no need for a dedicated IT department to run lengthy seminars to train hotel personnel every time there’s a system update (which can be frequent, unlike on-premise PMS systems). A cloud-based PMS like Planet is as simple to use as a smartphone.
4. Affordable and ready to grow with you
Skip the five-figure licenses and get more out of your system with a cloud-based PMS. Traditionally run on a subscription model, a cloud-based PMS allows a hotel to pay for what it needs and, more importantly, use it, making it an affordable option for growing properties.
A cloud-based PMS is ready to scale as the property does, allowing for new integrations, additional workstations, upgraded modules, and more. This cloud-based approach puts the property front and centre, while the vendor does the heavy lifting in the background. No hidden costs and plenty of opportunity for future expansion.
5. Valuable data at your fingertips
Finally, cloud-based PMS software gives you access to valuable data that your business can leverage. From guest profiles and relationship management to real-time insights on behaviours, booking patterns, and occupancy rates, a cloud-based PMS system has everything a hotel needs to make an impact using analytics collected over time.
Take note of trends and use them to your advantage to grow your business, improve guest experience, and maximise the efficiency of your team like never before.
6. Maximising cloud PMS with integrations
Among the most powerful pieces of the PMS puzzle are integrations, allowing hotels to maximise their tech stack both with software already being used and access to new, innovative products.
The best cloud-based PMS systems, like Planet’s Protel PMS, allow for comprehensive integrations to create the most efficient hotel management ecosystem. Rather than sacrificing what works for you, a cloud-based PMS should slot effortlessly into your already well-oiled machine.
How to choose the right PMS for your business
To choose the right PMS for your business, it’s worth considering the following factors:
- Reliability: It’s important to choose a PMS that is dependable, easily accessible, and ready to work within the scope of your business. The last thing you want is your PMS to go down when a guest is trying to check into the hotel.
- Ease of use: Save time and money by choosing a PMS that’s simple to set up and integrate. Your staff and budget will thank you.
- Flexibility: Customisation of a PMS is essential since you may not want to be locked into pre-built modules. Cloud-based PMS systems tend to give the most flexibility in terms of personalisation. They can also be updated over time as new software rolls out or the needs of your business change and grow.
- Mobility: Get more done from anywhere, even on the go, with a PMS that includes mobile and remote access.
- Security Features: Mitigate risk and liability with powerful security features. When weighing different options, consider tokenisation and remote server storage to transfer responsibility from the property to the vendor (in cloud-based systems).
- Cost: A PMS can range from a low monthly subscription cost to tens of thousands of dollars for a one-time deployment. Depending on the size and budget of your property, cost is a crucial consideration when choosing a PMS. As a rule of thumb, cloud-based PMS systems tend to be more affordable options, especially for smaller properties, whereas on-premise PMS systems require a significantly larger investment, both upfront and over the long term, for maintenance.
- Unique business goals: Lastly, weigh your unique business goals when choosing a PMS system. Perhaps you’re seeking an affordable suite of hotel tools that can integrate with ease into your existing tech stack. If this is the case, a cloud-based PMS is the obvious choice. However, if you’re looking for fully custom software built specifically for your hotel, you may consider an on-premise option.
Choosing a PMS involves weighing considerations carefully to determine what system will make the most impact on your property. Overall, if you’re seeking unparalleled flexibility, customisation, and value, a cloud-based PMS is the best choice.
Empower your property with Planet’s hospitality-first approach
Having a reliable, integrated property management system is no longer a luxury—it's a necessity. Planet’s PMS solutions are uniquely designed to meet the needs of hotels, offering seamless integration of both software and payments in a single platform.
By consolidating complex operations, reducing the need for multiple providers, and providing industry-specific features, Planet enables hotels to streamline processes, enhance guest experiences, and optimise operational efficiency.
Our hospitality-first approach means that Planet’s PMS and payment solutions fit naturally into your workflows, minimising disruptions and maximising impact. Whether handling front desk operations, automating housekeeping, or managing events and conferences, Planet’s system is built to adapt to the specific demands of the hospitality sector.
With our revenue-generating Dynamic Currency Conversion (DCC) solutions, Planet not only simplifies transactions for international guests but also adds a valuable revenue stream for your business.
Choose Planet and empower your property to provide superior service, maximise revenue, and maintain a competitive edge. Let us handle the complexities of payment and property management, so you can focus on what you do best—delivering an exceptional guest experience.
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