What you need know — when, who and at what cost?
There has always been a hate/love relationship between online travel agencies (OTAs) and hoteliers sometimes even considered as a ‘necessary evil’. But what do you need to know when working with OTAs? Let’s discuss and you can decide if it’s a friend or foe.
1. How to determine if you need an OTA and when to start?
To determine if your property needs an OTA depends on many factors including location of your hotel, percentage of return guests, business vs leisure travelers, size of your property as well as your occupancy overall percentage. You may be running 90% + occupancy in your high season, in this case do you really need reservations from OTAs during that time period?
Things to keep in mind when considering the decision to work with an OTA:
- You will pay 10-30% commissions on each reservation received through that OTA
- OTAs have large Google Adwords budget and can provide you with a greater online presence
- OTAs require rate parity which means same rates and same availability across all websites; however this can be negotiable in your contract
As a proud supporter of our hotelier partner, we are happy to feature Martin Resorts this week, as travelers book easy with Martin Resorts. From wine country to oceanfront paradise, Martin Resorts’ premier hotels stretch California’s Central Coast.
In a downtown garden setting, the historic Paso Robles Inn is situated in beautiful Paso Robles Wine Country. The Paso Robles Inn is still the only Paso Robles hotel offering its guests the healing powers of mineral water with private hot spring tubs on the balcony or in the bath of its Deluxe Mineral Spa Rooms. Experience wine country the moment you enter your room by staying in vintner’s row in one of the 18 newly renovated Winery Themed Deluxe Mineral Spa Rooms featuring enhanced wine décor and complimentary wine tasting at the vineyards. After a day of wine tasting, guests can eat dinner at the Paso Robles Inn Steakhouse featuring Certified Angus Beef entrées. The Paso Robles Inn offers complimentary Wi-Fi, dog-friendly rooms, electric car charging stations and event spaces.
Located just steps from the sand and surf of the Pacific Ocean in Avila Beach, Avila Lighthouse Suites is an all-suite hotel offering comfortable and stylish guest suites in an unmatched location. Guests can enjoy a dip in the heated oceanfront pool and Jacuzzi or relax with a massage at the on-property spa. The Avila Lighthouse Suites offers complimentary Wi-Fi, complimentary expanded continental breakfast, covered parking, electric car charging stations, and event spaces.
As 2014 came to a close, it was an exciting year to be a part of RoomKeyPMS and the hospitality industry as a whole. President and COO of STR Amanda Hite is forecasting a record setting end to 2014 with average daily rate and revenue per available room both expected to end at the highest rates that STR has seen since its inception in 1987 and occupancy ending at 64.4%, an industry level not seen since 1996.
The STR predictions for 2015 are looking even brighter for the hospitality industry including:
- Occupancy to rise 1.1% to 65.1 percent
- ADR to increase 5.0 percent to US$121.37
- RevPAR to grow 6.2 percent to US$79.06
- Demand is expected to increase 2.4 percent
- Supply is predicted to increase 1.3 percent in 2015
As the hospitality industry is ended off year on a high note, so did RoomKeyPMS. 2014 was another memorable year (more…)
RoomKeyPMS would like to congratulate our partner Guestfolio in their recent win of World’s Leading Hotel CRM (Customer Relationship Management) Technology Provider 2014 by World Travel Awards.
Hailed as the “Oscars” of the travel industry, the World Travel Awards recognises companies, organisations and brands that push the boundaries of industry excellence. Guestfolio enables hoteliers to better engage with their guests from booking to well after check-out. (more…)
With 2014 coming to a close, it is a busy December for RoomKeyPMS. We had our busiest sales month in November so far this year (power of Mo??), which means in December for RoomKeyPMS has trainers all over North America doing installations.
It might be cold in Canada, but we our trainer Jimi currently in Alaska during an installation! Keep warm Jimi, and hope the gloves help.
David is in Amish Country Pennsylvania and somehow Rosamund lucked out with California and Bahamas.
With November coming to an end, and with that ends Movember Mo Bros. RoomKeyPMS Canadian Mustachio Nuts
Thanks to all the RoomKeyPMS MoBros who participated to grow a Mo and raise funds for a great cause. The RoomKeyPMS Canadian Mustachio Nuts Movember Mo Bros were able to raise over $700 for changing the face of men’s health. We had some impressive Mo’s around the office and some real good effort
Notice anything different in these two pictures!!
Sometimes it’s hard to get everyone in the same room together!!
RoomKeyPMS is excited to be included in Business in Vancouver 2014 Top 100 Fastest Growing Companies list. This is the first time that RoomKeyPMS has been on the list and we ranked in the top 50 at #49!
This Business in Vancouver list recognizes companies in BC with the greatest percentage change in revenue over the past five fiscal years. The list was compiled by the editorial research team at Business in Vancouver.
To celebrate this achievement, join RoomKeyPMS at the Top 100 Fastest Growing Reception on October 16th, 2014 at Telus World of Science. For more details and special promo code contact [email protected].
RoomKeyPMS and GuestDriven have announced today a partnership between the two companies, which will provide hotels with a powerful mobile guest engagement platform integrated with the industry’s leading property management software.
September 25, Vancouver, BC: RoomKeyPMS, the leading cloud-based property management software for the global hospitality industry, is pleased to announce a new partnership with GuestDriven, the groundbreaking hospitality mobile solution provider that enables hotel brands to personalize their customer experience through its Mobile Guest Engagement platform.
GuestDriven provides hotels with a client-facing mobile app and a hotel-facing marketing and communication dashboard, providing them with the ability to offer their guests a frictionless experience at every stage of travel — before, during, and after. Through the mobile engagement platform, GuestDriven gives hotels guest data that can be leveraged to create unforgettably personalized experiences and highly targeted marketing campaigns. (more…)
Part 1: The basic concept
There are three most popular indexes that are currently used in the Revenue Management science:
Occupancy: percentage of all rental units in the hotel that are occupied at a given time.
ADR (average daily rate): average rental income per occupied room in a given time period.
Sometimes a hotel’s productivity is evaluated based on one of those (more often – occupancy). Many hoteliers still view increasing occupancy as the operational target, disregarding all other aspects of Revenue Management. In reality, higher occupancy in many cases leads to lower profits, when the increased number of rental units doesn’t offset the loss in ADR (see article 3 myths about Occupancy). (more…)
When looking for a new PMS for any hospitality property can be an overwhelming task. Many questions need to be asked to ensure that you are getting all the features and functionality of your property needs will be covered by the new PMS.
We have developed an easy to follow infographic to feature the 5 Must Haves in a new PMS, or is it a GMS that you are looking for — ask RoomKeyPMS why GMS is the new PMS.