The property management system is the beating heart of an operation, so ensure you choose carefully
The function of a hotel property management system (PMS) is to manage reservations and room inventory in real time, but it can also issue invoices and integrate with point of sale systems. However, it’s important to note that PMS functionality will vary from business to business.
A small guesthouse may only need the essentials, while a resort will need a sophisticated PMS with multiple integrations. That’s why some vendors offer PMS with in-built channel managers, revenue management and customer relationship management (CRM) tools.
“One size does not fit all, so it’s important to do your due diligence and decide what’s going to work for you,” says Phil Brown, consultant at Hospitality Technology Advisory.
“Look at the PMS in the context of the other systems you’re using. Will your PMS going to talk to your spa? Will it integrate with your electronic point of sale (EPoS) system? Think about integrations.”
Changing your PMS presents an opportunity to streamline your whole setup and enhance your integrations. You may have invested in your EPoS three years ago, but if you pick a PMS with poor integration, then you may lose information and have to return to manual work.
Brown adds: “Any changes must be made after looking at the whole tech stack. Look at the ecosystem of your operational platforms and consider how they will all work harmoniously.”
The Belfry Hotel & Resort in Warwickshire recently changed to a new PMS. Emma Catterall, director of finance, says: “We carried out two major pieces of research: firstly, a business requirements review with key operational departments, identifying pain points in current processes both for guests and staff.”
This involved input from teams across the business: front office, reservations, housekeeping, sales, revenue management, marketing, spa, golf and finance. All had their say on both the requirements of the new PMS and the vendor selection.
Secondly, a full tender process invited suppliers to specifically address the pain points identified; and to show how they would integrate with the other resort system products. Shortlisted vendors gave half-day demonstrations, then a final two gave a full-day session.
Catterall adds: “Our biggest win was appointing our own internal project manager so that this was our project, rather than something done to us.”
A major red flag when choosing a new PMS is data ownership. Some vendors will claim broad rights over the data stored in their systems as part of their standard terms, and act as data processors at a fee. This could end up causing you serious commercial risk.
Insist on a contract that clearly states you are the owner and controller of the guest and operational data stored in the PMS. This will ensure your ability to export, backup, migrate and use those records for marketing and reporting purposes. Also ensure API access terms that permit direct integrations and third-party reporting tools.
From a General Data Protection Regulation (GDPR) standpoint, contractual clarity matters. Ownership of data ensures you keep and take your business intelligence and guest databases with you when you change vendors.
Custódio Barreiros, founder of consultancy EIP MGT, says: “Data ownership and GDPR compliance are non-negotiable. Look for a PMS that’s intuitive and scalable, not overcomplicated. Seamless integration with your booking engine and channel manager is a must, as is robust, accessible support. Most importantly, let your frontline team trial the system – if it does not work for them, it will not work for you.”