A channel Manager is a tool that allows you to sell rooms on all connected booking sites at the same time. A channel Manager connects the PMS directly with online distribution channels. They act as a bridge that allows you to update the pricing, availability, and also creating listings across major sales channels such as Tripadvisor, Airbnb, VRBO, and Expedia
The most famous sales channels in which channel manager connected are,
OTA CONNECTION ANALYSIS
To understand connection management one should know the difference between the Ical, 1way, and 2-way connections.
Ical is commonly known as icalendar. It is a common file format that allows you to share room availability among popular websites. Ical only offers limited capabilities. In this connection rates, contents and policies cannot be synchronized, it must be added manually. Using the best and secure connectivity with the major travel websites will produce the highest level of booking, but doing this requires heavy investment in resources and development. ical is the great alternative for booking sites that provide limited API capabilities or rarely deliver large volumes of bookings.
In one way connectivity, the channel manager pushes only the rates and inventory on different channels, and it doesn’t fetch bookings from the platform. In the channel management industry, the PMS data such as the rates and availability are shared with the OTA but the OTA does not share anything in return like reservation data that is in one way connection the data is shared in only one direction.
In a 2 way connection, both the systems interact with each other. In this, the channel manager sends data such as rates and availability and also receives reservation data and guest data in return. It has a huge list of OTA Portals, Pushing real-time updates to all of the channels and getting reservation information from each channel in return.
Why is there a need for a channel manager?
If you have a small room for only one couple then you probably don’t need a channel manager, but if you have more than that then you should really look into using a channel manager. It will help you synchronize your availability and rates in real-time to many Online Travel Agencies. It is considered as the respectable Marketing strategy for increasing healthy Direct bookings.
Increase the Online booking
With the rise of the online booking system the channel manager keeps you in the best position to take advantage of new traveller booking habits. It helps you to be connected in the many online booking channels where more travellers are locking in their stays.
Increase the Hotel Revenue
With channel manager Live rates and Availabilities are displayed across your channel, so you can accept booking faster and also can eliminate. The rates are also optimised using the channel manager.
Improve Brand Recognition
A powerful Channel manager makes your property popular among hundred of booking channels, So travellers will select your property and make bookings there. It also makes OTAs accept your listing very easily.
Remove manual process
Manual data entry is time-consuming and a huge process. We can use a channel manager to remove this friction. By using a channel manager you can feel how productive it is.
Transform into a Powerful Business Plan
Channel manager allows the complete data across all systems. The received information can be used to know which rooms are performing the best. This helps you to update the business strategy.
Three main Things to consider before choosing the channel manager
Size of Your Space
If you have a Big hotel and you are getting a lot of bookings each day then you need a Channel Manager to make your work easy.
Your Exact needs and Expectations
If you have complex rates of room setup and you need 24/7 support then you can make use of the Channel manager.
Some channel managers cost more because it is reliable and has a lot of functions than others, so according to your budget you can choose the channel manager.
Check the Reviews of Channel Manager
Reading reviews before buying software will help to know a lot about the product, support, and competence of the software.
Things to Know before Selection a Channel manager Company
Learn more about the company before getting into it. Select a company that gives importance to technology products and support rather than selecting a marketing company. You can research the companies through Linkedin and Crunchbase.
Using LinkedIn you can find out the list of employees who work in their company and the total number of companies that have invested thereby looking at the technology and not by the marketing strategy. You can check their Developers, Product leads, Technical Supporters, and Engineers. And next, check their background and their History in this field. These all will help you select a good company.
Using Crunchbase to find the financial status of the company. By identifying this you can do secure business there.
Ways to use the best Channel manager
Find out companies that give 2-way connections with major OTA. Evaluate their products each and find out their limitations and uses. Identify the products which suit your business and budget.
HOTEL CHANNEL MANAGEMENT STRATEGY
Channel management will give the opportunity for effective sales and marketing strategy. The primary goal of every industry is to increase the bookings and the revenue and in turn your profit. To do so, you need a sales network that includes a diverse range of booking channels that attract guests to your hotel.
Using channel management technology you can create this type of network for your property. This allows you to manage as many channels as you want without increasing the workload. Collecting and analyzing all kinds of data about the OTA channels will let you know which you will find in favour and give you more profit. A channel manager maintains all types of strategies by recording and storing your monthly bookings and giving them as in the report format each month.
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