Hotel Revenue management 101

The Technology Bridge That Links Hotel Productivity Applications

Hotels have many information systems that need to integrate and connect with each other for any measure of success. Not only do these systems need to share data but they need to do so in a coherent way that makes sense to the end user.

Ideally, these systems should be able to sync information, such as reservations, rates, payments, guest preferences, and much much more. Data collection points, like websites, smart phones, payment systems, etc … also need to be inter-connected to eash other in one way or another.

One solution integrating different systems is know as the API or Application Program Interface. API’s have become indispensable for hotel software applications and play a crucial role in enhancing the hotel’s operational efficiency and delight guest experiences.

WHAT IS AN API?

The Application Program Interface acts as a data Communication Bridge that enables different hotel systems to "talk" to each other. API’s allow for the real-time exchange of data, which is important to maintain up-to-date information across all platforms.

STANDARDISATION & WHY IT’S NECESSARY?

API industry standards set the benchmark for best practices, conventions that developers should follow, and all-around standards that should be adhered to with APIs. Having API industry standards in place is beneficial as a guide for all users. Standards enable partners to quickly and easily use and implement APIs. With industry standards organisations can quickly capitalize on success – build one connection and reuse many times.

In order for an API to deliver and reach its intended audience, it needs to be available externally to 3rd party users in a format that is available to other users of the service. And the more a company can drive their API’s adoption, the better they’ll be able to monetize it and grow revenue.

Given the increasing amounts of hotel APIs and other technologies being created by various vendors, integrations between software and programs that use it are becoming more important. Without APIs to break down the barriers between different systems, what is the point of purchasing and installing hotel technology especially if they don’t connect with one another ?

TRENDS INFLUENCING API DEVELOPMENT ?

  1. Increased Adoption of Cloud-Based Solutions: The hospitality industry has witnessed a significant shift towards cloud-based solutions, resulting in a greater emphasis on APIs to enable seamless integration and data exchange across platforms.

  2. Rapid Growth of Mobile Technology: With the continued proliferation of mobile devices, APIs play a crucial role in enabling mobile applications to connect and interact with various hotel systems, enhancing guest experiences, and streamlining operations.

  3. Rise of Personalization and Guest-centric Experiences: APIs are now leveraged to access and analyse guest data from multiple sources, allowing hotels to deliver personalised experiences, tailored recommendations, and targeted marketing campaigns.

  4. Integration with Emerging Technologies: As emerging technologies like artificial intelligence (AI), Internet of Things (IoT), and voice assistants gain traction in the hospitality industry, APIs are instrumental in integrating these technologies with existing hotel systems, enabling automation and enhancing operational efficiency.

  5. Customer Expectations and Digital Transformation: As guest expectations evolve in the digital age, APIs serve as enablers for hotels to undergo digital transformation, enabling seamless interactions, personalised services, and frictionless experiences throughout the guest journey.

HOW API’S WORK:

When a guest makes a booking through an online travel agency (OTA), the hotel's Channel Manager is updated through an API bridge.

Another API between the Channel Manager and Property Management System performs a Request and Response update. In other words, when the Channel Manager receives an update through an external API, it feeds the information it received to the Property Management System through an internal API to update the Property Management System’s room inventory to show the new reservation.

API integrations between internal and external systems, similar to the scenario above help to provide smooth and seamless hotel operations. With APIs, hoteliers can create a custom experience for guests and ensure they have everything they need right at their fingertips.

APIs offer a full range of things customers can do with hotel apps, including checking in, unlocking their door, ordering room service, leaving feedback, and carrying out numerous other tasks. By further squeezing these features into a single platform – say the hotel app, everyone benefits: The customer gets a tool that eliminates pain points, while the hotel gets automated core services and happier guests.

REVENUE & PRODUCTIVITY ENHANCING OPPORTUNITIES:

One of the biggest advantages of integrating APIs into an existing system is the service enhancement and cost savings you make. Adding value to your application through the services you may not have developed on your own but through a collaborative partnership is a win win.

Hospitality Service providers can take advantage of 3rd party APIs to enhance the service or support infrastructure of their own proprietary system without needing to make any major changes to their own platform and thus allowing them to scale-up their businesses effectively.

Other benefits Include:

  1. Automation: By integrating various APIs, it is possible to automate most routine processes. This significantly reduces the manpower required to carry out the various tasks and thus reducing overall operating costs.

  2. Scope: Integration of various APIs can significantly increase the scope or depth of any given application by making more services available to the end-user at the same time and thus enhancing the overall experience.

  3. Efficiency: APIs, help automate various systems which can make the entire process of delivering a service more efficient thus driving a better overall customer experience.

  4. Personalization: It is essential that the products and services that are offered by companies are personalized according to the needs and wants of the target market. By integrating various APIs into the existing mix, a company can provide an extremely intuitive and personalised experience to customers.

  5. Innovation: Innovation is the key to success and therefore, companies must constantly look to innovate to drive changes in any given industry. By allowing for various services to be integrated, APIs are constantly driving innovation in the digital economy.

FINAL THOUGHTS

Here at Hoteliers Guru, our cloud based solutions allow you to run your hotel as easily as possible, whilst offering robust security to make sure the flow of information between all the departments are timely and secure. You can manage both the front office and back office while increasing productivity to save precious time.

One of the best features is that you can manage the entire system from a single dashboard from the Intelligent Cloud Property Management System. Our Front Desk user experience can be customised to suit your hotel needs giving you the ability to manage many tasks simultaneously.

Online and offline distribution is also made easier by integrating with online travel agencies and other third-party channels. The PMS and Channel Manager allows for management of inventory and all your bookings.

CONCLUSION

APIs have become indispensable for modern hotel software, driving innovation, efficiency, and guest satisfaction. As technology continues to advance, the role of APIs in shaping the future of hospitality will only become more significant. Hotel application developers that embrace APIs as a strategic tool will gain a competitive edge, enhance loyalty, and thrive in today's dynamic hospitality landscape.