I have seen how essential modern central reservations systems (CRSs) are for a hotel’s success in driving more direct bookings, increasing revenue through upselling opportunities, and providing a personalized shopping experience. Hoteliers are realizing the importance of investing in this technology not only for business performance but to be able to meet high guest expectations now and in the future.
Hospitality leaders embrace technology for growth
Our latest report, “Travel Technology Investment Trends 2024,” reveals a strong commitment among hoteliers to increase their technology spend. Based on a survey of global hospitality leaders, the report reveals a 16% surge in technology investment among hoteliers in 2024, with an impressive 94% of I.T. decision-makers planning to invest in technology within the year.
The report highlights that hoteliers view increasing occupancy and improving operational efficiencies as key priorities, with 85% of hoteliers anticipating that personalization could help deliver over 5% in incremental revenue. Investing in a modern CRS will be necessary to help hoteliers diversify and enhance their services in order to stand out to travelers.
Staying competitive with innovative merchandising strategies
The best CRSs on the market are as efficient as today’s leading e-commerce giants – providing a fast, seamless shop and book experience that consumers love. Effective merchandising adds a personal touch that not only boosts revenue for a hotel but also helps deliver the personalized experiences guests crave.
Our survey asked hoteliers about the kinds of offers they would most like to provide to guests as part of the booking process. The 5 most popular answers were:
- Specific room attributes (43%)
- Upselling of room types and value-add amenities (40%)
- Personalized onsite experiences (39%)
- Personalized offers for returning guests (34%)
- Last-minute promotions on rooms (34%)
Hoteliers are considering adding car hire services and travel insurance to the booking process. They’re also looking into options for cart abandonment offers and location-based special offers to increase bookings.
Investing in a modern CRS can help hotels achieve many things – increase reservations and ancillary revenue, build brand loyalty, and make the overall booking experience simpler and more enjoyable for guests. By using technology to optimize distribution and merchandising, hoteliers can better meet the evolving expectations of guests and stay competitive in the market.
The impact of a modern CRS on hotel success: Two compelling case studies
Look at the remarkable achievements of the Magnolia Hotel. After implementing the iHotelier Booking Engine, the property was able to enhance its online presence and offer more personalized options during the booking process, like spa treatments and rounds of golf. As a result, the hotel saw a 46% increase in unique package bookings and an 8.9% rise in direct booking conversions over a six-month period, significantly boosting its overall revenue.
In another instance, Amadeus’ iHotelier played a pivotal role in Oliver Hospitality’s innovative Black Friday campaign. By leveraging the CRS’ Members-Rate Merchandising (MRM) functionality, the Nashville-based hotel and restaurant company was able to advertise exclusive deals, resulting in more than 200 direct bookings over a three-week period. iHotelier’s unique features, such as a digital prize wheel and countdown timers, along with enticing rewards like dining credits and complimentary nights, created a sense of urgency that proved highly effective, generating over $85,000 in direct booking revenue.
As the hospitality industry evolves, it’s exciting to see more hoteliers recognizing the immense value of a CRS. By embracing these innovative solutions, hoteliers can gain a competitive edge, enhance their business strategies, and drive significant revenue growth.
To stay updated on the latest trends and insights, download the full “Travel Technology Investment Trends 2024” report.
About Amadeus
Amadeus powers more personalized and authentic travel experiences. Our solutions are designed to enrich every stage of the traveller journey and help hospitality providers acquire, service, and retain guests by profitably driving demand and converting them into loyal fans.
Backed by over 30 years of experience, we design open, cutting-edge software to provide the most efficient, trusted, and reliable systems for our customers. With experts in 175+ countries, we have a deep understanding of the hospitality industry and a desire to enable our hotel partners to create memorable guest experiences.
To find out more about Amadeus, visit www.amadeus-hospitality.com.
