What Is Cloud Hotel Software? Optimizing Your Business

Marketing 12 minute read 18th September 2024

When running any hotel, optimizing operations is of utmost importance. One of the most popular ways to do that is by investing in cloud hotel software. Cloud software relies on servers that you access through the internet.

This approach has many benefits, including improved international access to important data across hotel chains. Having everything in one place streamlines your hotel business. It’s convenient and efficient, and who doesn’t want that amidst the mania of the hotel industry?

In this guide, we’ll introduce you to the concept of cloud software with thorough definitions and a handy FAQ section.

Additionally, we’ll teach you how it plays a vital role in hotel running, covering the primary benefits of this strategy. There are practical details coming up, too, like a brutally honest cost overview.

In just a few minutes, you’ll have everything you need to carve out a more successful hotel strategy. So, let’s get started!

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What Is Cloud Hotel Software?

Cloud hotel software helps you run your hotel business, storing and managing data on servers accessible through the internet. Rather than linking it to a physical server and location, this approach enables multiple access points.

For instance, when running a hotel chain it allows you to keep all the data together in one location.

Each venue can then access the same system from different locations. There are multiple access points to reach the same hotel property management software, controlling everything from one place.

Using the cloud is a strategy that all types of businesses use for different purposes. It’s a lot more efficient, and with growing globalization and remote working, it’s just more realistic for business management. The same concept works when creating a business where workers join from different countries and physical locations.

The cloud is crucial as it facilitates geographical freedom. Even independent hotels can benefit from using cloud software for hotels.

For instance, if they’re working with remote marketers and other professionals. It’s even helpful just to store data securely in case something damages the physical server. A cloud-based system won’t be lost in a fire.

Cloud software can be used for a wide range of things, including hotel revenue management or systems for direct bookings. Anything involving some data storage element is an ideal candidate for a cloud-based approach.

In summary, cloud hotel management software is an internet-based alternative to storing data and systems in physical servers. It’s great for big teams and provides multiple access points for those who don’t work from the same location.

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Top 4 Reasons To Use Cloud PMS Hotel Software

There are many reasons to use cloud PMS hotel software, some of which we’ve briefly touched on above. It’s a remarkably flexible approach and, fundamentally, a more realistic solution for business spread across multiple locations.

Are you on the fence about using cloud-based hotel software? Here’s our two cents on the top reasons to use a remotely stored hotel property management system.

1. Collaborative Efficiency

This is the number one benefit of using cloud-based software. It enables more efficient collaboration across your hotel team, no matter the location. While this is increasingly vital for hotel chains, it’s still relevant for independent hotels.

These businesses may work with freelancers or key stakeholders in the hotel may wish to access key data while offsite.

2. Cost-Effective

Cloud storage is cheap. For a meager monthly subscription fee, you eliminate the need to organize your own database.

The software also organizes your security (a lifesaver when collecting and storing first-party data). We’ll look at the protection side more in just a second, but for now, know it’s excellent value for money.

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3. Improved Guest Experience

Having all that information at the touch of your fingertips is a huge plus for guest experience. You understand them better, facilitating better connections, as there’s consistency in interactions.

For example, a receptionist and customer support agent would have the same customer information on their database. There’s no scrambling to find the right details, be that rate plans or booking information, to help.

4. Backup Protection

Nothing is as precious as security when handling valuable personal data. Cloud-based software is much more secure, and unlike a physical server, it has backup protection.

Think about it. If a physical server was lost in a fire, your data and customers’ data would be lost. Whereas, if you lose access to cloud-based information, there’s a server somewhere with a copy on file. A channel manager can just contact the software company for assistance if necessary.

To make the argument for choosing cloud storage even more compelling, data is continuously encrypted against cyber attacks. It also remains under 24/7 surveillance — a bit like hiring a constant guard for your server.

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The Cost of Cloud Based Hotel Management Software

The cost of cloud based hotel management software depends on how many units you have. A property with 500 rooms will inevitably be more costly than one with four.

Take Reservation Key, for example. This software costs $29 a month for four units yet $467 for 500 units. You can see how prices quickly creep up.

It also depends on what you expect the software to do. The best software simultaneously acts as a booking engine, automating booking requests and allocating available rooms. These will be more expensive than simply saving spreadsheets to the cloud with minimal functions.

Budget around $100 to $300 monthly for cloud-based software for any mid-sized hotel.

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FAQ

Before you go, let’s quickly consolidate what we’ve learned. Purchasing cloud software can seem complicated, so it’s worth reiterating the basics.

What is cloud based software?

Cloud based software relies on remote servers to store data. Rather than using physical servers prone to damage, it creates a network of online databases.

An example would be Slack or Zoom — both of which store data remotely. However, you can use a cloud based approach across all industries.

What are the benefits of using cloud hotel software?

There are so many benefits, including the cost-efficiency of not having to run your own data system.

For a monthly subscription fee, you get complete collaborative efficiency, enabling multiple access points regardless of location. It’s a smart and efficient way to organize your hotel, especially if you run chains and want a singular system.

It offers backup protection for all that valuable information. Cloud software relies on constant encryption, security surveillance, and backups to multiple servers. It’s also not vulnerable to destruction in accidents like earthquakes or fires, which would likely destroy physical servers.

How much does cloud based software cost?

Software incorporating cloud based storage typically costs around $20-30 a month on a subscription basis.

However, this can rapidly increase with storage demands. Essentially, the more storage you require, the more money you’ll pay. For mid-sized businesses, you could easily budget $100-300 a month on cloud based software.

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Beambox: The Power of Hotel WiFi

Did you know that you’re already sitting on a goldmine? Hotel WiFi is an incredible investment, and not just in the way that it keeps customers happy. Did you know you can also use it as a prime data collection tool?

A captive portal system is exactly what you need to collect contacts for your marketing campaigns. This strategy temporarily blocks guest access to your internet, instead directing them to a webpage form. You customize this form to request the required details, and once they comply, they get WiFi access. It keeps everyone happy.

At Beambox, we provide an all-in-one WiFi marketing platform with a portal you customize to get the information you need. Cloud hotel software is just the beginning.

Start your Beambox free trial today and grow your data collection even more!

Grow your business and customer loyalty with guest WiFi!

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