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Caterer & Hotelkeeper Magazine /30 October 2003 10:21

If you run a small or independent hotel then you've probably heard of property management systems (PMS) but perhaps felt they were only for large hotels. A PMS is a hotel booking software package designed to help you with the day-to-day running of your hotel. It can handle reservations, confirmations, room availability, check-in, diary needs, billing, check-out and payments, and often a lot more, depending on the package.

But they aren't just for large hotels. It's crucial that hotels - large or small - have an effective bookings process and management system, which allows them to make analysis of their data. Bill Wells, a UK On-line for Business adviser, says that while many operators prefer to operate "manual" paper systems, the management systems on the market can often be more effective for businesses, both in terms of time and accuracy.

"Information technology is required to enable the booking and data analysis processes to take place, so I believe the functions of a PMS are vital to any sized hotel," he says.

With that in mind, it's surprising that more small hotels haven't switched over to a PMS. Wells says he can understand hotels with fewer than 10 bedrooms not making the move because of the cost.

But for those with more than 10 bedrooms, he reckons you can't afford not to have a PMS, with the benefits it can bring. These include increased day-to-day efficiency and help with marketing. A PMS provides data that can help you to identify niches in your market you might have missed.

Peter Shearn, managing director of CaterActive, picks up on this point. "Hoteliers are now bombarded with advertising choices," he says. "Without the ability to collate where their client base heard about them, they won't be able to make an informed decision on where to place the advertising budget.

"A good salesperson can secure an advert costing up to £500 which barely gains any custom at all. If that money was spent on buying a PMS and using it, the hotel needn't make the same mistake again. They'd know where their guests had found the hotel, thanks to the information in the PMS."

Another reason small hotels haven't bought PMS's is the perceived cost. Robert Sheard, operations manager at DataBasics Hospitality Systems, says that although cost is a factor, there's also the thought of spending a large amount of money - DataBasics software costs about £4,500 - on something with which hotel owners aren't fully conversant.

"If a hotel planned to spend this amount of money on new furniture or catering equipment, then the hotelier would feel much more confident. But spending £4,500 on software appears to be more worrying," Sheard says. "Most hotel owners feel they're not that computer-literate and are worried some salesperson is going to sell them something that doesn't provide the results they're looking for."

Key points
So what do you need to know before you buy a PMS? Wells says there are four key points operators should consider.

• First, find out about potential packages before you buy. Speak to members of your trade association, which is a good place to share experiences and build knowledge.
  
• Check the ease of use and robustness.
  
• Check that the hotel booking system comes with 24-hour support. "This is crucial," Wells warns. "There's never a good time for a glitch to occur. Anything that affects efficiency can also have an impact on a hotel's reputation."
  
• Finally, make sure you form a partnership with the booking software supplier - good support and training are vital if you're to make the most of your new investment.
  
  CONTACTS
  CaterActive 0870 160 0611
  DataBasics Hospitality 0870 000 1601
  Hotel Information Systems 020 8891 1888
  UK On-line for Business: www.ukonlineforbusiness.gov.uk for your local adviser

CHOOSING THE RIGHT PACKAGE
The number of packages on the market can be bewildering, especially when you want to find one designed for the small and independent hotel market. Here's a quick look at three possibilities which all offer excellent support and training.

CaterBook from CaterActive was developed with the remit to produce a "Fisher-Price" product that could run a hotel business. Key features include a tariff system allowing almost any hotel tariff to be accommodated. There's also a graphic display of bookings which allows changes, so you can make the best use of lettings. Rooms can also be linked, allowing several rooms to be printed on to the same final invoice.

CaterBook has a comprehensive selection of reports, and the system can display room availability on the Internet on your own Website as well as commercial sites. The package costs less than £500.

Hotel Perfect from DataBasics Hospitality System includes reservations, financial information including debtors, housekeeping, forecasting and a marketing database with its own built-in mailshot facility. The package also includes optional Web-based booking and room availability facilities. Information is reported in an easy-to-understand style, and accurate guest history information is available. The average cost of an installation is about �4,500.

Epitome PMS from Hotel Information Systems works on a modular basis. You buy a "base" PMS and can then buy extra modules for it if required. The base hotel booking system includes reservations, check-in/out, guest billing, housekeeping, night audit, inventory management, cashiering, revenue management and detailed records for all of these.

You can also search for and recover information using the Query Wizard. Extra modules include guest and company history, sales ledger, apartment leasing, meeting-room hire, point-of-sale, travel agent, group sales and web reservations.

The Epitome base PMS costs from less than £1,500 - with add-on modules priced at £8 a room.

CASE STUDY
The owners of the 15-bedroom Combe House country house hotel at Gittisham, Devon, had the Hotel Perfect system from DataBasics Hospitality installed two years ago. Proprietors Ken and Ruth Hunt reckon it's easy to use and has been good value for money. One feature of the booking system that has impressed them is the way it reports information. Ken comments: "The system provides all the reporting information we could possibly require. The hotel booking software meets our particular need for accurate and easy-to-use guest history combined with a fund of marketing information to develop future business."

As with any new computer or software system, getting staff trained and having the right support from the supplier is important. "Training staff is difficult as it's always hard to find time to take them away from their department. However, DataBasics has provided extra training which has always been of value. The support we receive is one of the company's greatest strengths."

The hotel booking software cost the Hunts about £4,300 plus VAT and they also spent more than £2,500 on hardware.

Source: CatererSearch

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