The boom in the technological sector, rapid penetration of the internet, and many other factors are anticipated to increase the demand for hotel channel management.
The hotel channel management market accumulated a valuation of US$ 687 million in 2022, and it is predicted to reach a market valuation of US$ 1,618.23 million by 2033, growing at a steady CAGR of 8.1% from 2023 to 2033. As of 2023, the market is expected to be valued at US$ 742.65 million.
Hotel channel management is the process of planning and managing the availability of hotel rooms online, and the room rates through various online distribution channels. This type of technology is especially important in today’s times to avoid overbooking in any hotel.
Inventory Management Becomes Easier with Hotel Channel Management
Hotel channel management, as the name suggests, is used for managing the availability of rooms in the hotel. With the use of this technology, not only the selling of hotel rooms becomes easier, but even the management of inventory becomes easier. The software will also provide performance reports.
Performance reports as such are crucial when preparing a sales plan and analyzing the sales funnel as well. This might increase the hotel channel management market share. With online booking becoming popular, it is important that the managers smartly manage the request put forth by the prospect. It is here that hotel channel management becomes crucial, as it makes the entire process simple and seamless. This is expected to drive the adoption of hotel channel management.
Offers the Tourists Ease of Booking their Hotels
If the room is booked online, there are higher chances that more and more people will book at any given time, as they do not have to necessarily travel to any offline agency, and as for online booking, the booking can be done spontaneously. The hotel channel management market is expected to grow exponentially because of this as well.
One of the biggest benefits of employing hotel channel management is that if the rates or any other status is updated, the updated status is immediately visible. This avoids any unnecessary hustle, and the entire process happens seamlessly. Even this is expected to increase the demand for hotel channel management.
Offers Various Technological Advantages to the Managers for the Overall Management
On the technological front, it is important to know that with the usage of the hotel channel management system, the managers can seamlessly integrate any other management system like the revenue management system, and the booking engine as well.
Rapid Technological Advances along with Urbanization Have Boosted the Growth
In 2022, South Asia and Pacific along with East Asian countries altogether accounted for a significant market share of 34.2%. The key reason remains the fact that there has been rapid technological advancement in this region. There has been rapid urbanization in these regions, and with the increase in disposable income, people do not mind spending on such hotels.
Rising Number of Hotels and Accommodations to Bolster Growth
In 2022, the North American market for hotel channel management market garnered a global market share of around 24%. In North American nations, where there are many hotels and a developed travel and tourist business, there is a considerable need for hotel channel management systems.
Key market participants are implementing creative growth methods, and some significant advances in the hotel channel management industry include:
eRevMax earned Hotel Tech Report’s Level I Global Customer Support Certification (GCSC) for its investments in tools, processes, and strategies.
InnQuest’s ‘roomMaster’ has achieved Hotel Tech Report’s level III Global Customer Support Certification (GCSC).
With innovative features like a digital handbook, SmartHotel is the way of the future of hospitality. Digital Guidebook replaces printed literature while ensuring that visitors are always aware of hotel information, extra services, and incentives. SmartHotel is the next generation of hotel technology, establishing their establishment as a cutting-edge and green lodging option.
These insights are based on a report on Hotel Channel Management Market by Sneha Verghese, Principal Consultant, Future Market Insights.
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor’s degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales.
She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.