Channel Manager: Why You Should Use it for Your Vacation Rental

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Channel Manager: Why You Should Use it for Your Vacation Rental
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A channel manager allows you to connect your villa with many booking sites and OTAs. Read here to know more about channel manager.

Feeling overwhelmed by various rate plans from different OTAs? Then it is time to use a channel manager.

A channel manager will not only assist you in selling your villa rooms and manage inventory more quickly and easily, but it will also provide important performance reports that you can utilize to optimize your marketing campaign or sales methods.

Definition of Channel Manager

A channel manager is a software that allows you to connect your property management system (PMS) to online booking sites such as Booking.com, Airbnb, Agoda, etc.

It allows you to immediately update your rates, availability, and reservations across many platforms at the same time. 

Certain channel managers can provide you a PMS system if you don’t already have one previously.

How does the Channel Manager Work?

A channel manager works by automating and updating your hotel’s inventory in real-time, as well as communicating reservation data with your property management system in a two-way fashion.

This implies that when a room is booked on Booking.com, for example, the channel manager will send this data to your PMS as well as update your inventory across all of your associated channels, such as Airbnb or Agoda.

The Benefits of Using A Channel Manager

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Increase Your Online Bookings

With telephone and walk-in bookings on the decrease and online bookings on the rise along with the new-normal habit, a channel manager puts you in the greatest position to capitalize on this new traveler booking habit.

Connect to more online channels, where more and more guests are booking their accommodations.

Effective Room Management

A channel manager will save your time and effort if you sell rooms on more than one web platform. You can easily change your rates promptly across all online booking providers in one spot.

Avoiding Overbookings / Double-bookings

You are also significantly less likely to receive overbookings since once a room is sold, it is promptly removed from all other online providers, removing the possibility of it being double-booked.

Increase Your Revenue

A channel manager can help you increase income by eliminating overbookings. When you receive a cancellation, your channel manager immediately reopens that room, providing you the highest opportunity of having that room rebooked.

Boost Direct Bookings

Many travelers will discover your property first on an OTA or social media, but they want to learn more about you before they book. 

Oftenly, they will visit your website and make the decision to book their stay directly on your website, without having to jump again to the OTAs platform.

The Difference Between Channel Manager and PMS

So what’s the differences between channel manager & property management system? See the comparisons below based on their functions:

Channel ManagerProperty Management System
Distribution across multiple listing websites and marketsCentralize property information and all booking tasks & transactions
Automatic update of availability, rates, bookings and property infoHousekeeping and check-in staff management
Advanced pricing options to maximize revenueReporting, accounting, invoicing and more
Comparison between Channel Manager vs. Property Management System

Based on the comparisons above we can concludes that:

While a Property Management System (PMS) focuses on automating operational chores and optimizing workflows, a channel manager automates the online distribution of your property listings and keeps your channel calendars up to date.