What is a computer reservation system?
A computer reservation system (CRS), also called a hotel central reservation system, is a piece of software designed to help hotels and other travel and hospitality businesses track and manage their bookings.
What is CRS and its function? Computer reservation system software allows small, independent hotels to easily manage reservations across all booking channels, from OTAs to direct bookings, through a single, simple dashboard, usually displayed in the form of a calendar.
When you choose wisely, a modern central reservation system for hotels will be easy to implement and use. A computer reservation system in tourism works in much the same way, helping travel agencies organise tours and trips with ease.
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Why do you need a computer reservation system?
The functions of computer reservation systems are many and varied. What is the main purpose of the computer reservation system? To track and manage bookings. But there’s a lot more to that task than this simple answer suggests.
They can automatically log new hotel bookings as they come in, filling out your calendar without you having to lift a finger. The best CRS/computer reservation systems can then adjust availability across all your booking channels, including online travel agencies (OTAs) like Booking.com and Expedia, to ensure you are never put in the awkward position of accepting a double booking.
A CRS puts all relevant booking information together in one place. You can see guest info, room selection, dates, rates, payments and preferences in a click.
Your CRS can help you avoid the 15-25% commission fees that OTAs charge by attracting more direct bookings through your website, with the help of a direct booking engine. You can also make more money through dynamic pricing strategies, where your CRS adjusts your room rates in response to market rates and demand, to ensure you always charge what your rooms are worth at any given moment.
All in all, the importance of computer reservation systems is hard to undersell, not least because almost every hotel now uses one, putting those that don’t at an instant disadvantage. They simply offer a better, faster and more accurate way to track and manage bookings.
History of computer reservation systems
Where did CRS technology originate? It can be traced back to 1963, when American Airlines introduced its ‘semi-automated business research environment’, or SABRE. This CRS would ultimately become a global distribution system (GDS).
What is the difference between CRS and a GDS? While a CRS is an umbrella term for software designed to handle reservations, a GDS is a global computer network that enables transactions between travel industry service providers like airlines, hotels, travel agencies and car rental.
After the introduction of SABRE, CRS technology quickly spread throughout the airline industry, and by 1976 it began to be used by the travel and tourism industry too.The rise of computers through the 80s and the internet through the 90s turbocharged the take-up of CRS tools. These days even the smallest hotels and travel businesses will usually have some form of cloud-based computer reservation system.
What are the benefits of using CRS?
Implementing a CRS at your hotel offers up a wealth of benefits for your business and your guests.
Improve customer service
Eliminate human error by automatically accepting booking information straight from the guest. Avoid double-bookings by letting the system automatically update availability across all your booking channels as soon as a reservation comes in. Offer guests extras and upgrades as part of the direct booking process to enhance their stay.
All in one place
Never lose another booking. Stop fighting piles of paper. A CRS places all your reservations in a single screen, shown in calendar form. Simply click on a booking to see all the relevant details.
Automation and efficiency
A modern CRS will automate a huge amount of low value busywork, from manually keying in reservations to updating rates and availability across all your booking channels. With Little Hotelier you can save up to 35 minutes on every single booking!
Real-time availability
A CRS like Little Hotelier updates room availability as soon as a new booking comes in. Every booking channel is always up-to-date, ensuring no double-bookings or disappointed customers.
Enhanced data security
A quality CRS will protect your small property from online fraud and give guests confidence that their personal information and payment details are safe. Little Hotelier does exactly that with PCI-DSS and PSD2 SCA compliance.
Dynamic pricing
Are you earning as much as you can from your available hotel rooms? You have a limited number of rooms, so maximising revenue is about making the most of what you’ve got. With the help of a CRS with a dynamic pricing feature, you can ensure your rooms always sit at market rates.
Monitoring, reporting and analytics
By crunching the numbers, you can learn how to grow your hotel business and maximise its profitability. A quality CRS will offer analytics on your business, and will be capable of generating meaningful, actionable insights.
What are examples of CRS?
In terms of computer reservation system examples, the likes of Pegasus and Amadeus (TravelClick) are some of the biggest names in the game. The issue for small, independent hotels is that these tools tend to be a little too capable – they offer endless functionality, but that can make them too complex and costly for smaller operations.
The types of computer reservation system in hotels with smaller room numbers will be far simpler. They’ll focus on the needs of an independent hotelier, and do those basics well.
The post Computer Reservation System: What is CRS and its function? appeared first on Little Hotelier.
Dewa Arsana,
Property Manager
Castaway Boutique Resort