Hotel Property Management System 2025

FAQ

What is a property management system?

Property management software, also referred to as PMS, is software used in the hotel industry to control, organize, and execute the operations and day-to-day activities of a hotel (from independent hotels to chains), hostel, B&B, inn, or vacation rental property. The core functions of a hotel PMS system include managing workflows and administrative tasks for both back office and front office operations, like a reservation system and complete guest profiles, inventory management and occupancy, event management, pricing and RevPAR, check-in and check-out, housekeeping management, invoicing, online payments, budgeting, maintenance management, and reporting. Innovative property management systems have a wide range of key features such as cloud-based functionality, open APIs, comprehensive dashboards, interactive calendars, and more. Hotel property management systems act as the central hub of hotel operations, with information flowing between other systems, and when properly integrated with other hotel software, eliminates data silos, duplication, and manual input errors that can lead to overbookings, helping property managers make more informed decisions.

How many property management systems are there?

There are a variety of different hotel property management systems available in the hospitality industry today. Older, legacy hotel management software systems are mostly based on aged on-premise technologies that are quickly becoming outdated. Newer Hotel PMS solutions are web-based so they’re accessible from anywhere in the world with the internet and have better infrastructure and lower costs of implementation, capital investments, and maintenance. Sophisticated hotel management software works as a single platform with all the functionality that hoteliers and hosts need for revenue optimization, operational efficiency, room management, and guest management integrated into one system.

Which hotel property management system is the best?

The best property management software available today is web-based, integrated, and have an open API to allow for customization and meet the needs of different types of properties. You can check software solution review sites, such as SoftwareAdvice, Capterra and HotelTechReport, for a list of award-winning software and a breakdown of their modules and features.

What are the benefits of a modern property management system?

By switching to a modern, cloud-based PMS, property owners can gain an array of advantages that help streamline hotel operations, increase revenue, and deliver better guest service. A few advantages include:

Saved time for you and your hotel staff by replacing manual tasks with automations and one-click operations
One login to manage your reservations and guest messaging, update your rates and availability across all online travel agents with a unified channel manager, and attract more direct bookings on your website with a built-in online booking engine.
A better, more personalized guest experience with modern tech enhancements like contactless payments, integrated messaging mobile app, mobile concierge, and more
Fast implementation, consistent upgrades, and open API for easy integration
Reduced labor costs and increased staff satisfaction with easy-to-use, easy-to-learn software.
A system that includes credit card payment processing with on-premise terminals and your favorite payment gateways.
The option to provide a modern experience that today’s guests expect, such as self-service check-in options and keyless entry via mobile device.

What are the key functions of a property management system?

Hotel PMS software helps hoteliers manage day-to-day operations, some key features include:

Control Dashboard - Get an overview of all your operations in one place. Since Cloudbeds is cloud-based, you can check your daily operations remotely from anywhere in the world with an Internet connection
Channel Management - With Cloudbeds, you get a unified channel manager that lets you connect to an unlimited number of OTA channels and online marketplace, like GDS, with no added commissions. Keep your rates and inventory in sync in real-time across your PMS, channel manager, and website booking engine.
Reservation Calendar - Cloudbeds has a unique and user-friendly drag-and-drop calendar functionality.
Housekeeping Management - Your whole team can see which rooms are clean or dirty in real-time via mobile device and manage maintenance requests.
Revenue Management - A PMS with a built-in revenue management tool, like Cloudbeds, will let you automate and optimize your revenue management strategy so your rates are always competitive in your local market.
Payment Processing - Cloudbeds has integrated payment processing designed specifically for the hospitality industry to manage on-premise and online payments.
Reporting - Comprehensive reporting that allows you to see everything you need to know to make data-backed decisions.
Online Booking Engine - Cloudbeds’ unified booking engine was designed to help you increase direct bookings directly on your website. It’s always in real-time sync with your PMS and channel manager.
Guest Management - From guest messaging to engagement tools that help increase upsells and reviews across the guest journey, a modern PMS will include enhanced guest management solutions to maximize guest satisfaction.
Marketplace or Open API - Seamlessly connect to additional apps, tools, and services such as point-of-sale (POS) solutions, CRM systems, check-in kiosks, accounting software, revenue management systems, task management solutions to track work orders, and so much more.

What types of properties can be managed with property management software?

Property management software is used by a wide range of property types, including hotels, hostels, hotel groups, hotel chains, and vacation rentals. Regardless of property type, a PMS helps owners & operators accurately keep track of reservations, rates, and availability. Any property selling inventory (rooms and/or beds) looking to streamline operations and increase efficiency via technology would benefit from using a PMS. It helps reduce errors and saves teams vast amounts of time compared to spreadsheets or other manual processes.

How does a property management system work?

A property management system is an extremely important tool for hotels as it is used for everything from handling reservations and room assignments to checking guests in and out to housekeeping management and guest services. It acts as a single source of truth, with data from other systems flowing in and out. It provides a comprehensive snapshot of performance and real-time information on inventory, occupancy, and profitability.

What integrations should a PMS have?

Integrations are a crucial component of modern hotel software since most properties use multiple systems to manage operations. When other hotel software is integrated with the PMS, it facilitates a seamless flow of information across departments, eliminating data silos and increasing efficiency. Critical integrations include:

Booking engine

Channel manager

Guest messaging

Revenue management systems (RMS)

Payments

Government reporting

Facilities & operations

Customer relationship management system (CRM)

POS system

It’s important when integrating other tools into your hotel management system that they have a two-way connection, meaning both applications can send and receive data via API (application programming interface). A two-way integration helps keep information accurate and up to date by updating both systems.