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Channel Manager

Channel Manager

What is a Channel Manager?

A channel manager is a software system that keeps hotel room availability, pricing, and inventory synchronized across all sales channels, such as OTAs (Online Travel Agencies), the hotel’s website, and GDS (Global Distribution Systems). It ensures that any change in one platform is reflected everywhere in real time, avoiding overbookings and rate mismatches.

How does a Channel Manager work?

The channel manager connects directly with the hotel’s PMS (Property Management System) or CRS (Central Reservation System). When a booking occurs on any channel, the system automatically updates the availability on all others. This reduces manual work, increases accuracy, and helps revenue managers apply dynamic pricing strategies effectively.

The main benefits for hotel operators.

  • Saves time: Eliminates manual updates across multiple platforms.
  • Accuracy: Prevents double bookings and rate inconsistencies.
  • Revenue optimization: Enables fast and easy rate adjustments for better yield.
  • Visibility: Expands reach by distributing inventory across more channels.

Important note:

An effective channel manager must have a two-way integration with the PMS. One-way connections can lead to delays and data errors during high-demand periods.

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Related articles:
FAQ
What is the role of a channel manager in a hotel?
Why is a channel manager important for hotel operations?
What systems connect with a channel manager?
How does a channel manager help increase revenue?
Can small hotels benefit from using a channel manager?
What should hotels consider when choosing a channel manager?

Other Key Terms

RMS (Revenue Management System)

An RMS is software that helps hotels maximise revenue by managing prices and room inventory. It uses data such as demand, booking pace, competitor rates, and market conditions to recommend or automatically adjust prices.

Property Management Systems (PMS)

A Property Management System (PMS) is software that centralizes and automates a hotel’s key operations — including reservations, guest check-ins and check-outs, room assignments, housekeeping status, billing, and reporting. It’s the central hub of the hotel, ensuring every department works with the same up-to-date information.

CRM (Customer Relationship Management) for Hotels

A CRM for hotels is a system that collects, organizes, and manages guest data to improve communication, loyalty, and revenue. It consolidates information such as contact details, booking history, preferences, and feedback into one database. This allows hotels to personalize guest experiences and automate marketing actions.

Channel Manager

A channel manager is a software system that keeps hotel room availability, pricing, and inventory synchronized across all sales channels, such as OTAs (Online Travel Agencies), the hotel’s website, and GDS (Global Distribution Systems). It ensures that any change in one platform is reflected everywhere in real time, avoiding overbookings and rate mismatches.