Key Takeaways
- A channel manager updates room availability and rates across OTAs automatically.
- Two-way PMS integration prevents overbookings.
- Manage OTA commissions while growing direct bookings.
Hotels typically sell through several OTAs plus their own website. Updating each extranet manually is slow and causes overbookings.
What a channel manager does
- Pushes availability and rates to all connected OTAs
- Pulls bookings into the PMS
- Applies restrictions (min stay, closed to arrival)
- Manages rate plans and derived rates
- Monitors rate parity
Choosing a channel manager
| Criterion | Check |
|---|---|
| OTA connections | Booking.com, Agoda, Expedia, MakeMyTrip/Goibibo, Airbnb |
| PMS integration | Two-way, real-time |
| Update speed | Near real-time |
| Support | Local support hours |
Balancing OTAs and direct bookings
OTAs bring visibility; direct bookings protect margins. Use a booking engine and offer direct-booking perks.
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Frequently Asked Questions
What is a channel manager?
Software that synchronises a hotel's room availability and rates across OTAs and other channels.
Can a channel manager prevent overbooking?
Yes, by updating availability on all channels immediately when a room is booked.
Do small hotels need a channel manager?
If they sell on more than one or two OTAs, it usually saves time and errors.
What is rate parity?
Keeping room rates consistent across channels as per agreements and strategy.
