Sunday, 30 March 2014

Site Minder – Channel manager

Controlling its distribution and the parity rate became very complicated for hoteliers in the last 10 years. It is due to the large amount of distribution channel.
Controlling it is the KEY!

This is why we saw in the hotel industry the creation of some companies specialised in distribution on the different channel.The case of site minder is not exclusive; many others appear we can quote “rate tiger”, “channel rush” or “Yield planet” and much more.


The goal is for the hotel to send his different update rates everyday to the channel manager that will manage to inform all the distribution channels (GDS, OTAs, Wholesaler, Travel agents, own website), but also to be instantly informed when a room is book online ! Thus, the hotel and the revenue manager will gain time. 


We will study a SWOT analysis of this technology in order to give you enough knowledge to use it.

Strengths
Weaknesses
     -          Time saving & efficiency
     -          Simple to use
     -          Increase revenue
     -          One interlocutor
     -          Instant information about a booking or an update rate
     -          Connection worldwide
     -          Flat monthly rate ( NO commission)
     -          No contract
     -          2 way integration (Work with PMS & CRS)
      -          Less control to direct suppliers
      -          Cost (>60€ for a hotel with 20 rooms and > 300 for a hotel with more than 200 rooms)
     -          Not necessary for small and/or individual hotels
     -          Control the over booking so might not be useful sometimes where overbooking is necessary!
Threats
Opportunities
     -          Other competitors (cheaper or faster)
     -          Technological problem might appear and have huge impact on the hotel
     -          Really control RATE PARITY!
     -          Contract according to online booking (for small hotel only)

A channel manager such as Site Minder seems to be the best option to control distribution channels and in the same time save time and target other markets. The different strengths can help you to take a decision for your hotel.

Save time, control your distribution channel and increase your revenue.


Sébastien Haag & Anne-lucie Talarmin


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