In the hospitality business, more bookings is good business. Isn’t that right? Well, not always. It is inevitable running into situations like overbooking and double bookings following damage to the hotel’s reputation and adding to revenue loss.
Avoid overbooking your hotel rooms
Why you’re doing it – Small hotels deliberately overbook their rooms because they can’t process credit card payments at the time of the booking. Some hotels assume that a percentage of their booked guests won’t turn up every night. Rather letting reserved rooms remain empty, it completely depends on the hotel to fill any spare capacity. If a guest who has already paid for the room cancels due to any kind of emergency post a hotel’s refund deadline or just fails to show up, the hotel can effectively get paid twice by selling the room to another guest for the night.
Why it’s a problem – Deliberately overbooking also means that you have high chances of double booking, which is not worth the risk.
Whether the tourist attention is a large cultural event, music festival or simply a high reason for visitors, the number of cancellations is not guaranteed. You come off as unprofessional which can look bad for business and customer experience.
How to fix it – To avoid overbooking your hotel rooms, you can install a hotel booking system to keep track of the reservations and allow you to accept credit card payments on the spot. Not only does it help you get paid at the time of booking, but also allow you to charge cancellation and amendment fees in the event of ‘no show’ or if your guests changes their booking.
Using a Hotel Management System integrated with Channel Manager drastically reduces hotel overbooking problems. The hybrid cloud-based hotel booking software eliminates the need to personally manage bookings on the channel manager which in turn could be a tedious process.
Avoid double-booking your hotel rooms
Why you’re doing it – Updating your hotel inventory across multiples sites is a pain! You simply don’t have time to do it during peak season.
There are too many accounts to log-in to update your inventory, so you decide to just give the same amount of inventory to a few of them – just in case.
Why it’s a problem – Accidental double room bookings are an hotelier’s worst nightmare. Your booking agents don’t see your real-time inventory, so they accidently sell the same room that another agent has already sold.
Double booking causes difficulties for both the customers and hoteliers. Despite the quality of hotel, if a customer is double booked they will lose trust in the hotel and are more likely to complain or never return in the future.
How to fix it – No matter how much effort you put in preventing mistakes, every once in a while chances are high that you can get a double booking. Usually, the problem lies in your inventory management.
The solution is easy – you need a Channel Manager. Hotel management software like QiK Circle has integrated Channel Manager that distributes your hotel inventory to multiple OTAs. This means that your rooms are bookable on all of these sites, and your updated inventory of that particular point of time is what’s seen by the customers – whether it’s directly on your website or through the OTA’s website.
A Channel Manager reduces the chances of double booking to a great extent because each time an online reservation is made on any site, it reduces the room inventory accordingly. Thus, this solution helps you in keeping the image of your hotel and you will not have to deal with unhappy customers.
A Hotel Management Software with in-built Channel Management System like QiK Circle will solve the problem of overbooking and double bookings all at once. Interested in saving time and money? Why not see how it works?