10 Best Hotel Management Software in 2025

Hotel management software is typically used in smaller properties like B&Bs and guest houses to streamline front desk functions like property management, check-in, back-office tasks and POS (point of sale) functions when staffing is lighter. This is a non-customizable hotel management solution generally combines core hotel property management system functionality with fully integrated channel management (prevent overbookings and connect to travel agents like Expedia), online booking engine, hotel website, guest service portal, housekeeping, maintenance, event management, email marketing, text messaging, customized reporting, surveys, rate management, dynamic pricing, sales lead generation, point-of-sale, payment gateway, and more.

• Increase ADR (increase revenue): Cross-utilization of key components of the hotel software allows properties to track current and past guest behavior and target market upgrades, add-ons and packages through the reservation/ online booking process (credit card processing) as well as through targeted marketing campaigns. Past occupancy trend reports can be utilized to apply dynamic pricing methodology to increase ADR for in-demand periods and shoulder nights. The ability to apply restriction-based pricing within your rate manager that integrates seamlessly to the built-in channel manager connectivity easily and efficiently increases ADR to higher occupancy periods.

• Grow Occupancy: In order to increase occupancy, your system must be able to quickly and agilely adapt to booking trends. A true All-in-1 hotel management system provides pace reporting variances so that the property can identify areas of low occupancy and make price changes that immediately flow out to all channels, along with quickly sending targeted email marketing campaigns to entice more customers during the slower periods. The ability to quickly create packages to increase occupancy and interest in targeted dates is equally important.

• Save Time & Money: all-in-one hospitality software providers bundle various automation tools and services into one solution to help unify systems to an integrated all-in-one management solution, saving staff time and providing more visibility throughout hotel operations. Best-in-class providers offer a built-in channel manager with live, two-way direct connections to all major OTA’s and GDS’s. This saves properties time and money by eliminating the middleman. Room inventory is live across corresponding OTA/GDS, with no need for an intermediary such as a CRS. That being said, many all-in-one hotel software providers do connect with top-rated CRS platforms as well.

The key functionality and core jobs to be done of a hotel management software (HMS) are crucial for hoteliers in the hospitality industry to streamline their day-to-day operations and enhance guest experience. A modern hotel management software, often cloud-based and user-friendly, includes several modules and features:

1. Property Management System (PMS): A central reservation and front desk operations hub that automates check-in, reservation management, and guest check-out processes in real-time.

2. Booking Engine: An online booking engine integrated with the hotel's website to enable direct bookings and maximize occupancy.

3. Channel Manager: Manages various online travel agencies (OTAs) and other distribution channels, preventing overbookings and ensuring pricing consistency.

4. Rate Management: Helps in rate management and pricing strategies to maximize profitability.

5. Point-of-Sale (POS): Handles payment processing and invoicing for various hotel services, including upsell opportunities.

6. Customer Relationship Management (CRM): Manages guest information and helps in personalized messaging and customer support.

7. Integration: Seamless integrations with OTAs, social media, and third-party software solutions like Expedia, Airbnb, and others.

8. Mobile App: Offers an intuitive mobile app for both guests and hotel staff, enhancing the guest experience and providing ease of use.

9. All-in-One Solution: Provides an all-in-one solution to cater to different types of properties, including hotels, motels, inns, hostels, B&Bs, vacation rentals, campgrounds, and even hotel chains.

10. Cloud-Based: Utilizes cloud technology for accessibility and real-time updates from anywhere, allowing hoteliers to manage their property remotely.

11. Guest Experience: Focuses on enhancing the guest experience through efficient check-in processes, messaging, and online booking capabilities.

12. Front Office and Back Office: Manages front desk operations as well as back-office tasks like inventory management and accounting.

13. Payment Processing: Ensures secure credit card transactions and payment processing.

14. Social Media Integration: Helps in marketing and engaging with guests through social media platforms.

15. Direct Bookings: Encourages guests to book directly through the hotel's website, reducing commission fees to OTAs.

16. Ease of Use: Offers user-friendly interfaces for both hotel staff and guests to navigate effortlessly.

17. Maximize Profitability: Aims to increase revenue and profitability through efficient operations and pricing strategies.

18. Upgrades: Allows for easy system upgrades and customization to adapt to evolving hotel business needs.

19. Invoicing: Generates invoices for various services and tracks payments.

20. Central Reservation: Provides a centralized system for managing reservations across different channels.

Hoteliers use these functionalities to streamline operations, increase direct bookings, and ultimately provide an exceptional guest experience, regardless of the type and size of their property. Leading hotel management software solutions like Cloudbeds, Little Hotelier, WebRezPro, and others offer comprehensive solutions for the hotel industry.

Hotel management software typically costs between $50 to $500 per month, depending on features, number of rooms, and user access. Basic systems for small hotels start at $50–$100 monthly, while enterprise solutions with advanced analytics and integrations can exceed $500.

Most hotel management software is priced on a per room per month basis with several tiers based on feature requirements, integrations and more. At a high level, the typical price of hotel management software ranges from $4-$10 per room per month.  If you are paying less than $4/room per month please make sure to very carefully vet your vendor as this is very deep in the 'budget' end of the spectrum.  Most vendors will provide some minimum room count in their pricing.  For example, they might say $4/room per month but have a 50 room minimum, so if you have a 20 room hotel your actual cost of ownership will be $200/month.  This is very normal, don't be alarmed when you hear it.

These figures do not factor payment processing fees as some vendors offer integrated payment processing while others require your hotel to work with a 3rd party payment processor.  When evaluating solutions; however, you should definitely compare payment processing fees of one vendor to the next as these can add up quickly and often cost more than the hotel software subscription itself.

Here's a broad overview of market pricing:

Entry-Level Systems

• Typical Price Range: $90 - $400 per month
• Target Market: Smaller properties
• Features: Core functionalities like reservation management, channel management, and guest communication tools.

Mid to High-End Systems

• Typical Price Range: $300 - several thousand dollars per month
• Target Market: Mid-sized to larger properties and hotel chains
• Features: Advanced features, greater customization, extensive integrations, and robust support.

Key Factors Affecting Pricing

• Feature Set: More advanced and comprehensive features increase the cost.
• Scalability: Systems designed for larger properties with complex needs tend to be more expensive.
• Support and Implementation: Higher-end systems usually include more extensive support and implementation services, contributing to higher costs.

Entry-level HMS are more affordable and suitable for smaller properties, while mid to high-end systems are geared towards larger properties with more complex requirements, reflected in their higher pricing.

Hotel software that succeeds in quick and efficient on-boarding of new properties is adept at sharing the full scope of the implementation project on the kickoff call and communicating effectively with key decision-makers. The provider should ensure that key decision-makers are available for each of the following calls and that they understand how their role is vital to the success of the implementation. Importing data from the current system, setting up gateway connections, and building out rooms, rates and third-party connections takes diligence. Working with a hospitality management system that can port in previous guest experience and hotel reservation data will help shorten the onboarding process, as well as provide historical data for reporting purposes. Smaller properties can plan for a 3-week onboarding time frame, while larger properties with more complex integrations should plan for 4+ weeks of implementation.