How Does Cloud Migration help your Hospitality Business: Migrate to Cloud with LogicEra!

Welcome to yet another post from our weekly series, which is usually based on how cloud computing helps different verticals in meeting industry-specific challenges and emerging as the winner of the time. In our previous post, we covered cloud migrations for Government Entities (LINK: How Does Cloud Migration is Helping Government Entities: Migrate to Cloud with LogicEra!) and discussed how Government bodies are leveraging the power of the cloud to enhance security, increase collaboration, reduce costs, and much more. In this post, we will discuss how cloud migration is helping Hospitality businesses in minimizing operational costs, improve PMS (Property Management System) access, easily integrate with third-party solutions, enhance operational efficiency, and much more.

Unlike, most of the cases where the COVID-19 pandemic had accelerated the move to the cloud, a large part of the hospitality industry was already on the cloud. And, why not? After all, the industry is getting immensely benefitted from the cloud. If you take a look at the data, attributed to mainly cloud adoption, IoT, and rising internet penetration, the Global Smart Hospitality Market is projected to grow at a CAGR of 13.14% during the forecast period, reaching a total market size of US$12.727 billion in 2025 from US$6.067 billion in 2019

However, several hospitality businesses are still on the fence to take the plunge, for maybe they don’t want to come out of their comfort zones and deal with the complexities of the cloud or are unaware of the cloud and its benefits. Such businesses are still stuck with their legacy IT infrastructure and hurting their ROIs by not embracing the latest technologies that are kind of disrupting them otherwise. They are lagging behind their smart competitors who were quite far-sighted and realized long back how crucial it is to implement the cloud to stay ahead of the curve. The idea is the longer they take in moving to the cloud, the more challenging it will be for them to match the pace with their smart rivals and forget about surpassing them. Here in this article, we have come up with the top benefits of the cloud for the hospitality rather smart hospitality industry. So, check out them one by one.

1. Reduced Operational Costs

With the cloud, you don’t need to bear the huge capital expenses required in setting up a dedicated on-premises IT infrastructure and maintaining it. Installation, repair, and upgrading of expensive hardware already incur huge costs. On top of it, you need the right staff to perform all that, which is expensive too. Moreover, the worries related to those exorbitant license fees keep surrounding you. But, the cloud helps not only you get rid of all these worries and focus on your core business but also minimizes the operational costs substantially. And, in exchange for all this peace, you pay a reasonable amount of money to the Cloud service provider (CSP) that too only for what you use.

2. Scalability

In an on-premises infrastructure, you either have to pay huge capital for expensive hardware that goes unused most of the time or compromise with what you have and lose a large part of the revenue that could have been generated by accommodating those seasonal spike-ups in the traffic. However, with the cloud, you can scale your resources up or down with just a few clicks of the mouse and use only those resources that you need. So, if you look at the operational expenditure difference between the on-premises and the cloud infrastructures, you will already have made a choice.

3. Improved PMS Access

Managing things instantaneously and remotely is, as such, not possible if you have your hotel reservation software on-premises. It is a luxury that the cloud offers you. Moreover, with the cloud, mobile apps could be leveraged for staying on top of operations. With a cloud-based property management system (PMS) for your hospitality business:

• Countless operational tasks could be performed from anywhere, anytime that include inventory management, report generation, check-ins, check-outs, reservations, etc.
• The critical and confidential data related to your hospitality business could be accessed irrespective of the location as such and that too with just a few clicks.

4. The Ultimate Security

One of the main reasons why most hospitality businesses are migrating to the cloud is cybersecurity. When data is stored on an in-house server, there persist several threats related to its loss or downtime. On top of it, businesses need to invest huge capital in antivirus software and in backing up servers that are not even disaster-proof. However, when you have your data on the cloud, it is safe from disasters in most cases, as most CSPs have at least three replication of your data at three different sites. So, while you get rid of the heavy investments, you stay away from downtime, backup & recovery issues, and security disasters as well.

5. Streamlined Deployment

Deploying an on-premises property management system (PMS) takes a considerable amount of time. On average, it takes almost a month to go live. Not just that, even the downtime post any maintenance or repairing task of the on-premises PMS is considerable too. On the contrary, you can leverage a cloud-based PMS almost immediately and get the bookings rolling very soon.

6. Improved Operational Efficiency

System automation is one of the benefits that has coerced many hospitality businesses to move to the cloud. You can easily automate numerous processes and enhance operational efficiency. You can get several tasks performed in a few minutes that traditionally had taken a lot of time. By connecting to the cloud, you launch a portal of global travelers, who might be hunting for your property only. So, when things happen in real time, they are sure to give you quick results. Through the cloud, you can automate the room inventory and can reduce manual labor by making your data visible to the consumers in real time. It eliminates the need for those complex and lengthy cross-team meetings.

7. Integration

Integrating your on-premises software with third-party solutions isn’t that easy. It can be not only complex but also a tedious and time-consuming process. On the other hand, a Cloud-based PMS for your hotel can be tremendously useful and flexible. With the help of open APIs, you can seamlessly integrate your cloud-based PMS with even those third-party solutions that are available on the Cloud. You could integrate it with multiple revenue management software, payment gateways, GDS, accounting modules, channel managers, and so on.

The Final Words

Whether it is about small cafes or large hotel chains, the entire hospitality industry is getting benefited from cloud services. Cloud helps them in easily monitoring, testing, and implementing improved solutions that in turn streamlines operations, provide better data security, and, of course, improve the guest experience. You can access your hotel’s front desk software from even a Smartphone and can run your hotel’s reservation software from the palm of your hand. In short, the cloud improves operations and also revenue models. Perhaps, these are the reasons why the cloud has penetrated almost every industry.

Migrate to Cloud with LogicEra!

Of course, migrating to the cloud could be a worthwhile move but don’t forget it is not as easy as it sounds. You must first research well before you jump onto the cloud computing bandwagon. Make sure all your cloud implementations are backed with an effective cloud migration strategy. Just in case you require any supplemental support you can get a cloud consultant on board or hire a Managed Services Provider (MSP). There are several cloud migration service providers that provide cloud services for Hospitality businesses as well. One of the most reputed cloud migration companies in the UK and UAE is LogicEra. The MSP helps you seamlessly and safely migrate your infrastructure to the cloud within the shortest possible time.