MIKE PAVICICH | May 30, 2024

By Mike Pavicich

Hospitality companies looking to reduce costs are turning to alternative sales and catering solutions that provide the same functionality without the hefty price tags

Have you ever wondered if your current Sales and Catering (S&C) solution is overpriced? Are you seeing rates go up every year after thinking you got a great deal when you signed up?

A common scenario is hoteliers unintentionally spending extra money on systems. Of course, with so many solutions claiming to offer comprehensive group sales and event management features, it is understandable that there is indecision and confusion.

When you break down the core features of most S&C systems—customer management, centralized data, scheduling follow-up activities, managing sales cycles, document dispatch, and reporting—you will find that they are not all that different. What was perhaps a unique and costly offering from legacy providers is now pretty standard.

As more hospitality companies look for ways to reduce costs, they are increasingly turning to alternative technologies that can provide the same functionality at a lower price. The most significant benefit of paying less for an equally capable platform is that the savings can be redirected toward higher commissions and growing new leads and sales—which, after all, is what your budget is meant for.

So, how can you gain the advantages of a robust sales and catering solution that meets your needs and then some – and avoid the hefty price tags the ‘name brands’ demand? Let’s explore.

All-In-One Systems Are Not the Be-All

The allure of an all-in-one hotel management system grasps most hoteliers. It promises efficiency, cost-saving, and time-saving. But does it?

Before considering such an investment, let’s look at the following points.

  • Larger vendors have many clients, which means you are just a tiny fish in a big pond when it comes to personal, one-on-one support and service.
  • With so many modules, hotel tech providers claiming to “do it all” tend to underperform against firms specializing and excelling in one area.
  • Along with the high initial cost, hidden expenses exist. Training staff to use and execute these systems and features proficiently requires extra time and money.

Always remember that an all-in-one system doesn’t necessarily mean you’re getting the best return on your investment. It would be a smarter decision to invest in multiple high-quality systems, each fulfilling specific needs.

Avoid Paying for Unused Features

Sometimes, you may get drawn to a cutting-edge sales and catering system boasting advanced features. You anticipate using every feature it offers but using just a part of it.

There is no disputing the value as long as the software delivers your desired results. However, wouldn’t paying less for the same outcome be more beneficial?

We recommend thoroughly checking your current solution to ascertain what features are helpful to you. If you’re utilizing less than half of the available features, more cost-effective options that cover your needs might be waiting in the wings.

Do You Really Get What You Pay For?

In simple terms, a higher price tag doesn’t necessarily mean superior quality when it comes to S&C platforms. You may find market solutions that offer services similar to your existing software but at a more reasonable price (hint hint).

So, regularly exploring the market for more economic alternatives than your current system is a good move. You would be surprised by how drastically prices can differ.

While considering S&C systems, honestly assess the necessity of their various features. While some features may sound appealing, you have to ask yourself, ‘Will we use them?’ Check your other systems to avoid duplication of features, thus avoiding unnecessary expenses.

Don’t be enticed by the extensive list of features a software provides. Though they may offer varied functionalities, they might not be proficient in all of them. It’s often better to select a solution that specializes in the key features and executes them flawlessly.

When evaluating potential sales and catering solutions for your hotel, consider the following factors:

Features: Look for a S&C solution that meets your identified needs and offers clear benefits. The improvements must be significant and measurable.

Scalability: The software needs to be flexible enough to grow with your business. As your business evolves, so should your technology.

Integration: The new tech should blend in with your existing system with little to no friction. It should also enable data sharing across systems, giving you a full view of your operations.

Costs: Don’t just look at the initial price; consider the ongoing expenses, including maintenance and upgrades. Remember to factor in any extra fees.

Implementation Time: The time it takes to implement the tech solution should not disrupt your daily operations. The introduction of the tech should be smooth and swift.

Expected ROI: Consider the long-term benefits of the S&C solution and ensure that they deliver a good return on your investment.

Takeaways

Hoteliers are under increased pressure to get the most value from every dollar they invest in technology. Bloated tool sets with hidden costs hurt the team and the bottom line. Let’s face it—no one likes to waste money.

It’s disheartening to see companies overpay for S&C platforms when there are more cost-effective options like STS Cloud. With unlimited users and low monthly fees, we can help you save big on your group sales solution costs while providing the best service in the industry.

We want to help you choose a platform (whatever it may be) that offers the best value for your business. Are you ready to explore more cost-effective option, with no worries about extra fees or yearly rate increases? Visit salesandcatering.com to find out why so many hoteliers like you are switching to STS Cloud.