How did PMS, which was king just ten years ago, turn into a mere commodity today?

It’s due to the internet. Hotel reservation departments are simply not as important as they once were. Instead, channel management, distribution management – these are the areas that became important.

So what did PMS vendors do about it? Nothing! They continued to roll out more expensive features while the world was changing around you. They sat back and watched all these other systems become more critical and more strategic. The companies growing now are all in channel management, distribution management, and revenue management.

ASP is here to stay. It will be the only way we deliver software in the future. Assuming that PMS providers finally become an ASP vendor, the split between CRS and PMS must disappear. There will be no point in having separate systems.

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