The pandemic may have been hard on most industries over the past two years, but things are slowly returning to normal. On a global scale, the hospitality market is expected to grow from $3.95 billion in 2021 to $4.55 billion in 2022, at a compound annual growth rate of over 15%.
The pandemic may have been hard on most industries over the past two years, but things are slowly returning to normal. On a global scale, the hospitality market is expected to grow from $3.95 billion in 2021 to $4.55 billion in 2022, at a compound annual growth rate of over 15%.
That’s good news for hotels, resorts, and other businesses in the hospitality industry that have taken a hit during the pandemic.
Today, we’ll cover everything you need to know about hotel payment systems, their main benefits, and how you can enhance yours.
What’s a Hotel Payment System?
While some of you might know what a hotel payment system is, others might not be as familiar with the term.
In short, a hotel payment system is any technology used to process payments made by guests during their stay. While some people still like to pay cash for everything, others prefer to use their credit or debit cards, and some even use mobile payments.
To facilitate these payments, hotels need to use 3rd-party gateways. They need to collect the guest’s payment details, contact the bank/card provider for authorization, and either approve or decline the transaction.
Your business should accept four main payment methods:
- Swipe: A few decades ago, swiping a card was the only way to process a payment. A guest opts to swipe their credit or debit card and sign the receipt to confirm their transaction. Nowadays, it’s still in use, but it’s becoming increasingly rare.
- Tap and Go: This method is called a “contactless payment.” The guests tap their card on a designated spot, and the transaction is processed without a signature.
- Chip and Pin: Your guest takes their card and inserts it into the EMV chip reader. They are then prompted to enter their 4-digit PIN code to confirm the transaction.
- Online Payment: The easiest payment method for guests, in which they enter their information on your website/app to complete the transaction. The ease of use, however, comes with a price since online payments carry the highest risk of fraud.
How You Benefit from Using a Payment System
Modern payment systems are convenient and offer a better user experience. But what does that mean for your business?
It can mean a lot. Just consider this: if you want to stay afloat and be competitive, you need a streamlined payment solution.
Consider this: a recent survey showed that 6 out of 10 Americans plan to stop using cash soon. And that number will only increase as time passes and more people get comfortable using digital payment methods.
If you’re still not convinced, just consider the benefits:
- Contactless Payments: The travel and hospitality industries have changed quite a bit following the pandemic. Hygiene has always been important to these industries, but contact-free check-ins and payments are now more important than ever.
- Faster Check-Ins and Check-Outs: One of the most frustrating things for guests is waiting in line to check in or check out. With a payment gateway, you can speed up the process by allowing guests to input their payment information in advance.
- ImprovedSecurity: With new data breaches happening daily, a secure payment solution is more important than ever. The good news is that when you use a 3rd-party payment gateway, you can take advantage of their advanced security features.
- Better Customer Experience: At the end of the day, your goal is to provide your guests with the best possible experience. And a big part of that is ensuring their payments are processed quickly and smoothly.
Enhancing Your Payment System
Of course, every good thing comes with certain limitations, no matter how useful. A payment system isn’t any different.
Manually validating credit cards, dealing with delays, and lacking mobile optimizations are just some problems you can encounter.
The last shortcoming is especially important for hotel owners. You see, more than 55% of people mainly use their mobile devices to access the internet. Naturally, you can expect that most of your guests will want to pay with their phones.
What can you do if the payment system you’re looking into cannot give you everything you want? One thing you can do is look into ChargeAutomation. The platform can be used in tandem with your payment solution, automating your workflows in the process.
Charge Automation can help you:
- Automatically take full or partial payments per the due date
- Securely collect the credit card and personal information of your visitors
- Give guests a portal where they can access check-in instructions, receipts, and manuals
With ChargeAutomation, you can save up to 30 minutes per single booking. By allowing guests to check in with their mobile device, you can collect their ID/passport, signature, and payment without breaking a sweat.
Sort Your Payment Systems Today
For years, small hospitality businesses have struggled to keep up with the big guys. But with the right payment gateway, you can level the playing field and provide your guests with the same level of service. That’s one way of keeping them coming back.
You can also make things easier for you and your employees by automating mind-numbing tasks and improving security.
Sort your payment systems with ChargeAutomation. Go ahead, sign up today, and see how we can help you take your business to the next level.
