If you own or manage a small hotel, guesthouse, or other type of independent lodging business, chances are you already have two essential tools in place: a property management system (PMS) and a channel manager.
But many properties are still missing a crucial third piece of the puzzle: a revenue management system (RMS). And it’s costing them time and revenue.
Together, these three systems form the unbeatable trifecta every modern hotelier needs to operate efficiently and profitably, no matter the size of your property.
Let’s explore why these three systems are must-have technology and the opportunity costs of delaying implementation of an RMS.
How the PMS, Channel Manager, and RMS Work Seamlessly Together
The PMS, channel manager, and RMS serve different but complementary functions for a hotel. Here’s how each system fits in:
- PMS: Acts as the central hub for reservations, guest profiles, room assignments, housekeeping, and payments.
- Channel manager: Distributes rates and availability across multiple channels like OTAs, the hotel website, and the GDS, all from one dashboard.
- RMS: Automates hotel forecasting, pricing, and availability to maximize revenue and occupancy.
When all three systems are connected, your hotel’s pricing and availability are kept in sync across all platforms, all the time, ensuring your hotel runs smoothly and profitably.
Where does the RMS fit into the hotel tech ecosystem? Right at its heart. Check out Shiji’s 2025 Hotel Distribution Technology chart.
The Missing Link: Why Leaving Out an RMS Is Costing You
Most hotels start with a PMS, then add a channel manager. But revenue management software often gets put on the backburner.
Instead, they keep doing things the old-fashioned way: either keeping static rates or calculating with spreadsheets, manual PMS updates, occasional spot checks of competitor pricing, and lots of guesswork.
The problem? Pricing is far too dynamic these days for manual strategies. Demand shifts constantly—by season, day of the week, and during holidays and events.
Today, hotels of all types and sizes are using an RMS to adjust pricing in real time. If you’re not keeping up, you’re probably losing bookings to more tech-savvy competitors. And you’re almost certainly leaving revenue on the table.
Still using the pricing tools built into your PMS or channel manager? Here’s why you’re missing out on bookings and revenue.
Why an RMS Is Now Essential for Every Hotel
We hear it all the time: “An RMS is for big hotels, not for us.”
Actually, smaller hotels need an RMS even more. Unlike big hotels that have full-time revenue managers, independent properties usually rely on the owner, general manager, or other staff member to handle pricing, on top of everything else on their plate.
For busy hoteliers, there simply isn’t enough time to stay on top of market shifts, competitor pricing, and booking pace.
No RMS? You’re Trying to Balance on a Two-Legged Stool
Think of your PMS, channel manager, and RMS as the three legs of a stool. Take one away, and things get wobbly very fast.
Without an RMS, you risk:
- Pricing too low and filling rooms with underpriced bookings.
- Pricing too high and missing out on bookings.
- Losing potential revenue every single day.
With an RMS, you gain:
- An automated, market-driven approach to pricing.
- Fewer missed opportunities, less stress, and fewer mistakes.
- More revenue – without more work.
There is never a “perfect time” to invest in an RMS. Here’s why your hotel needs automated pricing now.
The ROI of Automated Hotel Pricing
Here’s the kicker: an RMS typically pays for itself within just a few months by capturing revenue that would otherwise have slipped through the cracks.
A study of 567 hotels worldwide found that properties using automated pricing increased revenue by an average of 19% compared to the previous year.
And it wasn’t just large hotels that benefited. Similar gains were seen across B&Bs, boutique hotels, and small hotel groups.
RoomPriceGenie: The Best RMS for Independent Hotels
But not every RMS is created equal. RoomPriceGenie was designed specifically for small, independent hotels, delivering a simple, affordable solution for time-strapped teams.
RoomPriceGenie also integrates seamlessly with your PMS and channel manager, ensuring your tech dream team is always in sync.
See how RoomPriceGenie stacks up in 2025’s best RMS rankings.
The Final Word: Complete Your Trio, Boost Your Revenue
A revenue management system isn’t a luxury anymore. It’s a must-have tool, just like your PMS and channel manager.
Together, they deliver the efficiency, visibility, and control to optimize performance, reduce stress, and maximize revenue.
To learn how RoomPriceGenie can help your property increase your property’s profitability, start your free trial of our automated pricing solution today!
