On the cloud computing front, the Rockville, Md.-based franchise company has long been a leader with its ChoiceAdvantage property management system (PMS) that lets hoteliers keep tabs on their business from anywhere in the world. Choice created the software in 2003 as an inexpensive solution for franchisees of its economy brands. The development team went the Web-based route when building the application so property owners and operators wouldn’t have to purchase all the hardware and software licenses that so many other property management systems required. The PMS had a lot of growing pains at first, but eventually it became more and more cloud enabled and was adopted across the company.
Pacious says cloud computing has the biggest potential to change the industry through its ability to drastically alter the cost structure. “A lot of companies had outsourced their IT and now they’re bringing it back in house because they can do almost everything they need on the cloud or through software as a service.” And the new approach means that hotels can ditch the old computer-based server systems stashed in their back office corners. They can even access some cloud services directly from their Android and Apple phones.
Switching to the cloud from a client server platform pays off with a big drop in both the initial capital outlay and the ongoing operating costs for the property management and other systems. “It’s not just the server,” says Joyce. “It’s the technician that services it, the air conditioning and cabling, and it’s the annual inspection and maintenance contract. This adds up significantly.” As an example, he says that when Choice works with an owner to do a new property or conversion, they have to bring in a lot of software and equipment. “This can be a significant cost that’s now bypassed by the cloud-based technology platform we’re providing.”
Today, ChoiceAdvantage handles many aspects of a franchisee’s business, from guest check-ins and housekeeping services to billing and finances. Over time new features have been rolled into the software platform making it more robust and useful for hotel owners—it’s currently distributed in eight countries and available in four languages. And while plenty of cloud-based PMS packages are now available from third-party vendors like Micros, Maestro, and RoomKey, Choice’s internal solution has garnered its fair share of attention. “We had been getting knocks on the door from IT vendors at other hotel companies and individual Choice franchisees that own other brands, saying they were interested in our product,” says Pacious, “So we set up a new division so we could take a look at other opportunities we could develop.” This led the company to launch SkyTouch last year, a new division that develops and markets cloud-based software solutions to hotels inside and outside the Choice system.
