How Can SaaS Support the Travel and Hospitality Sector

The hospitality sector is diverse and dynamic. Undoubtedly, the hospitality sector has always been a trending one. It is a significant source of foreign
exchange for many countries.
– In fact, the hotel and tourism industry has been accounting for about 10% of worldwide GDP pre-pandemic.
– Likewise, the Indian market size is expected to reach $418.9 billion by 2022.

Technology as an Enabler

Technology has assisted many businesses in the hospitality sector. As a matter of fact, it has enhanced the travel experience and automated processes
reduced costs and improved profit margins. As a tech enabler, the SaaS development and deployment model is creating ripples in the hospitality and travel industry. Hence, it's seeing rapid adoption by companies due to the ease and benefits it offers.

In fact, a study highlighted the three major benefits of new tech implementation such as SaaS and AR VR in hospitality sector as
 135% increase in online revenues
 71% reduction in guest complaints
 19% increase in customer service ratings

How can Saas development help?
Innovation lies at the heart of the travel and hospitality market, as customers seek novel experiences. Clearly, SaaS deployment helps with seamless
experiences and best practices.

– The SaaS cloud hardware and infrastructure software spending is estimated to reach $55B in 2026.
With this growth taking over, how can the hospitality industry be left behind in adopting it? More so, when the hospitality industry is robust, dynamic and has a 24/7/365 business model.

SaaS offers flexibility, scalability and efficiency. Moreover, it’s easier to maintain and a low-cost alternative to traditional on site technology.
Furthermore, it’s one of the main reasons that companies can offer better rate management and bespoke travel experiences for consumers as it fosters
collaborations and partnerships.

In this post, we list down some of the benefits that the hospitality industry can avail of by migrating to the cloud and delivering through SaaS.

Facilitating smoother operations

The hospitality sector thrives on impeccable services and operations. Tour operators face issues with real-time bookings at their end, without
confirmations from the properties. However, with a Global Distribution Model

(GDS) , the booking process is more streamlined as well as secure. It also enables agents and tour operators to book complete packages via the software without having to depend on confirmations.

Secure Payment Management
Convenient and secure payment gateways are a critical aspect of a seamless transaction. Managing personal card information is a tedious process for travel agents. Compared to traditional systems, SaaS offers higher software quality and complaint payment systems.

Allowing SMEs to flourish   In the initial years, enterprises find it difficult to manage all processes like
sales, marketing operations etc. Due to this, they seek specialized talent to help them out. However, this raises their upfront costs. By virtue of SaaS
business models, smaller enterprises can cut down on their hiring costs.
Customisation is key to offering travel experiences to suit the personality and style of the traveller. Travel agencies can now target specific information to customers based on price, availability and preferences. Since, SaaS applications can aggregate and analyse data, it facilitates enterprises to offer meaningful offers based on sound data analytics.

Since Saas offers a pay-as-you-go model, it benefits operators by minimising their IT and operational expenses. Hence, start-ups can easily build up from scratch and scale-up. Essentially SaaS models reduce the need to spend on hardware and hence are cost-effective.


With SaaS, users and providers need not be bound be with fixed locations and space limitations. A front desk can be set up just about anywhere with online registrations. Moreover, users too can access any related information at the tips of their fingers from their devices.

Looking forward

Basically, as cloud and SaaS technology evolve and integrate into the hospitality operations, they will enable unique and better travel experiences
for users.
SaaS allows scope for companies to innovate and steer their growth path. Moreover, they gain a competitive edge by leveraging the flexibility, ease of
operations and reduced cost models that SaaS deployment offers.

A SaaS development company can help with advanced SaaS solutions to help businesses get agile, be secure, and achieve high performance and scalability. It prepares hospitality providers to be tech-ready so they can optimize productivity and customer experiences.

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