The digital payment industry’s emerging trends are worth checking out for hotel operators everywhere: there are several options that provide seamless transactions around guest payments today. Save money, time and energy by using these new technologies, and let’s see which ones are best suited for your needs!
Before the era of digital payments
Front desks and back offices alike used to operate traditional credit card terminals, which made it possible for staff to take care of transactions on the spot, use them for prepayment functions and checking the card’s validity, or debit the entire booking amount in case of non-refundable reservations.
Back in the day we gathered bank card details by fax or through online travel agency websites, but this took a long time and required lots of administration. In addition to that, it was not that safe either, because bank card information and the booking amount had to be typed in manually. Related documents, like invoices had to be filed individually, then be sent to the guest, and all this just increased the paper-based workload.
Each division had to print and log all documents at the end of the day, then forward them to reception and accounting. This lengthy and cumbersome process allowed for more mistakes as well, so all steps had to be followed up on and double-checked.
These types of situations can now be resolved by the payment solutions of the current day. You surely have already seen such proposals, and now we will help you navigate through them.
What types of automated payment options are available today?
1. Traditional payment terminals
Also known as POS (Point of Sale) terminals, these devices are provided by your bank, and transactions are processed through them. They support all types of credit cards and they usually charge relatively low transactional fees.
2. Electronic payment systems
Developed for e-commerce, these payment solution services handle online credit or debit transfers quickly and easily, without using a terminal, even through a smartphone. However they don’t provide other types of bank services, so they are usually only suitable for online shopping.
3. Online banking services
These online solutions provide a wide range of banking services through one platform: they are suitable for handling shares, currencies, investments, transactions and other financial matters. Revolut, myPOS and TransferWise are such online banking service providers.
What are the benefits of digital payments solutions?
- Multichannel operation - you don’t have to choose a new service provider for each payment solution. A suitable payment solution can handle all transactions, regardless of booking type or hotel department. They sync transactions among all hotel divisions: OTA virtual cards at the reception, non-refundable bookings, no-shows, wellness and restaurant bills, etc. They are cloud-based, so finances are available anytime, anywhere.
- Safety - They are a lot safer for your data, because they use several authentication methods to protect your information.
- Less chance for mistakes - manual typing errors are no longer a problem, and if you do make a mistake, the system will notify you.
- Lower administration - Non-refundable bookings can be debited automatically, so administration becomes much faster.
- Multiple currencies - They support different currencies, which is a major factor for hotels of course.
- Less cancellations - Prepayments are made possible a lot easier, so a higher booking rate is guaranteed, which also means less cancellations.
- No fixed costs - , and they allow for debiting each transaction separately.
- Compliance - They are PSD2 compatible, which is a policy aimed to better align payment regulation with the market and technology's current state. Introducing and processing of electronic payments and the protection of consumers' financial data are supported better through PSD2, and they make it possible to provide such services not just for banks anymore.
SabeePay - Our online payment solution
SabeePay provides all the advantages of automated payment services at once, and it is connected through the SabeeApp PMS system. You can debit your guests’ bank cards with a single click, and even OTAs’ virtual cards (also known as VCCs). When your guests book through the SabeeApp booking engine, they can pay the full booking amount online, which also automatically generates and sends the invoice right away. Get more information about SabeePay’s other functions here!