Amadeus signs Premier Inn for hotel services as intercontinental agreement continues

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Skift take

Against the backdrop of Amadeus Hospitality’s progress, the Premier Inn deal is giving a semblance of traction to woo other chains.

Sean O’Neill, Skift

Amadeus made a big bet on technology services for the hospitality industry, and InterContinental Hotels Group (IHG) was its premier launch partner for Amadeus’ new guest reservation system.

But Amadeus revealed on Friday that the InterContinental rollout, which was previously scheduled to take place in 2018, will now be postponed to 2019 at the hotel chain‘s request.

CORRECTION: An incorrect notion was introduced during the conference call. In questions on a call with analysts, one analyst said Amadeus previously said InterContinental would have its deployment until 2018 and asked what appeared to be a delay. This error was not clearly corrected during the call.

Amadeus executives said they don’t talk about customer schedules but everything is fine on their end and sometimes customers ask for a slower pace to fit their own business needs.

Responding to the analyst on whether InterContinental’s (apparent) delay represented something wrong on Amadeus’ end, an Amadeus executive said sometimes customers ask for delays. “There’s nothing wrong with our technology or that our solution isn’t working as expected, or something like that. We are on the right track and we are adapting to the needs of our customers, ”she said.

InterContinental said Monday it was a misunderstanding of what Amadeus executives said. InterContinental has been consistent since September 2016 in asserting that the rollout would start by the end of 2017 with “a full rollout expected by the end of 2018 to early 2019”. The company confirmed today that everything remains on track.

This journalist regrets the error.

InterContinental said it had received “very positive feedback from tests carried out at pilot hotels”.

Another victory

During Friday’s call, Amadeus announced another victory, albeit less than for InterContinental.

Premier Inn hotel chain, owned by Whitbread Group, has announced that it will deploy Amadeus’ combined centralized reservation system, property management system and payment system at its 765 properties.

In a conference call with financial analysts on Friday, Amadeus executives did not give a timeline for the program’s rollout.

The goal is that by integrating systems, Premier Inn will see its corporate and property information – such as vacancies, rates and availability – synchronize in real time, unlike today.

Benefits of the cloud

The cloud-based model used by Amadeus means Premier Inn pays a subscription rather than spending mostly on hardware up front, as is still common in the hospitality industry.

The hotel chain is the first major customer of Amadeus’ new payment platform, which enables payments to be processed while verifying fraud and regulatory compliance.

Premier Inn said two weeks ago that the brand’s UK presence could soon reach 100,000 rooms and that the company is ramping up its expansion in Germany.

InterContinental is in the house

In its budding hotel services business, InterContinental Hotels Group is the largest chain to sign up and try the company’s new guest reservation system.

In recent months, InterContinental has started a multi-year migration from its internal system, Holidex, to the new one from Amadeus. If the migration goes well, Amadeus intends to use the example to attract other large hotel chains.

“The good thing about the Premier Inn deal is that they take all of our mods,” Pro said on Friday. “This will be a reference customer who will help us show the industry that our integrated, cloud-based modular solutions work if you take them all. But other clients, like IHG, only use the guest booking module, and that works too.

The Premier Inn deal also keeps the company’s momentum from slowing – or at least Amadeus would be happy with that perception.

The new platform is designed to make it easier for InterContinental to sell its customers based on their profiles and past behavior throughout a trip, and would help the company become more adept at generating the best possible price. ‘a potential guest.

InterContinental’s computer systems today have data dispersed in databases that cannot communicate with each other. This siled approach to data hampers the hotel group‘s ability to deliver personal and relevant offers to customers.

In theory, Amadeus’ new reservation system would be able to recognize if a customer is a millennial member of the loyalty program. This could help the hotel group to offer the customer a relevant promotion at a higher price.

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