Has Technology Changed the Game for Independent Hotels?
I listened to a really interesting Hotel Tech Insider podcast recently about something that I think we're going to hear a lot more about – hotel owners questioning whether they still need to be part of a big brand.
As someone who has always championed ‘Independence is a superpower!’, it was a fascinating conversation. But one thing in particular stuck with me: just how much things have changed for independent hotels.
Now before anyone gets excited, I'm not predicting the end of Marriott or Hilton! And I'm certainly not suggesting that every branded hotel should suddenly go independent.
But it did raise some very relevant points about how much the balance has shifted in recent years.
For years, the big brands had a huge advantage. They had the technology, the distribution, the marketing power, the loyalty programmes and the expertise that an independent hotel simply couldn't compete with.
But I'm not sure that gap is anything like as big as it used to be.
Technology has changed things
And a lot of that comes down to technology.
Today, an independent hotel can choose from some brilliant technology and build a set-up that works specifically for their business. A great PMS, RMS, CRM, booking engine, marketing tools... the list goes on.
Just like independent hotels, independent technology providers have the freedom to be more agile, move faster and adapt without the layers and constraints that can come with being part of something much bigger.
Increasingly, these systems can also do things that would once have needed a whole team of people to manage.
We see this ourselves at Right Revenue.
Some of the independent hotels we work with are incredibly sophisticated in the way they manage their revenue. They don't necessarily have huge commercial teams or endless resources, but they do have access to the data, tools and insights that help them make really good decisions.
And that's what I think is changing.
Being independent doesn't have to mean being on your own anymore.
You can bring in the expertise you need, choose the technology that suits your hotel and, most importantly, keep control of the decisions you make.
Independence doesn't mean going it alone
Of course, there are reasons why hotels have traditionally chosen to be part of a big brand. Loyalty, distribution and brand recognition all have value.
But what's interesting to me is how many of those advantages independent hotels can now build for themselves.
The technology is there. The expertise is there. The distribution channels are there. And, importantly, hoteliers have far more freedom to choose the partners and systems that genuinely work for their business.
That's a very different position from where independent hotels were ten or twenty years ago – and I think that's the key part here.
This isn't about trying to replicate a big brand. It's about giving independent hotels the tools and confidence to compete while holding on to exactly what makes them independent in the first place – their personality, their agility, their knowledge of their guests and their ability to make their own decisions.
It’s time to start asking different questions
Independent hoteliers have more choice than they've ever had before. More technology, more specialist expertise and more ways to reach and understand their guests.
And when you have more choice, you can start asking different questions.
If you're part of a brand, what is it genuinely bringing to your hotel? How much business is it delivering? How valuable is the loyalty programme? What technology and expertise are you getting? And could you now achieve some of those things differently?
For some hotels, being part of a brand will absolutely continue to make sense.
But what I found really interesting in the podcast was hearing from a franchise lawyer who has worked in the industry for more than 30 years and now discusses going independent with all of his hotel clients – a conversation they simply wouldn't have had in the past.
And I think that says quite a lot.
It's not necessarily that brands have become less relevant – it's that independent hotels have become far more capable.
Sometimes it's about more than saving money
There was also a great example of a hotelier who decided to leave his franchise, not simply because he wanted to save money, but because he thought he could create a better hotel without it - I love that!
Because that's where I think independent hotels have such an advantage.
They can make their own decisions. They can move quickly. They can choose the partners they want to work with. And they can create something that genuinely reflects them and their guests rather than having to fit within a much bigger machine.
Technology is making all of that easier – and yes, obviously I'm going to say that. I am a hotel technology company founder!
But I genuinely think we're seeing a change.
More technology. But also more choice.
Technology shouldn't make every hotel operate in exactly the same way. It should give hoteliers better information, take away some of the heavy lifting and give them more time and confidence to make the decisions that are right for their business.
That's always been our thinking at Right Revenue.
And for independent hotels, I think that's where technology can make such a difference.
Not by making them behave more like the big brands, but by giving them access to the same level of insight and sophistication – while allowing them to stay completely independent.
Because surely that's the best of both worlds?