Hospitality Property Management Software (PMS) Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 6.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players_Market.webp)
*Disclaimer: Major Players sorted in no particular order |
Hospitality Property Management Software (PMS) Market Analysis
The hospitality property management software(PMS) market size is expected to grow from USD 1.30 billion in 2023 to USD 1.83 billion by 2028 at a CAGR of 6.00% during the forecast period.
- The growth in the hospitality and tourism sector worldwide is creating an opportunity for hospitality property management software market vendors. By adopting Hospitality Property Management Software, hospitality properties, such as hotels, resorts, homestays, and service apartments, can manage their daily operations effectively to increase their productivity and customer satisfaction.
- The hospitality property management software (PMS) market is defined by the revenues generated from the software and services used in various property types, such as hotels and resorts, motels and lodges, homestay accommodations, and service apartments around the globe.
- Hospitality property management software needs integration of other software of the hospitality ecosystems, such as hotel channel manager, online booking engines, or payment processing, to function with its full capabilities and functionalities, which could be a challenge to adapt the software. Due to the interfaces of old software, hoteliers worldwide rely on hospitality property management software for its complexity of integrations. In addition, the software uses sensitive data, which is vulnerable to hackers, challenging the adoption of the software across the hospitality sectors and restricting the market's growth.
- However, integration challenges with existing solutions significantly restrain the growth of the hospitality property management software market. These challenges require collaboration between PMS vendors, third-party solution providers, and industry stakeholders. Streamlining integrations, establishing industry standards, and simplifying technical complexities accelerate the adoption of PMS platforms and enhance operational efficiency and guest experiences in the hospitality industry.
- The growing commercial real estate, especially in hotels and resorts, is analyzed to significantly contribute to the market growth rate during the forecast period. As indicated in the graph, investment in hotel real estate has grown considerably in recent times, positively impacting the market growth rate.
Hospitality Property Management Software (PMS) Market Trends
Small and Medium-scale Enterprises to Witness Growth
- The demand for tourist accommodations in developing and developed countries is increasing, supported by the rise in the disposable income of the people to spend on vacations and leisure activities. This is fueling the growth of small and medium-scale hotels worldwide due to their economic benefits, creating an opportunity for hospitality property management software vendors to expand their software offerings designed for small- and medium-scale hotels.
- In October 2022, Tripleseat partnered with Curator Hotel & Resort Collection, a consortium of small-brand and lifestyle hotels, to become Curator's preferred vendor in the technology space by providing its cloud-based sales and catering management software for small-scale hotels by helping them streamline their booking process, enhance efficiency, and increase sales. In addition, Tripleseat's software can easily integrate with other software-based technology implemented in the operations of Curator, which enables the hotel consortium to have an efficient booking experience.
- According to the study by UNWTO, although the number of tourists arriving from different countries fell considerably during the COVID-19 pandemic, it has now doubled from the previous year. However, the number of inbound tourists are yet to reach pre-pandemic levels.
- Hospitality property management software offers a wide range of features to aid small hotels in effectively managing their front-office operations. It applies to managing reservations, guest check-in/check-out, assigned rooms, room rates, and billing. Small and medium-sized businesses are expected to grow significantly in adopting Hospitality Property Management Software in the coming years.
- The post-COVID-19 reality has forced hospitality business owners to use innovative methods to provide their customers with better accommodation. The centralized computer systems continue to develop and improve, delivering greater flexibility to players in the hospitality sector. Moreover, cloud deployment is gaining traction in SMEs as on-premise deployment requires considerable investments in infrastructure development. Therefore, the growing number of small- and medium-scale enterprises in developing economies, alongside the adoption of digital technologies, is analyzed to boost the market growth rate during the forecast period.
North America to Hold the Largest Market Share
- The hospitality property management software (PMS) market in the United States is experiencing significant growth and transformation, driven by technological advancements, collaborations, and growing government initiatives. There is a strong focus on cloud-based solutions, integration capabilities, automation, and enhanced analytics. These trends aim to streamline operations, improve guest experiences, and drive efficiency and revenue growth for properties of all sizes. Further, the future of the HPMS market in the United States is characterized by innovation, personalization, sustainability, and data-driven decision-making.
- The country has been witnessing an increase in the adoption of cloud HPMS by companies providing hospitality services. For instance, in December 2022, Marriott International Inc. announced its partnership with Agilysys Inc., a company providing hospitality software solutions, to provide its cloud-native property management system (PMS) across Marriott's luxury, premium, and select service hotels in the United States and Canada over the coming years. In addition, Agilysys and Marriott will work together to closely align resources and activation plans before beginning to replace multiple proprietary property management systems currently in use.
- Canada witnessed considerable solution launches, acting as a potential factor driving the market's growth. For instance, in April 2023, Amazon announced the launch of Alexa Smart Properties (ASP) for Hospitality in Canada at the Fairmont Le Manoir Richelieu in Charlevoix, Quebec. The company has implemented Amazon Echo in every room. With this service, visitors can ask Alexa for information that would previously be asked at the front desk. Alexa can also perform multiple tasks such as playing music, checking the weather, ordering room service or towels, controlling in-room temperature or lighting, and checking out.
- With the growing demand for cloud-based platforms in the HPMS, most of the companies providing HPMS are launching new solutions, recognizing the benefits of cloud deployment modes. For instance, in December 2022, mycloud Hospitality announced that the company is launching a two-way integration of mycloud PMS with RateTiger. Through the RateTiger dashboard, the employees working in the hotels, service apartments, and resorts can instantly alter the rate and inventory on their company's website.
- The rise of online booking platforms and the shift toward digital solutions in the hospitality sector have further fueled the growth of property management software technology in Canada. Accommodation providers increasingly adopt these technologies to streamline operations, enhance guest experiences, and improve efficiency. These factors show that Canada's growing hospitality property management software technology sector responds to the increasing demand for advanced solutions in the hospitality industry. With ongoing advancements in technology and the continued growth of the tourism sector, this trend is expected to continue in the coming years.
Hospitality Property Management Software (PMS) Industry Overview
The hospitality property management software market is fragmented, and various companies compete on a regional scale to gain market share. Vendors in the market are expected to compete intensely to gain large-scale projects, but smaller vendors are expected to hold prominence over the market in local space. Major vendors that offer integrated products are expected to command a higher share of the adoption for their solutions due to the spread of their presence over the value chain and the ability to mitigate the risk.
Additionally, owing to the market penetration and ability to offer advanced products, the intensity of competitive rivalry is expected to continue to be high. As the market is demand-driven, innovation plays a vital role in product differentiation, resulting in high demand for innovation to gain competitive advantages. The penetration rates of these products are growing, owing to their increasing adoption by hotels and resorts, and the rates are expected to grow further during the forecast period. The key players in the market are Oracle Corporation, Agilysys Inc., Infor Inc., and Cenium AS Realpage Inc.
- May 2023: Graduate Hotels, a collection of individually designed hotels situated in welcoming college towns, chose Infor Hospitality Management Solution (HMS) as its property management system (PMS), and it is expected to fully standardize the Infor cloud-based platform, according to an announcement by Infor. Graduate Hotels' partnership with Infor will support internal teams to concentrate on offering more memorable interactions with guests while also assisting the organization in maintaining compliance, growth, and progress.
- May 2023: Oracle announced plans to roll out its Oracle Hospitality OPERA Cloud Property Management System (PMS) to 2,000 more properties owned by Wyndham Properties & Resorts by the end of the year to expand the system's global rollout. Franchisees use the system to streamline daily hotel operations, personalize guest experiences, and contribute to revenue growth in hundreds of Wyndham-branded hotels that are present on OPERA Cloud.
Hospitality Property Management Software (PMS) Market Leaders
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Oracle Corporation
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Agilysys, Inc.
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Infor Equity Holdings LLC
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Mews Systems B.V.
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RealPage, Inc.
*Disclaimer: Major Players sorted in no particular order
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Hospitality Property Management Software (PMS) Market News
- June 2023: The Monaco Hotel in Dubai World Islands' Heart of Europe implemented property management software from Infor. The Monaco Hotel uses Infor HMS at numerous touchpoints to gather and use integrated and comprehensive data. The Infor hospitality management solution (HMS) and Infor SCS sales and event management solutions were introduced at the 198-room hotel to enhance the experience for visitors to the location.
- June 2023: Worldline, a global payments provider, announced that its Hospitality Suite and Oracle Hospitality Cloud achieved Oracle Validated Integration. Worldline hopes to improve the passenger and hotelier experience with its new offerings. The decision enables Oracle OPERA Cloud PMS to include various cloud-based payment options by the global payment provider.
Hospitality Property Management Software (PMS) Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Buyers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Analysis of Key Economic Trends
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Growing Adoption from Small and Medium-scale Hotels
5.1.2 Stronger Emphasis on Business Optimization and Customer Retention to Drive Growth in New Markets
5.2 Market Challenges
5.2.1 Integration Challenges with Existing Solutions
6. MARKET SEGMENTATION
6.1 By Deployment
6.1.1 On-premise
6.1.2 Cloud
6.2 By Property Size
6.2.1 Small and Medium Enterprises
6.2.2 Large Enterprises
6.3 By Property Type
6.3.1 Hotels and Resorts
6.3.2 Motels and Lodges
6.3.3 Homestay Accommodations
6.3.4 Service Apartments
6.3.5 Others
6.4 By Geography
6.4.1 North America
6.4.1.1 United States
6.4.1.2 Canada
6.4.2 Europe
6.4.2.1 United Kingdom
6.4.2.2 Germany
6.4.2.3 France
6.4.2.4 Italy
6.4.2.5 Rest of Europe
6.4.3 Asia-Pacific
6.4.3.1 China
6.4.3.2 Japan
6.4.3.3 India
6.4.3.4 Australia
6.4.3.5 Rest of Asia-Pacific
6.4.4 Rest of the World (Latin America and Middle East and Africa)
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Oracle Corporation
7.1.2 Agilysys Inc.
7.1.3 Infor Equity Holdings LLC
7.1.4 Mews Systems B.V.
7.1.5 RealPage Inc.
7.1.6 FCS Computer Systems
7.1.7 Hoteliga International S.p. z.o.o
7.1.8 Protel Hotelsoftware GmbH
7.1.9 SkyTouch Solutions LLC
7.1.10 Maestro PMS
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Hospitality Property Management Software (PMS) Industry Segmentation
Property management software platforms enable hotel owners to take greater control of their operations by interfacing with a wide range of back-bone operations and hotel staff. Hospitality property management software evolved from simple systems used to manage check-ins at the reception to comprehensive solutions that enable efficient management of guests and internal staff. A typical hotel PMS comprises several core modules, including channel management, reservations, reporting and analytics, events, and hardware interfaces. The market estimates are arrived at considering the revenues of vendors generated by sales and licensing of software solutions. This includes any bundled solutions that arrive with this software.
The hospitality property management software (PMS) market is segmented by deployment (on-premises and cloud), property size (small and medium enterprises and large enterprises), property type (hotels and resorts, motels and lodges, homestay accommodations, and service apartments), and geography (North America (United States and Canada), Europe (United Kingdom, Germany, France, Italy, and Rest of Europe), Asia-Pacific (China, Japan, India, Australia, and Rest of Asia Pacific), Rest of the World (Latin America and Middle East and Africa)). The market sizes and forecasts are provided in terms of value (USD) for all the given segments.
| By Deployment | |
| On-premise | |
| Cloud |
| By Property Size | |
| Small and Medium Enterprises | |
| Large Enterprises |
| By Property Type | |
| Hotels and Resorts | |
| Motels and Lodges | |
| Homestay Accommodations | |
| Service Apartments | |
| Others |
| By Geography | |||||||
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| Rest of the World (Latin America and Middle East and Africa) |
Hospitality Property Management Software (PMS) Market Research FAQs
What is the current Hospitality Property Management Software (PMS) Market size?
The Hospitality Property Management Software (PMS) Market is projected to register a CAGR of 6% during the forecast period (2024-2029)
Who are the key players in Hospitality Property Management Software (PMS) Market?
Oracle Corporation, Agilysys, Inc., Infor Equity Holdings LLC, Mews Systems B.V. and RealPage, Inc. are the major companies operating in the Hospitality Property Management Software (PMS) Market.
Which is the fastest growing region in Hospitality Property Management Software (PMS) Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Hospitality Property Management Software (PMS) Market?
In 2024, the North America accounts for the largest market share in Hospitality Property Management Software (PMS) Market.
What years does this Hospitality Property Management Software (PMS) Market cover?
The report covers the Hospitality Property Management Software (PMS) Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Hospitality Property Management Software (PMS) Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Hotel Property Management Software Industry Report
Statistics for the 2024 Hotel Property Management Software market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Hotel Property Management Software analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
