API or DIE: Why Your Hotel's Tech Future Hangs on Tech-Agnosticism
In the '90s, when I first started in hospitality, Property Management Systems were basically just glorified spreadsheets. They did the bare minimum: room assignments, housekeeping orders, and guest billing. That was about as high-tech as it got. Fast forward to today, and these systems have evolved into something much bigger: they're the central nervous system of the hotel, where all your technology should connect seamlessly. Well, at least on paper. Because, believe it or not (especially in southern Europe), some systems out there still can't even connect to booking engines properly, forcing staff to manually enter reservations. That's not just outdated—it's expensive, error-prone, and inefficient.
In the '90s, PMS did the bare minimum: room assignments, housekeeping orders, and guest billing. That was about as high-tech as it got.
This is where APIs come in. Think of them as "translators," letting your systems talk to each other. If your PMS can't support robust APIs, it can't connect with the different software you need to run efficiently. But here's the rub: many older systems either don't have APIs or offer ones so limited that they're next to useless. Some vendors keep their APIs locked down tight, only available to select partners, with hefty fees just to get access. It's a slow, costly process that drags the whole industry down. These closed, proprietary systems are still clinging to outdated, monolithic models. They make integration difficult, and that's a huge problem for hotels trying to innovate. Want to connect something as "simple" as a new RMS? Good luck. The cost of integrating with some legacy PMS systems can run into the tens of thousands, turning what should be a quick improvement into a major headache. It's a barrier to progress, plain and simple.
Many older systems either don't have APIs or offer ones so limited that they're next to useless.
Now, this is nothing new, right? However, the need for open APIs will only get more urgent, especially with the rise of Large Language Models like ChatGPT and Gemini. AI has the potential to completely change how hotels operate, automating guest communications, analyzing data in real time, offering predictive reporting, and more. But if your PMS can't connect to these AI models because of closed systems, you're missing out. You can't leverage these cutting-edge technologies without the ability to integrate them.
Here's my Nostradamus moment: we're just a few years away from a post-reporting industry, one where anyone—from the owner to the bellboy—can ask a question to an LLM connected to a PMS and get an answer in real-time. No more Excel files, no more Business Intelligence. No more PDFs. Imagine the operational efficiency this could bring: instant insights on occupancy, revenue forecasts, guest preferences, or even maintenance needs without waiting for a formal report to be generated. The future isn't about data being locked in spreadsheets or isolated reports; it's about conversational access to live data that empowers every employee.
Here's my Nostradamus moment: we're just a few years away from a post-reporting industry, one where anyone—from the owner to the bellboy—can ask a question to an LLM connected to a PMS and get an answer in real-time.
Back to APIs, open ones are built to be easy to connect with, allowing developers to plug into your system without having to navigate proprietary protocols or formats. Closed APIs, on the other hand, tend to keep things under lock and key. Only the vendor or a few select partners can access them, giving the company tight control over who can integrate and how. However, using the "Open API > Closed API formula" is an oversimplification. Not all APIs are created equal. Some vendors offer "integrations" that are so limited they're practically useless. They might claim to be connected, but it won't do you any good if the API is poorly designed or lacks key functionality. You need APIs that are actually useful—ones that allow for deep, meaningful integrations, not just superficial connections, even though "open."
Using the "Open API > Closed API formula" is an oversimplification. Some vendors offer "integrations" that are so limited they're practically useless. They might claim to be connected, but it won't do you any good if the API is poorly designed or lacks key functionality. You need APIs that are actually useful—ones that allow for deep, meaningful integrations, not just superficial connections, even though "open."
For hotels to truly benefit from a connected technology ecosystem, the quality of the API matters. It's not just about having one—it's about how well it works, how flexible it is, and how easily it can integrate with different systems.
If your PMS is not API-centric (and if the APIs are no bueno), you're not just behind the curve, you're on a fast track to irrelevancy. The future of hospitality technology hinges on flexibility, speed, and seamless, agnostic integration. In a world where tech evolves at the speed of thought (or faster), standing still is a luxury we can't afford.
As Isaac Asimov once wrote, "Any sufficiently advanced technology is indistinguishable from magic." And the level of m(AI)gic of tomorrow's hospitality lies in how effortlessly your systems can connect/disconnect.
