If you own a hotel chain or are planning to build a hotel aggregator platform, this article is for you. The hotel industry is booming post-COVID, with projections to reach $0.8 billion by 2027. Don’t miss this opportunity to gain a competitive edge and capitalize on this growth.
Updated 3 September 2024
Director at Appventurez
Tours and Travel is a sector that is very much adored, and it has created numerous business opportunities. In this tech-savvy world, each sector is entering the e-platforms. From ride bookings to hotel bookings, everything is now available online, and we can find an app for almost everything.
When visiting a new place and curating a vacation, sorting out where to stay reduces a lot of work. For the convenience of travelers who love to reserve hotels beforehand have the convenience of using hotel booking app. There are many applications in the market that align with travelers’ needs and provide a platform to look through hotel availability and make reservations seamlessly.
If you are a well-established travel company offering your services online or someone who would like to enter this sector, you must explore business opportunities you can create by launching your own booking app.
This blog provides a detailed understanding of the hotel booking application market, what is required, the estimated cost of building the app, revenue, and other important aspects.
Published by Statista Research Department
According to a report published by Statistica, the market for travel apps is growing unconditionally, and revenue will reach up to $0.8 billion by 2027. There will be approximately 64 percent growth from 2023 to 2027. So, now is the right time to take action according to your vision and deliver the best hotel booking service system for travelers.
The tourism sector is increasing day by day, and finding great accommodations has become a basic need. These apps facilitate exploring the numerous stay options, setting a price range, and allowing users to select destinations according to their preferences. Additionally, it makes it easier for hotel owners to deliver accommodation services worldwide and make their presence among hotel seekers.
| Advantages for the Hoteliers | Advantages for the Users |
| Ability to locate guests and offer the accommodation booking service online. | Easier to browse multiple hotels at the desired location. |
| Increase the visibility of the hotel among guests. | Multiple filters include price, size, and check-in and check-out timings. |
| Automated cost estimations for room service. | Review images prior to booking. |
| Organizing the listing of room types and services offered. | Check the hotel’s reviews and information in the application. |
| Inform guests online about the availability and demand for the hotel. | Multiple payment modes are available to select when reserving a room at the hotel. |
There are various types of accommodation reservation systems, each designed for specific business needs. Instead of targeting the entire market, businesses can focus on their niche. Understanding the different types of hotel reservation systems will help you clearly define your goals and preferences for app development.
The hotel aggregator app allows users to compare different hotels in one place. This resonates with the user’s requirement of finding accommodation that fits their budget, location, and desired amenities. A hotel aggregator application includes a strong search engine and offers classification features.
A few renowned hotel brands use their own dedicated booking application, which is categorized as Hotel Chain Apps. These applications are best suited for hotels that would like to offer personalized offers to their loyal customers. Users can make direct bookings at the brand properties by exploring the available options.
These applications are created specifically for budget-conscious users. They can explore all the budget hotels in the desired location. It includes a wide selection of hotels, hostels, and homestays. Additionally, price, location, rating, and other filters are available to customize the search.
These kinds of applications include luxury stay options, which are best for users who seek premium experiences wherever they go and want to stay. The app consists of top-notch resorts, hotels, and villas. Guests have the opportunity to review high-quality listed stay images and have the option of personalizing amenities.
Last-minute booking requirements are very common, and this application fulfills this need. The last-minute booking apps list the hotels and stay with booking availability close to the required date. These apps are best for spontaneous planners and are very much in demand.
An all-in-one travel app fulfills all travel requirements on one platform. From booking flights to stays, these apps provide it all. This makes it easier for the user to strategically arrange the desired room, rental car, or flight using a single app.
Several applications dominate the hotel booking market, continuously innovating how people plan their trips. Take a look at these top-ranking apps:
The features serve as the backbone of the application, making it essential to align them with the needs of your potential customers. Explore the key features to integrate into your hotel booking app.
The first and basic feature of a booking application for hotel reservations should be a user-friendly UI/UX design. A complicated interface lowers customer engagement and interest. Therefore, ensure a clear app design that is seamless to navigate to enhance user experience.
The advanced search option allows users to locate available hotels based on location, rating, and pricing factors. The different filters on the search option will make it convenient for the guests to find what they want in less time.
The geolocation feature helps the user to navigate the location of the listed hotels on the application. Users need easy navigation to reach their destination without worry; therefore, it is a basic feature to add to your application catering accommodation booking needs.
The app must feature real-time bookings and confirmation to build users’ trust. Waiting for the booking confirmation often leads to losing a potential customer, so instant updates on the booking status are a vital feature.
Users must have an option to view their existing booking details and have the option of cancellation. Users must have flexibility in the bookings they make, and this feature ensures the same.
The application must list all the accommodations with their proper details so users can pick the fair option. When they find everything they need to book a hotel on a single platform, it builds customer engagement.
Push notifications are also important to keep users on the hook. This feature can notify users about special offers, personalized offers, upcoming stays, and more. Push notifications increase the intensity of the application and enhance user engagement.
Users love a platform where they can share their ratings and reviews and check others prior to confirming a booking. This concept adds trust in the application and the hotels they would like to book by checking other guests’ experiences.
An application for reserving homestays, hotels, and resorts must have multiple secure payment options for users’ convenience. Integrating gateways allows users to use any kind of transaction mode for reservations. It should be added with high security to prevent scams and fraud.
This feature unlocks the application for use in the global market. If the app supports multiple languages, it would be convenient for guests to book through your application from anywhere in the world.
Another feature that competitors widely use in the hotel booking app is the integration of a chatbot. Chatbot support 24*7 on the application can ensure users get prompt help regarding their booking queries. So, invest in a custom AI chatbot in your application to enhance user experience.
Along with building a suitable app for hotel reservations, looking for ways to help you generate revenue is necessary. Thus, take a look at the following monetization strategies:
There are multiple channels through which the hotel reservation system can be accessed, with some popular options being Android, iOS, and website. It is not necessary to develop separate app interfaces for all of these channels; you can choose to use one or a combination of them.
Well-established enterprises often opt for native application development, which means a separate development process for each channel. This requires a huge budget as the interfaces of all the platforms are different, and the developer needs to devote separate efforts to each.
Another option you have is a website designed specifically for desktop use. Many users prefer the website’s interface for making accommodation reservations, as it is more convenient and user-friendly.
75% of users find mobile applications suitable for hotel rooms bookings. Now, smartphone application users are divided into Android and iOS, so it is often necessary to launch an application on both platforms for better reach.
You can invest in cross-platform app development to target both iOS and Android users. It suits both operating systems, and separate customization is unnecessary.
Now that you are well-versed in the role of a hotel app in the market, its growth rate, and the key features to consider when building an app in this sector, It is time to dive deep into the development process. 
The foremost step of any app development process is finding the core purpose and the target audience. This step includes thorough market research, competitor insights, and mapping out the features and technicalities to add to the app.
This step will establish a foundation for app building, and you will be able to stay relevant and up to market standards.
A few questions you may ask yourself prior to setting an objective are:
UI/UX design is directly interlinked with the user interface. It should be clear and easy to use for increasing user participation. After mapping out the app ideation, focus on the hotel booking wireframe and make a visually appealing interface that is also easier for everyone to understand.
After finalizing the designs and features, you have to start with the backend development process. This step will include the picking up of technical frameworks, programming languages, and a database system.
This stage turns the vision of the hotel booking app into action. You can see the initial form of the application that is ready to be polished and launched.
After development is complete, the app will look as expected, but the process doesn’t end there. The QA and testing team will thoroughly examine the entire code, design, and platform compatibility, identifying any errors or bugs. These issues are then reported back to the developers for fixes.
This process continues until the app is free of bugs. QA engineers also test the application in real environments to ensure it functions correctly. Once the app passes the final approval with no bugs, it proceeds to deployment.
As all the bugs are fixed, it will be time to finally launch the app in the market. At the initial stage, it is mandatory to accept reviews and feedback from the users to modify the interface further for better performance. Select an appropriate platform to launch the app, such as Apple Store or Google Store.
Constantly monitor the performance of the app after the launch, collect suggestions & feedback, and be ready to make adjustments as per the user’s requirement. Remember that the app has been developed and launched to make it easier for users to get the perfect stay and fulfill their desires. Therefore, the app should be amended according to their convenience.
For a basic hotel reservation system that includes features like user registration, multiple payment methods, and room booking, the cost typically ranges between $20,000 and $50,000. However, if you choose to incorporate advanced features such as AI integration, multilingual support, and real-time availability status, the cost can exceed $80,000. The overall cost is influenced by several factors, including the platform, integration features, and app complexity. Additionally, the cost of developing a hotel booking app is impacted by the target market, geographic location, and the platform on which the app will be launched.
Appventurez is a leading app development company with over 8 years of experience in helping businesses grow digitally through our development services. Over the years, we have built 200+ mobile and web applications for our clients and have been recognized and awarded for our exceptional development work. If you’re looking to create a top-notch hotel reservation system, you need dedicated and skilled professionals. At Appventurez, we specialize in delivering high-quality travel and hospitality software solutions. Share your vision with us, and we’ll help you turn it into a successful hotel booking app tailored to both your needs and the market demands.
Q. What are the Benefits of a Hotel Booking App?
There are several promising benefits of investing in a hotel booking application such as user-centricity and convenience, connectivity with clients, multiple revenue streams, and brand recognition.
Q. How to Make a Hotel Booking App?
There are two options i.e. Build an app based on a template or hire a dedicated travel and hospitality app development team having years of rich expertise in designing and developing the app from scratch.
Q. How much does it Cost to Make a Hotel Booking App?
Though it entirely depends on your requirements, type of hotel app, features involved, server architecture’s requirements, and platforms you wish to launch your app on, it may cost you approximately $30,000 to create a feature-rich hotel booking app.
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Director at Appventurez
Director and one of the Co-founders at Appventurez, Chandrapal Singh has 10+ years of experience in iOS app development. He captains client coordination and product delivery management. He also prepares preemptive requisites and guides the team for any possible issues on a given project.
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