Travel agencies- whether it is a big enterprise or a small team of 50- are looking for tools that can help them scale their business rapidly. Choosing the best type of software for their organization often becomes a struggle and a deciding factor for transforming their business.
With various options available and everyone claiming to be the best, travel agencies get lost in the pool of choices. Rather than gaining clarity- they end up getting more confused.
After all, managing bookings is not just the objective—it’s also about choosing flexibility, customization, and streamlining your operations. While on-premise software solutions give agencies more confidence that they have a full grip on the system, cloud software gives you the flexibility to operate independently.
Having said that, flexibility and scalability are not the only checklists for travel agencies – they look for software that can fetch them good ROI and that can ensure long-term support.
In the wake of such various deciding factors- it becomes tough for agency owners to choose that one software that fits in all the requirements.
But with correct guidance, it is possible.
In this blog, we will discuss both the advantages and the disadvantages of on-premise and cloud software, and the considering factors while choosing the best for your travel agency business model.
What is Cloud-Based Software and On-Premise Software
Cloud-based software is like a virtual setup wherein you can access your data and operations online from anywhere. It can be accessible through mobile or desktop applications.
For example, you took a subscription to a childcare-based cloud software. Now you can access your data anytime anywhere from an app. You just need an internet connection.
On-premise software is installed on your physical servers …it might be in your office or home wherever your working setup is managed from.
Here to access your data- you have to be location-bound wherever the set-up is installed.
If both serve the main purpose but differ in flexibility, scalability, and management outlook. What you choose depends a great deal on -how you would like to manage your operations.
What You Can Expect from Cloud-Based Software
1. Flexibility
It is just like working from anywhere, unless and until you have access to the internet. Cloud-based software is gaining popularity among startups due to its flexibility. Most big travel agencies have widespread remote teams that need to operate cohesively.
Cloud-based software makes it possible for the team to choose their location freely. They can manage bookings, and work cohesively from any part of the world.
2. Easy Integration
With cloud-based software, you can easily integrate it with a travel CRM system, payment gateways, or any other third-party applications.
This can eliminate the scope of manual work and automate your daily operations. Time-saving and a boost in productivity are what you can expect from such easy integration.
3. Budget Friendly
One of the most distinctive advantages of opting for cloud-based software is – it is budget-friendly. No hefty investment in the hardware. Majorly subscription-based services and cloud-based software are mostly preferred by travel startups because of their cost-effective benefits.
4. No Manual Updates Required
If you have opted for cloud-based software, timely software updates and maintenance are provided by the software provider itself. You can be worry-free in upgrading your tool with the latest features. That job is taken care of.
5. Customization
Another great advantage of opting for cloud-based software is you can optimize it depending on your needs. Let’s say you have started service for a new destination- accordingly, you have added three new members to your team to operate that destination.
With just a few clicks, you can execute the task of adding and allotting tasks to your new members.
On-Premise Advantages
If flexibility is the most enticing advantage to consider with cloud-based services then getting full-fledged authority with on-premise software is the ultimate benefit. Here are the top advantages of opting for on-premise software:
1. High-Level Data Safety
As the on-premise software operates solely within your infrastructure- there’s no fear of data breach. Important data like your clients’ passport details, travel details, and payment details remain confidential within your system. With travel agencies that operate on a big scale- this is a huge advantage to consider.
2. Zero Dependence on the Internet
Unlike cloud-based, on-premise software doesn’t require internet access. Your team can smoothly carry out the daily tasks without any disruption.
3. Cost Effective
Though the on-premise software has a hint of the traditional approach and requires quite an investment at the initial setup, eventually it’s cost-effective. No annual or monthly subscriptions are required here.
Top Three Things to Consider Before You Settle With Either
1. Consider the Size of your Agency
How many team members do you have in your agency? What number of clients are you dealing with? How many more are you planning to scale with? If your agency is big in number or if it is a startup- Generally, industry leaders support traditional on-premise software for big enterprises.
2. Consider your Budget
How much are you ready to invest in? If you have a big budget and would like to opt for a one-time investment or you would like to experiment and start with a minimum investment?
3. What’s Your Future Vision
Are you planning to operate more destinations and recruit more remote teams in the future? Or would you prefer your team to operate within a particular location? How internet reliable or independent do you want the system to operate?
Considering all these points helps you to prioritize your needs and choose better.
Bottom Line- Optimizing Your Travel Agency Business Model With The Best Travel Software
As we saw both on-premise and cloud-based software have their advantages, however, both have some drawbacks that can’t be overlooked. If on-premise is cost-friendly in the long term however the initial cost to pay for servers, and IT professionals can be hefty.
On the other hand, with cloud-based services- customization comes in handy but entrusting your customers’ data with a third party can be risky.
Eventually, it all comes down to your travel agency’s goal – if you are looking for data safety, scalability, budget-friendly, authority, or flexibility. While you choose the best one for your travel agency, make sure you evaluate both the advantages and disadvantages of both options.
Your Ideal Travel CRM Awaits!
Sembark is a cutting-edge Travel CRM Software for Travel Agencies in India, Malaysia, Thailand, Sri Lanka, UAE, and Azerbaijan. Book Your Demo Today!
