The verdict in three sentences
A custom PMS for a hotel group in Miami costs between 100,000 and 220,000 USD in 2026, with a 6 to 12 month timeline depending on modules (reservations, channel manager, yield, POS, housekeeping). An off-the-shelf PMS is cheaper upfront but charges per room and constrains your pricing rules. The real lever is the OTA commission of 15 to 25 %: each point of revenue shifted to direct booking is worth tens of thousands of dollars a year.
How much a custom PMS costs in 2026
Budget follows the number of operational blocks. 2026 benchmarks for a group of 3 to 8 properties.
| Module | Scope | Indicative 2026 cost (USD) |
|---|---|---|
| Reservations & planning | Availability, arrivals/departures, groups | 18,000 - 35,000 |
| Channel manager | OTA sync, stop-sell, parity | 16,000 - 33,000 |
| Yield / pricing | Dynamic rules, seasons | 16,000 - 33,000 |
| Direct booking engine | Website, payment, upsell | 14,000 - 29,000 |
| POS & billing | Payments, tax, exports | 14,000 - 27,000 |
| Housekeeping & maintenance | Room status, tasks | 9,000 - 20,000 |
| Full project | All modules + integrations | 100,000 - 220,000 |
Add annual maintenance of 15 to 20 % of the build (roughly 18,000 to 40,000 USD per year) for hosting, 24/7 availability and enhancements.
Custom vs off-the-shelf PMS: the commission trade-off
Off-the-shelf suits a single hotel; custom wins as soon as you want to reclaim control of distribution.
| Criterion | Off-the-shelf PMS | Custom |
|---|---|---|
| Upfront cost | 3,000 - 16,000 USD | 100,000 - 220,000 USD |
| Recurring cost | 9 - 22 USD/room/month | 15 - 20 % build/year |
| Own yield rules | Limited | Full |
| Integrated direct booking | Often an add-on | Native |
| Multi-property | Stacked licenses | Single core |
| OTA commission borne | 15 - 25 % | Reduced via direct |
| Deployment time | 4 - 10 weeks | 6 - 12 months |
The logic: a single hotel stays on off-the-shelf. A group that wants to steer its yield and reclaim 5 to 10 points from OTAs amortizes custom quickly.
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Mini case study
Isabelle runs a group of 5 hotels in Miami, 420 rooms total, room revenue of 14,000,000 USD per year. Today 45 % of bookings go through OTAs at an average commission of 18 %, meaning 1,134,000 USD of annual commissions.
She invests 180,000 USD in a custom PMS with a direct booking engine, channel manager and yield. Achieved within one year: the OTA share drops from 45 % to 37 %, shifting 1,120,000 USD of revenue to direct. At 18 % commission saved, that is about 201,000 USD per year gained. The PMS pays for itself in under 11 months, before housekeeping and POS productivity gains.
FAQ
What is the minimum budget to start? Around 100,000 USD for reservations + channel manager + direct engine. Advanced yield and housekeeping can come in V2.
How long is deployment? Between 6 and 12 months for a group, rolling out property by property to limit operational risk.
How much can we save on OTA commissions? Reclaiming just 5 points of direct booking on 14M USD revenue is about 126,000 USD per year of avoided commissions at 18 %.
Does the channel manager really prevent overbookings? Yes: real-time availability sync and automatic stop-sell remove almost all overbookings, which often cost several thousand dollars per incident.
Can the PMS connect to our accounting? Yes, exports to your accounting software and POS tools are included in the billing module, with hospitality tax handling.
Let's scope your project. Give us your number of properties, current OTA share and indicative budget and we will frame the PMS and the rollout plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
