For hotels, the on-premises version involves a huge long-term licence fee upfront. But a cloud PMS comes only with a subscription fee. Hotels can cancel their subscription for a specific period. For example, if a hotel has 50 rooms and plans to renovate 10 of them, which will take one month, it means the hotel will only have to pay for the 40 rooms for that month. An on-premise PMS also makes a hotel spend extra on cyber security protocols to prevent the loss of operational and guest data. However, in the case of a cloud PMS, the cloud-hosting protects data, accounts and workloads from unauthorised access via top-notch encryption. Plus, thanks to the power of the cloud, it doesn’t involve any costly annual maintenance costs (AMC) that hotels need to pay for on-premises applications. Additionally, on-premises PMS requires hotels to invest in local servers, hardware, IT teams, etc. But with a cloud PMS, they don’t need costly servers and hardware, thus eliminating the need for an IT team. . Cloud or On-premises Hotel PMS (Property Management System): What works well for hotels?. Cloud, hospitality industry, Hospitality Trends, Hotelogix, insights, On-premises Hotel PMS, PMS (Property Management System). Operations.