How much does a hospitality CRM system cost?

What factors typically impact the cost of your hospitality CRM? 

There is no doubt that any business operating in today’s hospitality industry needs to get a handle on customer data and use it to create a great experience, implement effective marketing campaigns and increase customer loyalty. A powerful CRM is one of the best investments you can make. 

Some CRM providers offer a basic package that starts at less than one hundred pounds per month, while others can cost tens of thousands of pounds per year. The difference lies in a myriad of factors, all of which should be accounted for when drawing up a budget.  

Here are some of the factors that might influence the cost of your CRM system: 

Features and functionality  

The range of features and functionality offered by a CRM will inevitably be reflected in the cost. A simpler system may be able to offer a lower price, but if it doesn’t do all the things you need it to do, will it be worthwhile? Some of the key features that can impact the cost of a hospitality CRM system are: 

Integration capabilities: A hospitality CRM system that can seamlessly integrate with other software systems used by your restaurant, bar or hotel, such as electronic point of sale (EPoS) systems, can be more expensive than a standalone system that doesn't offer integration capabilities. Acteol from Access offers over 70 integrations including EPoS, wifi, booking, online ordering, pay at table, click & collect, website, payroll, feedback platforms and loyalty systems from Access Hospitality and other third-party providers to form a fully integrated CRM. 

Customisation options: A hospitality CRM system that offers a high degree of customisation, such as the ability to add custom fields or create custom reports, can be more expensive than a system with limited customisation options. 

User interface and user experience: A hospitality CRM system that offers a user-friendly interface is worth investing in over a system with a confusing user experience. The rich Single Customer View profile for every guest provided by Acteol is the epitome of intuitive design, allowing you to pull all your essential customer data into one place. 

Scalability: An ambitious brand may need to spend more on a CRM system that can scale to meet the needs of a growing business than a system that is designed for smaller operations. 

Data storage and management: A hospitality CRM system that offers robust data storage and management capabilities, such as the ability to store large amounts of customer data and track customer interactions across multiple channels, can be more expensive than a system with more limited data management capabilities. 

Analytics and reporting: A hospitality CRM system that offers advanced analytics and reporting capabilities, such as the ability to create custom dashboards or analyse customer behaviour patterns, will be more of an investment than a system with basic reporting capabilities. 

Support and training: A hospitality CRM system that offers comprehensive support and training resources, such as online tutorials or dedicated support staff, can be more expensive than a system that offers limited support. 

Size of your hospitality business 

The size of a hospitality business must be taken into account when deciding how much to invest in a CRM. Generally, larger hospitality businesses with more complex needs will require more robust and scalable CRM solutions, which can be more expensive than an entry-level system. 

Here are some of the ways the size of your business can impact cost of a CRM:  

Number of sites: Hospitality businesses with fewer than 15 sites will have different needs to businesses with a higher number of sites. Small to midsize operations or those building their CRM database for the first time should focus on data management, streamlining and automating marketing processes and maximising email marketing opportunities. Choosing a system with less advanced functions can help you in the adoption of the software.  

Very large hospitality businesses may require a highly scalable and customisable CRM system with advanced features to support additional marketing and customer relationship processes, such as social media management, vouchers, surveys and audience building tools.  

Number of users: Some CRM products are priced based on the number of users; that is how many staff members might be using the system at any one time. So, before you can determine the total cost of CRM software, you’ll need to know how many team members will need to access the platform on a regular basis. 

Size of customer database: CRMs that provide email marketing will typically introduce price tiers that correspond to the size of the customer database or number of contacts. The lowest tier is under 500 while upper tiers are over 30,000 or 50,000 contacts. Some tiers will also restrict numbers of emails sent which is another important consideration for your marketing team. 

Costs of implementation  

While we have looked at how the features of a CRM itself and the size of your business can affect cost, a further factor is the cost of implementation – that is any ongoing costs required to keep the CRM enmeshed with other aspects of the business and functioning optimally so you can get the best from the resources it provides.

Factors to think about include: 

Ongoing support and service fees  

It is important to note that many tiered packages have different levels of support embedded within them. Regular tiers may not be able to access out-of-ours support for example. 

Subscription fees

Different providers will offer different pricing scales which makes drawing direct comparison difficult. There can be one-off fees for software, plus set-up fees, or subscription fees that may be divided into tiers according to the level of service each tier offer, or the price may be decided by the number of users (sometimes called “seats”). Or, a combination of the above!  

While initial outlay is important, it is increasing necessary to focus on subscription fees as a recurring cost for your business. As well as one-off set-up fees, many CRM providers will charge a subscription fee. On average, companies typically pay anywhere from £12 to £200 per user per month for their CRM software. 

Subscription fees can then be tiered by the features and level of service provided. The highest tier might include extra customer support, the ability to customise your dashboard or the ability to segment your data. 

Software updates   

A hospitality CRM system may require various software updates to ensure that it continues to function optimally and effectively. Many of these will happen automatically but others may add to costs and if that is the case then any business will have to budget for the cost of updates.  

You can anticipate these sorts of updates from any reliable CRM: 

Security Updates: Security updates are essential to protect the CRM system from potential security threats such as malware or hacking attempts. These updates may include software patches and antivirus updates. 

Feature Updates: Feature updates may be required to add new functionality or improve existing features in the CRM system. For example, a restaurant CRM system may require updates to integrate with new payment processing systems, to add new marketing or loyalty features, or to provide better reporting and analytics capabilities.  

Performance Updates: Performance updates may be required to optimise the speed and efficiency of the hospitality CRM system. These updates may include database optimisation, memory management, or caching improvements. 

Compatibility Updates: Compatibility updates may be required to ensure that the hospitality CRM system is compatible with new hardware or software updates. For example, an update to the operating system or web browser may require compatibility updates to the CRM system to ensure that it continues to function correctly. 

It is important to regularly monitor and update the CRM system to ensure that it remains secure, efficient, and effective. Failure to keep the CRM system up to date can lead to security vulnerabilities, data loss or decreased performance, which can have a negative impact on the restaurant's operations and profitability. 

Achieve a better ROI on your restaurant sales and marketing activities with our hospitality CRM - download our hospitality CRM brochure

What should your hospitality CRM system budget include? 

When creating a hospitality CRM system budget, it's important to consider multiple factors to ensure that the budget accurately reflects the true cost of the system, not just the obvious outlay of actually purchasing the CRM itself. By taking a comprehensive approach to budgeting, you can ensure that you have adequate resources to implement and maintain an effective CRM system that meets your needs. 

Here are some of the main items that should be included in a hospitality CRM system budget: 

Software license or subscription fee  

The cost of the CRM software itself, either as a one-time license fee or as an ongoing subscription fee, is one of the most significant aspects that needs to be budgeted for (see the more detailed breakdown above). This includes thinking about how an ongoing subscription might change if the needs of your business changes. 

Implementation and set-up  

This is the cost of configuring and setting up the CRM system, including any data migration from previous systems or integration with other systems, such as a property management system or EPoS system. At Access, connecting databases is at the heart of everything we do. We therefore have a range of APIs (software that allows two applications to talk to each other) to make the process as simple as possible. 

Hardware and infrastructure 

When calculating the cost of installing a restaurant CRM, thoughts may go straight to hardware. Installing new computers, phone services and EPoS units would make any business owner pause. The good news is that many CRMs will integrate with existing hardware, but it is important to thoroughly check that the equipment you have in place is compatible. One specific detail to nail down is that your internet provider will support the amount of data flowing through the system without slowing things up. 

API add-ons or extensions 

The cost of any third-party add-ons or extensions that can enhance the functionality of the CRM system, such as marketing automation tools or analytics platforms, is something to consider. Though a CRM such as Acteol already includes these functions as standard not every CRM will include all the tools you need.  

Customisation and development  

Less flexible CRMs may need to be customised to tailor the CRM system to the specific needs of the business, which could involve extra outlay. 

Training 

The cost of training staff on how to use the CRM system effectively should also be considered. A CRM with an intuitive interface, such as Acteol’s Single Customer View, can be integrated into a team’s workflow with relative ease. 

Maintenance and support 

The cost of ongoing maintenance and support for the CRM system, including software updates, bug fixes, and technical support, must also be added to your calculations. As hard as this is to predict, a contingency fund for any issues should be built into any budget.  

Note: This table includes only a selection of the features available from each provider. It's important to carefully consider the features and pricing of each provider before making a decision to ensure that you choose a CRM platform that meets your needs.

How the pricing of Acteol works

Access Acteol offers two packages to help businesses choose the best solution for them, but the software is also fully customisable, so once you’ve chosen your package, you can build on your offer and add extra functionality as needed. Which is perfect for scaling with your business.  

We’ve developed our CRM packages based on business size – so, for operators with fewer than 15 sites, we recommend our Acteol SE package.

Starting from £147.50 per month the price depends on the number of sites and includes initial implementation and annual support. Additional modules can be added for around £35 per month (subject to number of sites).

For businesses with more than 15 sites a bespoke priced package will be developed to ensure you have all the functionality needed across your estate. We like to work closely with clients to build a tailor-made offer and price with wider functionality that supports marketing across all channels.  

What next?  

If you're currently in the market for a hospitality CRM system, the next steps involve considering your budget, business size, goals, and usability requirements. Based on these factors, you can explore the Acteol SE (for less than 15 sites) and Acteol Enterprise (for more than 16 sites) solutions offered by our team. 

To learn more about the benefits of different marketing tools for restaurants, you can also read about the best marketing tools to drive results. If you're ready to move forward, you can speak with our CRM and marketing automation team to discuss how a CRM system can benefit your restaurant and get pricing information for the Acteol solutions.