Bitcoin: The Newest Way to Pay for Hotel Rooms
By Jean Francois Mourier, CEO of REVPAR GURU
answer is 'yes', because if you don't, you could be losing out on a valuable revenue stream – all the customers who want to pay solely with Bitcoins.
engine is Bitcoin compatible. REVPAR GURU has recently partnered with BitPay to release GuestLeader, the world's first and only Bitcoin compatible booking engine.
With this revolutionary technology, hotels of any size have the ability to accept paymentin Bitcoins (and by doing so, attract a new and emerging customer), without having a great deal of technical knowledge. Using REVPAR GURU's GuestLeader booking engine, guests can select Bitcoins as their selected method of payment during checkout and the currency will be automatically converted to cash and deposited into the hotel's bank account.
What is Bitcoin?
Bitcoin, an open source, peer-to-peer payment system and form of digital currency, israpidly becoming a viable payment option for tech-savvy travelers. With no risk of credit card fraud and low transaction fees, Bitcoin is attracting early adopters – both on the consumer and the hotel side.
Now that Bitcoin is more frequently accepted as payment, it is very possible to travelworldwide using nothing but this payment method– and one couple did just that in July 2013. Austin Craig and Beccy Bingham wanted to see if it was possible to survive only using Bitcoin virtual currency. After proving that it was possible to live on Bitcoin at home in Provo, Utah, they have successfully traveled across the United States, Europe and Asia – using only Bitcoins to pay for their lodging and airfare.
Since Bitcoin is a technology that has the potential to become highly popular in the nearfuture, it is extremely important for hoteliers to be aware of what it is, who is using it and the benefits of this up-and-coming payment method.
How It Works
With Bitcoin, currency – also referred to as
One of the best things about Bitcoins is how user-friendly they are, even for those withless technological know-how. The process is simple: once you have installed a Bitcoin wallet onto either your computer or mobile device, a Bitcoin address will be generated for you. Your address will be disclosed so that others can either send or receive currency safely. The process is very convenient and user-friendly because it is similar to email. Once a payment is received, Bitcoin payment processors immediately convert Bitcoins into the hotel's local currency during the transaction - meaning the hotel does not have to worry about currency exchange.
Another benefit – Bitcoin transaction fees are extremely low compared to conventionalmethods of transferring money. Accepting credit cards will generally cost 3% to 5% of the transfer amount, which is more expensive than a Bitcoin transaction (which is generally 1% or less). Furthermore, many banks hold transactions/deposits for up to 10 business days before the funds are available, whereas Bitcoin transactions are typically confirmed within an hour – and typically for 1/3 of the price that a bank would charge for the same transaction!
Another benefit is the fact that there are no charge-backs allowed on Bitcointransactions, which means a hotel doesn't have to worry about guests cancelling transactions through their credit card company after the fact because they were dissatisfied.
Because of these significant benefits, an increasing amount of hotels worldwide havestarted to accept Bitcoin digital currency payments including:
- The D Las Vegas Casino Hotel – Las Vegas, NV, USA
- The Golden Gate Hotel & Casino – Las Vegas, NV, USA
- Clevelander Hotel – Miami Beach, FL, USA
- Hotel Residence Gallery – Abruzzo, Italy
- Hotel Coppede Roma – Rome, Italy
- Prodeo Hotel + Lounge – Buenos Aires, Argentina
- Hotel San Martin – Mendoza, Argentina
- Bandholm Hotel – Bandholm, Denmark
- Pedro's Inn – San Pedro, Belize
- Hotel van Walsum – Rotterdam, Netherlands
- La Magnolia Hotel Sorrento – Sorrento, Italy
- Mariners Inn – Cambria, California
Additionally, hotels such as Hyatt and Marriott Hotel are indirectly accepting Bitcoins, aseGifter and Gyft.com accepts Bitcoins as payment for gift cards for these brands. eGifter has been accepting Bitcoins since August.
Bitcoin is here to stay…
Thousands of industry-leading companies such as, TigerDirect-CompUSA, VirginGalactic, Overstock and Zynga (to name a few) are now accepting Bitcoin transactions. Bitcoin ATMs are also opening up worldwide making it even more accessible as a form of currency.
In recent years, some consumers are trending away from banks because of the issuesmany experienced during our recent recession. Bitcoin is beginning to give banks a run for their money…literally.
So why not give it a try? Contact REVPAR GURU at email@example.com tofind out more about the Bitcoin compatible booking engine or to start accepting the digital currency today.
 Spaven, Emily. "How One Couple Paid for Hotel and Flights UsingBitcoin." Skift.
 Baskas, Harriet. "Bitcoin hits the roadfrom limos to hotels." CNBC.
About REVPAR GURU
REVPAR GURU provides hotels around the world with an alternative revenue management software solution, designed to deliver maximum bookings and profits. As REVPAR GURU's custom-designed Yield Dynamic Price Engine is the only real-time revenue management software available on the market, it meets the rapidly changing needs of hotels in a very demanding business environment. REVPAR GURU"s solution offers dynamic rate optimization, real-time pricing, integrated internet and extranet yield channel management and GDS sales distribution, to increase a hotel's RevPAR intelligently and effectively, while maintaining rate integrity and automated rate parity. Since 2004, REVPAR GURU"s software solution has been used by hotels worldwide to increase occupancy and RevPAR. Headquartered in Miami, Florida, additional information can be found at www.revparguru.com or by calling +1.786.478.3500.