Embedded Payments

Embedded payments describes a PMS vendor acting as the property's card payment processor, with the processing built into the platform rather than supplied by a separate acquirer. Mews Payments and Cloudbeds Payments are the best-known examples.

How it works

Card details captured at booking, at the desk or on a terminal are charged, pre-authorised and settled from inside the PMS, and every transaction reconciles automatically against the guest folio.

Why vendors want it

A small percentage of a property's total card volume is usually worth more than its software subscription, and it grows with the property's revenue. Embedded payments have become the main profit line for the largest PMS vendors.

What operators should compare

The processing rate against their current acquirer, on their full annual volume; contract terms if they move processing elsewhere; and which platform features only work with the vendor's own payments.