Can Americas Best Value Inn change the Revenue Consulting and Insights Fee?
Americas_Best_Value_Inn Franchise · 2025 FDDAnswer from 2025 FDD Document
Note 6 – You will pay us this continuing monthly fee for Revenue Management Insights required of all Franchisees. Revenue Management Insights includes periodic competitor benchmarking reports and revenue management platform with pricing reports. We may periodically add additional reports/features and change the components or restructure the program.
Note 4 – These fees are subject to, no more than once per year, an increase at our discretion by up to the greater of (i) 10% annually on a compounding basis regardless of whether we exercise such adjustment in any calendar year, or (ii) the difference, expressed as a percentage, in CPI as determined by comparing the CPI in effect as of the effective date of your Franchise Agreement to the CPI in effect as of the date of the fee adjustment, without reference to any prior fee adjustment, if any.
The Royalty, Brand Promotion Fee, Revenue Management Insights Fee, Operations Insights Fee, PMS-to-CRS Enhanced Connectivity Fee and Conference Fee do not cover your costs of participating in any optional programs and promotions offered by us in which you voluntarily choose to participate, including in our optional Revenue Strategy Support consultative program (currently, $219 to $349 per month, depending on the property size and market scale, which we may periodically change). We may offer additional optional programs to you during the Term of your Franchise Agreement.
Source: Item 6 — OTHER FEES (FDD pages 24–32)
What This Means (2025 FDD)
According to the 2025 Americas Best Value Inn Franchise Disclosure Document, the franchisor has the ability to change the Revenue Management Insights Fee. Note 6 states that Americas Best Value Inn may periodically add additional reports/features and change the components or restructure the program. This means that while franchisees are required to pay this monthly fee, the specific services and features included can be modified by Americas Best Value Inn during the term of the franchise agreement.
Additionally, Note 4 indicates that Americas Best Value Inn can increase fees, including the Revenue Management Insights Fee, once per year. The increase can be up to the greater of (i) 10% annually on a compounding basis or (ii) the difference, expressed as a percentage, in CPI as determined by comparing the CPI in effect as of the effective date of your Franchise Agreement to the CPI in effect as of the date of the fee adjustment. This allows Americas Best Value Inn to adjust fees to account for inflation or other economic factors.
Furthermore, the Royalty, Brand Promotion Fee, Revenue Management Insights Fee, Operations Insights Fee, PMS-to-CRS Enhanced Connectivity Fee and Conference Fee do not cover your costs of participating in any optional programs and promotions offered by us in which you voluntarily choose to participate, including in our optional Revenue Strategy Support consultative program (currently, $219 to $349 per month, depending on the property size and market scale, which we may periodically change). This indicates that the fees can change for optional programs.