How can a Baymont Inn Suites franchisee modify or reverse a rate change made by Wyndham?
Baymont_Inn_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
NOW THEREFORE, in consideration of the terms and conditions contained herein, the receipt and sufficiency of which are hereby acknowledged, you and we agree as follows:
- 1. Provision of Services. We will provide the Service in accordance with the Revenue Management Policies and Best Practices ("RM Policies") set forth in System Standards. You will establish the reference room rate for the Facility upon which all other rates are based ("Rate of the Day") and retain ultimate control over all revenue management decisions. Subject to the foregoing, by entering into this Agreement, you explicitly (i) agree to abide by the RM Policies, (ii) authorize us to access your room rates, inventory and other Facility information in our Reservation System, your Facility's property management system, your Facility's food and beverage system (if applicable), and any extranet you have with an on-line travel agency or similar distribution company, and (iii) authorize us to make adjustments to the Facility's rates, inventory and restrictions in order to comply with the RM Policies without advance notice to you. We will not, however, change the Rate of the Day without authorization from you. In addition, you may modify or reverse any change we make by notifying us, providing it is consistent with the RM Policies. If you are entering this Agreement in connection with the operation of a WaterWalk Extended Stay by Wyndham facility, then the Services described in this Agreement shall relate only to the Furnished Units (as defined in the franchise agreement) at the facility.
Source: Item 23 — RECEIPTS (FDD pages 97–443)
What This Means (2025 FDD)
According to the 2025 Baymont Inn Suites FDD, franchisees have the ability to modify or reverse rate changes made by Wyndham, provided that such modifications are consistent with the Revenue Management Policies and Best Practices outlined in the System Standards. Baymont Inn Suites franchisees establish the reference room rate, known as the "Rate of the Day," which serves as the basis for all other rates, and they retain ultimate control over revenue management decisions.
The FDD specifies that franchisees explicitly agree to abide by the RM Policies and authorize Wyndham to access their room rates, inventory, and other facility information in various systems, including the Reservation System, property management system, food and beverage system (if applicable), and any extranets with online travel agencies. Franchisees also authorize Wyndham to make adjustments to the facility's rates, inventory, and restrictions to comply with the RM Policies, without prior notice. However, Wyndham cannot change the Rate of the Day without authorization from the franchisee.
This arrangement allows Baymont Inn Suites to implement revenue management strategies while still giving franchisees the final say over pricing decisions. Franchisees should familiarize themselves with the Revenue Management Policies to ensure any modifications or reversals they make are compliant. This balance of corporate strategy and local control is common in franchising, allowing for brand consistency while recognizing the franchisee's understanding of their local market conditions.