factual

How are GDS Fees determined for Baymont Inn Suites reservations?

Baymont_Inn_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

You will pay us a fee, as applicable, for reservations for your Facility from certain distribution partners processed through various reservation channels. "GDS Fees" are assessed for qualified reservations processed through any global distribution system ("GDS") or through any Internet website or other booking source powered by a GDS. "Internet Booking Fees" are assessed for qualified reservations processed through an Internet website connected through an alternate distribution system. "Third-Party Channel Fees" are assessed for qualified reservations coming from our partners directly or indirectly to our distribution platform. We will establish the amount of the GDS, Internet Booking Fees, and Third-Party Channel Fees from time to time based on the fees these channels charge us and/or our own costs (including overhead) for providing these services. Some of our distribution partners may charge a commission on reservations you receive through these reservation channels and, if we pay such commission on your behalf, you will reimburse us and pay our service charge of 1.5% of commissionable revenue. Upon written notice to you, we may alter, change, modify, remove, or add new fees as existing reservation channels are modified or partners are added to existing channels or new reservation channels are established.

Source: Item 22 — CONTRACTS (FDD pages 96–97)

What This Means (2025 FDD)

According to Baymont Inn Suites's 2025 Franchise Disclosure Document, franchisees will be charged fees for reservations made through various channels. GDS (Global Distribution System) Fees are specifically for reservations processed through a GDS or any internet booking source powered by a GDS. Internet Booking Fees apply to reservations made through internet websites connected via an alternate distribution system. Third-Party Channel Fees are for reservations coming from Baymont Inn Suites's partners directly or indirectly through their distribution platform.

The amount of these fees (GDS, Internet Booking, and Third-Party Channel Fees) is determined by Baymont Inn Suites based on the charges they incur from these channels and/or their own costs, including overhead, for providing these reservation services. In addition to these fees, some distribution partners may charge a commission on reservations. If Baymont Inn Suites pays this commission on behalf of the franchisee, the franchisee will reimburse Baymont Inn Suites and also pay a service charge of 1.5% of the commissionable revenue.

Baymont Inn Suites retains the right to modify these fees by altering, changing, modifying, removing, or adding new fees as reservation channels are modified, partners are added, or new reservation channels are established. However, they will provide written notice to the franchisee before making such changes. This means that franchisees need to stay informed about potential fee adjustments that could impact their operating costs. Franchisees are also responsible for commissions on reservations booked by agents or qualified reservations consumed by members of affinity groups and organizations participating in Baymont Inn Suites's Member Benefits program, along with a 1.5% service charge on commissionable revenue, if applicable.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.