What is the amount of the Global Distribution Systems (GDS) fee per booking for Best Western?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
ear's Best Western reservations systems brand average daily rate. All other terms and conditions of the Chain and Consortia Marketing Program remain unchanged.
Approved December 2006 – All North American Properties shall participate in the Best Western Chain and Consortia Marketing Program, administered in accordance with the Chain and Consortia Marketing Program Terms and Conditions, and Compliance Rules.
NOTE: The Program Terms and Conditions set forth in the Ballot's Proposal are as follows:
Chain & Consortia Marketing Program Terms and Conditions:
- No Chain & Consortia Partner will be eligible to participate in the Program unless it has generated at least $1 million dollars in net reservations value for the Properties during the prev
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
Based on the 2025 Best Western Franchise Disclosure Document, the information regarding Global Distribution Systems (GDS) fees is not explicitly detailed. However, the document does mention fees associated with the Chain and Consortia Marketing Program. For American Express and Carlson Wagonlit Travel, properties pay $1.00 for each net room night reservation. For other Chain & Consortia Partners, properties pay a maximum fee of $1.00 for each net room night reservation received. This fee might be lower for certain partners but will not exceed $1.00.
Additionally, Best Western has a marketing program that allows agreements with Online Travel Agencies (OTAs). Hotels compensate OTAs up to 15% of the net revenue for non-package bookings on publicly available rates. Hotels also connect to OTAs through the brand's connections, which incur a transaction fee.
To fully understand the GDS fees, a prospective franchisee should ask Best Western for a comprehensive breakdown of all distribution-related fees, including those for GDS, OTAs, and other marketing programs. Understanding these costs is crucial for assessing the profitability of a Best Western franchise.