When are Best Western Travel Agent Commissions due?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| Marketing and Technology Fees | 2.10% of PRR. See Note 1. | Billed one month in arrears, due and payable upon statement receipt. | See Note 1 for details on what components comprise the Marketing and Technology Fees. |
|---|---|---|---|
| Direct Connect Commissions | Varies by direct connect. | Due and payable upon statement receipt. | Payable as a pass-through commission charge for direct connect delivered reservations through negotiated brand pricing for Expedia, Booking.com, etc. |
| Global Distribution | $7.90 per booking. | Due and payable | Payable for reservations booked |
| Systems (“GDS”) | monthly upon | through GDS and GDS internet | |
| Fee | statement receipt. | travel sites. | |
| Third-Party Internet Booking Fee | $4.60 per booking. | Due and payable monthly upon statement receipt. | Payable for reservations booked through third-party internet booking sites. |
| Third-Party Partner Booking Fee | $2.00 per booking. | Due and payable monthly upon statement receipt. | Payable for reservations booked through our third-party partner. |
| Performance Based Marketing (“PBM”) | 10% of PRR for each reservation received from a digital opportunity. See Note 1. | Due and payable monthly upon statement receipt. | Commission charge for reservations which result from digital opportunity. Subject to amendment by majority vote of System Hotels. |
| Member Web Booking Commissions | 10% of PRR for reservations from North American (N.A.) hotels. 5% of PRR for reservations from international hotels. | Billed one month in arrears. Due and payable monthly upon statement receipt. | Commission charge for reservations the Property receives from N.A. Best Western hotels and/or international hotels. |
| 10% of PRR for reservations to N.A. hotels. 5% of PRR for reservations to international hotels. | Credited one month in arrears. | Commission credit for reservations the Property sends to N.A. Best Western hotels and/or international hotels. | |
| Travel Agent Commissions | Varies by travel agent and agreement. | Case by case basis. Due and payable monthly upon statement receipt. | Payable as a pass-through commission charge for travel agents that are passed on to System Hotels without mark-up. |
Source: Item 6 — Other Fees (FDD pages 24–37)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, Travel Agent Commissions are due and payable monthly upon statement receipt. The amount of the commission varies by travel agent and agreement, and is payable as a pass-through commission charge for travel agents that are passed on to System Hotels without mark-up.
This means that as a Best Western franchisee, you will be responsible for paying travel agent commissions based on the specific agreements Best Western has with various travel agents. These commissions are passed directly to the travel agents without any additional markup from Best Western.
It is important for prospective franchisees to understand these commission structures and how they might affect their property's profitability. Since the commission amounts vary, franchisees should inquire about the typical range of these commissions and how they are negotiated. Understanding these costs is crucial for budgeting and financial planning.