What were the affiliation fees received from hoteliers by Bw Premier Collection in 2023 (in thousands)?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
| (in thousands) | 2023 | 2022 | |
|---|---|---|---|
| Liability related to the loyalty program | $ 292,438 | $ 292,993 | |
| Affiliation fees received from hoteliers | 51,343 | 53,874 | |
| Total contract liabilities | $ 343,781 | $ 346,867 |
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, the affiliation fees received from hoteliers in 2023 amounted to $51,343,000. This figure is part of the total contract liabilities reported by Bw Premier Collection. For a prospective franchisee, this indicates the scale of revenue Bw Premier Collection generates from its affiliated hotels through these fees.
Affiliation fees are a crucial revenue stream for Bw Premier Collection, reflecting the ongoing financial relationship between the franchisor and its franchisees. These fees compensate Bw Premier Collection for the services and support it provides, including brand usage, marketing, and operational assistance. The amount of affiliation fees can be influenced by factors such as the number of affiliated hotels, the fee structure outlined in the franchise agreement, and any incentives or discounts offered to franchisees.
Understanding the magnitude of affiliation fees is important for potential franchisees as it provides insight into the financial dynamics of the franchise system. Franchisees should carefully review the franchise agreement to understand how affiliation fees are calculated, when they are due, and whether there are any provisions for increases or changes to the fee structure over time. This information can help franchisees assess the potential costs and profitability of operating a Bw Premier Collection hotel and make informed decisions about their investment.
It's also worth noting that while the provided data specifies the total affiliation fees received from hoteliers, it does not break down the fees specifically for Bw Premier Collection versus other brands under the Best Western umbrella. A prospective franchisee should inquire about the specific affiliation fee structure and amounts applicable to Bw Premier Collection hotels to gain a clearer understanding of the financial obligations and potential returns associated with this particular brand.