factual

What guest satisfaction programs must a Camp Margaritaville franchisee participate in?

Camp_Margaritaville Franchise · 2025 FDD

Answer from 2025 FDD Document

as part of the System Standards. Failure of the Resort to meet the required standard for any other quality assurance measure described in this Section 4.16(c) may also result in additional Quality Assurance Audits by Franchisor which shall be conducted and paid for in compliance with Section 4.16(b)(iii), in addition to the exercise of any remedies pursuant to Article XIV.

  • (d) Guest Satisfaction Improvement Program. If, in Franchisor's sole discretion, it determines that Franchisee's Quality Assurance Audit is unsatisfactory, Franchisor may require Franchisee to participate in a Guest Satisfaction Improvement Program ("Guest Satisfaction Improvement Program"). Currently, Franchisor charges $20,000 for up to ten (10) participants or $30,000 for eleven (11) to twenty (20) total participants in the Guest Satisfaction Improvement Program. The Guest Satisfaction Improvement Program takes place over nine (9) months and consists of additional training on System Standards, inperson meetings and webinars, and audits. The Guest Satisfaction Improvement program occurs primarily at the Resort but may also include travel to other similar properties to benchmark best practices.
  • Section 4.17 Cross-Promotion. If Franchisee receives a request at the Resort for reservations or accommodations in any area where a Camp Margaritaville Resort is located, Franchisee will promptly refer such request to such location or to the CRS. Franchisee must refer guests and customers, wherever reasonably possible, only to Camp Margaritaville Resorts or other Margaritaville-branded lodging properties, not use the Resort or the Camp Margaritaville System to promote a competing business or other lodging facility, and not divert business from the Resort to a competing business.
  • Section 4.18 Loyalty Program. Franchisor has established a loyalty program to allow members to redeem awards for stays at Camp Margaritaville Resorts or otherwise enjoy Margaritaville-branded products and services ("Loyalty Program"). Franchisee agrees to participate in any such Loyalty Program pursuant to the Loyalty Program Terms of Use incorporated by reference into the Technology Agreement, which includes payment by Franchisee of a one-time set-up fee, as well as ongoing fees loyalty fees, calculated generally on a "Per Overnight Accommodation" basis. Such fees shall be updated from time-totime based on increases in the underlying charges paid by Franchisor for the Loyalty Program.

Source: Item 23 — RECEIPTS (FDD pages 72–406)

What This Means (2025 FDD)

According to the 2025 Camp Margaritaville FDD, franchisees may be required to participate in a Guest Satisfaction Improvement Program if the franchisor determines that a franchisee's Quality Assurance Audit is unsatisfactory. This program involves additional training on System Standards, in-person meetings and webinars, and audits, taking place over nine months. The cost for this program is currently $20,000 for up to ten participants or $30,000 for eleven to twenty participants. The program occurs primarily at the franchisee's Resort but may also include travel to other similar properties to benchmark best practices.

Camp Margaritaville franchisees must also maintain minimum online reputation scores, which are set by the franchisor. Franchisees are expected to create a favorable response to the name "Camp Margaritaville Resorts" and names of any brand extensions. They must also participate in guest relations programs, and guest complaints and resolution programs, including reimbursing dissatisfied guests for their costs of staying at the Resort and participating in other guest satisfaction programs in the manner the Franchisor specifies.

Camp Margaritaville franchisees must also participate in the brand's Loyalty Program. This program allows members to redeem awards for stays at Camp Margaritaville Resorts. Participation includes payment of a one-time set-up fee and ongoing loyalty fees, generally calculated on a "Per Overnight Accommodation" basis. These fees may be updated based on increases in the underlying charges paid by the franchisor for the Loyalty Program. The franchisee is also required to cooperate with any subcontractor administering the Loyalty Program to collect and share data regarding actual or prospective guests or customers.

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.