factual

How are the perk costs for the Brand Affinity and Perks Program calculated at Camp Margaritaville?

Camp_Margaritaville Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (c) Perks Costs Customer is responsible for covering the costs of the on property perks. The estimated cost of each perk should reflect 5% cost (not retail) of the room revenue on the perk member's reservation.

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

What This Means (2025 FDD)

According to Camp Margaritaville's 2025 Franchise Disclosure Document, franchisees are responsible for covering the costs of perks offered through the Brand Affinity and Perks Program. The estimated cost for each perk should reflect 5% of the cost (not the retail price) of the room revenue associated with the perk member's reservation. This means that the higher the room revenue generated by a perk member's reservation, the higher the estimated cost of the perk that the franchisee will need to cover.

Camp Margaritaville's Brand Affinity and Perks Program is designed to encourage guests to book directly with the resort by offering personalized perks. These perks are instantly available at the time of booking and are tailored to the guest's interaction and frequency with the brand. The perks offered are based on the room revenue amount of the stay, and the program uses machine learning to determine the value of the reward presented to the member at the time of booking.

Franchisees must consistently execute and deliver the Brand Affinity and Perks Program, offering the minimum perks specified in the manual and providing the guest-selected perk upon their visit. If a franchisee cannot honor a member's perk request, they must try to provide a perk of similar or greater value. If the franchisee fails to honor or provide an equal or greater perk, Camp Margaritaville may provide a reimbursement and additional compensation to the member, and the franchisee will be responsible for reimbursing Camp Margaritaville for the actual costs plus a 10% fee.

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.