factual

Does Crowne Plaza provide co-brand partners with access to the loyalty program and customer base?

Crowne_Plaza Franchise · 2025 FDD

Answer from 2025 FDD Document

Performance obligations under the Company's co-brand credit card agreements comprise:

  • a) arranging for the provision of future benefits to members who have earned points or free night certificates;
  • b) providing the co-brand partners with access to the loyalty program and customer base, and rights to use the Company's brands; and
  • c) marketing services.

Notes to Consolidated Financial Statements (continued)

1. Description of the Business and Summary of Significant Accounting Policies (continued)

Revenue from a) is reported within 'System Fund and reimbursable revenues' and revenue from b) is recorded within 'fee business' revenue. Revenue from c) is recognized in either 'fee business' revenue or 'System Fund and reimbursable revenues' depending on the nature of marketing services performed.

Source: Item 23 — Receipts (FDD pages 100–424)

What This Means (2025 FDD)

According to the 2025 Crowne Plaza Franchise Disclosure Document, Crowne Plaza provides co-brand partners with access to its loyalty program and customer base. This is part of the performance obligations under the company's co-brand credit card agreements.

For a prospective franchisee, this means that if Crowne Plaza has co-branded credit card agreements, the franchisee may benefit from increased exposure to customers who are part of the loyalty program. This access can potentially drive more business to the franchisee's hotel.

The FDD also mentions that revenue from providing co-brand partners with access to the loyalty program and customer base is recorded within 'fee business' revenue. This indicates that Crowne Plaza generates income from these arrangements, which supports the maintenance and development of the loyalty program. The loyalty program itself is referred to as "IHG One Rewards".

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.