factual

What is the restriction on displaying Bottle/Can Beverages in Bottler-owned Cold Drink Equipment at a Crowne Plaza hotel?

Crowne_Plaza Franchise · 2025 FDD

Answer from 2025 FDD Document

Customer acknowledges that all Bottle/Can Beverages displayed in Bottler-owned Cold Drink Equipment must be a Bottler Bottle/Can Beverages.

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

What This Means (2025 FDD)

According to the 2025 Crowne Plaza FDD, all Bottle/Can Beverages displayed in Bottler-owned Cold Drink Equipment must be Bottler Bottle/Can Beverages. This means that Crowne Plaza hotels must exclusively use these coolers to dispense beverages marketed under trademarks owned, controlled, or licensed to The Coca-Cola Company and purchased directly from the company or its authorized bottlers. This condition ensures that the bottler's equipment is used solely for their products, maintaining brand visibility and sales.

This requirement has significant implications for a franchisee's beverage offerings. Franchisees cannot use these coolers to display or sell competitive beverages, including products from PepsiCo or other non-Coca-Cola brands. This restriction could limit the franchisee's ability to cater to diverse customer preferences or take advantage of potentially more favorable deals with other beverage suppliers. The franchisee must adhere strictly to this condition to maintain compliance with the franchise agreement.

However, Crowne Plaza hotels do have some flexibility regarding beverages in Customer-owned coolers or displays. Up to 10% of the space in these coolers can feature Competitive Beverages, provided they are not Products of PepsiCo, are not Sparkling Beverages, and are not Juice Beverages (with exceptions for local, niche brands that contain juice as an ingredient and for which the Company does not provide a product offering). This exception allows franchisees to offer some variety while still prioritizing Bottler Bottle/Can Beverages in Bottler-owned equipment.

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.