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What are the cost considerations for internet connection costs for Delta Hotels By Marriott?

Delta_Hotels_By_Marriott Franchise · 2025 FDD

Answer from 2025 FDD Document

of $17 to $30 per month per POS workstation at the hotel, which includes the cost of patching services relating to the POS system. You must pay directly to Oracle a fee of $379 per month for each additional POS system terminal at your hotel. The annual hardware support fee (recommended) is estimated to be approximately 15% of the cost to purchase the POS system hardware. The estimated third-party costs associated with the POS system are provided to us by our vendors and are subject to change. Add-on services may be available at an additional cost.

(5) Reservation System and Yield Management System.

You must use the reservation system and yield management system that we designate for Delta hotels. The reservation system assists with reservations, check-in, charge posting, accounts receivable, night audit, check-out, housekeeping, and guest history. The yield management system is a web-based guestroom inventory management system that provides forecasting tools and makes inventory recommendations. The reservation system and yield management system will interface with your hotel's PMS. The initial costs associated with the reservation system and yield management system are included

in the PMS system costs described above. The ongoing costs of the reservation system and yield management system are covered by the Program Services Contribution.

(6) Marriott Communications Network ("MCN") and Property Network Standards. In order to securely connect to Marriott business applications and services that are hosted off-property, a connection to the Marriott Communications Network (MCN) is required. A Marriott router installed at your hotel provides end-to-end encryption to the MCN. All hotels are required to have primary and failover internet connections for MCN connectivity, for which you are strongly encouraged to use Marriottapproved Internet Service Providers (ISP). A secondary internet connection for MCN connectivity is recommended to maintain full connectivity in the event the primary internet connection fails; the required failover connection only provides connectivity to critical Marriott applications. The ongoing Marriott support charge for MCN connectivity (including Marriott router) is covered by your Program Services Contribution. The internet connection costs are payable directly to third-party vendors.

You must also install and maintain a franchisee-managed network ("FMN") for hotel devices. The cost to implement an FMN will range from approximately $25,000 to $30,000. We cannot estimate the ongoing cost of the FMN because the cost will vary depending on the vendor you choose and the services rendered. Marriott will not access, control or manage the FMN.

An on-property Wi-Fi network for the benefit of the hotel and guests is also required. The estimated cost to implement a Wi-Fi network meeting our Global Property Network Standards (GPNS) ranges from approximately $650 to $1,000 per guestroom. The ongoing cost of the Wi-Fi network is estimated to be approximately $2.50 to $8.50 per month per guestroom. These amounts are payable directl

Source: Item 10 — FINANCING (FDD pages 82–101)

What This Means (2025 FDD)

According to Delta Hotels By Marriott's 2025 Franchise Disclosure Document, franchisees must secure internet connections for several purposes, each with its own cost considerations. To connect to Marriott's business applications via the Marriott Communications Network (MCN), franchisees need primary and failover internet connections, ideally from Marriott-approved Internet Service Providers (ISPs). While the ongoing Marriott support charge for MCN connectivity is covered by the Program Services Contribution, the actual internet connection costs are paid directly to third-party vendors. Additionally, franchisees must implement and maintain a franchisee-managed network (FMN) for hotel devices, with implementation costs ranging from $25,000 to $30,000, but the ongoing costs are variable depending on the chosen vendor and services.

Delta Hotels By Marriott also requires an on-property Wi-Fi network for guests, with implementation costs estimated between $650 and $1,000 per guestroom. The ongoing cost for this Wi-Fi network is projected to be $2.50 to $8.50 per month per guestroom, payable to approved third-party vendors. The brand generally requires the Wi-Fi network to be upgraded or replaced every three to five years. Bandwidth requirements depend on the number of rooms, optional services, and users, with hotel-specific recommendations available on Marriott Global Source. Additional fiber optic networking and cellular augmentation may be required in certain situations, adding to the overall cost.

Furthermore, franchisees must retain a third-party managed service provider (MSP) to support IT infrastructure and manage cybersecurity, with an anticipated cost of approximately $4,000 initially, and ongoing costs varying based on the MSP and services provided. All network hardware must be replaced before the manufacturer's End of Life (EOL) date. Primary and secondary internet connections can be shared across Marriott, Franchise, and guest networks. These factors collectively contribute to the overall internet and network-related expenses for a Delta Hotels By Marriott franchise.

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.