What is the scope of revenue management services that Delta Hotels By Marriott provides to the Franchisee?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, Franchisee desires that Franchisor provide certain revenue management services to Franchisee with respect to the Hotel; and
WHEREAS, Franchisor desires to provide certain revenue management services to Franchisee with respect to the Hotel, on the terms and conditions set forth herein.
NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby specifically acknowledged, the parties agree as follows:
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- Scope of Services. Franchisor shall provide the revenue management services set forth on Schedule "A" attached hereto and made a part hereof (the "Services") to Franchisee with respect to the Hotel. If the hotel did not participate in Franchisor's revenue management services in 2024, Franchisor shall provide the set-up services described in Schedule C, for the fee set forth in Schedule C. The set-up services shall otherwise be deemed part of the "Services" for purposes of this Agreement. Franchisor's personnel who assist in providing the Services shall be qualified in and dedicated to revenue management. Both parties acknowledge and agree that Franchisee is under no obligation to comply with any recommendations made by Franchisor in connection with this Agreement, including but not limited to recommendations regarding pricing, inventory, room allocation or rate allocation. Franchisee expressly reserves the right to make, and is ultimately responsible for, any and all decisions relating to pricing, rate allocation and all other revenue management issues. Nothing contained herein should be considered a representation or warranty by Franchisor that compliance with any recommendations made by Franchisor in connection with this Agreement, including but not limited to recommendations regarding pricing, inventory, room allocation or rate allocation will produce, increase or optimize profits of Franchisee.
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- Confidentiality. Franchisee shall not, during the term of this Agreement or thereafter, without Franchisor's prior written consent, which consent may be granted or withheld in Franchisee's sole discretion, communicate, transmit, divulge, copy, duplicate, record, or otherwise reproduce, or use for the benefit of any third party or business other than the Hotel, in
Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, Delta Hotels By Marriott offers revenue management services to franchisees, as detailed in Schedule A of the Traditional Revenue Management Consulting Agreement. These services are designed to assist franchisees in optimizing their revenue strategies. If a hotel did not participate in these services in 2024, Delta Hotels By Marriott will provide set-up services outlined in Schedule C, which are also considered part of the overall services. The personnel providing these services are qualified and dedicated to revenue management.
Delta Hotels By Marriott's Revenue Management Advisory Services (RMAS) include weekday pricing and inventory support. For MSB hotels, business evaluations are available. A weekly 60-minute strategy review call rotates between themes, complemented by a monthly group strategy packet. Weekend support is available for an additional fee. The agreement emphasizes that franchisees are not obligated to follow the franchisor's recommendations regarding pricing, inventory, or rate allocation. The franchisee retains the right to make all final decisions on revenue management issues.
For hotels new to the revenue management services, Delta Hotels By Marriott offers set-up services for a fee of $3,500. These services include a systems diagnostic audit, rate program reviews, special event setup, review of the RPO comp set, Super Nova rate parity, High-Performance Pricing setup, and eFast setup. The audit includes a diagnostic report with findings and recommendations, a 60-minute meeting to review these findings, and the execution of agreed-upon changes to hotel systems.
Delta Hotels By Marriott mandates that hotels use the One Yield system functionality in partnership with Marriott's Revenue Management Advisory Services. While Marriott may offer strategic recommendations, the franchisee ultimately decides on the hotel's business strategy, including pricing, business mix, and inventory management. Marriott can directly communicate with hotel managers and rely on their instructions for service performance.