What is the exception to the cross-marketing prohibition for Embassy Suites?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not engage, directly or indirectly, in any cross-marketing or cross-promotion of your Hotel with any other hotel, motel or related business without our prior written consent, except for System Hotels and Network Hotels. You also may not utilize a list of customers (whether acquired before or during the term of your franchise) without our prior approval. The term "System Hotels" means hotels operating under the System using the Brand name and the Standards. The term "Network" means the elements, including know-how, that we or our Affiliates designate to distinguish the hotels, inns, conference centers, timeshare or residential properties and other hospitality-related businesses that Hilton Worldwide and its subsidiaries own, control, license, lease, operate or manage now or in the future. The term "Network Hotel" means any hotel, inn, conference center, timeshare or residential property or other hospitality-related business within the Network.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 53–67)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, franchisees are generally prohibited from engaging in cross-marketing or cross-promotion of their hotel with other hotels, motels, or related businesses. However, there is an exception to this rule. Franchisees are allowed to cross-market with other System Hotels and Network Hotels without prior written consent from Embassy Suites. System Hotels are defined as hotels operating under the Embassy Suites system using the brand name and standards. Network Hotels are hotels, inns, conference centers, timeshare or residential properties, or other hospitality-related businesses within the Hilton Worldwide network.
This exception allows Embassy Suites franchisees to collaborate on marketing efforts with other hotels within the Embassy Suites and Hilton Worldwide network. This can be a valuable opportunity for franchisees to expand their reach and attract new customers through joint promotions and advertising campaigns. By partnering with other hotels in the system, franchisees can leverage the collective resources and brand recognition of the network to increase their visibility and market share.
However, it's important to note that any cross-marketing activities outside of the System Hotels and Network Hotels still require prior written consent from Embassy Suites. This ensures that all marketing efforts align with the brand's overall strategy and standards. Franchisees should carefully review the franchise agreement and consult with Embassy Suites before engaging in any cross-marketing activities to ensure compliance with the terms of the agreement.