Must an Embassy Suites franchisee purchase and maintain revenue management systems?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
- 5.1.6 purchase and maintain property management, revenue management, in-room entertainment, telecommunications, high-speed internet access, and other computer and technology systems that we designate for the System or any portion of the System based on our assessment of the long-term best interests of System Hotels, considering the interest of the System as a whole;
Source: Item 22 — CONTRACTS (FDD page 97)
What This Means (2025 FDD)
According to Embassy Suites's 2025 Franchise Disclosure Document, as part of the operational requirements, franchisees must purchase and maintain designated property management, revenue management, in-room entertainment, telecommunications, high-speed internet access, and other computer and technology systems. These systems are those that Embassy Suites designates for the System or any portion of the System.
This requirement is based on Embassy Suites's assessment of the long-term best interests of System Hotels, considering the interest of the System as a whole. This means that Embassy Suites has the authority to mandate specific technology systems that franchisees must adopt and maintain.
For a prospective franchisee, this signifies a potentially significant ongoing investment in technology infrastructure. It also means that franchisees may have limited flexibility in choosing their preferred vendors or systems, as they must adhere to Embassy Suites's designated systems. This ensures brand consistency and integration across all Embassy Suites locations, but it also reduces the franchisee's autonomy in technology decisions.