factual

What is the name of Hilton's proprietary computerized business system that Embassy Suites franchisees use?

Embassy_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

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Computer System

You must use our required business computer system, which we may periodically change (Franchise Agreement, Sections 5.1.3 and 5.1.6). Currently, we require you to use "OnQ," which connects System Hotels to Hilton's reservation offices and travel planners worldwide. OnQ is comprised of proprietary components for reservations, property management, revenue management, rate & inventory management, forecast management, learning management, and other components we consider necessary to support the following activities: reservations, distribution, sales, customer relationship management, hotel operations, and business intelligence gathering and analysis. The complete OnQ package currently includes hardware, software, installation, and support. We also require you to use our required Guest Internet Access System, which we may periodically change. The components of each are described below, and the cost estimates are based on a standard prototype Brand hotel.

The OnQ System

OnQ Hardware and Software. You must use authorized hardware and the required software for the OnQ system. You may acquire the authorized hardware from HSS or its preferred providers, or you may purchase or lease it through other third-party providers. If you acquire the hardware from another (non-preferred) third party, you must also pay HSS for its reasonable expenses in determining that it conforms to our specifications. You must also pay for all necessary communications vehicles for OnQ (wide area network connections, electronic mail, and Internet connections), along with the installation and configuration costs, and travel and other expenses of the employees and vendors who perform the installation and configuration services.

The property management system component within the OnQ system is called the Hilton Property Management System ("HPMS"). HPMS may also be referred to as the Property Engagement Platform ("PEP®"). You are required to license the HPMS software from our affiliate, HSS. HSS is the only supplier of the HPMS software because of its proprietary nature. We are not able to determine a separate market price because there is no third-party market for this product in its entirety. You must pay for the reasonable travel and other expenses of HSS employees and vendors who install and maintain the software. If you purchase the standard hardware and software from HSS, we estimate it will cost between $70,576 and $151,184. This includes hardware, software, installation and certain other costs and fees, and is based on the size of the hotel and number of workstations. These fees are not refundable.

About 90 to 120 days before your Hotel opens,

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 53–67)

What This Means (2025 FDD)

According to Embassy Suites's 2025 Franchise Disclosure Document, franchisees must use Hilton's proprietary computerized business system called "OnQ". This system connects Embassy Suites hotels to Hilton's reservation offices and travel planners worldwide. OnQ includes proprietary components for reservations, property management, revenue management, rate and inventory management, forecast management, learning management, and other components necessary to support reservations, distribution, sales, customer relationship management, hotel operations, and business intelligence gathering and analysis. The complete OnQ package includes hardware, software, installation, and support.

Embassy Suites franchisees are also required to use Hilton's Guest Internet Access System, which may be periodically changed. The property management system component within OnQ is called the Hilton Property Management System ("HPMS"), also referred to as the Property Engagement Platform ("PEP®"). Franchisees must license the HPMS software from Hilton's affiliate, HSS, which is the only supplier of the HPMS software due to its proprietary nature.

About 90 to 120 days before the hotel opens, franchisees must sign the agreement for OnQ (HITS Agreement) and any other related agreements required by Hilton, which will govern access to and use of OnQ. If a franchisee purchases the standard hardware and software from HSS, the estimated cost is between $70,576 and $151,184, including hardware, software, installation, and certain other costs and fees, based on the size of the hotel and number of workstations. These fees are non-refundable.

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.