factual

From whom must an Embassy Suites By Hilton franchisee acquire the required business computer systems?

Embassy_Suites_By_Hilton Franchise · 2025 FDD

Answer from 2025 FDD Document

reservation services to refer reservations to (but not by or from) your Hotel.

Business Computer Systems

You must use our required business computer systems, which we may periodically change. Currently, we require you to use OnQ, which connects System Hotels to Hilton's reservation offices and travel planners worldwide. For OnQ you must have certain hardware, software, installation, and support. We also require you to use our required Guest Internet Access System. For Guest Internet Access you must have certain hardware, software, an internet access circuit, and internet service. In addition, you must have the Connected Room system, the GRO system, the Delphi.fdc system, a Digital Floor Plan, and Digital Key system that meet our Standards and specifications. All of these components must be acquired from either HSS or preferred providers, or may be acquired from other (non-preferred) vendors, depending on the specific product or service and the individual circumstances of your Hotel. We will provide you with our Standards and specifications as appropriate, but we do not issue Standards or technical specifications that are proprietary or confidential without protections in place that we deem sufficient (such as vendor confidentiality agreements). At certain times there might be only one approved software vendor for certain applications, such as the GRO system and the Delphi.fdc system. See Items 5, 6, and 11 for details. In the future, any of the products or services may be manufactured or provided by an approved supplier who is also our client or supplier. See Item 8 above regarding HSS and other affiliate revenues related to the required business computer systems.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 45–50)

What This Means (2025 FDD)

According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, franchisees must acquire required business computer systems from specific sources. The core system, OnQ, along with related hardware and software, connects the hotel to Hilton's global reservation network. Additionally, franchisees need a Guest Internet Access System, the Connected Room system, the GRO system, the Delphi.fdc system, a Digital Floor Plan, and a Digital Key system, all meeting Hilton's standards.

These systems and components must be acquired from either HSS (Hilton Supply Management) or preferred providers. However, depending on the specific product, service, and the individual circumstances of the hotel, some components may be acquired from other (non-preferred) vendors. Embassy Suites By Hilton will provide franchisees with the necessary standards and specifications, except for proprietary or confidential information, which is protected by vendor confidentiality agreements.

It's important to note that for certain applications, such as the GRO system and the Delphi.fdc system, there might be only one approved software vendor at certain times. Franchisees should also be aware that Hilton or its affiliates may receive revenue from the suppliers of these required business computer systems. Franchisees are required to purchase Hilton's proprietary computer software, OnQ, from Hilton or HSS.

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.