What is included in the 'Enterprise Contribution' for Even Hotels, according to the FDD?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 4 "Enterprise Contribution" means reservations processed via the following Holiday-managed channels and sources: (i) IHG.com, including all international iterations of this site and Holiday's mobile apps ("Web"); (ii) Holiday's worldwide toll-free reservations phone numbers and hotel call-divert programs ("Voice"); (iii) global distribution systems that permit traditional travel agencies, as well as many third-party online travel websites, to reserve guestrooms ("GDS"); (iv) online travel agencies, such as Expedia, with which we have distribution agreements ("OTA"); (v) Global Sales Office business that books directly at a Hotel (GSO); (vi) IHG One Rewards members that book directly at a hotel ("Loyalty Direct"); and (vii) distribution partners that are directly connected to our Reservation System that are not included in the previous sources ("Direct Connect").
Source: Item 19 — Financial Performance Representations (FDD pages 90–94)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the 'Enterprise Contribution' refers to reservations processed through various Holiday-managed channels. These channels include IHG.com and its international versions, along with Holiday's mobile apps, which are categorized as "Web". It also encompasses reservations made through Holiday's worldwide toll-free phone numbers and hotel call-divert programs, referred to as "Voice".
Additionally, the Enterprise Contribution includes reservations from global distribution systems (GDS) used by traditional travel agencies and third-party online travel websites. It also accounts for online travel agencies (OTA) like Expedia, with whom Holiday has distribution agreements. Furthermore, it includes business booked directly at a hotel through the Global Sales Office (GSO), IHG One Rewards members booking directly at a hotel ("Loyalty Direct"), and distribution partners directly connected to the Reservation System but not included in the previous sources ("Direct Connect").
For a prospective Even Hotels franchisee, understanding the components of the Enterprise Contribution is crucial as it reflects the various channels through which reservations, and thus revenue, are generated. The FDD indicates that for Mature Hotels, the average Enterprise Contribution was 85.1% in 2024. This information helps potential franchisees appreciate the significance of Holiday's reservation systems and loyalty programs in driving business to their hotels. However, the FDD cautions that past performance is not indicative of future results, and a new franchisee's actual results may vary.