To whom is the Even Hotels Loyalty Program Contribution fee payable?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Royalty | |||
| Royalty | 5% of Gross Rooms Revenue (“GRR”). | Monthly, on the 15th of the following month (Payable to Holiday) | Note 1 |
| Casualty Royalty | 2% of GRR based on average GRR for preceding 12 months | Monthly, on the 15th of the following month (payable to Holiday) | Note 1 |
| Sales and Marketing | |||
| Services Contribution | 3.5% of GRR (combined marketing, reservations & training fee). | Same as Royalty | Note 2 |
| Initial Marketing Contribution to Loyalty Program | $10.00 per approved guest room. | At same time as 1st Royalty Payment (one- time charge) (Payable to SCH) | Note 3 |
| Loyalty Program Contribution | 4.55% of Qualifying Full Folio Revenue from Loyalty Program members. 1.365% of GRR on Qualifying Room and Meeting Revenue from Loyalty Program members. | Same date as Royalty (Payable to SCH) | Note 3 |
Source: Item 6 — OTHER FEES (FDD pages 30–52)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the Loyalty Program Contribution is payable to SCH (presumably referring to Six Continents Hotels, Inc. or one of its affiliates). This fee is calculated as 4.55% of Qualifying Full Folio Revenue from Loyalty Program members and 1.365% of Gross Rooms Revenue (GRR) on Qualifying Room and Meeting Revenue from Loyalty Program members.
This means that as an Even Hotels franchisee, you are obligated to remit a portion of your revenue derived from loyalty program members to SCH. The amount depends on the type of revenue, distinguishing between full folio revenue and room/meeting revenue. This contribution ensures the continuation and maintenance of the IHG One Rewards program, which incentivizes customer loyalty across the brand system.
Prospective franchisees should be aware that these fees can impact their overall profitability. It is important to fully understand how 'Qualifying Full Folio Revenue' and 'Qualifying Room and Meeting Revenue' are defined, as this will directly affect the amount of the contribution. Franchisees should also monitor any changes to the Loyalty Program, as SCH reserves the right to modify the program at any time, potentially affecting costs and reimbursement amounts.