Can Sonesta Simply Suites consolidate the brand promotion program with other brands' programs?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
A. Brand Promotion. We and our affiliates have established a brand promotion program for all Network Hotels. We and our affiliates reserve the right to separate the brand promotion program into separate brand promotion programs for each brand or any combination of brands we and they determine, or to consolidate the brand promotion program with the brand promotion program of other brands we or our affiliates maintain so that we maintain and administer one brand promotion program for all brands or any combination of brands as we determine.
We or our affiliates or other designees may use some or all of your Brand Promotion Fees, in conjunction with other Network Hotels' contributions or promotional fees, to pay for various expenses and programs that, in our view, benefit, in the short-term or the long-term, the Brand Hotels or any or all of the Network Hotels worldwide. These programs and expenditures may include but are not limited to: preparing and producing video, audio, and written materials and digital media; developing, implementing, and maintaining the Franchise System Website and related strategies; administering international, national, regional and multi-regional marketing and advertising programs (which may be based in the U.S. or elsewhere, as we determine in our sole discretion), including purchasing trade journal, direct mail, and other media advertising and using advertising, promotion, and marketing agencies and other advisors to provide assistance; administering online advertising and marketing campaigns (including search engine, social media, email, and display ad campaigns); developing and administering software, apps, and related integrations; implementing and supporting the loyalty program or other marketing programs designed to encourage the patronage of Network Hotels; supporting public relations, market research, and other advertising, promotion, and marketing activities; participating in travel industry trade shows, operating a global sales department, which activities include group sales, business-to-business, transient, leisure and specialty markets; and such other uses as we deem appropriate for the promotion of Network Hotels and further developing the reputation and image of Network Hotels. We and our affiliates have sole discretion to determine how we spend these fees, including sole control over the creative concepts, materials, endorsements, and media used in the programs, the geographic market in which we and they place any media and allocation of advertising. We or our affiliates may enter into arrangements for development, marketing, operations, administrative, technical and support functions, facilities, programs, services, and personnel with any other entity, including our affiliates.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites FDD, Sonesta Simply Suites and its affiliates have the right to consolidate the brand promotion program with other brands' programs that they maintain. This means that the brand promotion program for Sonesta Simply Suites may be combined with the programs of other brands under the Sonesta umbrella.
This consolidation allows Sonesta Simply Suites to administer one brand promotion program for all or any combination of its brands. The brand promotion fees collected from franchisees, including Sonesta Simply Suites franchisees, can be used in conjunction with other Network Hotels' contributions to pay for various expenses and programs that benefit the Brand Hotels or any or all of the Network Hotels worldwide. These programs and expenditures may include preparing marketing materials, maintaining the Franchise System Website, administering marketing and advertising programs, and supporting the loyalty program.
As a Sonesta Simply Suites franchisee, it is important to understand that Sonesta and its affiliates have sole discretion in determining how these fees are spent, including control over creative concepts, materials, endorsements, and media used in the programs. The FDD also states that Sonesta need not ensure that brand promotion program expenditures in or affecting any geographic area are proportionate or equivalent to Brand Promotion Fees paid by Network Hotels operating in that geographic area or that any Network Hotel benefits directly or in proportion to its Brand Promotion Fees paid from the development of advertising and marketing materials or the placement of advertising and marketing. This means that the franchisee may not see a direct benefit from the fees they pay into the brand promotion program.