table_specific

What is the Global Distribution Systems (GDS) Fee per transaction for Sonesta Simply Suites?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

Fee Fee Current Applicable Fees
(Subject to Change)
Travel Agency Commission Settlement Fee 4 Up to $0.85 per transaction
Groups, Meetings, and Events1, 4 3% on consumed master folio per group
Direct Connect Fee 4 $1.75 per transaction
Brand.com 4 $1.75 per transaction
Internet Distribution System (IDS) Fee 4 $4.00 per transaction
Voice Reservation Service with Auto Attendant Fee 4 $4.00 per call
Global Distribution Systems (GDS) Fee 4 $10.50 per transaction
TMC and Consortia Fees 4 3.25% of gross revenue generated from bookings consumed through travel agencies (“Consumed Revenue”)
Ignite Booking Program (Annual Fee) 4 $500 per year (or $800 per year if integrated with Delphi Sales System), payable on a calendar year basis without proration for partial calendar years
Ignite Booking Program (Monthly Fee) 4 7% on consumed master folio per group
Business Pass Booking Program 4 Not currently charged, but anticipated to be $350 per year, payable on a calendar year basis without proration for partial calendar years

Source: Item 23 — RECEIPTS (FDD pages 80–246)

What This Means (2025 FDD)

According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, the Global Distribution Systems (GDS) Fee is $10.50 per transaction. This fee is subject to change, as indicated in the FDD.

For a Sonesta Simply Suites franchisee, this means that for every transaction processed through global distribution systems, a fee of $10.50 will be charged. These systems are commonly used by travel agents and online travel platforms to book hotel rooms, so this fee is likely to apply to a portion of the bookings made at the hotel. This fee impacts the overall revenue and profitability of the franchise, as it represents a direct cost for each transaction made through these channels.

It's important for prospective franchisees to factor this fee into their financial projections and understand how it might affect their bottom line. Additionally, franchisees should stay informed about any potential changes to this fee, as the FDD indicates that it is subject to change. Understanding the different fees associated with various booking channels can help franchisees optimize their distribution strategy and manage costs effectively.

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.