What is the Ignite Booking Program (Monthly Fee) based on for Sonesta Simply Suites?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer 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 |
Source: Item 23 — RECEIPTS (FDD pages 80–246)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, Sonesta Simply Suites franchisees are required to pay a monthly fee for the Ignite Booking Program. This fee is calculated as 7% of the consumed master folio per group.
In practical terms, this means that the monthly fee a franchisee pays for the Ignite Booking Program is directly tied to the revenue generated from group bookings through the system. A higher volume of group bookings will result in a higher monthly fee, while fewer bookings will lower the fee. This structure incentivizes franchisees to actively utilize the Ignite Booking Program to attract and manage group reservations, as the cost is proportional to the benefits received.
It's important for prospective Sonesta Simply Suites franchisees to understand how this fee structure will impact their operating costs, particularly if they anticipate a significant portion of their revenue coming from group bookings. They should factor this percentage into their financial projections and consider strategies to maximize the effectiveness of the Ignite Booking Program to ensure a return on this investment. Additionally, franchisees should confirm if there are any caps or limitations on the monthly fee, and how 'consumed master folio' is specifically defined, to avoid any unexpected charges.