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What specific obligations does a Sonesta Simply Suites franchisee have regarding participation in brand-wide promotions and marketing campaigns?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

ly, Brand Hotels participate in our loyalty program referred to as Sonesta Travel Pass. We and our affiliates may modify or discontinue any loyalty program at any time at our and their sole discretion. You must participate in and honor the terms of any and all loyalty, discount, or other promotional program applicable to Brand Hotels and pay all applicable fees or charges associated with such programs (including any fees assessed by us and our affiliates, room discounts given to guests, or rewards provided to guests, that are applicable to your Hotel) that we and our affiliates offer to the public on your behalf and any room rate quoted to any guest at the time the guest makes an advance reservation. You agree that you will take all action necessary to participate in any loyalty program, and that you will grant us and our affiliates all necessary rights in and to any photographs, video and/or other marketing materials that we or they may require to reasonably undertake such programs on behalf of your Hotel.

We charge a loyalty program fee for your participation in the Sonesta Travel Pass program in the amount of 2.5% of your Hotel's Qualified Revenue (defined below) from guests participating in the Sonesta Travel Pass program, payable at the same time and in the same manner as Royalty Fees. We reserve the right, at any time, upon notice to you, to increase the loyalty program fee; provided, that the loyalty program fee that we impose shall not exceed 4.5% of your Hotel's Qualified Revenue. Company-owned and company-managed Brand Hotels may pay the loyalty program fee at a different rate, and not all franchised Network Hotels pay a uniform loyalty program fee. "Qualified Revenue" includes (a) Qualifying Rates (defined below), and (b) at our discretion, any other items charged to the loyalty program member not defined in subsection (a). "Qualifying Rates" include: (1) non-discounted rates; (2) standard corporate rates; (3) leisure rates; (4) government rates; (5) corporate and negotiated rates; (6) conference and meeting rates; and (7) individual hotel contract rates.

  • E. Professional Photography. You must arrange a professional photography session at your Hotel prior to the Opening Date.

What This Means (2025 FDD)

According to the 2025 Sonesta Simply Suites FDD, franchisees are required to participate in any loyalty, discount, or other promotional programs applicable to Brand Hotels. This includes paying all applicable fees or charges associated with such programs. These fees may cover assessments by Sonesta Simply Suites and its affiliates, room discounts given to guests, or rewards provided to guests that are applicable to the franchisee's hotel. Franchisees must also honor any room rate quoted to any guest at the time the guest makes an advance reservation.

To facilitate these programs, Sonesta Simply Suites franchisees must take all necessary actions to participate fully. This includes granting Sonesta Simply Suites and its affiliates all necessary rights to any photographs, video, and/or other marketing materials that they may require to reasonably undertake such programs on behalf of the franchisee's hotel.

Sonesta Simply Suites currently participates in the "Sonesta Travel Pass" loyalty program. Franchisees are charged a loyalty program fee for their participation in the Sonesta Travel Pass program in the amount of 2.5% of the Hotel's Qualified Revenue garnered through guests participating in the program. However, Sonesta Simply Suites retains the right to increase this loyalty program fee up to 4.5% of the Hotel's Qualified Revenue. Sonesta Simply Suites and its affiliates may also periodically modify or discontinue the Sonesta Travel Pass program or any other loyalty program that they designate.

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.