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Log In / Register | Jun 25, 2018

Are Hotel Brands Worth Their Franchising Fees?

Franchisees must pay up, and on a consistent basis, to be part of a hotel brand. Is it worth it? Reporter Stacey Mieyal investigates. 

Do hotel brands still provide value for the significant percentage of revenue they claim through franchising fees? 

Brands have always shopped themselves as providing unbeatable value through reservations, brand recognition and loyalty programs. Indeed, more than 70 percent of all hotel rooms carry a brand, according to STR [formerly Smith Travel Research]. 

…But what, in particular, owners feel about the importance of brands is a bit of a mystery— Hotel Management contacted a number of hotel ownership companies for this article and all either declined to comment or did not respond. — Stacey Mieyal, Hotel Management

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