{"id":413,"date":"2018-07-13T12:19:34","date_gmt":"2018-07-13T12:19:34","guid":{"rendered":"http:\/\/www.hotel-seeker.it\/?page_id=413"},"modified":"2023-08-21T10:39:06","modified_gmt":"2023-08-21T10:39:06","slug":"hotel-franchising-selection","status":"publish","type":"page","link":"https:\/\/www.hotelseeker.it\/en\/hotel-franchising-selection\/","title":{"rendered":"Hotel Franchising Selection"},"content":{"rendered":"

Over the years,\u00a0hotel franchising contracts<\/strong>\u00a0have become a useful and flexible instrument for Italian hotel entrepreneurs. Through the franchising,\u00a0independent hotels can receive commercial and marketing services<\/strong>, associating their own sign with a recognizable and differentiated commercial brand, in order to increase a more and more international customer retention and loyalty.<\/p>\n

Franchise agreements are regulated through some\u00a0standard<\/strong>\u00a0circumstances that are repeated in each contract, in order to fully respect the\u00a0standardization of procedures<\/strong>\u00a0both of the affiliated hotel and the hotel franchisor.<\/p>\n

In such contracts, franchisors supply\u00a0commercial<\/strong>,\u00a0marketing<\/strong>, management and operative support services. They provide a brand and a\u00a0coordinated image<\/strong>\u00a0in order to allow a\u00a0range of services<\/strong>\u00a0to the independent hotel that affiliates.<\/p>\n

Services offered by the hotel franchisor are paid through different commissions or the so-called\u00a0Franchising Fees<\/strong>. Such fees can be\u00a0calculated according to<\/strong>\u00a0the structure number of rooms and the hotel location. They include a fixed remuneration of contract plus a variable periodic payment, even depending on the turnover generated during the contract duration.<\/p>\n

The advantages of adopting franchising agreements are mainly the commercial visibility earned through acommercial<\/strong>\u00a0sign<\/strong>,\u00a0reservations<\/strong>\u00a0made in the franchisor\u2019s booking centers and the possibility of entering a\u00a0hotel network<\/strong>\u00a0with a quite limited financial commitment, even at international level.<\/p>\n

On the other hand, a hotel franchising contract, especially with an international brand, requires a quite\u00a0long commitment<\/strong>\u00a0\u2013 an average of\u00a05 years<\/strong>\u00a0\u2013 and often involves the\u00a0asset renovation<\/strong>, so that it can be in line with the standards defined by the franchisor.<\/p>\n

The franchise agreement negotiation can be based on the identification of all tangible elements that are offered by the hotel franchisor, considering that such contracts are quite equivalent, since they have similar features and characteristics.\u00a0 On the contrary, it is more difficult to evaluate with precision the\u00a0perspective beneficial effects<\/strong>\u00a0that the independent hotel entrepreneur can enjoy through the contract. In this last case,\u00a0professional support of a specialized company<\/strong>\u00a0allows to formulate projections relating to the potential increases of operational results, subsequent to the adoption of a franchise contract.<\/p>\n

The selection process of a franchise contract involves the following phases:<\/p>\n

    \n
  1. Identification of the selection objectives and the pursued benefits<\/li>\n
  2. Identification of the main brands that offer franchising formulas suitable to the hotel product<\/li>\n
  3. Comparative analysis between the franchising formulas, including benefit analysis and financial projections related to the contract adoption<\/li>\n
  4. Negotiation with the hotel franchisor to draft the contract term sheet<\/li>\n
  5. Contract drafting, signature and conclusion of the agreement.<\/li>\n<\/ol>\n

    Many hotel operators<\/strong> have recently revised their\u00a0franchising contract formulas<\/strong>\u00a0in the light of hotel industry changes and online reservation portals. Such changes concern both the services offered by independent hotels and the modalities to assign a brand and a coordinated image. These are still very important aspects for the differentiation of hotel products.<\/p>\n","protected":false},"excerpt":{"rendered":"

    Over the years,\u00a0hotel franchising contracts\u00a0have become a useful and flexible instrument for Italian hotel entrepreneurs. Through the franchising,\u00a0independent hotels can receive commercial and marketing services, associating their own sign with a recognizable and differentiated commercial brand, in order to increase a more and more international customer retention and loyalty. Franchise agreements are regulated through some\u00a0standard\u00a0circumstances […]<\/p>\n","protected":false},"author":2,"featured_media":24973,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-413","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/pages\/413","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/comments?post=413"}],"version-history":[{"count":8,"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/pages\/413\/revisions"}],"predecessor-version":[{"id":970,"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/pages\/413\/revisions\/970"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/media\/24973"}],"wp:attachment":[{"href":"https:\/\/www.hotelseeker.it\/en\/wp-json\/wp\/v2\/media?parent=413"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}