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LAST UPDATED: May 22, 2023FRANCHISE WEBSITE:&nbsp;<a href="https://development.ihg.com/hotel-brands/holiday-inn?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">https://development.ihg.com/hotel-brands/holiday-inn</a>NUMBER OF LOCATIONS:&nbsp;4,250REPORTED COST TO GET IN:&nbsp;$8,848,215 to $20,017,848REPORTED ROI (Item 19):&nbsp;N/A<a href="https://development.ihg.com/hotel-brands/holiday-inn?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Holiday Inn</a> and&nbsp;<a href="https://development.ihg.com/hotel-brands/holiday-inn-express?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Holiday Inn Express</a>, part of&nbsp;<a href="https://www.ihg.com/hotels/us/en/reservation?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">IHG® Hotels and Resorts</a>, are two of the most recognizable hotel brands in the world.&nbsp;<a href="https://www.ihg.com/holidayinn/hotels/us/en/reservation?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Holiday Inn</a> is a popular midscale, full-service hotel chain, while&nbsp;<a href="https://www.ihg.com/holidayinnexpress/hotels/us/en/reservation?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Holiday Inn Express</a> is an offshoot brand of smaller, limited service hotels that cater to guests seeking value and efficiency. Both offer franchise opportunities for qualified candidates.&nbsp;<h3>How Many Holiday Inn Hotels and Resorts Locations Are There?</h3>Founded in 1952, the Holiday Inn company seeks to remedy the lack of affordable accommodations for families. After only a decade, Holiday Inn was one of the first franchise brands to ever reach the&nbsp;<a href="https://www.franchise.org/blog/the-history-of-modern-franchising?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">1,000-unit mark</a>.&nbsp;Today, Holiday Inn is part of IHG® Hotels and Resorts, which is the world's largest hotel company, including some of the strongest and most recognized hotel franchise brands in the industry: InterContinental® Hotels &amp; Resorts, Crowne Plaza®, Hotel Indigo®, Holiday Inn® Hotels and Resorts, Holiday Inn Express® and Staybridge Suites®. Holiday Inn was voted the most trusted brand in travel by U.S. consumers in a 2021 survey by Morning Consult.In 2022, IHG signed 467 hotels and opened 269, which led to net system growth of over 4%. The Holiday Inn Brand Family delivered around a third of those hotel signings and half of the openings.Holiday Inn has over 1,500 hotels open or in development worldwide, and Holiday Inn Express has around 3,600 hotels open or in the pipeline across the globe. Holiday Inn Hotels &amp; Resorts came in at No. 156 on&nbsp;<a href="https://www.entrepreneur.com/franchises/directory/holiday-inn-and-holiday-inn-express/335297?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Entrepreneur’s “2023 Franchise 500 Rank</a>,” down significantly from No. 31 the previous year.&nbsp;<h3>What Is a Holiday Inn Hotels and Resorts Business Model?</h3>&nbsp;Holiday Inn and Holiday Inn Express has four tiers:&nbsp;<ul><li>Holiday Inn</li><li>Holiday Inn Express</li><li>Holiday Inn Club Vacations</li><li>Holiday Inn Resort</li></ul>The Holiday Inn franchise investment model is driven by three levers — room growth, revenue per available room (RevPAR) and royalty fees. The franchise agreement is generally a standard contract, with some variation across the world. A sample contract would normally have a royalty fee of 5%–6% of rooms' revenue. However, this can vary by brand and country.In addition to franchising, Holiday Inn offers a management program, where the company manages the hotel but ownership of the physical building remains with a third-party owner. Typically, the senior management like the general manager and the financial controller are IHG employees, who have oversight to build a successful team.<h3>How Much Can Holiday Inn Hotels &amp; Resorts Franchise Owners Make?</h3>While financial performance representations for individual franchise owners are not publicly available, IHG said its revenue per available room was&nbsp;<a href="https://www.ft.com/content/903e2d8e-5625-4f76-a7b5-5faefcfa9aa7?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">up 37% worldwide</a> in 2022 and only 3.3% lower than pre-pandemic levels.&nbsp;<h3>How Much Does It Cost to Open a Holiday Inn Hotels &amp; Resorts?</h3>The total investment necessary to begin operation of a typical 125-room Holiday Inn or Holiday Inn &amp; Suites hotel, excluding land costs and other matters, ranges from $12,910,715 to $19,900,840 ($103,286 to $159,207 per guest room) or more, including between $159,125 and $221,575 or more that must be paid to the franchisor or an affiliate.&nbsp;The total investment necessary to begin operation of a typical 93-room Holiday Inn Express or Holiday Inn Express &amp; Suites hotel, excluding land costs and other matters, ranges from $8,848,215 to $12,912,230 ($95,142 to $138,841 per guest room) or more, including between $127,625 and $157,875 or more that must be paid to the franchisor or an affiliate.&nbsp;The total investment necessary to begin operation of a typical 125-room Holiday Inn Resort hotel, excluding land costs and other matters, ranges from $12,980,115 to $20,017,848 ($103,841 to $160,143 per guest room) or more, including between $159,125 and $221,575 or more that must be paid to the franchisor or an affiliate.<h3>What Is the Franchise Fee for Holiday Inn Hotels &amp; Resorts?</h3>The initial franchise fee ranges from $159,125 to $221,575.<h3>Who’s On Holiday Inn Hotels &amp; Resorts’ Leadership Team?</h3><ul><li><a href="https://www.linkedin.com/in/eliewmaalouf?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Elie Maalour — Chief Executive Officer, Americas</a></li><li><a href="https://www.linkedin.com/in/michael-glover-0450656?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Michael Glover — Chief Financial Officer</a></li><li><a href="https://www.linkedin.com/in/claire-bennett-76a6241?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Claire Bennett — Global Chief Customer Officer</a></li><li><a href="https://www.linkedin.com/in/jolyon-bulley-a7a7a18?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Jolyon Bulley — Chief Executive Officer, Greater China and Group Transformation Lead, Luxury &amp; Lifestyle</a></li><li><a href="https://uk.linkedin.com/in/yasmin-diamond-cb-27637619?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Yasmin Diamond — Executive Vice President, Global Corporate Affairs</a></li><li><a href="https://uk.linkedin.com/in/nicolette-henfrey-6520a515?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Nicolette Henfrey — Executive Vice President, General Counsel &amp; Company Secretary</a></li><li><a href="https://www.ihgplc.com/en/about-us/our-leadership/executive-committee/wayne-hoare?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Wayne Hoare — Chief Human Resources Officer</a></li><li><a href="https://uk.linkedin.com/in/kenneth-macpherson-12057719?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Kenneth Macpherson — Chief Executive Officer, Europe, Middle East, Asia and Africa</a></li><li><a href="https://www.linkedin.com/in/george-turner-6099aa77?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">George Turner — Chief Commercial &amp; Technology Officer</a></li></ul><h3>What Helpful Articles Can I Read to Learn More About Holiday Inn Hotels &amp; Resorts?</h3><ul><li><a href="https://1851franchise.com/holiday-inn-s-redesign-creates-flexibility-for-guests-2643">Holiday Inn's Redesign Creates Flexibility for Guests</a></li><li><a href="https://www.cnn.com/travel/article/holiday-inn-70th-anniversary/index.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">How Holiday Inn revolutionized 20th century travel</a></li><li><a href="https://vista.today/2023/02/holiday-inn-express-cyberattack/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">Wall Street Journal: Holiday Inn Express in Exton Among Franchisees Suing Hotel Group</a></li><li><a href="https://www.zawya.com/en/business/hospitality/ihg-signs-franchise-agreements-for-expansion-across-africa-pyyu2afy?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchise-deep-dive-holiday-inn-hotels-resorts-franchise-costs-fees-profit-and-data-2722560" target="_blank" rel="nofollow">IHG signs franchise agreements for expansion across Africa</a></li></ul>Disclaimer: This content is for informational purposes only. You should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on this site constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction. All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial advice, nor does any information in the email constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

Franchise Deep Dive: Holiday Inn Hotels & Resorts Franchise Costs, Fees, Profit and Data

1851 Franchise

With experts saying worldwide travel is officially set to make a full post-pandemic recovery, this hotel franchise is one of the most trusted names in the hospitality biz. 


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