Choice Hotels International, Inc. (CHH): Business Model Canvas [Jan-2025 Mis à jour]

Dans le monde dynamique de l'hospitalité, Choice Hotels International, Inc. (CHH) a magistralement conçu un modèle commercial qui transforme le paysage hôtelier traditionnel en un écosystème de franchise innovant flexible. En tirant stratégiquement plusieurs marques, une technologie de pointe et un programme de fidélisation robuste, CHH s'est positionné comme une centrale qui offre une valeur inégalée aux voyageurs et aux propriétaires d'hôtels indépendants. Cette toile de modèle commercial révèle comment l'entreprise a créé ingénieusement une plate-forme gagnant-gagnant qui couvre divers segments de clients, offre une qualité cohérente et génère de multiples sources de revenus sur un marché de plus en plus concurrentiel.

Choice Hotels International, Inc. (CHH) - Modèle commercial: partenariats clés

Accords de franchise avec des propriétaires d'hôtels indépendants

Depuis 2023, Choice Hotels fonctionne 7 642 hôtels sur plusieurs marques, avec 98% des propriétés franchisées. Le nombre total d'accords de franchise comprend:

Marque	Nombre d'hôtels	Pourcentage de franchise
Confort	2,217	29%
Qualité	1,576	20.6%
Sleep Inn	631	8.3%

Partenariats stratégiques avec les agences de voyage en ligne (OTA)

Choice Hotels a des partenariats avec les principaux OTA, notamment:

• Groupe Expedia
• Réservation.com
• Prix

En 2022, Les canaux numériques représentaient 49% du total des réservations.

Fournisseurs de technologies pour les systèmes de réservation et de gestion

Les partenariats technologiques clés comprennent:

• Sabre Corporation
• Opéra par Micros Systems
• Hospitalité Oracle

Co-branding des partenariats avec les sociétés de cartes de crédit

Choice Hotels maintient un partenariat de carte de crédit co-marquée avec:

• Barclays Bank

Les privilèges de choix MasterCard générés 94,5 millions de dollars en frais de redevance en 2022.

Relations avec les programmes de voyage d'entreprise

Les partenariats de voyage d'entreprise comprennent des accords avec:

• American Express Global Business Travel
• Voyage BCD
• CWT (Carlson Wagonlit Travel)

Voyages d'entreprise et de groupe représentés Environ 15% du total des revenus de la pièce en 2022.

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: activités clés

Gestion et soutien de la franchise

En 2024, Choice Hotels gère 7 324 hôtels dans 15 pays avec 604 000 chambres d'hôtel au total. La société soutient 11 marques hôtelières distinctes grâce à des opérations complètes de franchise.

Métriques de soutien à la franchise	2024 données
Propriétés franchisées totales	7 324 hôtels
Présence géographique	15 pays
Chambres d'hôtel total	604 000 chambres

Développement et marketing de marque

Choice Hotels investit 45,2 millions de dollars par an dans les stratégies de marketing et de développement de marque.

• Budget de marketing numérique: 18,7 millions de dollars
• Campagnes de positionnement de la marque: 12,5 millions de dollars
• Investissements d'études de marché: 14 millions de dollars

Normes de propriété de l'hôtel et contrôle de la qualité

La société maintient des processus de contrôle de la qualité rigoureux à travers son réseau de franchise.

Métriques de contrôle de la qualité	2024 Normes
Inspections de propriétés annuelles	100% des propriétés franchisées
Score minimum de conformité de la marque	85/100
Budget d'amélioration de la qualité	22,3 millions de dollars

Gestion du système de réservation et de distribution

Choice Hotels exploite une plate-forme de réservation numérique sophistiquée en traitement de 62,4 millions de réservations par an.

• Transactions de plate-forme de réservation en ligne: 78% du total des réservations
• Pourcentage de réservation d'applications mobiles: 42% des réservations en ligne
• Investissement annuel sur les infrastructures technologiques: 37,6 millions de dollars

Administration du programme de fidélisation de la clientèle

Le programme de fidélité des privilèges de choix gère 26,3 millions de membres actifs en 2024.

Métriques du programme de fidélité	2024 données
Membres actifs totaux	26,3 millions
Budget du programme de fidélité annuel	16,7 millions de dollars
Taux de rétention des membres	68%

Choice Hotels International, Inc. (CHH) - Modèle commercial: Ressources clés

Portfolio diversifié de marques d'hôtel

Choice Hotels International possède et exploite 11 marques d'hôtel À travers divers segments de marché:

Marque	Nombre de propriétés	Segment de marché
Comfort Inn	2,085	Intermédiaire
Quality Inn	1,643	Intermédiaire
Sleep Inn	603	Économie
Clairon	302	Haut niveau intermédiaire

Réseau de franchise étendu

Total des détails de la franchise à partir de 2023:

• Propriétés totales: 7 405 hôtels
• Présence géographique: 50 États et 40 pays
• Revenu de l'accord de franchise: 293,2 millions de dollars en 2022

Technologie de réservation et de distribution propriétaire

L'infrastructure technologique comprend:

• Programme de fidélité des privilèges de choix avec 55 millions de membres
• Plates-formes de réservation numérique générant 62% des réservations en ligne
• Application mobile avec Plus de 10 millions de téléchargements

Reconnaissance de la marque et ressources financières

Métrique financière	Valeur 2022
Revenus totaux	1,4 milliard de dollars
Revenu net	285 millions de dollars
Capitalisation boursière	4,8 milliards de dollars

Capital humain

• Total des employés: 1 200 employés d'entreprise
• Tiration moyenne des employés: 8,5 ans

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: propositions de valeur

Plusieurs marques d'hôtels s'adressant à différents segments de marché

Choice Hotels exploite 22 marques sur 7 segments différents en 2023, notamment:

Segment	Marques	Nombre de propriétés
Économie	Econolodge, Rodeway Inn	1 458 propriétés
Intermédiaire	Quality Inn, Comfort Inn	2 023 propriétés
Haut niveau intermédiaire	Hôtels Cambria	62 propriétés

Qualité cohérente et normes à travers les propriétés de la franchise

Choice Hotels maintient des normes de marque strictes:

• Exigences complètes des accords de franchise
• Inspections de propriétés régulières
• Chèques de conformité de qualité obligatoire

Options d'hébergement flexibles

Le portefeuille total comprend 7 225 hôtels dans 11 pays au troisième trimestre 2023, avec:

• 6 945 propriétés franchisées
• 280 hôtels appartenant à des entreprises

Programme de fidélité attrayant

Choix Privilèges du programme de fidélité Détails:

Métrique	Valeur
Total des membres	55 millions
Rachats annuels	14,2 millions
Taux de réservation répétée	48%

Modèle de franchise rentable

Franchise les métriques financières pour 2023:

Métrique	Montant
Frais de franchise initiaux	$35,000 - $75,000
Frais de redevance en cours	4 à 5% des revenus bruts de la salle
Contribution de fonds marketing	2 à 3% des revenus bruts de la salle

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: relations clients

Programme de fidélité basé sur les membres (privilèges de choix)

En 2024, l'adhésion aux privilèges de choix comprend 57 millions de membres actifs. Le programme de fidélité propose:

• Taux de gain de points de 10 points par 1 $ dépensé pour les séjours éligibles
• Redemptions de nuit gratuites à partir de 8 000 points
• Niveaux de niveau: or, platine, statut de diamant

Métriques du programme de fidélité	2024 données
Membres actifs totaux	57 millions
Taux de gain de points	10 points par 1 $
Rédemption de nuit gratuite	À partir de 8 000 points

Plates-formes de support client numérique

Les canaux d'assistance en ligne comprennent:

• Service client basé sur le Web 24/7
• Temps de réponse du support de chat en direct: moyenne 2,5 minutes
• Assistance par e-mail avec une réponse garantie de 12 heures

Marketing et communication personnalisés

Choice Hotels utilise des stratégies de personnalisation basées sur les données avec:

• Des campagnes par e-mail ciblées à 57 millions de membres de fidélité
• Personnalisation basée sur 3,2 millions de points de données clients
• Approche marketing segmentée avec un taux de personnalisation de 85%

Application mobile pour la réservation et la gestion des comptes

Performance de l'application mobile	2024 statistiques
Total des téléchargements d'applications	12,6 millions
Utilisateurs actifs mensuels	4,3 millions
Tarif d'achèvement de la réservation	67%

Promotions et récompenses ciblées

Souligions de la stratégie promotionnelle:

• Promotions ciblées trimestrielles atteignant 57 millions de membres
• Valeur de promotion moyenne: 35 $ à 75 $ par membre
• Taux de rachat des offres promotionnelles: 42%

Choice Hotels International, Inc. (CHH) - Modèle commercial: canaux

Site Web de l'entreprise et application mobile

Les plates-formes numériques de Choice Hotels ont traité 18,6 millions de réservations directes en 2022, ce qui représente 41% du volume total de réservation. Les téléchargements d'applications mobiles ont atteint 4,2 millions d'utilisateurs actifs au quatrième trimestre 2022.

Canal numérique	Volume de réservation	Pourcentage de réserves totales
Site Web de l'entreprise	14,3 millions de réservations	31.7%
Application mobile	4,3 millions de réservations	9.3%

Agences de voyage en ligne

Expedia et Booking.com ont généré 22,5% du volume de réservation total des hôtels en 2022, représentant environ 10,1 millions de réservations.

Agence de voyage en ligne	Volume de réservation	Part de marché
Expedia	6,3 millions de réservations	14%
Réservation.com	3,8 millions de réservations	8.5%

Systèmes de distribution mondiaux

Choice Hotels intégrés à plus de 450 systèmes de distribution globale, générant 7,2 millions de réservations en 2022, ce qui représente 16% du volume total de réservation.

• Saber Corporation: 3,6 millions de réservations
• Amadeus: 2,1 millions de réservations
• Travelport: 1,5 million de réservations

Équipe de vente directe

L'équipe de vente directe de Choice Hotels a généré 412 millions de dollars de réservations d'entreprises et de groupes en 2022, avec 6 200 comptes d'entreprise.

Segment des ventes	Revenu	Nombre de comptes
Comptes d'entreprise	276 millions de dollars	4 100 comptes
Réservations de groupe	136 millions de dollars	2 100 comptes

Canaux de marketing de réseau de franchise

Le réseau de franchise Choice Hotels comprend 7 100 hôtels sur 11 marques, générant 4,8 milliards de dollars de revenus totaux pour 2022.

• Comfort Inn: 2 100 propriétés franchisées
• Quality Inn: 1 600 propriétés franchisées
• Sleep Inn: 400 propriétés franchisées
• Clarion: 250 propriétés franchisées
• Autres marques: 2 750 propriétés franchisées

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: segments de clients

Voyageurs soucieux du budget

Choice Hotels cible les voyageurs soucieux du budget à travers des marques comme Econo Lodge et Rodeway Inn. En 2023, ces marques représentaient 1 152 propriétés avec un taux quotidien moyen de 59,87 $.

Marque	Nombre de propriétés	Taux quotidien moyen
Econo Lodge	673	$55.42
Rodeway Inn	479	$64.33

Professionnels des affaires

Choice Hotels sert des voyageurs d'affaires via des marques comme Comfort Inn et Quality Inn. En 2022, ces marques ont capturé 38% des segments du marché des voyages d'entreprise.

• Séjour moyen des voyageurs d'affaires: 2,3 nuits
• Taux de contrat d'entreprise: 82,50 $ par nuit
• Membres du programme de fidélité: 55 millions

Loisir et voyageurs familiaux

Des marques comme Comfort Suites et Proprestay Suites ciblent les voyageurs de loisirs. En 2023, ces segments représentaient 42% du total des réservations.

Segment de voyage familial	Pourcentage de réservations
Voyages de loisirs du week-end	27%
Séjour en famille élargie	15%

Programmes de voyage d'entreprise

Choice Hotels maintient des partenariats avec les grandes sociétés de gestion des voyages d'entreprise. En 2022, les voyages d'entreprise ont représenté 487 millions de dollars de revenus.

• Nombre de partenariats d'entreprise: 23
• Croissance des revenus des voyages d'entreprise: 6,2%
• Valeur moyenne de réservation d'entreprise: 214 $

Touristes internationaux et nationaux

Choice Hotels exploite 7 052 ​​propriétés sur 11 marques aux États-Unis et à l'étranger. Les réservations internationales représentaient 16% des revenus totaux en 2023.

Segment géographique	Nombre de propriétés	Pourcentage de revenus
États-Unis	6,834	84%
Marchés internationaux	218	16%

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: Structure des coûts

Soutien et frais de développement de la franchise

En 2022, Choice Hotels a déclaré des dépenses liées à la franchise de 95,4 millions de dollars. La société maintient une structure de soutien complète pour son réseau de franchise, qui comprend:

• Programmes d'intégration et de formation de la franchise
• Systèmes de soutien opérationnel en cours
• Initiatives de développement et d'extension de franchise

Catégorie de dépenses	Montant (millions de dollars)
Coûts de soutien à la franchise	95.4
Investissements sur le développement de la franchise	42.6

Marketing et promotion de la marque

Choice Hotels a investi 86,7 millions de dollars dans les frais de marketing et de promotion de marque en 2022. La stratégie marketing comprend:

• Campagnes de marketing numérique
• Initiatives de sensibilisation de la marque
• Marketing du programme de fidélité

Canal de marketing	Dépenses (millions de dollars)
Marketing numérique	42.3
Publicité traditionnelle	44.4

Maintenance des infrastructures technologiques

Les coûts des infrastructures technologiques pour les hôtels de choix ont totalisé 62,5 millions de dollars en 2022. Les investissements technologiques clés comprennent:

• Système de réservation centrale
• Développement d'applications mobiles
• Infrastructure de cybersécurité

Catégorie de dépenses technologiques	Montant (millions de dollars)
Infrastructure informatique	35.2
Développement de logiciels	27.3

Frais généraux et frais administratifs

Les frais généraux des entreprises pour les hôtels de choix ont atteint 104,3 millions de dollars en 2022. Ces coûts comprennent:

• Direction
• Ressources humaines
• Services juridiques et de conformité

Catégorie aérienne	Dépenses (millions de dollars)
Administration d'entreprise	67.8
Frais généraux opérationnels	36.5

Investissements d'acquisition et de rétention des clients

Choice Hotels a alloué 53,6 millions de dollars aux stratégies d'acquisition et de rétention des clients en 2022. Les domaines d'investissement comprennent:

• Améliorations du programme de fidélité
• Gestion de la relation client
• Programmes de rétention ciblés

Stratégie client	Investissement (millions de dollars)
Coûts d'acquisition	29.4
Programmes de rétention	24.2

Choice Hotels International, Inc. (CHH) - Modèle d'entreprise: Strots de revenus

Frais de franchise

En 2023, les hôtels de choix collectés 167,9 millions de dollars dans les frais de franchise initiaux et les frais de développement des propriétés de nouveaux hôtels.

Type de frais	Montant (2023)
Frais de franchise initiaux	126,3 millions de dollars
Frais de développement	41,6 millions de dollars

Paiements de redevances des propriétés franchisées

En 2023, les hôtels de choix ont généré 386,7 millions de dollars en frais de redevance de ses propriétés franchisées de l'hôtel.

• Les taux de redevance se situent généralement entre 3 et 5% des revenus bruts de la pièce
• Propriétés franchisées totales: 7 405 au 31 décembre 2023

Frais de transaction du système de réservation

Hôtels de choix gagnés 34,2 millions de dollars dans les frais de transaction du système de réservation en 2023.

Canal de réservation	Pourcentage de frais de transaction
Réservations directes	2-3%
Plates-formes tierces	4-6%

Revenus de licence de marque

Les revenus de licence de marque pour les hôtels de choix en 2023 ont totalisé 22,5 millions de dollars.

Commissions du programme de voyage d'entreprise

Commissions du programme de voyage d'entreprise générées 18,6 millions de dollars dans Revenue for Choice Hotels en 2023.

Programme de voyage d'entreprise	Pourcentage de commission
Comptes de voyage d'affaires	3-5%
Contrats basés sur le volume	5-7%

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Value Propositions

You're looking at the core value Choice Hotels International, Inc. delivers to its partners and guests as of late 2025. For hotel owners, the proposition centers on maximizing profitability through an asset-light structure supported by scale. For travelers, it's about a broad, reliable, and rewarding lodging experience across many price points.

For Franchisees: Asset-light model with high-margin fee revenue and support to drive RevPAR

Choice Hotels International, Inc. focuses on franchising, which means high-margin fee revenue streams for the corporation. You see this reflected in the domestic effective royalty rate, which stood at 5.12% for the second quarter of 2025. By the third quarter of 2025, that U.S. average royalty rate had expanded to 5.15%. The company is driving revenue through its network, evidenced by franchise and management fees hitting $193.8 million in Q3 2025. Also, partnership services and fees saw a significant jump, increasing 19% in that same quarter. Business travelers, who represent a more resilient customer base, now account for 40% of all stays. This focus on driving higher-yield guests is key to the model.

The support structure is designed to directly impact your top line. For example, participating properties in the ChoiceROCS consultancy program saw $81 million in incremental revenue in 2024. Furthermore, those same properties experienced a 100-basis-point premium in RevPAR Index compared to hotels not using the program that year. It's defintely about using data to boost performance.

Here's a quick look at some of the tangible support metrics provided to franchise owners:

Metric	Value/Result	Period/Context
Total Potential Operational Savings Identified	Over $25 million	2024
Average Savings Per Participating Property	$33,000	2024
Average Food Cost Savings (New Program)	9%	July 2024 to March 2025
Incremental Revenue via ChoiceROCS	$81 million	2024

For Franchisees: Operational cost savings, averaging $33,000 per participating property

Choice Hotels International, Inc. uses its scale to negotiate better supplier terms, directly lowering your operating expenses. Area Directors helped owners identify over $25 million in potential operational cost savings in 2024 alone, which translates to an average of $33,000 saved per property that participated in that effort. Beyond general savings, a new food group purchasing program launched in mid-2024 delivered an average saving of 9% on food costs based on market-basket comparisons through March 2025.

For Guests: Diverse lodging options from economy to upper upscale (e.g., WoodSpring Suites to Radisson Blu)

You get access to a wide spectrum of lodging needs because the global portfolio encompasses over 7,500 hotels as of 2025. The company operates a diverse portfolio of 22 brands, which lets Choice Hotels International, Inc. meet travelers' needs across the entire spectrum, from economy to upper upscale. This range includes deep penetration in the extended-stay segment, where brands like WoodSpring Suites continue to deliver impressive operating profits above 55%. Furthermore, the Everhome Suites brand is projected to open 25 new hotels by the end of 2025. For the higher end, brands like Radisson Blu are part of the network accessible to top-tier loyalty members.

For Guests: Value maximization through the loyalty program and direct booking benefits

The Choice Privileges rewards program is positioned as a key driver of guest value. Membership has surged past 70 million members. This engaged base is showing higher spend and longer stays; members saw a 13% growth in average length of stay and a 30% jump in reward redemptions. You benefit from guests booking direct, as the ChoiceHotels.com refresh resulted in a 6% year-over-year increase in converting lookers into direct bookers, with upscale booking conversions up more than 14% in the first quarter of 2025. The program is also evolving to offer more value:

• Faster paths to existing Elite status tiers starting in 2026, requiring five fewer nights (e.g., Diamond Elite at 35 nights).
• A new top-tier Titanium status, achievable at 55 nights or 110,000 Elite Qualifying Credits.
• The Titanium travel award benefit allows booking one room for up to seven nights at over 400+ premium properties for just half the points.

For Franchisees: Access to a domestic effective royalty rate of 5.12% in Q2 2025

The specific financial commitment for domestic franchisees is anchored by the royalty rate. As noted, the domestic effective royalty rate was 5.12% in the second quarter of 2025. This rate is a core component of the asset-light, fee-based revenue model that Choice Hotels International, Inc. champions for its stability and high margin potential.

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Customer Relationships

Dedicated Franchisee Success System and Area Directors

Choice Hotels International, Inc. focuses on driving owner value through its Franchisee Success System. Through strategic partnerships, the company helped franchise owners identify over $25 million in potential operational savings as of early 2025, averaging $33,000 per participating property. Furthermore, a food group purchasing program saved franchisees an average of 9% on food costs. The strength of this system is underscored by segment growth; for instance, the WoodSpring Suites brand grew by 9.7% to nearly 33,000 rooms since June 30, 2024. The domestic extended stay segment pipeline reached over 40,000 rooms as of March 31, 2025.

Automated, personalized digital engagement via the loyalty program

The Choice Privileges rewards program is a core digital relationship driver. Loyalty membership surged past 70 million as of April 2025. Enhancements implemented in early 2025 drove a 30% increase in redemptions and a 13% growth in the average length of stay in 2024. You can see the scale of the program below:

Metric	Value as of Late 2025 Data
Total Loyalty Members	Over 70 million
Total Participating Hotels Globally	Over 7,000
Countries/Territories Served	45
Upscale Rooms Accessible via Points	Over 180,000

The company is committed to making it easier for these members to earn and redeem points.

High-touch relationship management for upscale and extended-stay owners

The focus on higher-revenue segments necessitates a more direct approach. The upscale and above-brand portfolio saw impressive room count growth of 44% in the year leading up to April 2025. The domestic upscale, extended stay, and midscale net rooms portfolio grew by 2.3% compared to June 30, 2024. This growth in premium segments is supported by the overall system expansion, which saw net global rooms system size increase by 2.8% as of March 31, 2025, compared to March 31, 2024.

Self-service tools for booking and loyalty account management

Digital self-service tools directly impact the transactional relationship with both guests and owners. A refreshed ChoiceHotels.com resulted in a 6% year-over-year increase in converting lookers into direct bookers in the first quarter of 2025. For upscale bookings specifically, conversions rose by more than 14% in Q1 2025. For loyalty members, Choice Hotels International, Inc. implemented a reward night booking window tripled to 50 weeks, up from the prior 100 days. Also, the Choice RewardSaver tool lets members book reward nights for as low as 6,000 points, a reduction from the previous minimum of 8,000 points.

• Points can be combined with cash via Points Plus Cash redemption.
• Members can exchange points for miles with 10 participating airlines.
• Elite members receive a welcome gift or bonus points upon check-in at every Choice hotel.

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Channels

Choice Hotels International, Inc. manages distribution across a global portfolio that surpassed 150,000 rooms as of the third quarter of 2025, with a total revenue of $447.3 million reported for that quarter alone.

Direct booking channels (ChoiceHotels.com, mobile app)

The push for direct bookings is central, driven by the desire to capture the full margin by avoiding third-party commissions, which in the industry can reach 30% or higher. Choice Hotels International, Inc. incentivizes this channel through its loyalty program, offering Choice Privileges® members instant discounts ranging from 2 - 7% off the Best Available Rate when booking direct via ChoiceHotels.com or the mobile app. Furthermore, the company offers a $50 Reward Card match to any guest who finds a lower, publicly available rate elsewhere, reinforcing the lowest price guarantee on direct channels. In a prior period, the company noted a 20% increase in direct online contribution for the Country Inn & Suites brand.

Global Sales team for group and corporate business

The Global Sales team focuses on securing group and negotiated corporate volume, which is a key area for Choice Hotels International, Inc. as business travel grew 10 percent year-over-year in the first quarter of 2025. The integration of the Radisson Americas global sales team contributed significantly; in the 12 months following that integration, the team drove nearly $100 million in incremental Gross Room Revenue for hotels across the Choice system. The revenue from the Global Sales team saw a 10% increase year-over-year in 2024. The international business, which represents $3 billion in gross rooms revenue as of late 2025, is a major focus for growth.

Online Travel Agencies (OTAs) and third-party distribution partners

Third-party partners, primarily OTAs, remain a necessary component for broad market visibility, despite the associated cost structure. The company's overall revenue streams are supported by its large system size, with Franchise and management fees reaching $193.8 million in the third quarter of 2025. The company continues to expand its global footprint, with its international net rooms growing 8.3% year-over-year in the third quarter of 2025. The focus on higher-value segments, such as extended stay, helps to mitigate the margin impact from third-party bookings.

Global distribution systems (GDS) for business travel

Global Distribution Systems (GDS) serve as a critical pathway for corporate travel managers and travel agents booking on behalf of business travelers. The overall GDS market for hotels was valued at $7499.6 million in 2025. Corporate travelers are explicitly noted as being able to book through their online booking tool, GDS, or with a travel agent. The company's business travel segment showed growth, supported by its expanding upscale and extended-stay portfolio. The strategic agreements, such as the one in China expected to add over 9,500 rooms, rely on distribution channels like GDS for access to corporate booking tools.

Metric	Value/Amount	Period/Context
Q3 2025 Total Revenues	$447.3 million	Third Quarter 2025
Q3 2025 Franchise and Management Fees	$193.8 million	Third Quarter 2025
International Gross Rooms Revenue	$3 billion	As of late 2025
Global Net Rooms System Size	Exceeded 150,000 rooms	As of Q3 2025
Global Pipeline Rooms	Exceeded 86,000 rooms	As of September 30, 2025
Incremental GRR from Global Sales Team (Post-Integration)	Nearly $100 million	12 months following Oct 2022 integration
GDS Market Value	$7499.6 million	2025
Maximum Industry OTA Commission	Up to 40%	Industry Context

• Choice Privileges members have access to rates discounted by 2 - 7% off BAR when booking direct.
• The company offers a $50 Reward Card for successfully claiming a lower rate found on a third-party site.
• Choice Hotels International, Inc. is expecting to nearly double its France portfolio by year-end 2025.
• Choice Privileges® has more than 66 million members.

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Customer Segments

You're looking at the core groups Choice Hotels International, Inc. (CHH) serves as of late 2025, grounded in their latest system performance metrics. This is about who is signing up to own the hotels and who is staying in them.

Franchise Owners/Developers: Seeking an asset-light, high-ROI business model

The health of the franchise relationship is central to Choice Hotels International, Inc.'s model. The company emphasizes driving owners' revenue up and their costs down. Franchisee confidence is reflected in the development pipeline growth.

• Global franchise agreements awarded grew 54% in the third quarter of 2025 compared to the same period of 2024.
• U.S. franchise agreements awarded increased 7% in the third quarter of 2025 versus the prior year, with new construction up 10%.
• The total global pipeline exceeded 86,000 rooms as of September 30, 2025.
• 98% of the global pipeline is concentrated in the upscale, extended stay, and midscale segments.
• Choice Hotels has over 7,500 hotels globally.

Choice Hotels International, Inc. uses its scale to deliver tangible benefits to these partners. For example, through strategic partnerships, the company helped franchise owners identify over $25 million in potential operational savings in 2024, averaging $33,000 per participating property. Also, a new food group purchasing program, launched in mid-2024, saved franchisees an average of 9% on food costs based on market-basket comparisons through March 2025. The ChoiceROCS consultancy program delivered $81 million in incremental revenue to participating properties in 2024.

Value-Conscious Leisure Travelers: Families and road-trippers (midscale/economy)

This segment remains a bedrock for Choice Hotels International, Inc., often showing resilience. The loyalty program is a key tool for retention here.

Metric	Value/Segment	Period/Context
RevPAR Growth (Midscale)	1.7%	Q1 2025, exceeding chain average by 30 basis points
RevPAR Growth (Economy)	7.1%	Q1 2025, exceeding chain average by 440 basis points
Global Net Rooms Growth (Midscale)	3.3%	Q3 2025 vs. Q3 2024 (as part of upscale, extended stay, and midscale segments)
Loyalty Program Members	More than 70 million	As of early 2025
Average Length of Stay Growth (Loyalty Members)	13% increase	Driven by revamped loyalty program features

Extended-Stay Guests: Project-based workers and long-term travelers

The extended-stay category is highlighted as a beacon and a cycle-resilient area for Choice Hotels International, Inc. Development momentum is strong here.

• Domestic extended-stay net rooms grew 10.8% compared to March 31, 2024, and 12% compared to September 30, 2024.
• The domestic extended-stay pipeline reached over 40,000 rooms as of March 31, 2025, and nearly 43,000 rooms as of June 30, 2025.
• Domestic extended-stay RevPAR rose 6.8% in Q1 2025, outperforming the industry by 410 basis points.
• The WoodSpring Suites brand continues to deliver gross operating profits above 55%.
• The Everhome Suites brand is projected to open 25 new hotels by the end of 2025.
• Choice brands accounted for half of all economy and midscale extended stay hotels open or under construction in 2024.

The WoodSpring Suites brand specifically grew its rooms by 9.7% year-on-year in Q2 2025.

Business and Upscale Travelers: Targeting growth in the upper midscale and upscale segments

Choice Hotels International, Inc. is actively attracting a higher-yield customer base, evidenced by strong growth in its upscale portfolio and business travel metrics. This focus is a strategic lever for the company.

• Business travelers now account for 40% of all stays.
• Transient business revenue in the upper midscale segment increased by 20% in Q4 2024.
• The upscale and above-brand segments saw 44% growth in room count in the past year (2024).
• Global net upscale rooms grew 20.8% in Q3 2025 compared to the same period in 2024.
• Global upscale pipeline increased by 7% from March 31, 2025, reaching nearly 29,000 rooms as of June 30, 2025.
• Upscale online booking conversions on ChoiceHotels.com rose by more than 14% in the first quarter of 2025.

Global upscale openings saw a more than fourfold increase in Q3 2025 compared to Q3 2024.

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Cost Structure

You're looking at the core spending habits of Choice Hotels International, Inc. as of late 2025, focusing on the figures reported around the second quarter. This is where the operational cash goes to keep the franchise machine running and growing.

Selling, General, and Administrative Expenses (SG&A), which covers the overhead of running the corporate side, saw its adjusted figure for the second quarter of 2025 land at $77.6 million. Honestly, if you strip out a $2 million operating guarantee payment related to the Radisson Hotels Americas acquisition, that adjusted SG&A for Q2 2025 was even lower, coming in at $75.6 million.

The structure also heavily involves managing funds related to franchised and managed properties. Reimbursable revenues from these properties in Q2 2025 were $167 million. The company notes that franchise and management agreements require these revenues to be used for specific associated expenses, such as central reservation systems and national marketing.

Here's a look at some of the key financial metrics from the Q2 2025 period that feed into the cost structure view:

Financial Metric	Amount (Q2 2025)	Context/Notes
Adjusted Selling, General, and Administrative Expenses (SG&A)	$77.6 million	Reported Q2 2025 figure.
Adjusted SG&A (Excluding Operating Guarantee Payment)	$75.6 million	Q2 2025 figure excluding the $2 million payment.
Reimbursable Revenues from Franchised/Managed Properties	$167 million	Q2 2025 figure; these revenues fund related operating costs.
Partnership Services and Fees Revenue	$27.1 million	Q2 2025 revenue figure, related to franchise/management support.
Cash Flows from Operating Activities (First Half 2025)	$116.1 million	Total for the first six months of 2025.

Technology development and maintenance costs, which include investments in things like AI platforms and keeping the central reservation system humming, are funded through the general operating budget and the specific revenues mentioned above. Similarly, costs associated with the Choice Privileges loyalty program-covering rewards redemption, associated marketing efforts, and any co-brand credit card fees-are embedded within the operating expenses, though specific dollar amounts for these sub-categories weren't itemized separately in the primary Q2 2025 disclosures.

Marketing and advertising spend for brand awareness and driving direct bookings is also a significant outflow. The franchise and management agreements stipulate that associated revenues must cover national marketing and media advertising. For Q2 2025, the company reported that Partnership services and fees revenue, which supports these activities, was $27.1 million.

• Technology/CRS costs are covered by franchise service revenues and general operating funds.
• Loyalty program expenses are tied to member rewards and co-brand card agreements.
• Marketing spend is supported by fees designated for national advertising efforts.

Finance: draft 13-week cash view by Friday.

Choice Hotels International, Inc. (CHH) - Canvas Business Model: Revenue Streams

You're looking at the core income drivers for Choice Hotels International, Inc. as of late 2025. This is a fee-based model, meaning the company makes money from its hotel owners, not directly from guests.

Royalty Fees represent the largest, most consistent revenue stream, calculated as a percentage of the domestic franchisees' gross room revenue. For the second quarter of 2025, the domestic effective royalty rate stood at 5.12%. By the third quarter of 2025, this rate had expanded slightly to 5.15%.

The revenue streams are detailed below, showing the most recent concrete figures available:

Revenue Stream Component	Specific Metric/Period	Financial Amount/Rate
Royalty Fees (Domestic Effective Rate)	Q2 2025	5.12% of gross room revenue
Royalty Fees (U.S. Average Rate)	Q3 2025	5.15%
Partnership Services and Fees	Q1 2025	$25.4 million
Partnership Services and Fees	Q2 2025	$27.1 million
Full-Year 2025 Adjusted EBITDA Projection	Full Year 2025 (Tightened Guidance)	Range of $620 million to $632 million

Other key components that feed the top line include:

• Initial Franchise Fees: Paid by new franchisees upon signing.
• System Fees: Fees for central reservation, marketing, and technology access.

The company's overall financial expectation for the year remains strong, despite softer U.S. RevPAR guidance revisions. The full-year 2025 Adjusted EBITDA projection is currently set between $615 million and $635 million, with the most recent update tightening that range to $620 million to $632 million.

The growth in Partnership Services and Fees is notable; it increased from $19.84 million in Q1 2024 to $25.38 million in Q1 2025, and then to $27.1 million in Q2 2025.