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Updated RecentlyRed Roof Inn vs Microtel Inns & Suites Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Red Roof Inn vs Microtel Inns & Suites including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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| Investment | $203,500 - $5,456,700 | $5,709,119 - $6,799,356 |
| Franchise Fee | $30,000 | $43,000 |
| Royalty Fee | 4.5% | 6% |
| Advertising Fee | 4%(Marketing & Reservation Fee) | 2% |
| Year Founded | 1967 | 1987 |
| Year Franchised | 1996 | 1988 |
| Term Of Agreement | 20 years | 20 years |
| Term Of Agreement | 20 years | 20 years |
| Renewal Fee | 50% of current franchise fee | 50% of current franchise fee |
Business Experience Requirements |
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| Experience | ||
Financing Options |
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| In-House/3rd Party | In-House/3rd Party | |
| Franchise Fees | No/Yes | No/Yes |
| Start-up Costs | No/Yes | No/No |
| Equipment | No/Yes | No/Yes |
| Inventory | No/Yes | No/Yes |
| Receivables | No/Yes | No/Yes |
| Payroll | No/Yes | No/Yes |
Training & Support |
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| Training | On-The-Job Training: Varies Classroom Training: 40 hours Additional Training: Regional workshops | - |
| Support | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Proprietary Software Franchisee Intranet Platform | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
| Marketing | Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app | Co-op advertising, Ad slicks, National media, Regional advertising |
| Operations |
Number of Employees Required to Run: 10 10% of all franchisees own more than one unit
Absentee ownership of franchise is allowed. (60% of current franchisees are owner/operators) |
30% of all franchisees own more than one unit Number of employees needed to run franchised unit: 12 - 20
Absentee ownership of franchise is allowed. |
Expansion Plans |
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| US Expansion | Yes | - |
| Canada Expansion | No | No |
| International Expansion | Yes | Yes |
Company Overviews
About Red Roof Inn
Congratulations! You have made the first step in learning more about how you can join the Red Roof family. Here you will learn how you're making a smart decision by choosing to become a Red Roof franchisee.
A Smart-By-Design Franchise Opportunity,
A Red Roof franchise has been an extraordinarily positive experience from almost all standpoints; customer service, design help, purchasing efficiencies, brand loyalty and, most importantly, reservations. The brand has consistently performed extremely well in good and bad economic times and often punched above its weight and rate. Brand changes are always done by considering franchisee needs while ensuring the customer gets the most value for their money. The company has also been very adaptive changing customer demographics and has adapted both its physical plant and virtual image to appeal to a broad cross section of travelers.
98% of current Red Roof franchisees would recommend a Red Roof franchise to other entrepreneurs.
Red Roof is securely positioned in the upper-end of the economy segment with RevPARs currently averaging 21% higher than competing economy hotels in the markets in which we compete. Our Smart-by-Design approach to franchising is evident in everything we do, from exciting new prototypes and conversion plans to day-to-day operations training. We focus on the details that keep our guests coming back and our franchisees successful.
With a seasoned management team and a focus on the success of one outstanding brand, Red Roof is truly redesigned and rededicated to become the best franchise opportunity in the economy segment.
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#66 in Franchise 500 for 2020.
#134 in Franchise 500 for 2021.
About Microtel Inns & Suites
BRILLIANTLY SIMPLE
Microtel by Wyndham® is a fast-growing, all-new construction hotel franchise brand in the Philippines and the U.S. Microtel by Wyndham’s proven track record of successful development, strong operating performance, and sustainable growth in the limited-service segment are what set it apart from the competition. With 300+ properties open and under construction worldwide, Microtel by Wyndham® is well positioned for continued growth.At Microtel Inn and Suites by Wyndham, we are really dedicated as per the general inclination of our visitors and ensuring you have the most ideal experience. That is the reason we are pleased to be perceived as an industry pioneer in visitor fulfillment, positioning "Most elevated in Guest Satisfaction Among Economy/Budget Hotel Chains, 14 out of 15 Years" by the J.D. Control 2016 Hotel Guest Satisfaction Study.
Years of hotel management experience and innovative planning went into the development of the Microtel concept. Simply put, it involves offering the traveling public high quality product and service at value rates while keeping operating and development costs to a minimum. All Microtels are 100% new construction, thus assuring consistent expectation and experience.Microtel® by Wyndham is an award-winning chain of more than 340 economy hotels located throughout North America, Mexico and the Philippines. Offering free cable TV and mattresses approved by the American Chiropractic Association, Microtel's MicroSaver rooms start as low as $35 per night and have queen size beds and built-in furniture.
#302 in Franchise 500 for 2020.