In recent years, RLH Corporation has acquired a number of new brands and has strategically focused on investing its capital in the franchising business rather than in ownership of hotel assets. Last year, the company leaned into its asset-light strategy by listing 11 of its 18 remaining owned properties for sale, and had successfully sold nine as of July. Meanwhile, RLH Corporation has continued adding franchise agreements, acquiring the Knights Inn brand from Wyndham in May, which boosted its portfolio with 350 additional economy franchise contracts. By the end of 2018, the company plans to consolidate its 13 brands to nine conversion-friendly brands. To onboard even more franchisees, it developed Franchiseasy, a user-friendly tool to help potential owners secure a franchise from a mobile phone.
AT A GLANCE:
» Ownership split (U.S. properties) | 21 corporate-owned or managed and 1,091 franchised
» Rewards program | Hello Rewards
» Length of contract | Not disclosed
» Contact | Roger Bloss, roger.bloss@rlhco.com, 954-509-7910
| Brand Name | What It's About | Chain Scale | Competitive Set | Franchise Fees | Target Customer | U.S. Properties | U.S. Pipeline |
|---|---|---|---|---|---|---|---|
| Americas Best Value Inn Since 1990 | A brand that offers a comfortable bed, complimentary breakfast, and the promise of a great day ahead. | Economy | Super 8, Rodeway Inn, Red Roof Inn | Application: $1,500 Royalty: $23/first 50 rooms; $19.50 next 25; $18.50 over 75 ($940/month minimum) Marketing: $15,000 up to 50 rooms + $150/additional room | Value-seekers | 811 | 31 |
| Country Hearth Inn & Suites Since 1994 | A flexible and efficient brand that's there for travelers when they need it. | Economy | Magnuson Hotels | Application: $1,500/5-year contract; $4,999/3-year contract; $9,999/1-year contract Royalty: 4% GRR | The independents | 40 | 1 |
| Knights inn Since 1974 | Convenient locations, reliable essentials, and a friendly staff at a thrifty price. | Economy | Super 8, Rodeway Inn, Red Roof Inn | Application: $1,500 Royalty: $23/first 50 rooms; $19.50 next 25; $18.50 over 75 ($940/month minimum) Marketing: $15,000 up to 50 rooms + $150/additional room | Value-conscious business and leisure travelers | 370 | 0 |
| Guesthouse International Since 1991 | A brand that focuses on getting all the comforts of home just right. | Upper-economy | Quality Inn, Baymont Inn & Suites, Days Inn, Surestay, Econo Lodge | Application: $20,000 up to 70 rooms +$150/additional room Royalty: $50/room/month | No-fussers | 28 | 2 |
| Signature Inn Since 2014 | Retro but far from vintage, this brand is familiar and vibrant with a lively spirit. | Upper-economy, affordable boutique | Quality Inn, Baymont Inn & Suites, Days Inn, Surestay, Econo Lodge | Application: $20,000 up to 70 rooms +$150/additional room Royalty: $50/room/month | Modern day ramblers | 2 | 0 |
| Red Lion Inn and Suites Since 1999 | Vibrant and authentic, a place where friendly staff helps guests squeeze the most fun out of their stay. | Midscale Select-service | Holiday Inn Express, Fairfield Inn & Suites, Comfort Inn, Best Western Core, La Quinta Inn & Suites | Application: Greater of $300/room or $40,000 Royalty: 5% GRR Marketing: $10,000-$20,000 (includes initial marketing materials) | Extra milers | 39 | 9 |
| Red Lion Hotels Since 1999 | The base camp for great adventures. A place where travelers can recharge and groups can plan out their next journey. | Midscale | Crowne Plaza, Wyndham Hotels, Holiday Inn, Radisson, Clarion Inn, Ramada | Application: Greater of $300/room or $60,000 Royalty: 5% GRR Marketing: $10,000-$20,000 (includes initial marketing materials) | Extra milers | 45 | 4 |
| Settle Inn Extended Stay Since 2005 | Big, comfy studio rooms, neighborly service, and lots of space to relax. | Midscale Extended-stay | Staybridge Suites, Towneplace Suites, Candlewood Suites, Mainstay Suites | Application: $20,000 Royalty: $50/room/month Marketing: $10,000-$20,000 (includes initial marketing materials) | Self-reliants | 1 | 0 |
| Signature Since 2017 | Evoking the golden age of mid-century travel, this brand also provides guests with all of today's modern conveniences. | Midscale | Crowne Plaza, Wyndham Hotels, Holiday Inn, Radisson, Clarion Inn, Ramada | Application: Greater of $300/room or $40,000 Royalty: 5% GRR Marketing: $10,000-$20,000 (includes initial marketing materials) | Modern day ramblers | 0 | 0 |
| Hotel RL Since 1999 | An experience of all things authentic, creative, and curious, offering a taste of the local scene. | Upscale Boutique | Crowne Plaza, EVEN Hotels, Wyndham Hotels, Radisson | Application: $50,000 Royalty: $1,000/room/year; $100,000 minimum Marketing: $10,000-$20,000 (includes initial marketing materials) | Professional nomads ("Promads") | 8 | 5 |
