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    Franchise opportunities compared

    Hotel Indigo vs Red Roof Inn hotel

    Reviewed figures from each brand's Franchise Disclosure Document (FDD), side by side. Each figure carries its FDD year and page. This is not a ranking or recommendation, and the two FDDs may cover different years and location groups.

    Hotel Indigo2026 FDDRRRed Roof Inn hotel2026 FDD

    Initial investment · Item 7

    Hotel Indigo

    $9,316,623 – $48,510,839

    2026 FDD · Item 7 · PDF p. 58

    Red Roof Inn hotel

    $264,850 – $15,860,090

    2026 FDD · Item 7

    Initial franchise fee · Item 5

    Hotel Indigo

    Not available

    Red Roof Inn hotel

    $27,000

    2026 FDD · Item 5 · PDF p. 15

    Royalty · Item 6

    Hotel Indigo

    5%

    2026 FDD · Item 6 · PDF p. 31

    Red Roof Inn hotel

    5%

    2026 FDD · Item 6 · PDF p. 17

    Before you compare

    • Both sets of figures come from 2026 FDDs.
    • Red Roof Inn hotel discloses more than one business format, so the investment range spans formats; the full report breaks them out.
    • Item 19 figures cover the location groups each FDD names (Hotel Indigo: 2, Red Roof Inn hotel: 22). Different groups are not directly comparable.

    Financial commitment

    Estimated initial investment (Item 7)

    Hotel Indigo

    $9,316,623 – $48,510,839
    Total investment low end
    2026 FDD · Item 7 · PDF p. 58

    Red Roof Inn hotel

    $264,850 – $15,860,090
    2026 FDD · Item 7
    Standard initial franchise fee (Item 5)

    Hotel Indigo

    Not available
    No single standard fee identified

    Red Roof Inn hotel

    $27,000
    2026 FDD · Item 5 · PDF p. 15
    Royalty (Item 6)

    Hotel Indigo

    5%
    Royalty fee
    2026 FDD · Item 6 · PDF p. 31

    Red Roof Inn hotel

    5%
    Royalty
    2026 FDD · Item 6 · PDF p. 17
    Brand / advertising fund (Item 6)

    Hotel Indigo

    $10
    Loyalty initial marketing contribution per room
    2026 FDD · Item 6 · PDF p. 32

    Red Roof Inn hotel

    3%
    Digital performance marketing fee minimum — 3%
    2026 FDD · Item 6 · PDF p. 25

    System scale & health

    Total outlets (Item 20)

    Hotel Indigo

    74
    Outlets at end of 2025
    2026 FDD · Item 20 · PDF p. 102

    Red Roof Inn hotel

    596
    Outlets at end of 2025
    2026 FDD · Item 20 · PDF p. 71
    Net outlet change (Item 20)

    Hotel Indigo

    +6
    Calculated: 68 at end of 2023 → 74 at end of 2025

    Red Roof Inn hotel

    +35
    Calculated: 561 at end of 2023 → 596 at end of 2025
    Outlet exits (Item 20)

    Hotel Indigo

    Not available
    No complete exit records for a year

    Red Roof Inn hotel

    Not available
    No complete exit records for a year
    Franchising since (Item 1)

    Hotel Indigo

    2004
    From a verified franchisor listing

    Red Roof Inn hotel

    Not available
    Not in reviewed records
    Franchisor founded (Item 1)

    Hotel Indigo

    Not available
    Not in reviewed records

    Red Roof Inn hotel

    Not available
    Not in reviewed records

    Financial performance (Item 19), by location group

    Hotel Indigo
    Locations counted not stated in the reviewed record — 52 mature Hotel Indigo hotels in the United States
    70.5 percent
    other occupancy rate
    2026 FDD · Item 19 · PDF p. 98
    Locations counted not stated in the reviewed record — All US Hotel Indigo Brand System hotels
    74 hotels
    other Total Brand System hotels in United States
    2026 FDD · Item 19 · PDF p. 98
    RRRed Roof Inn hotel
    Locations counted not stated in the reviewed record — 27 Affiliate-Owned Red Roof Inn and Red Roof PLUS+ Inns
    13 locations
    other Table 1 27 Affiliate-Owned Red Roof Inn and Red Roof PLUS+ Inns
    2026 FDD · Item 19 · PDF p. 66
    Locations counted not stated in the reviewed record — 77 Affiliate-Owned and Franchised Red Roof PLUS+ Inns
    41 locations
    other Table 6 77 Affiliate-Owned and Franchised Red Roof PLUS+ Inns
    2026 FDD · Item 19 · PDF p. 68
    Locations counted not stated in the reviewed record — 9 Affiliate-Owned Red Roof Inns
    33.3 percent
    other Table 7 9 Affiliate-Owned Red Roof Inns
    2026 FDD · Item 19 · PDF p. 68
    +19 more groups in the full report

    Item 19 groups are shown separately and never combined. Revenue or sales figures are not profit. Net outlet change and turnover are Franopolis calculations from the disclosed counts; turnover is a count-based rate, not a measure of owner earnings.

    Hotel Indigo vs Red Roof Inn hotel: common questions

    Which costs less to open, Hotel Indigo or Red Roof Inn hotel?
    Hotel Indigo: $9,316,623 – $48,510,839 (2026 FDD · Item 7 · PDF p. 58); Red Roof Inn hotel: $264,850 – $15,860,090 (2026 FDD · Item 7). These are each franchisor's Item 7 estimated initial investment. The low end of the disclosed estimate is lower for Red Roof Inn hotel. At least one range spans several business formats. Estimates are not quotes, and the FDD years may differ.
    How do Hotel Indigo and Red Roof Inn hotel royalties compare?
    Hotel Indigo: 5% (2026 FDD · Item 6 · PDF p. 31); Red Roof Inn hotel: 5% (2026 FDD · Item 6 · PDF p. 17). Royalties as disclosed in Item 6; other recurring fees are listed separately.
    Which has more locations, Hotel Indigo or Red Roof Inn hotel?
    Hotel Indigo: 74 (2026 FDD · Item 20 · PDF p. 102); Red Roof Inn hotel: 596 (2026 FDD · Item 20 · PDF p. 71). Total outlets from Item 20. Outlet counts do not indicate territory availability or franchisee results.
    Do Hotel Indigo and Red Roof Inn hotel disclose financial performance (Item 19)?
    Hotel Indigo has reviewed Item 19 figures for 2 location groups; Red Roof Inn hotel has reviewed Item 19 figures for 22 location groups. Different location groups are not directly comparable, and revenue is not profit.

    Answers restate the reviewed figures above. Not a ranking or recommendation.

    How Franopolis reviews FDD figures

    Keep researching

    Full Hotel Indigo report

    Every reviewed fee, Item 19 group, outlet table and territory disclosure

    RR

    Full Red Roof Inn hotel report

    Every reviewed fee, Item 19 group, outlet table and territory disclosure

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