Operating model answer
A KOA franchisee operates one branded park/campground business that rents RV Sites, Tent Sites, Camping Cabins and Deluxe Cabins, then fulfills each stay with required guest amenities, local staff and property operations. Kampgrounds of America, Inc. supplies the reservation, marketing and standards infrastructure; the franchisee controls day-to-day execution within extensive technology, supplier, brand and quality requirements.
Offering and demand
What does a KOA campground sell, and who buys it?
The core transaction is paid occupancy of a campsite or lodging unit by travelers and vacationers using recreational vehicles, travel trailers, tents or cabin accommodations.
The 2026 FDD defines four Site classes reported through KampSight/K2: RV Sites, Tent Sites, Camping Cabins and Deluxe Cabins. Registration activity can also include campground or activity fees, utility hookups, no-show charges, early or late departure charges and rental of beds or supplies. A required camp store and commercial laundry create additional onsite transactions, but the primary customer promise is the reserved camping stay.
KOA’s consumer site presents the same accommodation mix through its official ways-to-stay guide. Guests may be overnight road travelers, destination vacationers, families, groups, long-term campers or loyalty members. Demand reaches the unit through koa.com, the KOA App, telephone or walk-in contact, approved third-party listings, local marketing and systemwide campaigns.
KOA Journey
Normally positioned near an interstate or highway, with long Pull-Thru RV Sites and an operating emphasis on convenient overnight or short-stop demand.
KOA Holiday
Characterized in the FDD by full-service RV Sites and Deluxe Cabins with bathrooms, supporting destination-area stays and more onsite recreation.
KOA Resort
Characterized by abundant patio RV Sites, linen-service Deluxe Cabins, dedicated recreation staff, onsite food service and group meeting space.
Kampgrounds of America, Inc. assigns the Brand Position at or before opening. The official KOA family-of-campgrounds guide explains the guest-facing distinction, but the FDD controls the contractual point: KOA determines whether a property qualifies as KOA Journey, KOA Holiday or KOA Resort and may apply position-specific facility, service and quality standards.
Transaction path
How does work move through an operating KOA unit?
The operating cycle moves from demand generation and reservation into guest registration, property fulfillment, payment processing, reporting and repeat-stay marketing.
Generate and capture demand
Actor: KOA marketing, franchisee and prospective guest.
Action: System campaigns and required local advertising direct demand to the campground’s approved digital and direct channels.
System/asset: koa.com, KOA App, approved local materials and optional Marketing Managed Services.
Output: Inquiry, availability search or booking request.
Reserve inventory
Actor: Guest or unit reservations staff.
Action: Select dates, Site class, rate and available inventory; apply permitted KOA Rewards or promotion terms.
System/asset: koa.com and KampSight/K2; third-party listings remain conditional.
Output: Confirmed reservation tied to site inventory.
Register and prepare
Actor: Manager or front-desk staff.
Action: Record every guest’s profile, charges, occupancy details and assigned Site; prepare the Site or lodging unit for arrival.
System/asset: KampSight/K2, property map, communications tools and required facilities.
Output: Arrival-ready reservation and operating work list.
Fulfill the stay
Actor: Franchisee’s onsite manager and employees.
Action: Check in the guest, provide the booked Site or cabin, maintain required amenities, handle questions and deliver any approved activities or food service.
System/asset: Campground, central service building, showers, toilets, laundry, camp store, playground and position-specific assets.
Output: Completed or continuing guest stay.
Process charges and exceptions
Actor: Unit staff and mandatory payment processor.
Action: Collect electronic or other approved payment, post additions, resolve onsite service issues and apply locally controlled refund decisions.
System/asset: Required processor, processing software, devices and KampSight/K2.
Output: Settled guest account and recorded transaction data.
Report and retain
Actor: Franchisee, manager and KOA.
Action: Report Total Registration Receipts weekly, preserve books and records, submit annual financial statements and use permitted guest data for repeat business.
System/asset: KampSight/K2, accounting records, eKamp and KOA Rewards.
Output: System reporting, fee calculation, audit trail and follow-up demand.
Technology requirement
KampSight/K2 is not merely optional reservation software. The Franchise Agreement requires every guest registration, rate, charge and occupancy record to pass through the system. KOA has unrestricted independent access to the database, and the franchisee must upgrade required computer systems when requested without a contractual cap on frequency or cost.
Roles and decisions
Who performs each operating function?
The franchisee owns employment, onsite service and property execution; KOA controls the brand system and required infrastructure; designated third parties control selected operating inputs.
Franchisee
- Recruits, hires, trains, schedules, supervises and pays all campground employees.
- Runs guest service, housekeeping, maintenance, camp store, laundry, activities and approved food service.
- Sets local prices and handles onsite customer resolutions, subject to channel parity and system rules.
- Conducts local marketing and maintains permits, insurance, payroll, taxes and property records.
Kampgrounds of America, Inc.
- Assigns KOA Journey, KOA Holiday or KOA Resort and defines Brand Standards.
- Maintains koa.com, KampSight/K2, eKamp, national marketing and the Advertising Fund.
- Approves sites, management companies, materials, suppliers, structures and specified services.
- Provides field support, training resources and inspections but does not hire unit employees.
Required third parties
- A sole third-party uniform supplier provides required uniforms.
- A sole third-party processor supplies payment services, software and devices.
- Mandatory or designated suppliers provide trademarked goods and other controlled inputs.
- Optional managed-service providers may execute pricing or marketing work under separate agreements.
Personal day-to-day participation by an owner is not mandatory, although KOA recommends it. If the owner does not participate, the campground must remain under direct on-premises supervision of a manager. KOA must approve the manager’s identity and any management company; it may require manager training and confidentiality agreements. This supports manager-run operation, but it does not establish an unrestricted absentee model.
Required inputs
Which suppliers, assets and systems are mandatory?
KOA controls the specification of most operating infrastructure and can classify suppliers as mandatory, designated, preferred or sole source.
| Operating input | Classification | Operational effect |
|---|---|---|
| KampSight/K2 and koa.com | KOA sole supplier | Controls inventory, reservations, guest registration, financial/stay data and the primary online booking path. |
| Payment processing | Sole third-party supplier | Controls electronic transaction processing, software and devices used at the campground. |
| Uniforms | Sole third-party supplier | Supplies the required uniform program for operating personnel. |
| Trademark-bearing merchandise | Designated suppliers | Restricts camp-store and branded purchases to licensed, approved sources. |
| Facilities and amenities | KOA specifications | Covers service building, laundry, camp store, campsites, sanitary disposal, playground, utilities and signage. |
| K2 Text Messaging and Managed Services | Currently optional | KOA may make participation mandatory and remains the sole supplier under the disclosed programs. |
The franchisee may choose suppliers in categories where approval is not required, but the product must still meet KOA specifications. KOA may change mandatory, designated and preferred suppliers, require additional products or services and mandate staff training or equipment. The KOA Quality Assurance & Policy Manual can also be modified during the term, requiring corresponding operating changes.
Channels and territory
What territory and booking limits apply?
The franchisee receives a defined franchise territory for one physical KOA campground, but not an exclusive market, customer base or distribution channel.
Physical protection
During the stated agreement term, KOA will not place another substantially similar KOA-marked campground physically inside the assigned Franchise Territory. Boundaries vary; the FDD says the generally granted minimum is a one-mile radius. Relocation and a second campground require KOA permission and a separate agreement.
Channel reservation
KOA and affiliates retain alternative distribution rights inside the territory. koa.com is the mandated online reservation site unless KOA approves another channel. Third-party listings must preserve KOA price parity, avoid prohibited system interfaces and may be discontinued when KOA determines they compete with its marketing initiatives.
Local reach
The franchisee may advertise outside its Franchise Territory, while KOA and other franchisees may advertise inside it. The territory therefore protects the physical location more than the surrounding demand pool.
Digital ownership
Domains, websites, social profiles, review pages and similar accounts referring to KOA or the campground require prior written approval. The Franchise Agreement assigns related content, reviews, listings and followers to KOA.
Territory limit
Do not read “Franchise Territory” as exclusive customer ownership. The protected element is the physical placement of another KOA-marked campground during the active term. Internet distribution, alternative brands, outside advertising and competing campgrounds beyond the boundary remain available to KOA, affiliates and other franchisees.
System footprint
What does Item 20 show about the operating network?
At December 31, 2025, Item 20 reported 481 system campgrounds: 432 franchised and 49 company-operated.
KOA campground composition at year-end 2025
Exact Item 20 counts; total population equals 481 campgrounds.
The network is predominantly franchise-operated, while a material company-operated population gives KOA direct operating exposure alongside its franchisor role.
Source: 2026 KOA FDD, Item 20, Table 1, page 53. Calculation: 432 + 49 = 481; percentages are each count divided by 481 and reconcile to 100.00%.
Item 20 shows franchised campgrounds ending 2023 at 435, 2024 at 429 and 2025 at 432. Company-operated campgrounds ended those years at 51, 51 and 49. The three-year figures show a stable overall footprint rather than a one-direction expansion pattern; operating diligence should focus on the specific property, Brand Position, season and market rather than treating system count as a proxy for unit performance.
Control boundary
Which decisions remain with the franchisee?
The franchisee retains daily business execution, employment decisions, local service choices and property economics, but must make those decisions inside KOA’s prescribed operating architecture.
KOA’s official customer support pages state that franchised campgrounds handle onsite day-to-day operations, while its pricing FAQ says local owners or managers set property prices. The FDD is consistent on staffing: the franchisee alone hires, compensates, schedules, disciplines and terminates employees. It also handles local marketing, accounting, inventory administration, maintenance, permits, insurance and guest resolution; the KOA Home Office does not control local refunds belonging to the franchise owner.
Those local decisions are constrained by the KOA Quality Assurance & Policy Manual, KampSight/K2 registration rules, required payment processing, approved advertising, Brand Position criteria, minimum amenities, supplier classifications, inspection rights and data access. KOA may provide field support, marketing coaching, franchise operating resources, eKamp courses and optional managed services, but the franchisee remains responsible for delivering the stay and operating the physical property.
Buyer verification list
- Confirm the assigned Brand Position and the property improvements needed to maintain that classification.
- Map every revenue-producing Site and every required non-revenue amenity into KampSight/K2 inventory and work routines.
- Obtain the current mandatory, designated, preferred and sole-supplier lists rather than relying only on the FDD issuance-date examples.
- Clarify approved third-party booking channels, price-parity rules and who controls each digital account.
- Identify the proposed onsite manager, KOA approval path and the owner/manager training obligations.
- Review the latest Quality Assurance report, property improvement plan and data-security responsibilities for the target campground.
Operating-model synthesis
KOA’s central mechanism is the reservation and fulfillment of paid camping occupancy across RV Sites, Tent Sites, Camping Cabins and Deluxe Cabins. The franchisee’s decisive responsibility is reliable onsite delivery through its own manager, employees and property assets. The strongest dependency is KOA’s control of KampSight/K2, koa.com, Brand Standards and required suppliers. The most important distinction is that KOA Journey, KOA Holiday and KOA Resort carry different facility and service expectations while sharing one tightly controlled reservation and reporting backbone. The largest undisclosed question is the property-specific staffing plan and operating calendar needed to meet its assigned Brand Position and seasonal demand.