Zack and Cody try to make friends at school. When word gets out that they live at the Tipton, all of the cool kids hang out with them. In the end, the twins find out who there real friends really are. Meanwhile, Carey is practicing dance moves, while London teaches Maddie how to ask Lance out and Maddie tutors London in Math.

Zack and Max compete in a dance contest. Cody learns how to do magic. Zack injures himself, and Cody has to take his place in the dance finals. Maddie becomes London's servant after London lends her money.

There is a Battle of the Bands competition being held at the Tipton Hotel. Zack and Cody, along with Max and Tapeworm compete against Maddie's band in which has London in the band.

Max ends up kissing Zack, after winning a basketball game. Maddie helps London with her shopping problem, because of something said by London's father. There is a surprise involving Carey and a certain someone.

Cody runs for class president; Zack decides to run as well, but for the wrong reason. Mr. Moseby gets annoyed with one of the staff members.

Zack and Cody convince Mr. Moseby to open a club for kids in the hotel's lounge in which they would manage. London has her own line of cosmetics in which she needs help coming up with a name for it.