What is the definition of 'Social Media' in the context of the 7 Brew Brand Fund?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
administering one or more System Websites; creating and administering national, regional, multiregional, local, and multi-local marketing, advertising, and lead-generation programs (which may include spending Brand Fund contributions in specific geographic markets or directing Brand Fund contributions to individual or groups of franchisees to spend on marketing, advertising, and leadgeneration programs in their own markets); using advertising, promotion, and marketing agencies and other advisors to provide assistance; establishing regional and national promotions and partnerships and hiring spokespersons to promote the 7 BREW brand; establishing on-line systems and other vehicles for centralized customer interaction; supporting public relations, market research, and other advertising, promotion, marketing, and brand-related activities; funding visits by our executives, other personnel, and third-party service providers to 7 BREW Stores to establish, enforce, and confirm compliance with the 7 BREW Store culture; and funding technology initiatives for 7 BREW Stores, including mobile training and operational performance software, cloud-based franchise-management solutions, IT phone support and database maintenance, online ordering and loyalty subscriptions, iPad mobile device management, and elearning solutions. ("Digital Marketing" means any domain name, homepage, electronic address, metatag, or other marketing in connection with any website or other online presence. "Social Media" means blogs, common social networks like Facebook and Instagram, professional networks like LinkedIn, live-blogging tools like Twitter, file, audio, and video-sharing sites, and other similar social-networking media or tools, both existing and developed in the future.)
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 34–45)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, Social Media, in the context of the Brand Fund, encompasses a variety of online platforms and tools. These include blogs, common social networks such as Facebook and Instagram, professional networks like LinkedIn, and live-blogging tools such as Twitter. The definition also extends to file, audio, and video-sharing sites, as well as other similar social-networking media or tools, whether they currently exist or are developed in the future.
This definition is important for prospective franchisees because it clarifies the scope of activities that the Brand Fund may engage in for marketing and advertising purposes. The Brand Fund, which franchisees contribute to (up to 2% of weekly gross sales), may utilize these social media platforms to enhance, promote, and protect the 7 Brew brand. Franchisees should be aware that 7 Brew has the right to regulate and establish price advertising policies and maximum, minimum, or other pricing requirements for products and services the Store sells, including requirements for promotions, special offers, and discounts in which some or all 7 Brew Stores must participate.
Furthermore, franchisees are restricted from independently using digital marketing or social media to mention or describe their store or display any marks without prior written approval from 7 Brew and compliance with their Brand Standards. This control ensures brand consistency and adherence to the franchisor's marketing strategies. Franchisees need to understand these restrictions and approval processes to avoid any potential conflicts or violations of the franchise agreement. 7 Brew also maintains the right to use the Brand Fund's assets to develop, maintain, operate, update, and market the System Website.