What was the amount spent on advertising and marketing by Afuri Ramen Dumpling in 2021?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
vices and for initial franchise fees collected but recognized over the course of the agreement.
Advertising – The Company expenses advertising costs as they are incurr
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, the company spent $12,130 on advertising in 2021. This figure reflects the company's expenses for advertising costs as they were incurred during that year. For a prospective franchisee, this indicates the level of advertising investment made by the franchisor during that period. It is important to note that this amount may not directly correlate with advertising spend in a specific local market or the advertising support a new franchisee might expect.
This information is part of the financial statements and provides insight into how Afuri Ramen Dumpling manages its advertising expenses. The FDD also mentions that franchisees pay monthly marketing fees to cover advertising, market research, and search engine optimization, suggesting a shared responsibility for marketing efforts. However, the specific allocation of these franchisee-contributed funds is not detailed in this excerpt.
Prospective franchisees should consider this advertising expenditure in the context of the overall marketing strategy and support provided by Afuri Ramen Dumpling. It would be prudent to inquire about the planned advertising and marketing support for new franchisees, the allocation of marketing funds, and the expected impact of these activities on local store performance. Understanding the franchisor's marketing strategy and the franchisee's role in local advertising is crucial for assessing the potential success of an Afuri Ramen Dumpling franchise.