Is an Amorino franchisee required to participate in loyalty programs designated by the franchisor?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
| Store Opening Promotional Fee | $5,000 for a Traditional Store and Kiosk; $3,000 for a Mobile Structure outlet | Due prior to the opening of your Store | You must provide Amorino with written evidence that you have spent these minimum amounts for appropriate expenses for the marketing and advertising of the opening of your Store |
|---|---|---|---|
| Costs for Proprietary Products to be sold in Store | 10% to 30% above our wholesale cost | As incurred | You are required to purchase pre- mixed gelato and sorbet, as well as certain beverages, food products, and other ingredients which are produced or manufactured in accordance with our proprietary recipes, specifications, and/or formulas from us, our affiliate 18°, or a designated supplier. |
| Other Related Promotional Costs | Our actual printing costs | As incurred | You are required to participate in any loyalty programs, prize promotions, gift card programs, and/or any other such promotional campaign that the Franchisor designates. Such participation shall be at your own expense. |
Source: Item 6 — OTHER FEES (FDD pages 17–22)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, franchisees are required to participate in loyalty programs, prize promotions, gift card programs, and other promotional campaigns designated by the franchisor. This participation is at the franchisee's own expense.
This means that Amorino franchisees do not have a choice about whether or not to participate in these programs. They must implement them as directed by Amorino. The franchisee will bear the costs associated with these programs, which could include marketing materials, employee training, or technology upgrades.
Franchisors often mandate participation in loyalty and promotional programs to maintain brand consistency and drive sales across the entire franchise system. While this can benefit franchisees by increasing customer loyalty and revenue, it also means they have less control over their local marketing strategies and must budget for these mandatory expenses.
Prospective Amorino franchisees should inquire about the typical costs associated with these programs and how they are implemented. Understanding the franchisor's expectations and the potential financial impact is crucial for assessing the profitability of the franchise.