What assistance does Bath Tune Up provide in developing pre-opening and initial post-opening promotion of the franchised business?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Assist you in developing pre-opening and initial post-opening promotion of the franchised business (Franchise Agreement § 7.11).
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- Assist you in developing initial post-opening promotion of your Franchised Business and, from time to time, provide you with promotional and advertising information (Franchise Agreement § 7.11).
You must pay the greater of 1% of your Gross Revenue for the immediately preceding month or $500 to the National Advertising Fund. This amount may be increased, at any time, but cannot exceed 2% of your Gross Revenue (Franchise Agreement § 4.4(a)).
We will administer the National Advertising Fund. We will spend National Advertising Fees for local, regional and national advertising, and public relations programs and initiatives as we deem necessary or appropriate for the promotion or protection of the System including website development and maintenance, public relations, media costs, commissions, digital marketing, market research, creative and production costs. We are entitled to retain 15% of National Advertising Fees as an administrative fee (Franchise Agreement § 4.4(e) and (f)).
The money in the National Advertising Fund will be used primarily for local, regional and national advertising, to enhance the BATH TUNE-UP® image, and to develop marketing support. As of the year ended December 31, 2024, we spent the National Advertising Fund as follows:
36% Production (website maintenance, content creation, new technology platforms)
48% Media Placement and SEO (digital advertising, email marketing, social media, local pay-perclick support)
10% Administrative
6% Other (technology).
local advertising. We recommend you invest at least 8% to 10% of your Gross Revenue in local advertising (Franchise Agreement § 8.3(a)).
We established a Franchise Advisory Council ("FAC") in 2023. The FAC may make recommendations regarding our administration of the National Advertising Fund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 27–34)
What This Means (2025 FDD)
According to the 2025 Bath Tune Up Franchise Disclosure Document, Bath Tune Up provides assistance in developing both pre-opening and initial post-opening promotion of the franchised business. Specifically, Bath Tune Up assists franchisees with pre-opening promotion as part of its pre-opening obligations. For post-opening, Bath Tune Up will assist franchisees in developing initial post-opening promotion and, from time to time, provide promotional and advertising information.
In addition to direct assistance, Bath Tune Up franchisees benefit from the National Advertising Fund, which is funded by franchisee contributions of the greater of 1% of gross revenue for the preceding month or $500, but this amount may be increased up to 2% of gross revenue. These funds are used for local, regional, and national advertising, public relations, and promotional programs. Bath Tune Up retains 15% of the National Advertising Fees as an administrative fee. For the year ending December 31, 2024, the National Advertising Fund spending was allocated as follows: 36% for production (website maintenance, content creation, new technology platforms), 48% for media placement and SEO (digital advertising, email marketing, social media, local pay-per-click support), 10% for administrative costs, and 6% for other technology-related expenses.
While Bath Tune Up does not mandate how much to spend on local advertising, the FDD recommends investing 8% to 10% of gross revenue in local advertising. Franchisees can create their own advertising materials, but Bath Tune Up must approve them in advance. It's important to note that Bath Tune Up is not required to spend any amount on advertising specifically within a franchisee's territory, although all National Advertising Funds are intended to benefit all Bath Tune Up franchisees generally. A Franchise Advisory Council (FAC), established in 2023, advises Bath Tune Up on issues facing franchisees, including advertising policies, though the FAC's role is advisory and does not involve operational decision-making power.