Is a Beggars Pizza franchisee required to participate in all promotional programs developed by the franchisor?

According to the 2025 Beggars Pizza Franchise Disclosure Document, franchisees must participate in all promotional programs that Beggars Pizza develops for the system. These programs include the issuance and acceptance of gift cards, loyalty cards, gift certificates, and coupons. This requirement is part of maintaining uniformity and brand standards across all franchise locations.

Beggars Pizza or its affiliates have the authority to direct all advertising, marketing, and promotional programs, maintaining sole discretion over all aspects, including concepts, materials, media, placement, and allocation. Franchisees are also required to use advertising and promotional materials approved by Beggars Pizza and must seek written approval for any advertising or promotional plans they wish to use that Beggars Pizza has not prepared or previously approved within the preceding six months.

Franchisees are also required to pay a weekly fee of 1% of their gross sales to the Brand Fund, which is used exclusively for advertising, marketing, and promotional activities. This fund covers various costs, such as radio, television, print, and Internet-based advertising campaigns, website maintenance, market research, and promotional materials. During the most recent fiscal year, 57% of Brand Fund expenditures were spent on media placement, team sponsorships, and donations; 33% on production, and 10% on administrative and related expenses.

Furthermore, if a regional advertising cooperative is established in the franchisee's area, the franchisee must become a member within a specified timeframe, contributing up to 2% of gross sales to the cooperative, unless a higher contribution is approved by two-thirds of the members. These payments to the Cooperative will be credited toward the franchisee's required local advertising expenditure. Beggars Pizza retains the power to form, change, dissolve, or merge any Cooperative.