What does 'local advertising and promotion' refer to for a Ben Jerrys Scoop Shop?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
As used in this Agreement, the term "local advertising and promotion" shall refer to advertising and promotion related directly to the Scoop Shop, and shall, unless otherwise specified, consist only of the direct costs of purchasing advertising materials (including camera-ready advertising and point of sale materials), media (space or time), promotion, direct out-of-pocket expenses related to costs of advertising and sales promotion (including advertising agency fees and expenses, cash and "in-kind" promotional payments to landlords, postage, shipping, telephone, and photocopying), and such other activities and expenses as BEN & JERRY'S may specify.
BEN & JERRY'S may provide to OPERATOR, in the Manual or otherwise in writing information specifying the types of advertising and promotional activities and costs which shall not qualify as "local advertising and promotion," including the value of advertising coupons, and the costs of products provided for free or at a reduced charge for charities or other donations; and
Source: Item 22 — CONTRACTS (FDD pages 133–134)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, "local advertising and promotion" refers to advertising and promotion directly related to the Scoop Shop. Unless otherwise specified by Ben Jerrys, this includes the direct costs of purchasing advertising materials, including camera-ready advertising and point-of-sale materials, media space or time, promotion, and direct out-of-pocket expenses related to advertising and sales promotion. These expenses can include advertising agency fees, cash and in-kind promotional payments to landlords, postage, shipping, telephone, and photocopying, as well as other activities and expenses that Ben Jerrys may specify.
Ben Jerrys retains the right to specify what types of advertising and promotional activities and costs do not qualify as "local advertising and promotion." This can include the value of advertising coupons and the costs of products provided for free or at a reduced charge for charities or other donations. This means that while franchisees have some autonomy in local advertising, Ben Jerrys maintains control over what qualifies and can ensure brand consistency.
Notably, the Grand Opening event is considered local advertising and promotion for a Ben Jerrys Scoop Shop. The franchisee is obligated to conduct a Grand Opening, spending up to $3,000 on the event. The franchisee can use costs, including fees paid to third-party service providers to implement and use such public relations templates as Ben & Jerrys may provide; costs, including fees paid to third party service providers to provide entertainment at the Scoop Shop's grand opening event; costs for the Products that the franchisee sells at a discount, or gives away, to customers at the Scoop Shop during the grand opening event; and costs to conduct such other activities as Ben & Jerrys specifies in the Manual or otherwise in writing; provided that such activities are conducted in accordance with Ben & Jerry's specifications, standards, and policies towards the Grand Opening expenditure.