Is a Better Blend franchisee required to participate in customer loyalty programs designated by Better Blend?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.11 Gift Cards, Loyalty Programs, and Incentive Programs. At its own expense, Franchisee shall sell or otherwise issue gift cards, certificates, or other pre-paid systems, and participate in any customer loyalty programs, membership/subscription programs, or customer incentive programs, designated by BBF, in the manner specified by BBF in the Manual or otherwise in writing.
Franchisee shall honor all valid gift cards and other pre-paid systems, regardless of whether issued by Franchisee or another Better Blend business.
If Franchisee honors a gift card or other pre-paid system sold by another location, or vice versa, BBF and Franchisee will cooperate so that the cash received is fairly allocated to the location where that gift card or other pre-paid system is redeemed (subject to fees and charges).
Franchisee shall comply with all procedures and specifications of BBF related to gift cards, certificates, and other pre-paid systems, or related to customer loyalty, membership/subscription, or customer incentive programs.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, franchisees are required to participate in customer loyalty programs designated by Better Blend. Specifically, franchisees must, at their own expense, sell or issue gift cards, certificates, or other pre-paid systems. They must also participate in any customer loyalty programs, membership/subscription programs, or customer incentive programs that Better Blend designates. These programs will be implemented in the manner specified by Better Blend in the Manual or in writing.
Better Blend franchisees are obligated to honor all valid gift cards and other pre-paid systems, regardless of whether the franchisee or another Better Blend business issued them. The FDD states that Better Blend and the franchisee will cooperate to fairly allocate cash received to the location where the gift card or pre-paid system is redeemed, subject to fees and charges, if a franchisee honors a gift card or pre-paid system sold by another location, or vice versa.
Furthermore, franchisees must comply with all procedures and specifications established by Better Blend related to gift cards, certificates, and other pre-paid systems, as well as customer loyalty, membership/subscription, or customer incentive programs. This requirement ensures that all Better Blend locations maintain a consistent approach to customer loyalty and incentive programs, which can help strengthen the brand's image and customer experience.