What is a prohibited action regarding the transfer of a Bojangles restaurant into a DMA based on television coverage?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
Provided further, no transfer shall be allowed of a Restaurant into a DMA if the county in which such Restaurant is physically located receives a substantially higher percentage of coverage (according to Nielsen Ratings) from television stations located in the DMA in which such Restaurant is physically located than from TV stations located in the DMA to which such transfer is sought.
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, a franchisee is prohibited from transferring a restaurant into a Designated Market Area (DMA) if the county where the restaurant is located receives a substantially higher percentage of television coverage from stations within its current DMA than from stations in the DMA it seeks to join. This determination is based on Nielsen Ratings.
This restriction ensures that advertising dollars spent within a DMA are effective for the restaurants located there. If a restaurant's primary television audience is in another DMA, transferring it would dilute the advertising impact for other franchisees in the new DMA and would not benefit the transferred restaurant as much.
For a prospective Bojangles franchisee, this means carefully considering the location of their restaurant in relation to DMAs and television market coverage. Before seeking a transfer, they should analyze Nielsen Ratings data to ensure compliance with this requirement. Failure to do so could result in the transfer being denied, potentially limiting their ability to participate in certain DMA-level advertising and marketing initiatives.