Is a Bonchon franchisee required to participate in any gift card, gift certificate, customer loyalty, incentive, or retention programs implemented by the franchisor or its affiliates?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
You must participate in, and comply with the requirements of, any gift card, gift certificate, customer loyalty, incentive or retention program (collectively, the "Gift Card Program") that we (or our affiliates) implement, at your expense, for all or part of our franchise system and shall sign the forms and take any other action that we, our affiliates and/or our designated suppliers require in order for you to participate in any Gift Card Program. Without limitation, you shall (at your expense) honor coupons, gift cards, gift certificates, loyalty reward redemption or vouchers sold or distributed by other Restaurants and will utilize a vendor approved by us for gift card processing and gift card supplies. You must also offer any incentive we require in connection with your participation in any Gift Card Program we implement. Without limiting the generality of the foregoing, you must offer any incentive that we require as part of your participation in a Gift Card Program (including, without limitation, offering customers "x" dollars for every "x" dollar amount the customer spends in gift card purchases). You may not offer any coupon without our prior written approval. You are required to use our designated gift card service provider and gift card supplies vendor as a condition of participating in our gift card program.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, franchisees are required to participate in any gift card, gift certificate, customer loyalty, incentive, or retention programs implemented by Bonchon or its affiliates. These programs are referred to as the "Gift Card Program." Franchisees must comply with the requirements of these programs at their own expense.
As part of participating in the Gift Card Program, Bonchon franchisees must sign required forms and take necessary actions as directed by Bonchon, its affiliates, or designated suppliers. Franchisees are obligated to honor coupons, gift cards, gift certificates, loyalty reward redemptions, or vouchers sold or distributed by other Bonchon restaurants. They must also use a Bonchon-approved vendor for gift card processing and supplies.
Furthermore, Bonchon franchisees must offer any incentives that Bonchon requires in connection with their participation in the Gift Card Program. This includes offering customers specific incentives, such as a certain dollar amount for every dollar amount spent on gift card purchases. Franchisees are prohibited from offering any coupons without prior written approval from Bonchon. Compliance with these requirements is a condition of participating in Bonchon's gift card program.