Who bears the expense of a Chocolate Bash franchisee's participation in customer evaluation and system compliance programs?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.9 Customer Evaluation and System Compliance Programs. Franchisee shall participate at its own expense in programs required from time to time by CB Franchising for obtaining customer evaluations and/or reviewing Franchisee's compliance with the System, which may include (but are not limited to) a customer feedback system, customer survey programs, and mystery shopping.
CB Franchising shall share with Franchisee the results of these programs, as they pertain to the Business.
Franchisee must meet or exceed any minimum score requirements set by CB Franchising for such programs.
Source: Item 22 — CONTRACTS (FDD pages 38–39)
What This Means (2024 FDD)
According to Chocolate Bash's 2024 Franchise Disclosure Document, franchisees are responsible for the expenses associated with participating in customer evaluation and system compliance programs. These programs are required by Chocolate Bash and may include customer feedback systems, customer survey programs, and mystery shopping.
This means that a Chocolate Bash franchisee must allocate funds to cover the costs of these evaluations, which are designed to gather customer feedback and assess the franchisee's adherence to the Chocolate Bash system standards. The franchisor, Chocolate Bash, will share the results of these programs with the franchisee, providing insights into areas of strength and areas needing improvement.
Furthermore, franchisees are required to meet or exceed any minimum score requirements set by Chocolate Bash for these programs. This implies that consistently poor performance in customer evaluations or system compliance could lead to further action from the franchisor, potentially impacting the franchisee's operations. Therefore, it is crucial for franchisees to budget for these expenses and actively participate in the programs to maintain compliance and customer satisfaction.