Does Cost Cutters Family Hair Salon provide examples of acceptable advertising materials?
Cost_Cutters_Family_Hair_Salon Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.4 ADVERTISING MATERIALS. The FRANCHISEE will use only approved advertising and promotional materials for the advertising and promotions conducted by the FRANCHISEE.
The FRANCHISEE must obtain written approval from COST CUTTERS prior to using any other advertising or promotional materials.
- 6.7 YELLOW PAGES ADVERTISING. The FRANCHISEE may, at its expense, advertise continually in the Yellow Pages of the local telephone directories using trademark listings or display
formats approved by COST CUTTERS under an appropriate listing that is in compliance with the laws of the state in which the Franchised Location is located including, but not limited to, "Barbers" or "Beauty". However, there is no requirement for such advertising other than the free list provided by directory. Expenditures by the FRANCHISEE for Yellow Pages advertising may be applied to the advertising requirements set forth in Article 6.4 of this Agreement.
6.8 GRAND OPENING ADVERTISING. The FRANCHISEE will be required to spend a minimum of Five Thousand Dollars ($5,000) to implement and conduct grand opening advertising, marketing, public relations and promotional programs for its Cost Cutters Business which have been approved by COST CUTTERS in writing.
7.19 COST CUTTERS' INSPECTION RIGHTS. COST CUTTERS will have the absolute right to inspect and take photographs and videotapes of the interior and exterior of the Franchised Location at all
reasonable times during business hours, to interview the FRANCHISEE'S employees, to examine representative samples of all goods and equipment sold or used at the FRANCHISEE'S Cost Cutters Business, and to evaluate the quality of the services provided by the FRANCHISEE to its customers. COST CUTTERS will have the right to use all photographs and videotapes of the FRANCHISEE'S Cost Cutters Business for such purposes as COST CUTTERS deems appropriate including, but not limited to, use in advertising, marketing and promotional materials, and as evidence in any court or arbitration proceeding.
Source: Item 23 — RECEIPT (FDD pages 76–439)
What This Means (2024 FDD)
According to the 2024 Cost Cutters Family Hair Salon FDD, franchisees must use only approved advertising and promotional materials for their advertising and promotions. Franchisees must obtain written approval from Cost Cutters Family Hair Salon before using any other advertising or promotional materials.
The FDD specifies that franchisees may advertise in the Yellow Pages of local telephone directories using trademark listings or display formats approved by Cost Cutters Family Hair Salon. The listing must comply with state laws. However, this advertising is not required beyond the free listing provided by the directory.
Franchisees are required to spend a minimum of $5,000 on grand opening advertising, marketing, public relations, and promotional programs that have been approved in writing by Cost Cutters Family Hair Salon. These grand opening expenditures can be applied to the quarterly local media advertising and promotional expenditures required by the franchise agreement. Cost Cutters Family Hair Salon also retains the right to use photographs and videotapes of the franchisee's Cost Cutters Family Hair Salon business for advertising, marketing, and promotional materials.