Does Cream have an advertising policy that franchisees must comply with?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
| offered by your | Shop | . We may also require you to comply with an advertising policy which |
|---|---|---|
| will prohibit you from advertising any price for a product or service that is different than our |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 28–35)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, franchisees are responsible for local advertising but must adhere to Cream's System Standards. These standards may dictate specific advertising mediums, approved advertisement forms, required online directory listings, and prescribed links or references to Digital Presences. All advertising must be clear, factual, ethical, and non-misleading, aligning with Cream's prescribed advertising and marketing policies. Franchisees must submit advertising materials to Cream for approval at least 14 days before use; unapproved materials are deemed disapproved, and Cream can withdraw approval at any time. Cream may also control Digital Presences associated with the brand and individual shops, including responses to customer comments on third-party platforms. Cream may also require franchisees to comply with an advertising policy that prohibits advertising a price for a product or service that differs from their suggested retail price.
Cream also uses a Brand Fund, to which franchisees must contribute a percentage of Net Sales. Currently, the Brand Fund contribution is 2% of Net Sales, but Cream may modify this amount with 30 days prior notice, up to a maximum of 4% of Net Sales. Cream has exclusive control over the Brand Fund's programs and services, including creative concepts, materials, campaigns, geographic market, media placement, and allocation.
Cream may establish national or local charitable, social, or community events and initiatives, which franchisees must participate in according to System Standards. This may include donating some or all of the Net Sales from certain events, called "Ice Cream Socials." Franchisees must also seek Cream's approval for any local charitable, social, and community organizations they wish to support. Cream's marketing practices may include guidance on community involvement, generating local press, and promoting national and local programs. Franchisees must ensure their shop's marketing complies with Cream's guidelines and System Standards, including third-party certifications related to social, charitable, and community impact. Cream may promote Ice Cream Socials nationally or regionally, and franchisees must offer them at their shops as required.