Is a Degree Wellness franchisee allowed to discount pricing to attract customers from another franchisee's Protected Territory?

According to Degree Wellness's 2025 Franchise Disclosure Document, franchisees are not allowed to discount their pricing to attract customers who live in another Degree Wellness Studio's protected territory. However, franchisees are permitted to solicit, accept, and sell authorized services and products to customers who reside outside their protected territory without paying any special compensation to Degree Wellness or any other franchisee. This includes using channels like the internet, email, social media, telemarketing, or other direct marketing methods to reach customers outside of their territory.

Similarly, Degree Wellness and other franchisees can solicit, accept, and sell authorized services and products to customers residing within another franchisee's protected territory without owing any compensation. They are also allowed to use various channels of distribution, such as the internet, email, social media, telemarketing, or other direct marketing, to make or solicit sales within another franchisee's protected territory using the Degree Wellness Marks.

This policy aims to balance the rights of individual franchisees to operate within their protected territories while also allowing for broader market reach through various marketing and sales channels. The restriction on discounting prices specifically targets efforts to poach customers from other franchisees' territories, ensuring a level playing field and preventing price wars that could harm the overall brand. Prospective franchisees should be aware of these restrictions and consider them when developing their business and marketing strategies.