Does Deka Lash have sole discretion over producing advertising material and conducting promotional programs?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
rs.** We may elect to offer and you may elect to attend additional training or seminars. (Franchise Agreement, Section 5.7).
Advertising Program:
Our Obligation to Conduct Advertising. We advise you in the advertising, marketing, and promotion of your Franchised Business, to the extent we deem necessary. We may, from time to time, at our sole discretion, produce advertising material and conduct promotional programs. We may use online, radio, television, direct mail, billboards, print or other advertising. We may use local, regional, or national advertising. We may produce advertising material in-house or through outside agencies. (Franchise Agreement, Section 5.8).
Use of Your Own Advertising Material. You may use your own advertising materials provided that, prior to use, you submit them to us and we approve them, in writing, and they adhere to federal, state, and local law. All Internet and social media marketing using our Marks must be coordinated through us and approved by us. If our written approval is not received within 14 days from the date we received any material or marketing request, the material or request is deemed disapproved. (Franchise Agreement, Section 7.2).
Local Advertising Cooperative. We may designate any geographic area as a region for establishing a local advertising cooperative ("Local Advertising Cooperative"), though we typically designate areas based on Designated Market Areas as determined by the A.C. Nielsen Company. The members of the Local Advertising Cooperative for any area will consist of all Franchised Businesses, as well as outlets operated by us or our affiliates. We will determine in advance how each Local Advertising Cooperative will be organized and governed and when it must start operation. Each Local Advertising Cooperative will be organized for the sole purpose of administering advertising programs and developing, subject to our approval, promotional materials for use by the members in local advertising. If a Local Advertising Cooperative has been established for a geographic area where your Franchised Business is located when the Franchise Agreement is signed, or if any Local Advertising Cooperative is established during the term of the Franchise Agreement, you must become a member of the Local Advertising Cooperative and abide by the rules of the Local Advertising Cooperative.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 32–40)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, Deka Lash retains significant control over advertising and promotional programs. Deka Lash may, at its sole discretion, produce advertising material and conduct promotional programs utilizing various media channels such as online platforms, radio, television, and direct mail. These advertising efforts can be local, regional, or national, and Deka Lash can develop the advertising material internally or through outside agencies.
While franchisees can use their own advertising materials, they must first submit them to Deka Lash for written approval to ensure compliance with legal standards. All internet and social media marketing that uses Deka Lash's trademarks must be coordinated and approved by Deka Lash. Failure to receive written approval within 14 days results in automatic disapproval.
Franchisees are required to participate in all promotional programs that Deka Lash creates, offers, or advertises, including accepting gift certificates, coupons, vouchers, and corporate discounts without entitlement to reimbursement for associated expenses or lost revenue. Deka Lash also has the right to create, operate, and promote digital marketing initiatives, maintaining sole control over all aspects of digital marketing related to a franchisee's studio. Unless Deka Lash provides written consent, franchisees cannot engage in any digital marketing that uses Deka Lash's marks or relates to their studio.