Can a Dermani Medspa franchisee be required to participate in market research and testing?

According to Dermani Medspa's 2025 Franchise Disclosure Document, franchisees are required to participate in marketing efforts to promote the Dermani Medspa system. Specifically, Dermani Medspa may develop advertising and sales promotion programs, and franchisees must participate in these programs according to the terms set by Dermani Medspa. This includes aspects like the type, quantity, timing, placement, and choice of media, where Dermani Medspa's standards are final and binding.

Furthermore, Dermani Medspa may incorporate new programs, products, or services into the system, potentially requiring franchisees to offer and sell them, even if they are under different trademarks. This "co-branding" may also necessitate modifications to the franchisee's premises and its trade dress. Franchisees are obligated to implement these changes promptly upon written notice.

In addition to system-wide marketing, franchisees are also responsible for local marketing efforts. After the grand opening, a franchisee must spend a minimum of $500 each month on local marketing and promotion. The FDD also mentions "marketing surveys and other public relations activities" as part of advertising, indicating that franchisees may be asked to participate in surveys.

While the FDD does not explicitly use the terms "market research" or "testing," the broad scope of required marketing participation, the introduction of new programs, and the mention of marketing surveys suggest that Dermani Medspa franchisees may be required to engage in activities that could be considered market research or testing to evaluate and improve the effectiveness of marketing strategies and new offerings.