factual

Can Dickeys Barbecue Pit modify its website and conduct promotions on a system-wide basis?

Dickeys_Barbecue_Pit Franchise · 2024 FDD

Answer from 2024 FDD Document

uthorize

Dickey's to modify its website and to conduct promotions on a system-wide basis, and you and your Restaurant will participate in all such promotions. You are strictly prohibited from developing, creating, generating, owning, licensing, leasing or otherwise utilizing any computer media or electronic media, including, the Internet, World Wide Web, mobile apps appearing on smartphones or other electronic devices (including, for example, Android Marketplace or the Apple Store), social media webpage (including, for example, X, Instagram, LinkedIn), Google Listings, bulletin boards, or blogs (including, for example, Yelp, TripAdvisor) to promote your Restaurant, that uses any of the Proprietary Marks, or that offers to sell or sells any products or services offered by Dickey's Restaurants; except that you must participate in and maintain a Facebook page or other relevant social media platforms as the Dickey's marketing team determines under the name "Dickey's Barbecue Pit - [City, State]." (Franchise Agreement - Article 5). You must integrate messaging as the Dickey's marketing team determines on any page you maintain on a social media platform.

Pit Owners Association. The Pit Owners Association (the "POA") is an independent franchisee association that advises Dickey's on the creation and implementation of policies and brand standards that impact the operation of Dickey's Restaurants. The POA members are elected by franchisees in accordance with the POA's rules. The POA serves in an advisory capacity only and does not have operational or decision-making power. Dickey's does not have the power to dissolve or change the POA.

Cooperatives. You may be required to participate in a local or regional advertising cooperative organized and approved by Dickey's, and composed of certain other franchisees located in the geographic area in which you are located. Membership in, and the coverage of, each advertising cooperative is defined geographically, typically based upon the metropolitan area in which your Restaurant is located. Not all areas will have a Dickey's-approved advertising cooperative.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 50–61)

What This Means (2024 FDD)

According to the 2024 Dickeys Barbecue Pit Franchise Disclosure Document, Dickeys Barbecue Pit retains the right to modify its website and conduct system-wide promotions, in which all franchisees must participate. Franchisees are restricted from independently using any computer or electronic media, including the internet, social media, or mobile apps, to promote their restaurants using Dickeys Barbecue Pit's proprietary marks or selling Dickeys Barbecue Pit's products or services. However, franchisees are required to maintain a Facebook page or other relevant social media platforms as determined by Dickey's marketing team under the name "Dickey's Barbecue Pit - [City, State]" and integrate messaging as directed by the Dickey's marketing team. Dickeys Barbecue Pit also has established and intends to maintain a URL website, promoting the System and identifying the location of franchise and company-owned Restaurants. Franchisees are required to authorize Dickey's to identify and promote their Restaurant on Dickey's website.

Dickey's Barbecue Pit advertises nationally through its website and places broadcast advertising in local and regional media. Dickey's has an in-house advertising function that works with outside regional and national advertising agencies. Dickey's directs all programs financed by the Marketing Fund, with sole control over creative concepts, materials, endorsements, and their geographic, market, and media placement and allocation. However, Dickey's has no obligation to spend any amount on advertising in an area or territory where each franchisee is located.

This means that while Dickeys Barbecue Pit franchisees must participate in system-wide promotions and maintain a social media presence as directed by the franchisor, they have limited autonomy in creating their own marketing materials or campaigns. A prospective franchisee should consider the implications of this centralized control and the potential impact on their ability to tailor marketing efforts to their local market. Franchisees need to rely on the franchisor's marketing strategies and website for brand promotion and customer engagement, with limited independent action allowed.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.