What advertising practices are prohibited for an Extreme Art Studio franchisee?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
- 9.2.2 You agree, at your sole cost and expense, to issue and offer such rebates, giveaways and other promotions in accordance with advertising programs established by us, and further agree to honor the rebates, giveaways and other promotions issued by other Extreme Art Studio franchisees under any such program, so long as such compliance does not contravene any applicable law, rule or regulation. You will not create or issue any gift cards/certificates, and will only sell gift cards/certificates that have been issued or sponsored by us and which are accepted at all Extreme Art Studio Businesses, and you will not issue coupons or discounts of any type except as approved by us.
- 9.2.3 Any advertising and promotion conducted by you with respect to the Franchised Business must follow our guidelines. All advertising and promotional materials that you develop for the Franchised Business must contain notices of the domain of our System Website (as defined in Section 9.5 below) in the manner we designate. You agree that your advertising, promotion and marketing will be completely clear, factual, and not misleading and conform to both the highest standards of ethical advertising and marketing and the advertising and marketing policies that we prescribe from time to time. All advertising, promotion and marketing must conform to our System Standards. At least ten days before you intend to use them, you agree to send us for approval samples of all advertising, promotional and marketing materials that we have previously not approved. If we do not approve of the materials within five days of our receipt of such materials, then they shall be deemed disapproved. You may not use any advertising, promotional or marketing materials that we have not approved or have disapproved.
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2024 FDD)
According to Extreme Art Studio's 2024 Franchise Disclosure Document, franchisees face specific restrictions on their advertising and promotional activities. They cannot create or issue their own gift cards or certificates; they are only permitted to sell gift cards or certificates issued or sponsored by Extreme Art Studio that are accepted at all locations. Additionally, franchisees are prohibited from issuing coupons or discounts of any kind unless they have received explicit approval from Extreme Art Studio.
All advertising and promotion conducted by an Extreme Art Studio franchisee must adhere to the guidelines set by the franchisor. Franchisees must include notices of the System Website domain on all advertising and promotional materials. The advertising must be clear, factual, and not misleading, conforming to high ethical standards and the advertising policies prescribed by Extreme Art Studio. All marketing efforts must also conform to the System Standards.
To ensure compliance, franchisees must submit samples of all newly developed advertising, promotional, and marketing materials to Extreme Art Studio for approval at least ten days before their intended use. If Extreme Art Studio does not provide approval within five days of receiving the materials, the materials are considered disapproved. Franchisees are strictly prohibited from using any advertising, promotional, or marketing materials that have not been approved or have been explicitly disapproved by Extreme Art Studio. These regulations ensure brand consistency and prevent misleading advertising.