Does Face Foundrie have a local or regional advertising cooperative that franchisees must participate in?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not have a local or regional advertising cooperative franchisees must participate in or an advertising council comprised of franchisees. Other than the Fund, you do not have to participate in any other marketing fund. You must participate in all gift certificate, gift card, loyalty, and rewards programs sponsored at any time by us. Your costs associated with the gift card program include your responsibility to pay swipe fees on any gift cards purchased with credit cards, costs of the gift cards, periodic promotions to encourage gift card sales (which may include providing vouchers for free products and services in exchange for gift card sales meeting designated thresholds), and your obligation to give away product and services based on rewards your customers acquire and redeem. In addition, you are required to participate at your expense in all programs sponsored at any time by us to promote and reward the frequent and regular customers of Face Foundrié Facial Bars.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 33–43)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, franchisees are not required to participate in a local or regional advertising cooperative. Face Foundrie does have a System Marketing Fund, in which franchisees must contribute 3% of their gross sales. These funds are used for brand development and to increase public recognition of Face Foundrie. The franchisor has sole discretion over the Fund's operation and advertising decisions and is not obligated to ensure that expenditures are proportionate to individual franchisee contributions or benefit any specific franchisee or geographic area.
Face Foundrie requires franchisees to spend a minimum of 2% of their gross sales annually on local marketing. Franchisees must also create a Grand Opening Promotion plan that Face Foundrie approves, spending a minimum of $25,000 during the 30 days before and 60 days following the opening of their Facial Bar, with at least $3,000 of that being spent on digital marketing. During the first 12 months of operation, franchisees must spend at least $3,000 per month on digital marketing and $2,000 per month on other approved paid marketing tactics, which count toward the local marketing requirements.
All local marketing and promotions must be dignified and conform to Face Foundrie's standards. Franchisees must follow the procedures in the Operations Manual and receive written approval for all advertising and promotional plans and prices. Face Foundrie has the right to require franchisees to discontinue using previously approved advertising materials. Additionally, franchisees must participate in any other promotional and advertising programs that Face Foundrie establishes.