What sales, marketing, or promotional activities is a Fitstop franchisee required to participate in?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
tion 6: Marketing/Advertising and Technology**
©2024 Fitstop USA, Inc. 6.1 Marketing, Advertising and Promotion Generally. We may develop general marketing, advertising or promotional activities or campaigns for all franchises in the network including the Franchise. You must comply with the terms of and actively participate in all sales, marketing, or promotional
campaigns, programs or activities conducted, or reasonably required, by us. You will have access to marketing, promotional, and presentation material including template emails, scripts, presentation packs via the online system and Manual(s). You shall fully cooperate with us in connection with, and participate in, all of our market research programs. We will pay the costs of such campaigns, programs, and activities using the Marketing Fees paid by you and other franchisees but we reserve the right to request additional payments from you and other franchisees upon reasonable demand.
6.2 Use of Prescribed Materials. You must display on or about the premises only those signs, posters, and other advertising material we approve. You must maintain all signs, posters and other advertising material in a clean and satisfactory condition and good state of repair. Without prejudice to any other remedy available, we may, through our employees and agents, remove from the premises any printed matter, signs, posters, or other advertising material which we have not approved or which is not in a clean or satisfactory condition and state of repair.
6.3 Initial Marketing Spend; Other Initial Marketing/Promotional Efforts.
- 6.3.1 Initial Marketing Spend. You are required to spend a minimum of $10,000 in various online and/or other marketing activities that we prescribe as part of our System and that we expect will be paid to our Approved Supplier (the "Initial Marketing Spend"). Typically, we expect that you will be required to expend these amounts 30 to 90 days prior to opening and continuing through the grand opening of your Franchised Business – as we discuss and specify prior to any opening or operation of your Franchised Business in the Manual(s) or otherwise in writing.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, franchisees must comply with and actively participate in all sales, marketing, or promotional campaigns, programs, or activities that Fitstop conducts or reasonably requires. Fitstop provides access to marketing materials like template emails and presentation packs through its online system and manuals.
Fitstop franchisees are required to market and promote their franchised business at their own cost, using their best efforts to actively promote the Fitstop franchise. This includes regularly canvassing members and potential members and following up on any leads they receive or that Fitstop provides. Franchisees must spend a minimum of 1% of the gross revenue generated by their business during the preceding calendar month on local marketing, promotion, and advertising within their designated territory. Fitstop may require that these local marketing funds be spent on services or collateral acquired from approved suppliers.
Fitstop franchisees must adhere to Fitstop's social media policy as described in the manuals. Any social media activity not conforming to the manuals requires Fitstop's written approval. Franchisees must participate fully in any Member Loyalty Program that Fitstop establishes and implements. Franchisees must purchase the necessary cards, application forms, and other materials for the Member Loyalty Program from Fitstop.