What must a Fly To Fit franchisee comply with regarding gift cards and customer programs?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.11 Gift Cards, Loyalty Programs, and Incentive Programs. At its own expense, Franchisee shall sell or otherwise issue gift cards, certificates, or other pre-paid systems, and participate in any customer loyalty programs, membership/subscription programs, or customer incentive programs, designated by Fly To Fit Franchise, in the manner specified by Fly To Fit Franchise in the Manual or otherwise in writing.
Franchisee shall honor all valid gift cards and other pre-paid systems, regardless of whether issued by Franchisee or another Fly To Fit business.
Franchisee shall comply with all procedures and specifications of Fly To Fit Franchise related to gift cards, certificates, and other pre-paid systems, or related to customer loyalty, membership/subscription, or customer incentive programs.
Source: Item 22 — CONTRACTS (FDD page 44)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, franchisees are required to participate in gift card, loyalty, membership/subscription, and customer incentive programs that Fly To Fit designates. The franchisee bears the expense of issuing gift cards, certificates, or other prepaid systems.
Fly To Fit franchisees must honor all valid gift cards and prepaid systems, regardless of whether the franchisee or another Fly To Fit business issued them. Franchisees must follow all procedures and specifications established by Fly To Fit related to these programs.
This means a Fly To Fit franchisee must be prepared to implement and manage these programs as directed by Fly To Fit, which could involve additional costs for technology, training, and administration. The franchisee has no discretion on whether to participate in these programs, and must accept financial responsibility for gift cards issued by other franchisees, which is a common practice in franchising to ensure brand consistency and customer satisfaction.