Who is responsible for the expense of Gokhale Method advertising and promotional materials?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
Recognizing the value of advertising, marketing, and promotion, and the importance of the standardization of advertising, marketing, and promotion programs to the furtherance of the goodwill and public image of the System, the parties agree as follows:
- 12.1. Local Marketing, Advertising, and Promotion Expenditure. You shall follow the guidelines in the Teachers' Manual and Policy Statements regarding marketing, advertising and promotion and upon our request, you shall provide satisfactory evidence of all Local Marketing, Advertising and Promotion Expenditures in such manner as we shall direct. Such guidelines may include, but are not limited to offering free promotional classes. You shall bear the cost of all such activities. You also agree to pay us for any advertising materials that we create for you and at your request, including the costs of creating such materials and reproducing them.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, the franchisee is responsible for the costs associated with local marketing, advertising, and promotional activities. This includes the expense of any advertising materials that Gokhale Method creates for the franchisee at their request, covering both the creation and reproduction costs. The franchisee is expected to adhere to the guidelines outlined in the Teachers' Manual and Policy Statements regarding these activities.
This means that as a Gokhale Method franchisee, you will need to budget for local advertising and promotional efforts to attract students to your classes and workshops. You have to pay for these local marketing efforts. If you want Gokhale Method to create advertising materials for you, you will also have to pay for the creation and reproduction of those materials.
It is important to note that all advertising and promotion must be approved by Gokhale Method and conform to their standards. This ensures consistency in branding and messaging across all franchise locations. Franchisees must only use advertising or promotional materials that have received written approval from Gokhale Method. This requirement gives Gokhale Method control over how its brand is represented in the marketplace and ensures that all advertising aligns with its overall marketing strategy.