Can the Gold Star Brand Building Fund be used for marketing surveys?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
- 9.3.3 The Brand Building Fund, all contributions thereto, and any earnings thereon shall be used exclusively to meet any and all costs of maintaining, administering, directing and preparing local, regional and/or national advertising, promotional and public relations activities, including, among other things, the cost of creating, preparing, producing and conducting television, radio, magazine and newspaper advertising campaigns; direct mail and outdoor billboard advertising; marketing surveys and other public relations activities; employing advertising agencies and marketing, advertising and other consultants to assist therein; and providing promotional brochures and other marketing materials.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the Brand Building Fund can be used for marketing surveys. Specifically, the FDD states that the Brand Building Fund is used to cover the costs of local, regional, and national advertising, promotional, and public relations activities. These activities explicitly include marketing surveys.
This means that a portion of the fees that Gold Star franchisees pay into the Brand Building Fund may be allocated to conducting marketing surveys. These surveys are intended to help Gold Star understand consumer preferences and market trends, which can then inform advertising and promotional strategies. The fund also covers creating advertising campaigns through various media, direct mail, billboard advertising, and employing marketing consultants.
Gold Star maintains discretion over how the Brand Building Fund is spent, but the FDD stipulates that the funds must be used exclusively for advertising, promotional, and public relations activities. Franchisees benefit from these activities through increased brand awareness and customer traffic. The FDD also states that Gold Star will provide an annual report on the use and application of the Brand Building Fund to franchisees upon written request.