Does the definition of 'advertising' for Gold Star include search engines?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
FRANCHISEE
specifically acknowledges and agrees that the word "advertising" as used in this Agreement includes, but is not limited to, signs (including signs on motor vehicles), URLs, e-mail addresses, Internet listings, banners, advertisements, or other services or links on or with the Internet, World Wide Web, Internet service providers, electronic mail services, communication providers, search engines, and similar services.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the definition of 'advertising' includes search engines. This means that any online presence or marketing efforts a franchisee undertakes through search engines like Google, Bing, or others, falls under the umbrella of advertising as defined by Gold Star. Consequently, these activities are subject to the franchisor's standards, requirements, and approval processes as outlined in the franchise agreement.
This broad definition has several implications for prospective Gold Star franchisees. Firstly, it grants Gold Star significant control over the franchisee's online marketing strategies, ensuring brand consistency and adherence to company standards. Franchisees must obtain prior approval from Gold Star for any advertising materials or plans, including those related to search engine optimization (SEO) or paid search advertising. This approval process extends to signs (including those on motor vehicles), URLs, email addresses, Internet listings, banners, advertisements, or other services or links on or with the Internet, World Wide Web, Internet service providers, electronic mail services, communication providers, and similar services.
Furthermore, franchisees need to be aware of the potential costs and time involved in seeking and obtaining approval for their advertising initiatives. While Gold Star is deemed to have given approval if no written objection is received within fifteen (15) days, franchisees must still factor in this waiting period when planning and executing their marketing campaigns. The FDD stipulates that all advertising must be conducted in a dignified manner, conform to the standards specified in the manual, comply with advertising laws, be accurate and truthful, and indicate independent ownership.
Therefore, prospective franchisees should carefully consider these requirements and understand the extent of Gold Star's control over their advertising activities. It is crucial to factor in the time and potential costs associated with seeking approval for all advertising and promotional materials, including those related to search engines and online marketing.