factual

Can Kidokinetics promotional programs include minimum advertised price policies?

Kidokinetics Franchise · 2024 FDD

Answer from 2024 FDD Document

Franchisor may, from time to time, initiate promotional programs for the benefit of all franchisees of the System such as "frequent purchase" card programs or special service discounts.

Franchisee agrees to accept and honor all rebates, giveaways, cards, promotional coupons, or other System-wide offers, as accepted by other franchisees in the System.

These programs may include minimum and maximum price policies, minimum advertised price policies and unilateral price policies.

Source: Item 22 — CONTRACTS (FDD page 59)

What This Means (2024 FDD)

According to Kidokinetics' 2024 Franchise Disclosure Document, Kidokinetics may initiate promotional programs for the benefit of all franchisees, which can include minimum advertised price policies. As a franchisee, you must accept and honor all rebates, giveaways, cards, promotional coupons, or other System-wide offers, as accepted by other franchisees in the System.

This means that Kidokinetics has the right to set minimum advertised prices as part of its promotional programs. Franchisees are obligated to adhere to these price policies. This ensures uniformity and consistency in pricing across all Kidokinetics locations, which can help maintain brand image and customer expectations.

For a prospective franchisee, this implies that you will not have complete autonomy over pricing decisions during promotional periods. While this may limit your flexibility, it also provides a structured framework for promotions, potentially benefiting from the collective marketing efforts and brand recognition of Kidokinetics. It is important to understand the specific terms and conditions of these promotional programs and how they might impact your profitability.

It is also worth noting that Kidokinetics retains significant control over advertising and marketing materials. Franchisees must submit all advertising materials to Kidokinetics for approval before they are used. This further reinforces the importance of adhering to Kidokinetics' established standards and guidelines.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.