factual

What is 'Local Store Marketing' for a Pump It Up franchise?

Pump_It_Up Franchise · 2025 FDD

Answer from 2025 FDD Document

approved online and social media networks and tools, and compliance with all recommended promotional recommendations and guidelines. After opening your Franchised Business, in addition to your Brand Fund contribution, you are expected to spend the amount specified by us in your Franchise Agreement for advertising and marketing in your market area ("Local Store Marketing"). We may modify from time to time the amount that you are required to spend on Local Store Marketing. Currently, for your Local Store Marketing you are expected to spend annually the greater of 2% of your annual Gross Revenues or $12,000, in accordance with your marketing plan. Local Store Marketing expenditures are in addition to your Brand Fund contributions. If there are other Pump It Up Businesses in your market area, we may require

Source: Item 11 — FRANCHISORS'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 30–41)

What This Means (2025 FDD)

According to Pump It Up's 2025 Franchise Disclosure Document, Local Store Marketing refers to the advertising and marketing efforts a franchisee is expected to undertake in their market area, in addition to their Brand Fund contributions. Pump It Up requires franchisees to develop a marketing plan for their franchised business and protected area annually, and the franchisor will assist with creating a marketing plan upon request.

For Local Store Marketing, Pump It Up expects franchisees to spend annually the greater of 2% of their annual Gross Revenues or $12,000. These expenditures are separate from the Brand Fund contributions. The franchisor may modify the amount required for Local Store Marketing from time to time. If there are other Pump It Up businesses in the same market area, the franchisor may require franchisees to spend a portion of their Local Store Marketing expenditures cooperatively with the franchisor and/or other franchisees in their market area.

Pump It Up retains the right to review all documents applicable to the marketing of the franchised business and may audit a franchisee's business if they believe an adequate amount of money has not been spent on Local Store Marketing. If the audit reveals a deficiency, the franchisee may be required to pay the costs and expenses incurred in the audit. Furthermore, failure to expend the required annual amount on Local Store Marketing may result in the franchisee being required to contribute the shortfall to the Brand Fund. The franchisor also reserves the right to either require specific marketing initiatives or undertake such initiatives on the franchisee's behalf if they determine the franchisee's Local Store Marketing efforts are inadequate.

Disclaimer: This information is extracted from the 2025 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.