Subway IP Inc is a retail fast food restaurant chain operating majorly in the US and also has a chain of franchise globally. It is one of the global retail franchise chain having more than 27,000 outlets globally. This retail food giant is majorly known for their Submarine sandwiches and salads and it’s headquartered is in Milford, Connecticut. Due to increasing number of fast food outlets and their popularity, Subway closed down 359 outlets recently in many locations in the US. This has been a huge setback for the company to maintain its position in the fast food business.
Subway decreased from 27,103 to 26,744 stores with a decline of 1.3 percent in the number of stores. But still, it managed to retain their number one position with the highest number of eatery present everywhere across the nation. Attractive discount codes and promotional offered from the rival companies have been one of the factors for the decline in the sales revenue of the company. Subway always portrayed itself as a healthy option over junk food with their wide range of salad and whole grain bread. Now they have turned their focus towards other ingredients like the eggs and chicken to be chemical free and natural.
Subway is also working on their promotional and advertising strategies in order to cope up with the competition by providing home delivery services and replace their current logo with an attractive one. Till date, none of the revised strategies have shown any positive results but the company expects them to be beneficial in the long run. Subway’s sales dropped by 1.7 percent to $11.3 billion last year forcing the fast food giant to close down some stores. Subway had some good news internationally where they had experienced an increase in sales revenue by 3.7 percent with a profit of $5.8 billion.
Looking at the current conditions, subway decided to focus more on their international activities and make every possible effort to sustain their market position globally. Subway has been making every attempt to restructure their marketing strategies by providing better product variety and options to the consumers, enhancing the customer experience and improvising their positioning strategy globally. Subway made some changes to the management team recently to cope up with this competition by bringing Katie Coleman and former McDonald’s executive Karlin Linhardt on board.
Katie Coleman is responsible for handling the Global Public relations and Karlin Linhardt would be leading the marketing team to promote this brand. Subway Inc is expecting this transformation to be productive and yield better results in the next quarter for both local and international outlets.
Daniel is acting editor of Talk Herald with over two years of experience in the field of online news under his belt. Daniel has worked with multiple media houses and is currently leading a team of journalists, sub-editors, and writers through his entrepreneurial endeavors.
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