Global Retail Alliance
info@gra.world
  • Login
  • Register
  • Newsletter
  • Virtual Library
  • Choose your country
    • Australia
    • Brazil
    • China
    • Poland
    • Latin America
    • Middle East
GRAGRA
  • Home
  • Membership
    • Silver
    • Gold
    • Platinum
  • Event
  • News
  • Retail Tour
    • Our Tours
    • Europe Retail Tour
    • Retail Tour – New York
    • Retail Tour – Düsseldorf
  • Contact
  • Home
  • Membership
    • Silver
    • Gold
    • Platinum
  • Event
  • News
  • Retail Tour
    • Our Tours
    • Europe Retail Tour
    • Retail Tour – New York
    • Retail Tour – Düsseldorf
  • Contact

Retail News

  • Home
  • Retail News
  • Subway to close about 500 U.S. restaurants

Subway to close about 500 U.S. restaurants

  • Categories Retail News
  • Date April 30, 2018
  • Comments 0 comment

Subway Restaurants is planning to shutter an estimated 500 locations in the U.S. The Milford, Conn.-based chain wants to focus on better restaurant locations and boosting sales, according to Bloomberg. High on its priorities list is overseas expansion.

The news comes a year after Subway shut down 800-plus locations. 2016 also saw store closings, Bloomberg reported. The chain currently has close to 26,000 locations in the U.S.

Subway also expects to open 1,000-plus restaurants around the globe, including in Mexico, the U.K., Germany, South Korea, India and China, CEO Suzanne Greco told Bloomberg. With an estimated 44,000 locations in 112 countries, Subway is the largest restaurant chain in the world, according to the company website. 

Subway is known for its sandwiches, but is facing increasing competition. In addition to convenience stores and drug stores starting to stock sandwiches, numerous other chain restaurants serve similar fare — from Panera to McDonald’s Signature Crafted Sandwiches to Starbucks, which is making a big play for lunchtime business.

Subway, whose restaurants are all franchisee-owned and -operated, could not provide a list of locations that would close, because those decisions are up to the franchisees.

“Looking out over the next decade, we anticipate having a slightly smaller, but more profitable footprint in North America and a significantly larger footprint in the rest of the world,” the company said in an e-mail, which it called the move “an aggressive revitalization plan.”

The revitalization plan is part of chain’s recent attempt to rebrand itself. In March, Subway launched a new line of wraps and a loyalty program, called Subway MyWay Rewards. The month before, its new “Make It What You Want” ad campaign began. And in July, Subway began rolling out a big redesign of its stores, which included a bright, new color palette, inspired by fresh vegetables.

“People are voting with their feet. They don’t want what Subway has to offer,” said Bob Phibbs, CEO of the New York-based consultancy The Retail Doctor. “They’ve been closing stores for a long time. They’re hoping to make this up internationally.”

He pointed to Subway franchisees’ anger over the reintroduction of the chain’s $5 Footlong and a spate of bad PR stemming from former pitchman Jared Fogle. In 2015, Fogle pled guilty to possession of child pornography and traveling across state lines to engage in sex with a minor and was sentenced to close to 16 years in prison.

“High volume covers a wealth of sins,” Phibbs said. “At end of the day, you cull out the ones that aren’t helping your brand. It’s less than 1% of your units.”

Source: www.usatoday.com

  • Share:
gsiino

Previous post

Amazon to Start Offering In-Car Deliveries
April 30, 2018

Next post

Walmart's Asda agrees to UK merger deal with Sainsbury's
April 30, 2018

You may also like

customer
UK retail sales boosted by second-hand and discount stores
24 March, 2023
Private-LAbels-fashion-luxury
Private labels: the future of luxury department stores?
6 March, 2023
EUROSHOP_2023_WEB-1200×857
Euroshop 2023! Top 75 Specialists & Key Highlights
4 March, 2023

Leave A Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search News:

News category:

News Archive:

Last News:

UK retail sales boosted by second-hand and discount stores
24Mar2023
Panera Bread will use palm-scanning technology for its loyalty program
24Mar2023
Celine Shop-In-Shop Opening – Paris
15Mar2023
Private labels: the future of luxury department stores?
06Mar2023
Euroshop 2023! Top 75 Specialists & Key Highlights
04Mar2023

© 2022 Global Retail Alliance | info@gra.world | Privacy Policy