Friday, March 9, 2018

Success Story Of Subway – World’s Fastest Growing Food Franchise

Get Daily Updates In Email

Success Story Of Subway – World’s Fastest Growing Food Franchise

Subway is the fastest growing food-chain in the world. Subway was founded in 1965 and is now a leading player in the food and beverage industry. Have a look at its success story.

Fred DeLuca was looking for a way to fund his education to become a medical doctor. His friend Dr. Peter Buck loaned him $1,000 and the two of them entered into a partnership of opening up a submarine sandwich shop in Bridgeport, Connecticut, in August 1965 and they called it ‘Pete’s Super Submarines’.

Image Source

By 1974 they owned and operated 16 shops across Connecticut, meaning their target of 32 shops wouldn’t be reached. Realising this, DeLuca and Buck launched Subway as a franchise brand, marking the start of a period of remarkable growth for the company as they were able to make a profit of around $7000 in the first round and were also able to open 14 new restaurants in the same year following franchise model.

Image Source

The company made it compulsory that the bread that was used should be baked in the restaurant itself. This helped increase Subway’s reputation and demand as the quality of the product increased. With quality and standards, in 1987, Subway had opened its 1000th store and in the year 1998, it opened its 10,000th store.

Image Source

In the 2000s, America was facing the problem of people being endangered by high obesity. Sighting the opportunity, Subway started a media campaign where a 22-year-old Jared Fogle claimed that he had lost 111 kilos eating only Subway sandwiches. This campaign made Subway world famous for quality food.

Image Source

In 2002, Subway became the franchise with the highest number of outlets overtaking longtime leader McDonalds. Subway now has branches in 102 countries and yearly revenue of $10 billion as there are more than 42,000 Subway outlets around the world. Quality and service have surely helped Subway come so far.

Published by Bhaumik Raja on 09 Mar 2018

No comments:

Post a Comment