1

Subway prides itself in being a healthy fast food chain offering a variety of sandwiches and subs

Founded in 1965 by Fred DeLuca and Dr. Buck.

o As a growth strategy, to

increase profits,

they embarked on the idea

of franchising their business.

Subway locations grew exponentially.

2

Formulating a unique value proposition.Targeting an underserved customer

segment.Structuring an aggressive franchising

model.

Expanding internationally. 3

• Slogan:- “Eat Fresh”

• Higher perceived value against competition.• Custom sandwiches tailored to customer.

• Appeal to young professionals.4

Marketing

• Low start up costs – Less equipment is needed

• Countertop, oven, refrigerator, and microwave– Small Area is needed

• Real-estate costs are low

• Lowered operating costs which therefore raise margins– $12,000 v/s $45,000 for McDonalds

• Makes it appealing to investors

5

FRANCHISHING

• 1st entered into world market in 1984 in the

Middle East nation of Bahrain

“ Used development agents to

recruit franchises and assist in growth.

Core menu was left unchanged, with exception of religious and cultural consideration.

6

“In summary, Subway’s success consisted of a strong brand based on a unique value

proposition aimed at a dissatisfied target segment. The company’s low-cost franchising strategy has allowed Subway to flourish

both domestically and overseas.”

7

8

Company Profile :

9

Products

10

Company Profile :

• The entire logo is used to convey the meaning intended and avoid tarnishing or misrepresenting the intended image.

• The logo is of a size and resolution sufficient to maintain the quality intended by the company.

11

 Identify the brand Subway:- a subject of public interest.

 Help the reader identify the brand. assure the readers that they have reached

the right article containing critical commentary about the brand.

Any substitute would fail to convey the meaning intended.

12

Significance

The Asia-Pacific fast food market has experienced 11.7 % growth between 1999 and 2003.

The market was worth $77.9 billion in 2003, an increase of 55.8 % since 1999.

This growth is considerably stronger than the overall global market and is driven by the large-scale expansion of the Chinese market 83 %

In terms of value, Asia-Pacific represented 28.3 % of the global market in revenues for fast food in 2003.

13

KFC McDonalds

Burger King

14

Competitors :

:- First submarine sandwich shop in bridgeport.

o Called as Peter’s Super Submarines.

o Avg. cost was

49 cents to 69 cents.

15

1966:- Fred hoped to make enough money to pay his college tuition and become a medical doctor.

Dr. Buck

16

• Fifth sandwich shop is opened.

First time the name “Subway” is used.

17

1975:- Sandwich

“BMT” is first introduced.

It is named for the “Brooklyn Manhattan transit” system

18

1977:-The “Snak” sub sandwich is introduced.

1980:- Salads are introduced to the menu.

19

1983:- Ranked number in the sub

sandwich category in the Entrepreneur magazine.

Introduced freshly baked bread to the menu.

20

1984:- Opens its first international location in Bahrain.

Small island country in middle east.

21

1985:-Steak, cheese and wheat bread are added to the menu.

Celebrates opening of the 500th unit .

First restaurant in “Puerto Rico”.

38th in the “Venture “ magazine.

22

1989:- Present in all 50 states.

Restaurant number 3000 opens in North Muskegon, Michigan.

First location opens on the south pacific island of Guam.

23

1990:- deli style roll is introduced.

Reaches goal of 5000 restaurants with opening in Texas.

First restaurant is Mexico and in St. Maarten is in Netherlands Antilles.

24

1991:- Kids pak meal is introduced.

First restaurant on college campus in amusement park in Aruba.

First subway network TV commercials airs.

25

1995:-First New Zealand restaurant in Parnell, Auckland.

Fred Deluca and his wife visit New Zealand first time to attend store opening.

Supporter of 5+ day program.

26

1996:- www.subway.comMotion picture “Happy Gilmore”.

Brand also featured in Mel Gibsome film “Ransom”.

27

1997:- Featuring 7 submarine sandwiches with 6 grams of fat or less, introduced.

2001:- Fresh veggie, the cucumber is added to

subway menu.

28

2002:- Surpasses the number of Mc Donalds restaurants in U.S .

Record breaking 2027 restaurants.

2003:-Subway New Zealand is signed as sponsor of “Darryll King Motor Cross Team”.

29

2004:- 100th restaurant in New Zealand by Marcus Griffin in Gisborne.

Introduces Carb -controlled Wraps.

30

2005:- Celebration of 40th anniversary.Fresh toasted subs are added to subway menu.

2006:- Subway Express.

Official sponsor of

Avanti Cycling team.

31

2007: Launches subway Fresh Fit for Kids Meals.

First subway Eco Store in Flourida.

Present:-Subway Avanti Cycling team is UCI registered.

32

33