Subway is a leading fast-food chain with a strong global presence. The QSR brand enjoys strong brand awareness and heavy popularity in various corners of the world.
Before the pandemic, there used to be more than 40,000 subway locations globally. However, there number has reduced in 2022. Now, there are 36,900 Subway locations operational around the globe.
The largest market of Subway is the United States, where more than 21,000 Subway locations are operational in 2022. Apart from it, some other markets, where there are more than 1000 Subway locations operational include Canada, United Kingdom, Brazil and Australia.
The Subway restaurants are run by franchisees only. There are more than 21,000 Subway franchisees around the world that operate Subway restaurants.
The QSR brand is known for quality and taste. Apart from that, its focus also remains on great customer service. The company offers detailed information regarding the ingredients it uses on its website.
Here is a marketing mix of Subway including the four Ps – product, place, price and promotions.
Marketing Mix of Subway:
Subway is known for food quality and great tasting food products it offers. It offers a highly diverse menu globally. While the core products are mostly the same, some products may vary based on regional preferences.
The brand had started as a submarine sandwich shop. However, it has expanded its menu to include a large number of subs, wraps and salads.
Here is a brief list of sandwiches offered by Subway:
- Sweet Onion chicken teriyaki
- Mozza Meat
- Supreme Meats
- Subway Club
- Baja Turkey Avocado
- Honey Mustard Rotisseri-Style Chicken
- All American club
- Baja Chicken and Bacon
- Baja Steak and Jack
- Black forest ham
- Buffalo chicken
- Chicken & Bacon Ranch
- Cold Cut Combo
- Italian BMT
- Meatball Marinara
- Spicy Italian
- Turkey Cali Fresh
- Veggie Delite & more options for both vegans and non vegans.
Its menu also includes a nice range of salads and wraps. It offers the following breads in 6 inch and footlong sizes.
- Parmesan Oregano
- Honey Oat
- Roasted Garlic
The customers can choose from American and Mozarella cheese for toppings. There are many options of veggies for customers to choose from including lettuce, cucumbers, tomatoes, onions, capsicums, olives, pickles and Jalapeños. It also offers its own delicious signature sauces to choose from for a delicious finish which include:
- Red chilli
- Sweet Onion
- Tandoori Mayo
- Honey Mustard
- Mint Mayonnaise
- South West
You can observe that Subway offers quite a large and diverse menu of healthy and good quality food products. It helps the company attract customers with diverse tastes and preferences.
Subway is a global QSR brand and among the largest in the world based on its international footprint which has continued to shrink in the last few years.
The first Subway had opened at Bridgeport, Connecticut, United States in 1965. The owners operated 16 Subway restaurants by 1974 and started franchising afterwards afraid that they would be unable to meet their target.
Now, Subway has thousands of stores operational worldwide in 104 countries. Compared to some years ago, its international footprint and number of stores in its domestic market, the United States, has declined. However, there are still more than 21,000 Subway stores operational in the United States, which is more than half of the total operational worldwide. Subway is operated entirely by franchisees and there are around 21,000 of them operating Subway stores worldwide.
Now, the brand is also relying heavily on digital channels including its app, websites and other food ordering apps to serve its customers in various corners of the globe. Digital has become a significant distribution channel for almost all leading QSR brands globally including Subway.
The QSR industry is marked by intense competition. There is intense price competition among the leading QSR brands globally. There are several leading players that compete with Subway for market share including McDonald’s, Burger King, Wendy’s and others.
However, despite the heavy price competition in the QSR industry, Subway’s pricing strategy does not follow the norm. While McDonald’s and other fast-food brands have released a nice range of items including their breakfast menu at very competitive prices, Subway’s products are priced relatively higher.
Subway has always emphasized on product quality and the quality of ingredients it uses. Maintaining very high quality of products requires a focus on supply chain management and investment in obtaining high quality raw materials. Apart from it, the sizes of sandwiches and other products are also important in terms of pricing. It is why compared to most other fast food outlets, Subway prices its products higher. The good news is that its prices do not affect its competitiveness and the company has been able to maintain solid sales and strong demand in most markets.
For a long time, its slogan has been Eat Fresh which highlights its special emphasis on the freshness of raw materials it uses and quality of food products. Now, it has added Refresh to its slogan – Eat Fresh – Refresh. This is done to highlight its focus on sustainability.
The company also promotes its brand using digital channels. Its website and app play an important role in helping the company serve its customers and maximize customer engagement. The company also has various reward systems in place to attract and retain customers. It offers its customers rewards and deals as well as gift cards.
Subway is also investing in social responsibility and sustainable operations for a good social image. The company uses social media channels to engage customers and fans from around the globe. Its stores also play an important role in maximizing brand awareness and attracting customers.