In 1965, a 17-year-old named Fred DeLuca borrowed $1,000 from a family friend to start a small sandwich shop to help pay for college.
What began as a humble venture from Pete’s Super Submarines to Subway, has grown into one of the largest fast-food franchises globally, with over 40,000 locations.
DeLuca’s vision was simple: serve fresh, affordable sandwiches in a friendly, customer-focused environment.
This simplicity and consistency made Subway a household name, proving that with the right concept and a clear mission, even a small local shop can grow into a global brand
What They Say-
Fresh Is What We Do® Subway® is simply the better choice when it comes to freshly made, convenient and affordable food. We’re one of the world’s largest restaurant brands for a reason, serving up a crave-able menu with better-for-you options to our millions of fans, every day.
USP-
Founded on FreshTM Whether it’s our bread baked fresh daily, new flavorful signature subs or our classic fan favourites made fresh to order, Subway® delivers a quality, flavorful meal that you can feel good about. So Much Sandwich® We’re always evolving – bringing you quality ingredients and regularly refreshing our menu by adding new items and ensuring a great experience in our restaurants or via online ordering, Subway® Delivery, curbside pick-up or catering.
| 1 | Introduction | Highest nos of restaurants. |
| 2 | USP | Founded on FreshTM Whether it’s our bread baked fresh daily, new flavorful signature subs or our classic fan favourites made fresh to order, Subway® delivers a quality, flavorful meal that you can feel good about. So Much Sandwich® We’re always evolving – bringing you quality ingredients and regularly refreshing our menu by adding new items and ensuring a great experience in our restaurants or via online ordering, Subway® Delivery, curbside pick-up or catering. |
| 3 | Concept | Fast Food Restaurant |
| 4 | Service Type | Self Service |
| 5 | Cuisine | Submarine sandwiches (subs) and wraps |
| 6 | Local flavours | Yes |
| 7 | Niche, Attracts customer base | Young consumers to revitalize its image and boost sales |
| 8 | Sales mix | Subs, Salads & Wraps, Treats and Sides |
| 9 | Is a restaurant business or franchising experience required to become a Subway franchisee? | Yes. You or a partner with an equity stake must have restaurant, business, or franchising experience. |
| Franchisee info | ||
| 10 | Trade Name | Subway Formerly known as- Pete’s Super Submarines (1965–1968) Pete’s Subs (1968–1970) Pete’s Subway (1970–1972) |
| 11 | Company Type | Private |
| 12 | Industry | Restaurants |
| 13 | Genre | Fast Food Restaurant |
| 14 | Founded | 28 August 1965 |
| 15 | Founder | Fred DeLuca and Peter Buck |
| 16 | Headquarter | Milford, Connecticut, US and Miami, Florida, U.S. |
| 17 | Total Number of outlets | 37,000 approx (September 2023) |
| 18 | Country of origin | American |
| 19 | Areas Served | Worldwide (100+ countries) |
| 20 | Key people | CEO- John Chidsey, CMO- Carrie Walsh, CFO- Jeff Shepherd, CTO- Donagh Herlihy, CHRO- Lisa Shea, CDO- Mike Kehoe, Legal- Ilene Kobert |
| 21 | Products | Submarine sandwiches Wraps Cookies Pizzas (some locations) Salads |
| 22 | Revenue | US$16.1 billion (2019) US$11 billion (U.S.) North America, an annual average of US$422,000 sales per franchise unit, an average of 7.5%-20% of their annual sales, which comes around to US$31,000-US$84000 profit; Average opening cost is between U$160,000 and US$180,000. ROI 2.25 years- 5 years. |
| 23 | Owner | Roark Capital Group |
| 24 | Number of employees | 410,000, including franchises (2022) |
| 25 | # of employees at HQ | 1000+ |
| 26 | Website | https://subway.com/ |
| 27 | Slogan | “Eat Fresh” |
| 28 | Company Name | Subway IP LLC |
| 29 | Achievement |
All-time fastest-growing franchise in the world, the largest single-brand restaurant chain, and the largest restaurant operator in the world
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| 30 | More than half of its locations are in | USA |
| 31 | Creating a Strong System | By 1974, Fred and Dr. Buck owned and operated 16 submarine sandwich shops throughout Connecticut. But, to take the brand even further and reach their 32-restaurant goal in time, the pair decided to begin franchising — a business model that launched the Subway® brand into a period of incredible growth and popularity. |
| 32 | Guiding Principles |
As the Subway® brand grew over the decades, Fred and Dr. Buck remained true to three core values and principles, which still guide the brand to this day:
Always provide exceptional service to valued guests Offer high-quality, flavorful menu options at a great value Never stop evolving to improve the Subway® brand |
| 33 | Today | Today, Subway® has grown to become one of the world’s largest restaurant brands, serving customizable and signature sandwiches, wraps and salads to millions of guests, across more than 100 countries in more than 37,000 restaurants every day. Subway® restaurants are owned and operated by a franchisee network that includes more than 20,000 dedicated entrepreneurs and small business owners – who are all committed to delivering the best guest experience possible in their local communities. |
| 34 | Future | Our Future At Subway®, good just isn’t good enough. We are constantly innovating, focused on better food and a better guest experience — from menu refreshes to an even better in-restaurant and online experience |
| 35 | Timeline- | |
| 1965 |
The 17-Year-Old Entrepreneur
17-year-old Fred DeLuca and family friend Dr. Peter Buck team up to open their first submarine sandwich shop in Bridgeport, Connecticut. Originally called “Pete’s Super Submarines,” they sold 312 sandwiches the first day. The average cost of a sub was between 49 cents and 69 cents. |
|
| 1966 |
The Dream Team
Partners DeLuca and Buck formalize their partnership with Doctor’s Associates Inc. The name is derived from Dr. Buck, who holds a Ph.D., and the fact that DeLuca had initially hoped to earn enough money in the sandwich business to pay his college tuition and eventually become a doctor. |
|
| 1968 | Welcome to Subway® The Subway® name is used for the first time. |
|
| 1974 |
Fast Forward to Franchising
DeLuca and Buck decide that franchising is the best way to kick-start the brand’s growth. The first franchised Subway® restaurant opens in Wallingford, Connecticut. |
|
| 1975 |
Biggest, Meatiest, Tastiest
The brand introduces its flagship sandwich, the classic BMT. Originally named for the Brooklyn-Manhattan Transit system, the building is later referred to as “Biggest, Meatiest, Tastiest,” filled with Genoa salami, spicy pepperoni, and Black Forest Ham. The first Subway® restaurant located outside of Connecticut also opened in the state of Massachusetts. |
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| 1977 | It’s Snak Time The “Snak” sub sandwich is introduced. The name is later changed to the “6-inch.” |
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| 1981 | Picking Up Speed The development of Subway® restaurants picks up, with the 200th restaurant opening in Renton, Washington. |
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| 1982 | Full Speed Ahead In just one year, Subway® opens an astounding 100 restaurants, with the opening of the 300th location. |
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| 1983 | Fresh Out of the Oven Subway® restaurants introduce freshly baked bread at U.S. locations. |
|
| 1984 |
Expanding Overseas
The brand opens its first international location in the Middle Eastern nation of Bahrain. Party Platters and the Subway Club® sandwich are also introduced. |
|
| 1985 |
Bienvenido a Puerto Rico
Subway® restaurants celebrate the opening of its 500th restaurant and the opening of its first restaurant in Puerto Rico. The Steak and Cheese sub and wheat bread are added to the menu. |
|
| 1986 | Oh, Canada! Subway® opens its first Canada location in St. John’s, Newfoundland |
|
| 1987 |
Growing, Growing, Growing
Continuing its rapid growth, Subway® reaches a milestone of 1,000 restaurants now open, and the brand opens its first locations in Hawaii and The Bahamas. |
|
| 1988 | 2,000th Subway® Restaurant The Cold Cut Combo® is introduced and the brand’s 2,000th location opens. |
|
| 1990 |
5,000th Subway® Restaurant!
Subway® reaches its goal of 5,000 restaurants with an opening in Texas. The first Subway® restaurant also opens in Mexico. |
|
| 1993 |
Fuel Up
Subway® ventures into “non-traditional” locations, such as gas stations, convenience stores, truck stops, and rest areas, making the brand more ubiquitous. |
|
| 1995 |
Start Your Engines
Subway® begins its first motorsports sponsorship with Indy racing. Subway® continues to expand internationally with restaurants now open in China, Costa Rica, Ecuador, Egypt, El Salvador, Honduras, Ireland, Jamaica, New Zealand, Spain, Switzerland, and Taiwan. |
|
| 1996 |
Subway on the Web
Subway® shines on screen in Adam Sandler’s movie, “Happy Gilmore.” Subway.com officially launches and restaurants open in Colombia, Denmark, Guatemala, Kuwait, Martinique, Nicaragua, Philippines, Singapore, South Africa, Turkey, United Kingdom, Uruguay, and Venezuela. |
|
| 2005 | Would You Like That Toasted? Toasted subs are introduced for guests looking for a warm, crave-able sub. |
|
| 2008 |
You Know the Jingle!
Subway® introduces its long-running $5 Footlong promotion and the catchy jingle that made it famous. The brand reaches 30,000 restaurants. |
|
| 2010 | Rise and Shine Guests can now rise and shine with Subway® restaurants now offering new national breakfast offerings. |
|
| 2011 | Hello, Avocado Subway adds avocado to the menu. The 35,000th Subway® restaurant opens. |
|
| 2012 |
Subs Across America with Jimmy Fallon
Late-night talk show host Jimmy Fallon pays tribute to our nation’s beloved sandwiches in “Subs Across America,” where Jimmy asked viewers to film themselves catching and throwing Subway® sandwiches. The videos were strung together to show a sandwich passed in a cross-country montage. |
|
| 2015 |
Fred DeLuca Dies
Subway® co-founder Fred DeLuca dies on September 14 at age 67. Subway® also celebrates its 50th anniversary by breaking the Guinness World Records® title for most people making sandwiches simultaneously, with 1,481 people making a sandwich. |
|
| 2017 |
Fresh Forward
Subway® launches its Fresh Forward design, featuring a new, modernized look and feel, and improved guest experience. |
|
| 2018 |
Sub Delivery Partnerships
Subway® launches its third-party delivery program with its partners — DoorDash, Grubhub, Postmates, and Uber Eats — and 9,000 restaurants enrol at launch. |
|
| 2019 | Subway® Welcomes New CEO Subway® names John Chidsey as CEO, kickstarting the brand’s transformation journey. |
|
| 2020 | A Quick Pick-Me-Up Subway® launches curbside pickup, available at over 12,000 locations. |
|
| 2021 |
Subway®, Delivered
Subway® Delivery launches where guests can order directly from the Subway® website or app, and have their favourite sandwiches, wraps and salads conveniently delivered. |
|
| 2021 |
Eat Fresh® Refresh
Subway® kicks off its brand transformation journey with Eat Fresh® Refresh, the biggest change in Subway® history, improving almost every core menu item, digital and guest experience. By August, the historic refresh resulted in the strongest restaurant sales since 2013. |
|
| 2021 |
Dr. Peter Buck Dies
Subway mourns the passing of Dr. Peter Buck, the co-founder and initial investor in Subway, who died on November 18 at the age of 90. |
|
| 2022 |
Opening The Vault at Super Bowl LVI
Subway® launches The Vault, its exclusive menu featuring sandwiches created by notable sports stars. At Super Bowl LVI in Los Angeles, thousands of football fans had the chance to enter the Subway® Vault and receive an autographed signature sandwich from Marshawn Lynch, Russell Wilson, and Trevor Lawrence. |
|
| 2022 |
Giving Back Through a Dedicated Foundation
Subway® launches the Subway Cares Foundation, an independent, global non-profit dedicated to supporting organizations fueling the potential of today’s youth through hunger relief, tuition assistance or mentoring and leadership programs. |
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| 36 | Where seeking | Worldwide |
| 37 | Social media and now followers |
Facebook- 22 ml followers, 23 Ml Likes, Instagram- 1.4ml followers, 1K Posts; X 2.2Ml Followers, 118.3K Posts; Linkedin- 0.3 Ml Followers
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| https://www.facebook.com/subway/ | ||
| https://www.instagram.com/subway/ | ||
| https://x.com/SUBWAY | ||
| https://www.linkedin.com/company/subway | ||
| Apps Downloads Ratings | Yes, 10 Ml, 0.4 Ml reviews at 4.3/5 | |
| 38 | Franchising commencement | 1974 |
| 39 | Franchised outlets | 37000+ |
| 40 | Owned outlets | 0 |
| 41 | International Franchisees | 36500+(23,000 in North America) |
| 42 | Franchisees In India | 579 Subway outlets in India, Maharashtra 93 Stores 16% |
| 43 | Outlets closed year on year | For the 1st time in 7 years, Subway opened more stores than it closed; 812 Stores every year between 2015- 2022 |
| 44 | Popular | Huge overhaul in recent years, its biggest-ever menu refresh with new and improved ingredients and an emphasis on standardized sandwiches designed to be ordered without customizations |
| 45 | Awards | Best Company Work-Life Balance 2019; Most Innovative” Award for Quality Assurance Practices |
| 46 | Press | https://newsroom.subway.com/Press-Releases |
| Projects- | ||
| 47 | Format | Kiosk |
| 48 | Minimum space | 300- 431 square foot carpet |
| 49 | Net worth | INR 60 Lakhs- 1 Crore (US$80,000 – US$310,000) |
| 50 | Cash on hand/ Bank or Liquid assets | INR 25 Lakhs (US$40,000) |
| 51 | Estimated initial investment |
INR 45 Lakhs ( The total investment is estimated between $116,000-$263,000 in the USA and $102,000-$234,000 in Canada)
|
| 52 | Working capital required | INR 10 Lakhs |
| 53 | Average Daily Sales (ADS) as per format | INR 50K |
| 54 | Time opening units | 45 Days |
| 55 | Total Journey |
TODAY
Contact us and our Business Development Team will reach out to you in a few days 1 MONTH Once you are confirmed as a franchisee, our experienced team will begin your Franchisee Training 1–2 MONTHS Our Business Development Team will guide you in business planning and research 1–2 MONTHS Find a great location and negotiate the lease with the landlord 1 MONTH Restaurant renovation, hiring & train employees, soft opening TOTAL JOURNEY: 4–7 MONTHS Grand opening of your first Subway® restaurant. Welcome to your delicious future! The estimated timeline shown above serves merely as a guide. The process can differ for individuals and is subject to external factors. |
| 56 | Facade | Min 10 Feet |
| 57 | Population required | 50000 per square mile (Mumbai is at 73,000 per square mile) |
| 58 | Rights master or single | Options available |
| 59 | Refurbishment | Every 5 years and as and when on branding… |
| 60 | Capex break up | Initial Franchise Fee, Real Property, Equipment, Security System, Freight Charges, Outside signs x 10, Opening Inventory, Insurance, Supplies, Training Expenses (vary by location & method), Legal & Accounting, Opening Advertising, Miscellaneous Expenses (business license, utility deposits, small equipment & surplus capital), Additional Funds (3x months) |
| 61 | Franchise models avaialbale | FOFO (Franchisee Owned and Franchisee Operated) |
| 62 | Thinking of opening more restaurants? Here are some good reasons | More Locations = More Opportunities Greater Income Potential Diversify Your Revenue Sources Build An Empire |
| Financials | ||
| 63 | Agreement Term | 20 years |
| 64 | Franchisee frees | INR 6.25 Lakhs |
| 65 | Other charges | |
| 66 | Breakeven period | 3-5 years |
| 67 | Profit margin | On average between 8% to 12% of Net Sales, depends on factors like location, sales, and operating costs. Successful franchises can earn more, while others may make less. |
| 68 | Royalty | 8 % of Net sales |
| 69 | Advertising expenses | 4.5 % of Net Sales |
| 70 | Same Store Sales Growth | 6.4% in 2023 (Digital sales in North American grew 21.8%) |
| 71 | Sales | Rs1,500,000 |
| 72 | COGS | Rs375,000 |
| 73 | COL | Rs125,000 |
| 74 | EXps | Rs704,320 |
| 75 | EBITDA | Rs295,680 |
| 76 | ROI | 20.00% |
| 77 | IRR | 33% |
| 78 | Payback Years | 3.00 |
| (Listed above is a thorough estimated breakdown of the total cost and other requirements of establishing a Franchise in India.). The above mentioned data might change in accordance to the location, footfall, outlet type etc. | ||
| Tech | ||
| 79 | Gen | Millennials Gen Y (1981-1996) 28 – 43 |
| 80 | Age | 18-35 |
| 81 | Gender | Both |
| 82 | Income level | Mid |
| 83 | Education | Graduates |
| 84 | Marital status | Both |
| 85 | Cultural background | Mix |
| 86 | Experience | Loves fresh |
| 87 | Ambiance and decor | Fresh and Healthy |
| 88 | Service training | Energetic |
| 89 | Special events and promotions | Limited Time Offers |
| 90 | Marketing | Local Sales and Marketing and National Launches |
| 91 | Pricing strategy | Depending on Income Level or Area |
| 92 | Dietary needs | Vegetarian, vegan, gluten-free, or keto preferences, nutritional information |
| 93 | Channel selection | Mix, Digital channel is growing rapidly |
| 94 | Personalization | Largely personalised |
| 95 | Timing | All Day, they have launched breakfast menu |
| 96 | Compettiton | McDonald’s, Taco Bell, Burger King, |
