Subway to redesign its stores in US amid sales decline
Sanwich chain, Subway wants to freshen up the look of its stores in US as it tries to stem a sales decline.
Subway said that the redesign, which includes a brighter atmosphere, displays of vegetables behind the counter and ordering tablets, is the first major revamp since the early 2000s. The changes will take place as stores around the country are remodeled and new ones are built.
The makeover comes as Subway’s sales have fallen for four straight years amid competition from places including Jimmy John’s and Firehouse Subs. Since 2012, Subway’s average annual sales per store are down 13 percent at $420,000.
Last year, its number of U.S. stores also shrank for the first time, though the company says it still has more than 26,200 domestic locations. Globally, the chain says it has more than 44,800.
According to Don Fertman, Chief development officer, Subway, franchisee agreements require them to remodel stores every seven to 10 years. The company said franchisees will have a variety of design options to pick from, and that it is looking for ways to help them lower costs.
Fertman told AP, “In the U.S. and Canada, new stores will be built using the redesign. About 150 stores will get the new look in the coming months. By the end of next year, 3000 to 5000 stores globally should have it, with most of those being in the United States and Canada. Subway says the stores with new designs will include new menu items, such as bread made without gluten.”
The new design includes self-order kiosks that work with Apple Pay and Samsung Pay, and a more comfortable seating area with Wi-Fi and USB charging ports.
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