10 Real Reasons Subway Is Disappearing Across America

10 Real Reasons Subway Is Disappearing Across America

Love it or leave it, Subway is the top fast
food restaurant with 42,000 outlets worldwide. Since 2016, they’ve been closing many of
their outlets and keep doing so exponentially every year since. There is lots happening
behind the scene, but these are 10 Real Reasons Subway is Disappearing Across the Country. Super Rapid Expansion and Too Many Outlets Subway’s rapid expansion has backfired and
hurt business. It’s been a victim of its own success. It quickly saturated the market
with over 27,000 locations in the U.S. alone. They were opening outlets within blocks of each
other and handing out franchises like candy. Fierce competition and a bad economy have
led to some Subway outlets to be less profitable. Subway’s only strategy has been to open more stores,
it’s so ubiquitous, that customers leave one restaurant to go to a closer location
around the block if they do not like the restaurant’s service or store conditions. Ultimately the
outlets just cannibalize each other. It seems that Subway’s only marketing strategy was
to open one store after another and then let’s see which one survives. With this method of
thinking you will eventually run into trouble, and they have. They started to close many
of the stores that were less profitable and in too close proximity of one another. Instead
of focusing on changes to their menu, they focused on statistics.  Now their bad business
practices have come back to bite them in their foot-long sub. Loyalty Plan Rewards is Worthless Since 2016, Subway has shuttered more than
a thousand stores in the US and counting. They’re aware that their business has been
steadily declining and bleeding money. They started a revitalization and marketing plan
in 2018 for improvements to the customer experience. They have been promoting things like digital
menu boards and a mobile app, along with a loyalty program to help encourage repeat customers. Subway
launched the MyWay Rewards program, where customers will earn four tokens for each dollar
spent. When they hit 200 tokens, they get a $2 reward. That is $2 in rewards for every
$50 you spend, which is not really a good deal after all, just do the math. To boot,
false starts linked to software difficulties and syncing each store’s POS systems with
the mobile apps made things difficult. In addition to the virtual tokens, Subway rolled
out special “surprises” to loyal customers. But how a person got one of these rewards
is dubious. Apparently, you won’t know you’ve earned your reward until you get it. The Subway
Loyalty reward program seems to be more beneficial to them than the customer. The Foot-Long Scam The foot-long dispute left many people feeling
cheated. This lead in part, to a decline in sales and also pushed away many of their loyal
customers. It all started in 2007, when a television station in Arizona reported that
three of Subway’s “Giant Sub” sandwiches, were not actually 3-feet long, but actually
2 feet 8 inches. The same scenario repeated itself in 2013, with the “Foot-long” sub.
This time it was shorter than 12 inches. After lots of backlash on Facebook, they changed
their tune to say that the “Foot-long Sub” was not the actual size but more of a trademark
name. Subway in turn tried to sue other businesses who were using the term foot-long in advertising,
when in fact it wasn’t even trademarked to them. The application to trademark the
term was only submitted after all the hoopla started. Subway never got their trademark
for the foot-long as it was determined in court that the term was too generic and can
be used by anyone. But we are still left with the notion that we are not getting what we
came for. Bad Leadership Subway is an American privately-owned company
started by Fred Deluca in 1965, in Bridgeport Connecticut.  Its humble beginnings started
when Fred borrowed $1000 from a family friend Peter Buck to start Pete’s Super Submarines.
His goal was to earn enough money to pay tuition for medical school. Though neither the first
nor the second restaurants were financial successes, they continued to expand their
operations, and in 1968 changed the name to Subway and began franchising out the restaurants. By
1974, they had 16 locations throughout Connecticut. Ten years later, they opened locations on
the West Coast and across the US. The 80’s and 90’s saw expansion into the Middle East
and Europe. Subway also began opening stores in Walmarts, and had surpassed the number
of McDonald’s locations. The decision to add so many new locations led to over expansion
and eventually had a negative effect on the business. In 2015, Fred DeLuca died of leukemia
and his sister Suzanne Greco became president and CEO and quickly addressed the situation.
In 2016, she began restructuring and eliminating the less profitable stores, experiencing a
large loss in locations for the first time. Subway Franchisee Revolt Buying a Subway franchise used to be a great
opportunity for many small business owners who didn’t have much capital. As early as
1995, lawsuits were launched by franchisees claiming that Subway misrepresented their
asset value and they were being forced out of their own business due to management’s
questionable practices. In a study, Subway emerged as the biggest problem in franchising
and appeared as one of the key examples of every abuse possible. Subway Corporate oversees
every location to the minutest detail via inspectors who ensure that the stores conform
to their highest standards. These inspectors were sometimes other Subway competitors whose
only benefit was for their own pocketbook. Too many infractions meant corporate would eventually
take back the store from the franchisee. It sometimes was given to the inspector who then
closed it to cut out competition. Franchisees were left to watch helplessly as those rivals
snatched up their stores that they’d worked so hard to build. Serious Competition Another real reason Subway is closing a lot
of their outlets is the fast- growing competition from other similar sandwich shops who are
doing things better. When Subway first entered the US Market in 1965, there was very little
competition, aside from Big John Steak & Onions in Detroit and Blimpie in New Jersey. Subway
basically had a monopoly on fast food submarines and sandwiches for decades. They were able
to make huge profits and open thousands of outlets and grow exponentially. The 80’s
saw new competitors like Quiznos, who offered the same menu but with variations like toasted
bread. These days the trend continues, and we are seeing other popular and profitable
submarine chains like Charley’s Philly Steaks in the Mid-West, Jimmy John’s in Illinois,
Firehouse Subs in Florida, and many more independent restaurants specializing in submarines. It
was easy enough for Subway to adjust to Quiznos demands by just adding the option for customers
to toast their buns. But with other chains flooding the market, offering a variety of
items and a much better quality, Subway has not been able to keep up with demand. Due
to their refusal to innovate, their profits have considerably declined, as customers are
going to the next best thing. While the others continue to grow, Subway has been forced to
take a reality check and a really close look at the way they were doing things. Their Motto “Eat Fresh” is stale. Subway arguably invented the idea of fresh
fast food years ago, but they did not live up to expectations. Their slogan was built
on the concept that their submarines were created on the spot with fresh ingredients.
They even went as far as calling their employees “sandwich artists”. But if you’ve been
to a Subway lately, you may have noticed that the food is highly processed and not so fresh. It’s
not your imagination, and there’s a reason why. After speaking to a many franchisees
and managers, it was discovered that many Subway locations only get shipments of produce
weekly. While Corporate denies this, those on the front lines are singing a different
tune. A Subway employee revealed lots of the produce they receive are often near expiry
date. The lettuce is brown and wilted, tomatoes are mushy. In 2015, Subway introduced a new
marketing campaign called, “Founded on Fresh”. The campaign focuses on Subway’s past history,
and features Jonathan DeLuca. The new campaign focuses strictly upon the quality of their
products, fat content, calories, and weight loss benefits to draw back its loyal customers.
But momentum has been lost, people have lost confidence in Subway and have moved on to
better things. Americans who once praised and loved Subway’s offerings are now jumping
ship because of concerns over their highly processed meats and sauces. What Americans
see as healthy has evolved, and Subway is lagging behind. Stagnation at Subway While everyone has jumped on the health food
craze and more fast food chains are changing to innovative menus to please a larger clientele,
Subway has been slow to change or innovate in every respect. Staying status quo for decades,
from their menu to décor, they have been stagnant, refusing to develop anything new
or be too experimental. They were the last ones to jump on the breakfast and wrap bandwagon,
and even that did not win over many customers. These days, with the new generation of millennials,
who are really super conscious about what they eat and what goes into their food, Subway
just doesn’t cut it. More environmentally conscious millennials are looking for food
that is locally produced, of free trade, non-Gmo, plant based and free of antibiotics. It seems
that eating fresh and losing weight is not their only primary concern. Subway should
have seen it coming as far as healthy goes – they did invent the slogan a while back.
But they totally missed the boat on this one. They have not made any serious changes to
their menu or ingredients. They did introduce wraps and some different menu items but they
were not that innovative. Other fast food chains have moved ahead with the times (even
McDonald’s phased out artificial ingredients). Subway only began changing their menu in 2015,
lagging way behind the competition. Unwilling to update in the 21st century means a slow
death, while others are moving ahead in your place. Fake ingredients like Mock Chicken In 2017, an investigation by Canada’s CBC-consumer
affairs show, Marketplace, revealed that chicken from Subway restaurants was not 100%
chicken. Tests found that only between 42%-56% was actually chicken, the rest was soy. Subway
did not list soy as part of the chicken ingredients. When discovered, Subway’s argument was that
the proportion was less than 1%, and the findings were not the actual amount of soy in the product.
Subway has called CBC’s report “false and misleading” and demanded a retraction, which
CBC has refused, as they say the tests were done by credible experts. Subway tried to
backpedal, saying that ingredients in U.S. stores differ from Canada. But both countries
include soy protein in the chicken strips. Subway sued the CBC, the reporter, and two
producers for $210 million, alleging that the CBC acted “recklessly and malicious and
without just cause”. The fact remains it is false advertising or non-disclosure which
paints a bad picture. Any way you look at it does not look good and means more losses
for Subway. Subway Lawsuits & Scandals Another real reason Subway is closing many
of its stores is because it’s bleeding money due to its scandals and lawsuits. In 1999,
thirty two customers in Seattle contracted hepatitis A after eating food contaminated with the
virus at two Subway outlets. An Investigation found that the staff at the Seattle Subway
failed to wash their hands and did not use plastic gloves during food preparation. A
class-action lawsuit was launched on behalf of the victims and was resolved for $1.6 million
dollars.  The biggest scandal that left a bad taste in everyone’s mouth and tainted
the Subway name has got to be Jared Fogle. Jared became the Subway spokesperson in 2000,
after he lost 200 pounds, thanks in part to eating Subway or so he claimed. He began giving
talks on healthy living, appearing in advertisements for Subway. Subway cut their relationship
with Fogle in 2015 after he was charged with possession of child pornography and child
molestation. He pleaded guilty in August 2015, and was sentenced to more than 15 years in prison.
Subway is still working to bandage that hemorrhage. Stay right here and tap on another one of
our great videos. And for new viewers, don’t forget to smash that subscribe button and
ring that bell to join our notification squad.

100 Comments

  1. ➡️ SUBSCRIBE to BabbleTop! https://www.youtube.com/channel/UCX–mGSg0UwDjl7MDL8H5Jg?sub_confirmation=1
    ? JOIN and become a BabbleTop member! https://www.youtube.com/babbletop/join
    ? Check out our MERCH! https://teespring.com/stores/babbletop
    ? Our Most Popular VIDEOS! https://www.youtube.com/watch?v=uOvb3ZRIwh0&list=UUX–mGSg0UwDjl7MDL8H5Jg

  2. Since I learned how to make baguettes, I make my own subs. My Italian, sweet onion teriyaki (found a copycat sauce recipe that is identical), meatball, pizza, and steak subs blow them away in flavor and price. Plus I never get a tiny amount of meat with a heap of lettuce

  3. Living in Pereira, Colombia there only one Subway franchise in a mall nearest my home, I have no choice but to enjoy a little taste of back home once in a while, boy are they expensive!

  4. Woah subway ?, always gotta be smart at serving costumers ???.
    Once i sawn a fly touching the food, Which people didn't mind ??… How. Radical is that?¡

  5. Okay people lets know what i knew so far on this vid: Subway, a fast food place that calls it eat fresh and has been found in Wal-Mart. Subway done bad things and now they were in charge to pay for there mistakes. But no matter how difficult is for subway to keep up with these not good things, Subway still trys to be the one and only *Subway*. Yet lossing but trying to get costumers back. Legit! Very legit. ☑✔

  6. I drove to a Jersey Mikes an paid $18 for a Giant #7 with bacon an a drink, and they are not close, subways quality is a joke, last time I was at a subway the cashier paid me back the amount owed and I didn't catch it till I got home.
    Kinda like saying were paying u to eat our garbage! I just did a mapmyrun mile between the locations and there is like 6-7 Subways in a 3 or so mile location from each other.

  7. They got rid of the Flatbread in the UK! ?

    … Bastards finally figured out that customers could get more fillings in their subs with flatbreads.

  8. Jared lost all that weight because he was chasing them little boys around! He needs to be in the same place Epstein is!! Which is HELL!You ASSHOLE!????

  9. The old Subway rewards card they had in the early to mid 10s was good. I think you needed 250 or so points and you got a free foot long sub. Yet they changed it and it now sucks.

  10. All their veggies are frozen and defrosted, and you can taste it. I eat subway when im starving and there happens to be one right in front of my face.

  11. Great video can tell you here in Australia stores are also way to close together. A problem we have here not shown in this video is some stores here even though it will be on their menu boards will have staff refusing to serve pork products. Have complained to Subway Australia only to be told there is nothing individual shops do. I have since stopped buying from Subways.

  12. My list: #1 Subway now tastes bad and bland, #2 Suspect that bland/bad ham, chicken, and cheese are processed re-constituted fake food, #3 Vegetables so tasteless and pale they were probably picked a month before ripe, #4 Prices not cheap for this terrible tasting non-food.

  13. How the heck did this whole video get made without covering the weaponized nature of the subway bread? That shit is not real food and you can tell this by what your digestive system does to it and what you shit out. The ingredients in the bread leach nutrients from bones. Go down that rabbit hole, I dare you.

  14. Number 11- All Bread and Veggie Little Meat Sandwiches, Number 12-Poor Quality Demanding Higher Prices Day By Day, Finally Number 13- Go Back To Pilsberry For S/W Dough. The Dough they use now STRAIGHT SUCKS!!!!!!

  15. Oh Ya, lets not forget Subway's pushed Spokesman Jerry the Kiddie Diddler even after knowing about his prevented and loathsome sexual proclivity!!! Go figure That One!!!

  16. I’m from Bridgeport, CT. The very first Subway shop was about 5 blocks from the house I grew up in. They used to use high quality meats and bread, that was a long time ago. Now it’s about shortcuts to make more and more money. Now they serve garbage.

    Ps. There’s a pawnshop there now.

    1. Sicko pervert spokesperson
    2. Fake “health food”/ misleading marketing
    3. Bread made with yoga mat foam
    4. Most “meats” are actually over-processed turkey based crap

  17. About Subway the food is average. Subway charges high prices for the average food. Worse part is the subs itself. You get lots of lettuce, tomato, cucumber, and a vegetable but little meat. You have to ask for double meat for a proper amount of meat but that costs more. Most of the sub sandwiches you can make yourself for cheaper. Basically average food, lack of meat, and high per prices is why.

  18. Subway is expensive and gross. The Marketside subs from Wal-Mart taste better, usually are fresher, and cost less… and that is truly a shame.

  19. Subway, when you want the botttom of the barrel…. When I think of Subway, I think slow lines, wilted lettuce and I could go literally anywhere else for a better sandwich.

  20. Mfs really out here measuring processed food that’s not even good fa you lmfaoooooo do y’all not know all this shit is gmo??!!

  21. 5$ foot long left!? So did customers plus it’s cheaper to buy meat, bread ?, and cheese ? and have sandwiches for a week! Plus they got stingy on their meats! No one wants a bread sandwich

  22. Never had Blimpies, but Jimmy Johns is waaaaay better than Subway. Unless you just want a pretzel and lemonade. Or maybe the meatball. I still like Subway’s meatball sub on occasion. But if I had to choose for life- Jimmy’s!

  23. I quit getting subway sandwiches when I found out they knew about Jared the Cho Mo and did nothing about it because he was helping them to make money.

  24. all ways liked subways when they have coupons but now there coupons are crap. you have to buy a drink to get a discount. where you use did not have to. and to me nine bucks for a sub and drink is high especially for the cheap one like the cold cut combo.

  25. Why skip one of the most important issues? They're skimpy on the meat. I think a lot of people would bypass if they gave good portions

  26. Their sandwiches are overpriced, soggy, limp, wet messes of nearly expired produce, which is purposely arranged in a camouflaging pile atop minuscule portions of equally unappetizing-ly suspect "meat", all encased in "bread" which has the disgusting taste and texture of something which would have better used as the cheapest of padding under the linoleum in an outhouse. It's a shame that this large of an operation seemingly has done so little for so long in order to at least slow it's breakneck hurtle down to the absolute bottom of the fast food restaurant "barrel". They were once a good quality outfit, but that was now at least 20+years ago or more.

  27. When you use a melon ball to put 4 spots of tuna on a 12" (lol) sub, you are not a good option. We call that a smear where I come from.

  28. As someone who worked higher up in the system this video is one of the few that actually addresses the large amount of the issues properly. Well done.

  29. Subway's foot longs were short, and this video was too long. How many times do you need to tell viewers there were too many outlets?

    I go to Subway because I can get something besides ground beef and cheese on a bread roll and I can see who is making my lunch and what is going in it.
    Instead of the goofy and dubious rewards program, if it doesn't cost them any more, I know that the 2 for Tuesday promotion was successful in the 90s…at least in my area.

    Finally, instead of rewards, try short term menu variations. Subway did them in the past, then stopped them. Were they not successful/profitable?

  30. It'd be nice of there could be a fusion between Togos and Subway. Togos hooks it up with much more meat, but mostly just lettuce, and Subway a bunch of vegetables and very little meat. whatever happened to Quiznos ?

  31. One reason is they make their sandwiches half salad & charge more for the adequate amount of meat….& ANYONE still eating subway has NEVER had JERSEY MIKES ??

  32. Subway will never be as good as Jimmy John's or Firehouse subs. I saw what came in for a local Subway in a store a was a supervisor in. Many times the tomatoes were either rotton or green. So gross reaching in and getting a handful of mush with mold!

  33. I avoid Subways .I caught my local shop literally cpunting how many pieces of lettice they put on the sub. The low meat is bad emough, that was too petty. I quit going after that.

Leave a Reply

Your email address will not be published. Required fields are marked *