Subway closes 500 restaurants throughout America

Subway Restaurant plans to close hundreds of stores in the United States due to the reduction in the number of visitors.

Фото: Depositphotos

The world's largest restaurant chain reports that this year it will close about 500 from 26 000 institutions across the country. Last year Subway Restaurant closed more 800 establishments in the USA.

Subway Restaurant has as many places in the US as McDonald's and Starbucks combined, and trying their best to keep up with the growing competition and changing consumer tastes.

Networks such as Panera, Au Bon Pain and Firehouse Subs, also lured away part of the market Subway. Meanwhile, fast food giants such as McDonald’s, offer cheaper alternatives S

Sales have been falling for at least three years in a row, and since 2012, the level of visits has decreased by 25%.

“This is an outdated company that needs a brand overhaul,” said Joel Libawa, an independent franchise consultant. - Come to any SubwayAnd everything looks exactly the same as 25 years ago. ”

Company Subway, founded by 53 a year ago in Bridgeport, Connecticut, has expanded rapidly over the past decades, opening up thousands of new locations. The restaurant has attracted customers by serving itself as a useful alternative to fatty hamburgers and french fries.

But in recent years, the company's success has been shaken. In 2015, a former spokesman, Jared Vogel, pleaded guilty to charges of child pornography and molestation.

The company also struggled to get customers back, as an ever-expanding selection of snack bars, food trucks and even grocery stores offer freshly prepared dishes at competitive prices. According to a research firm Technomicmarket share Subway in fast-service networks, it has also steadily declined: from 6,4% in 2013, to 4,7% last year.

In January Subway invested 25 million dollars in a rebranding campaign aimed at increasing sales in its stores.

Subway focuses on building its international presence by opening 1000 stores in countries such as India, China, Germany and Mexico. But industry insiders have stated that, although Subway can successfully expand overseas—it is, after all, a well-known American brand.

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