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Presented By:
Muhammad sajid
Muhammad Naveed
Mashab Khaliq
Muhammad Ejaz
COMPANY HISTORY Founded in the summer of 1965, by fred de luce and investor
Dr.Buck
Subway prides itself in being a healthy fast food chain offering a variety of sandwiches and subs
As a growth strategy and in an effort to increase profit they embarked on the idea of franchising their business
MISSION STATEMENT
"To provide the tools and knowledge to allow entrepreneurs to successfully
compete in the industry worldwide by consistently offering value to consumers
through providing great-tasting food that is good for them and made the way they like
it."
SWOT ANALYSIS
STRENGTH Brand value Wide distribution network
across the country Healthier food range which is
fresh and light
OPPORTUNITES Industry is still growing
despite slowdown in the economy
People turning health conscious
Growth in other virgin markets very much possible
WEAKNESSES Small menu list Increasing operational cost for
franchisees
THREATS Competitions from other
forms of fast food chains Easy entry into the industry
STRATEGY Formulating a unique value proposition
Targeting an underserved customer segment
Structuring an aggressive franchising model
Expanding internationally
MARKETING “Eat Fresh”
SLOGAN
Higher perceived value against competition
Custom sandwiches tailore to customer
Appeal to young professionals
4P’S OF MARKETING
PRODUCTS Wider menu providing variety Fresh and better quality
products Introduce products like salads,
pasta dinners, soups, desserts etc
PLACE Market research on the location
preferences, close down poor and
predatory franchisees Up scale to stripped down
shops to quasi deli restaurants
PRICE Upscale pricing-little higher
than other subs Differential pricing strategy
with value pricing
PROMOTION Health related events and
dance events Campaign for children and
young adults
FRANCHISING Low start up cost Less equipment is needed
For example: countertop, oven, refrigerator, microwave
Small area is needed
Real estate or lower operating cost which therefore raise margins
$12000 vs 45000 for mc Donald’s
Make it appealing to investors
PRODUCTS
SANDWICHES Italian
Tuna
Meatball & cheese
Sea food & crab
Chicken teriyaki
Subway melt
COMPETITORS KFC
McDONALDS
BURGER KING
PIZZA HUT
DUNKIN DONUT
CUSTOMER ANALYSIS 78.7% of adults were patronized to fast food of which 31% went
14+ times in the last 30 days
Heavy users are usually male, young adults and singles
Lunch in most popular occasion
Subway is least patronized restaurant among the competitors
RECOMMENDATION Take advise from franchisees
Continue healthy eating strategy
Offer new item for local taste
Increase seating to be in line with asian culture
Add break fast item
Price according to country’s discreationary income
SUMMARY Subway success consisted of strong band based on a unique value
Proposition aimed at a dissatisfied target segment
The company low cost franchising strategy has allowed sub to flourish both domestically and overseas