Subway is an American based fast food restaurant franchise which is mainly famous to serve submarine sandwiches and salad to its customer. Submarine sandwiches of Subway are famous all over the world.
The story of Subway It dates back to 1965, when Fred DeLuca, given the need to get money to get into college, He decided to ask the advice of a family friend, the doctor. Peter Buck and proposed opening a restaurant sandwich prepared at the time.
With a loan 1.000 Dollars, The doctor. Peter Buck and Fred DeLuca became partners and they created Subway intended to revolutionize the world of fast food and a sense, they did.
An effective strategy from the beginning
Fred starts to investigate all possible mixture that will offer success to your brand and differentiators that differentiate them from the other competition of the Subway company.
His intention was to set up a chain of restaurants that offered a quality product, well done excellent customer service. For it, He decided to use a striking marketing strategy, without neglecting cost control. With this philosophy began to select the best placed local conditions and to establish special price the best Providers State of ingredients.
Soon things started to go very well in order to open labeled 32 sandwiches restaurants ten years, goal that failed to meet, but that they stayed close. Eight years after opening the first restaurant, they had a total of 16, distributed throughout Connecticut.
De Luca met with Brian Dixon, This friend, to make a proposal. A loan from the sale of one of the restaurants with the commitment that if he did not like the business, I could return it at no cost.
In this way, Brian Dixon started his first franchisee of Submarine sandwiches. At present 42,000 stores are located all around the world.
The growth of Subway franchises
Over time, Subway, based on the entrepreneurialism of Fred DeLuca it has grown and has become a franchise more of 44.000 restaurants in more than 110 countries, on five continents.
This is because, in the middle of other things, to what the conditions subway required to be part of the biggest chain of fast food restaurants in the world They are not very strict, but they must be met specific requirements, which they are as follows:
The right of entry 7.500 €
Half a 1.600 € per m2 for a standard restaurant (works, equipment, furniture, decor) no exterior
The financial capital of a 30%
Royalties: 8% sales excluding tax
Marketing funds: 4,5% About sales
These are the main requirements that have come to make Subway franchise is, occupying a prime spot in the fast food industry.
Other successful initiatives
Many chains restaurants have decided to grow franquiciándose, some with great success. A clear example is a Spanish company Tommy Mels, which started with a restaurant and now has more of 50 franchises in a period not exceeding 15 years.