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Subway keeps shrinking

Business ProBy Business ProMay 1, 20252 Mins Read
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Subway’s footprint in the United States has shrunk again, falling below 20,000 for the first time in two decades.

The sandwich chain closed 631 restaurants in 2024, leaving it with 19,502 locations in the US, according to franchise disclosure documents. That marks the eighth-consecutive year in which Subway has shuttered locations in its home country. However, it still remains the largest restaurant chain in America.

Subway’s footprint has gradually declined since reaching its peak of about 27,000 locations in 2015. The chain has struggled with growing competition, shifting consumer preferences and its restaurants generating lower average sales compared to its rivals.

In a statement to CNN, Subway pointed toward its international net growth for the second consecutive year with the chain now totaling 37,000 locations globally. And it keeps taking a closer look at its US footprint using a “using a strategic, data-driven approach to ensure restaurants are in the right location, image and format and operated by the right franchisees.”

Subway said its “opening new restaurants as well as relocating or closing locations as needed, to ensure a consistent, high-quality and convenient guest experience.”

The chain has made a number of menu and restaurant improvements in recent years to turn the tide. Last year, Subway unveiled a new store design with “added brand personality and vibrant décor elements” including localized flourishes and improved seating.

It has also added customization to its menu, doubled down on pushing orders to its app and introduced freshly sliced meats — a major shift from Subway’s previous method of delivering cold cuts pre-sliced.

Plus, it’s focused on value as chains scramble over the past year to attract customers who are fed up with high prices. On Wednesday, it announced the return of the $6.99 footlong deal for the entire month of May, although the deal remains a digital exclusive. Driving customers to the app or website is a method fast food companies have used to promote loyalty.

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