Recently in Subway (NAASF) Category

Tim Horton's was one of the most popular brands in Canada, even a few short years ago.

It has fallen out of favour. We see the same in the US other once very popular brands like Subway, TGIF, Ruby Tuesday's, etc.

brand failure.png

Why do you think this happens?

For the 5 Most Fascinating Stories in Franchising, a weekly report, click here & sign up.

"One of the main issues is that neither stores nor customers (me) understand the program.

Half the stores I go to don't know how to redeem.

And it seems like I get a $2 coupon just about every time I buy a sandwich.

Plus a free sandwich after some unknown number of visits. Not much margin selling a $4.99 foot long less a $2 coupon." Bruce Holzman

Oh Jared.

| 0 Comments | 0 TrackBacks

Well here's a nightmare no one in business wants to face! But it happens. As a veteran PR woman of 32 years, I can promise you incidents like this happen. And suddenly and without any warning you find out someone who has worked for you, with you, under you, next to you, across from you is a serial killer. Kind of like Dr. Walter Palmer being your dentist.

Fred DeLuca, one of the giants of franchising, is a prince among men. He is one of the greatest leaders in the industry and as unselfish and giving as one can get. Yet, I guarantee you he, or no one else at Subway had a clue about Jared's "secret life". Actually I am pretty sure Jared's wife didn't have a clue about it! What to do when a terrible crisis, totally out of your control, arises? I have experienced and aided in the following crises:

  • A male and female housecleaning duo having sex on camera in a client's home as part of an NBC investigative "maid-cam" sting.
  • A president of a large smoothie chain being marched out of HQ by police for sexually molesting his 14 year old daughter.
  • A franchisee caught peeking through a hole in the ladies' bathroom in his own restaurant location.
  • A pizza delivery driver killing a motorcyclist with Jack Daniels found in his back seat.

Can I stop now? Here are the most basic steps to take in a crisis, and hopefully not a very rough one like this one.

  • Definitely distance yourself from the culprit as Subway did here. And rightfully so. This has nothing to do with their product or franchisees or Fred DeLuca and HQ. If anything they made a multimillionaire out of this guy and this is how he handled his own great luck and life.
  • Develop a sympathetic statement if there are "victims". In the case of an accident of some kind truly express in a one paragraph statement that your thoughts and prayers are with the family.
  • Get on a line with your attorney and PR specialist and put together a strategy. You don't want to stonewall the media--but you also don't want to just blab away and put any admission of guilt or liability out there.
  • Have a 5-10 step process in your "back of house" for all franchisees, management and their employees similar to this one here.
  • Employees should NOT talk to the media but instead politely take contact information from them if they call or show up and promise to deliver it to the right people. Then reach back out with a designated person to the reporter. If not they can easily go rogue with an unflattering story.

For the 5 Most Fascinating Stories in Franchising, a weekly report, click here & sign up.

Is a Subway Franchise a Good Investment?

It's one of the most popular questions for every experienced franchise author/speaker. Perhaps because it's the largest franchise in the world (in terms of units, not retail sales), people want to know if a Subway franchise is a good investment.

And because many of my readers and seminar attendees know that I wrote Start Small, Finish Big with Subway's co-founder, and I sold a major franchise business to him, they think I have special insights about Subway. Really, I don't.

"Is Subway a good franchise investment? . . . Can you help me get one?"

While those are important questions to ask about Subway, they are important questions to ask about any franchise that you think you might want to buy.

In answering the questions, here's what I tell people.

Subway must be a good franchise investment for some people because many of the franchisees have been with the company since almost its inception, and (now answering the second question) it seems impossible to "get one" in the USA.

Of course, neither answer is really what you want to know, but you're not asking the right person!

If you really want to know if Subway is a good investment, franchisees are the people to ask. They can also tell you how to "get one"!

You can easily find Subway franchisees either by looking into the company's disclosure document (where you'll find their contact information), or simply stopping at a Subway and talking to a franchisee.

Franchisees are usually willing to discuss their experiences with prospective franchisees, and if they have insights as to how to "get one" they'll tell you. However, it seems to me that few Subway franchisees own just one unit -- they own multiple units (it would be a good idea to ask them why) and so they may not be too eager to help someone buy a unit unless it's far from where they'd like to own another one.

For those of you (and there are many) who would like to skip the start-up phase of business and buy an established franchise, that may be easier to do with Subway, except that the existing franchisees get first dibs on available units. And that's because a franchisor would rather sell a unit to an experienced franchisee than to one who knows nothing about the business.

Meanwhile, you're asking the right questions, and keep in mind that there are at least 2,500 franchise concepts in North America alone looking for new franchisees . . . don't limit your questioning to Subway. Ask the same questions of other viable concepts such as those included in my most recent eBook: 12 Amazing Franchise Opportunities for 2015.


Peter Romeo writing at QSR asks "how long can Subway stay on its [expansion]tear?


Differences in the answers have led to battles over the years between the franchisees and franchisor, which has traditionally operated just one unit, a training facility near its Milford, Connecticut, headquarters. "You have franchisees who aren't too happy when they're opening a Subway a half a mile away from their stores," says Technomic's Henkes.


Tensions have also escalated when franchisees feel a home-office initiative boosts sales, the base of the franchisor's royalty revenues, without increasing their profits. 


Most recently, about a third of the operators resisted the addition of breakfast, says Loren Goodridge, a 17-unit franchisee (with two under construction) and past head of the North American Association of Subway Franchisees (naasf). The a.m. menu was rolled out in May after being extensively tested in more than 7,000 restaurants.


"There was a concern among franchisees about losing money on it," says Steve Forbes, a two-unit Vermont franchisee who serves on NAASF's board. He counted himself among them.


Nonetheless, all parties attest that relations between licensee and licensor may be at an all-time high."


There are several important parts to this story, relevant to all franchisee associations. First, NAASF is willing to talk about their concerns about the Subway Breakfast Menu in public, and second the concerns are still grounded in a good working relationship. NAASF making the public know that individual franchise owners may lose money on the Subway breakfast menu, which might explain why not all Subways' franchise owners will be on board with the Subway breakfast menu. Kudos to NAASF for bringing up the dispute in a respectful manner, defending their members and the brand.

Enhanced by Zemanta

NAASF Cruise Oct 1-4

| 0 Comments | 0 TrackBacks

NAASF CRUISE OCT 2010 

Got Sun? NAASF Membership Cruise: October 1-4

Come Sail Away with NAASF!

We will be hosting our first ever meeting at sea October 1-4 2010. The cruise will be aboard Royal Caribbean's Majesty of the Seas and will depart out of Miami, Florida. The ship will make stops in Nassau and Royal Caribbean's private island before returning to Miami.

In addition to fun in the sun, we have an exciting program in the works: The ultimate combination of work and play!

NAASF has negotiated aninclusive rate which covers the cruise, taxes, gratuities and your conference registration fee with prices starting at about $425 per person*.

Cabins are available on a first come-first served basis and our special rate is for a limited time. This cruise is open to all Subway? family members and their guests, friends and family.

Call Royal Caribbean today at 1-800-465-3595 for the best choice of cabins. Be sure to mention that you are with the North American Association of Subway Franchisees ("NAASF") and use identification number 4101852.

Follow Us

About this Archive

This page is an archive of recent entries in the Subway (NAASF) category.

Spherion is the previous category.

SuperCoups is the next category.

Find recent content on the main index or look in the archives to find all content.

Archives