Subway is reintroducing their reduced-price footlong sandwiches.
Restaurant chains have been scrambling to drawing in customers disgruntled by sky-high prices over the past year. Some have managed success through limited-time promotions, but chains like McDonald's, Chili's, and Taco Bell have discovered more triumph in serving up value meals. Americans are still open to spending, as long as they feel they're getting their money's worth.
Beginning this Friday, for a limited time, Subway will slash the price of any footlong sandwich to $6.99. This significant discount is a stark contrast to the $14 some sandwiches fetch in certain cities. But to grab this deal, you'll need to access it via the app or website, using the code "699FL."
Privately-owned Subway usually shies away from revealing sales figures, making it an outlier among its publicly-traded competitors. However, Subway's CEO admits the company's been feeling the pinch of inflation, just like the rest of the industry.
"Consumers are watching their spending but don't want to compromise on quality, quantity, or taste when grabbing a quick bite," said Doug Fry, president of Subway North America, in a press release. "Our new $6.99 'Any Footlong' offer is a win-win, delivering on all three, with freshly made, tantalizing sandwiches at an irresistible value."
Areas of strain echoed in recent earning calls from McDonald's and Wendy's, who cited low-income consumers and overall industry traffic headwinds as challenges.
Subway isn't just offering discounts to lure customers. They've added $3 Dippers and Sidekick snacks priced between $2 and $5 to target budget-conscious diners. The Sidekick selection expanded last month to include a footlong Oreo cookie.
Swinging between hits and misses with their promotions, Subway swapped out its $6.99 meal deal last year, after a reported lackluster performance. In its place, a comparably-priced "meal of the day" set took its place in January, remaining on Subway's menu.
Recent years have seen Subway experiment with customization, app-driven ordering, expanding its international footprint, and using freshly sliced meats – a stark contrast to its old method of delivering pre-sliced cold cuts.
Enrichment Insights
Subway, like many fast-food chains, faces hurdles in attracting and retaining customers, especially when prices rise. To make it through these challenges, Subway has employed various strategies:
- Menu Optimization: Subway periodically reviews its menu to stay in tune with customer preferences and inventory costs, eventually phasing out underperforming items and introducing new options based on customer feedback.
- Limited-Time Promotions: Subway uses temporary promotions to generate interest and attract customers. These deals address the price perception by offering value during specific periods.
- Digital Engagement: Subway boosts its digital presence through partnerships such as the one with FreedomPay, improving the payment efficiency and customer experience across various channels.
By optimizing its menu, running limited-time promotions, and enhancing digital engagement, Subway has managed to align its offerings with customer preferences, thereby strengthening its customer base.
- Despite facing inflation, Subway's CEO acknowledges the importance of maintaining quality, quantity, and taste in their value meals, as demonstrated by their new $6.99 'Any Footlong' offer.
- To cater to budget-conscious diners, Subway has not only reduced the price of footlong sandwiches but also introduced affordable add-ons like $3 Dippers and Sidekick snacks, such as the recently added footlong Oreo cookie.
- In an effort to keep up with changing customer preferences and keep prices competitive, Subway has shifted from delivering pre-sliced cold cuts to using freshly sliced meats, and has also experimented with customization, app-driven ordering, and expanding internationally.
