Subway

Name

Subway

Legal name

Franchise World Headquarters, LLC

Website

https://subway.com

Company type

Private

Founded year

1965

Operating status

Operating

Headcount range

5,001–10,000 employees

Ownership category

akta.pro rank

Headquarters

HQ city

Lasalle

HQ country

Canada

HQ region

North America

Offices3 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Supply Chain, Personnel, Operations, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Franchise Royalties and Fees: Subway earns revenue through franchise fees and ongoing royalties from franchise operators. The company reported $688 million in net income for 2025, up from $397 million in 2024. Total franchise revenue declined more than 6% to $767 million. Franchise costs typically range from $150,000 to $500,000 compared to McDonald's $1 million to $3 million.
2. Real Estate: Subway generates revenue through company-owned locations and real estate arrangements with franchisees. Subway is Walmart's largest in-store restaurant tenant since 2004.

Pricing tiers

Distribution channels5 records

Marketing channels8 records

Core offering

Subway is a global quick-service restaurant franchise that sells freshly made-to-order submarine sandwiches, salads, wraps, and breakfast items through nearly 37,000 franchised locations in over 100 countries. The company operates primarily through franchise agreements, earning revenue from franchise fees, royalties, and real estate arrangements, while also offering digital ordering, a mobile app, a loyalty program (Sub Club), catering, and gift cards.

Product overview

Subway operates as a global quick-service restaurant chain offering freshly made submarine sandwiches and related food items. The product portfolio centers on customizable subs and sandwiches available in 6-inch and footlong formats, supported by digital ordering capabilities through the Subway mobile app and website. The company offers a loyalty program (Sub Club) for rewards earning and redemption, catering services for group events, and gift cards for gifting. Recent additions include the Fresh Value Menu (15 items under $5 launched April 2026), Protein Pockets, and Poppi prebiotic sodas. The brand maintains promotional partnerships including Disney's Moana Movie Meal Deal and Walmart Express Delivery integration. Subway serves millions of guests daily across more than 37,000 locations in over 100 countries.

Differentiator

Problem solved

Functional benefit

Brands

• Sub Club: Subway's loyalty rewards program that offers points per dollar spent (10 points per $1), with 400 points redeemable for $2 Subway Cash. Also features birthday bonuses and exclusive member offers.
• Fresh Fit
• Subway Cares Foundation
• Fresh Fit for Kids

Products and services

• Fresh Value Menu First-ever formal value menu in nearly 60-year history featuring 15 items priced under $5, including 6-inch subs at $3.99, Protein Pockets at $3.99, and rotating $4.99 Sub of the Day. Most items contain more than 20 grams of protein. Targeted at value-conscious consumers.
• Sub Club Loyalty Program Subway's loyalty rewards program where members earn 10 points per $1 spent, with 400 points redeemable for $2 Subway Cash. Features birthday bonuses and exclusive member-only deals. Originally relaunched December 2025 after 20-year absence, revised April 1, 2026.
• Subway Mobile App Subway's mobile application for iOS and Android enabling online ordering, pickup, delivery, payment, and access to Sub Club loyalty program and exclusive app-only promotions.
• Protein Pockets Protein-focused menu item containing over 20g of protein, priced at $3.99, launched January 8, 2026 as part of New Year menu lineup.
• Sub of the Day Rotating daily six-inch sub promotion priced at $4.99, launched January 8, 2026 as part of New Year menu lineup offering bold flavor at value pricing.
• Subway Catering Catering service offering classic and premium sandwich and wrap platters serving 5-9 people, lunch box bundles for 12 people, and individual lunch box meals. Starting at $7 per person in certain areas with same-day availability in 5 hours or less.
• Subway Gift Cards Physical and digital gift cards available for purchase. Includes a current promotion: buy $25 in gift cards, get a free 6-inch sub. Reload function available for existing cards. Bulk ordering with discount for purchases of $1,000 or more.
• Moana Movie Meal Deal Promotional partnership with Walt Disney Studios tied to live-action Moana film. Upgrade any meal for $1 to receive collectible Moana-themed cup and $15 Fandango promo code for movie tickets. Limited-time offer June 11 through August 19, 2026.
• Fresh Fit Menu Better-for-you menu line featuring 6-inch subs under 500 calories with 20g+ protein and full serving of fresh vegetables. Designed for guests tracking calories and protein intake.
• Fresh Fit for Kids Kids meal program offering three 4-inch mini sub options (Black Forest Ham, Oven-Roasted Turkey, Veggie Delite) paired with low-fat milk or juice and applesauce. Meets National Restaurant Association's Kids Live Well guidelines: less than 350 calories, up to 20g protein, one serving of fruit.
• Deli Faves Six-inch sub offerings at $3.99 as part of the Fresh Value Menu, positioned as affordable options for value-conscious consumers.
• Poppi Prebiotic Sodas (Subway-exclusive) Functional prebiotic soda partnership with PepsiCo offering Strawberry Lemon and Orange flavors, exclusively available at Subway U.S. locations under PepsiCo's beverage deal. Limited-time loyalty offer provides free drink with sandwich purchase.
• Subway Delivery Delivery service available through Subway app and website, including Walmart Express Delivery integration with 30-minute delivery alongside groceries in six U.S. states (CT, FL, GA, OH, PA, TX), expanding to approximately 1,400 locations by end of summer 2026.

Quantifiable outcome

• 68 consecutive months of sales growth in Japan
• +2 more outcomes

Named customers2 records

Segments4 records

Ideal customer profiles5 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration6 records

Feature2 records

Partnerships

Eleven partnerships are on record, tiered major, core and minor.

• Walt Disney StudiosmajorGTM or Marketing Partner · 8 June 2026Subway launched Moana Movie Meal Deal promotional partnership tied to Disney's live-action Moana film releasing July 10, 2026. Customers can upgrade any meal for $1 to receive collectible Moana-themed cup and access to $15 Fandango promo code for movie tickets. Available June 11 through August 19, 2026 at participating locations nationwide.
• WalmartcoreGTM or Marketing Partner · 5 June 2026Walmart integrated Subway into its Express Delivery service, allowing customers to order Subway through the Walmart app with 30-minute delivery alongside groceries. Launched in 6 states (CT, FL, GA, OH, PA, TX) with expansion planned to approximately 1,400 locations by end of summer 2026. Builds on 20-year relationship; Subway is Walmart's largest in-store restaurant tenant since 2004.
• Lay's Canada (PepsiCo)minorGTM or Marketing Partner · 4 June 2026Subway Canada and Lay's Canada launched limited-time Italian Herbs & Cheese flavored potato chip inspired by Subway's iconic bread flavor - first time this signature flavor has been adapted into chip format. Available exclusively at Subway restaurants across Canada.
• Global PaymentsmajorTechnology or Integration · 7 May 2026Global Payments signed agreement with Subway to deploy Genius point-of-sale solution in approximately 2,500 Subway locations following strong early interest from Worldpay's enterprise restaurant clients.
• Poppi (PepsiCo)minorChannel Partner/ Reseller/ Distributor · 7 May 2026Subway expanded drink menu nationwide with Poppi prebiotic sodas through exclusive US beverage partnership with PepsiCo. Strawberry Lemon and Orange flavors available with limited-time loyalty offer for free drink with sandwich purchase. Connects to PepsiCo's 2025 Poppi acquisition for $1.65 billion.
• RipplecoreTechnology or Integration · 27 April 2026Subway partnered with Ripple to overhaul global treasury operations using blockchain-powered infrastructure across 100+ countries. Reduced bank accounts from 450 to 350, banking partners from 70 to 30, achieved 98% visibility of global cash positions, and 90% automation of payment processes. Processed over 100,000 automated transactions in six months.
• Toronto Blue JaysmajorGTM or Marketing Partner · 30 March 2026Subway Canada entered multi-year partnership with Toronto Blue Jays, integrating brand across in-stadium signage, broadcast presence, and social content. Collaboration aims to connect with Canada's largest professional sports fan base.
• NIL ClubminorGTM or Marketing Partner · 20 March 2026NIL Club connected Subway with 174 college student-athletes for influencer marketing campaign across TikTok, Instagram Reels, and Instagram Stories. Campaign delivered 1,071,174 total impressions exceeding projected goal by 206%, with 8.4% engagement rate and shares surpassing projections by more than 4x.
• Grupo ViercimajorChannel Partner/ Reseller/ Distributor · 6 March 2026Subway signed a ten-year master franchise development agreement with Grupo Vierci to expand and upgrade its restaurant network in Panama. Plans to increase Panama restaurant count by more than 30% over the coming decade, including refurbishments and technology upgrades such as in-store kiosks, mobile ordering, and loyalty scheme.
• Independent Purchasing Cooperative (IPC)coreImplementation/ SI/ Consulting PartnerIPC manages supply chain for Subway franchisees and executed the company's biggest ever menu transformation (Eat Fresh Refresh) across 21,000 U.S. restaurants in approximately six weeks using C.H. Robinson's TMC Managed Solutions infrastructure.
• Food Banks CanadaminorOthersSubway Canada partnered with Food Banks Canada for eighth annual Never Miss Lunch Week campaign (June 15-21, 2026), providing 220,000 fresh food packs to children in 235 communities. Guaranteed minimum donation of $780,000 CAD for 2026.

Scale indicators17 records

Recent moves13 records

Expansion highlights6 records

Direct peers

• Panera Bread: US fast-casual bakery-cafe chain with ~2,000+ locations, owned by JAB Holdings. Direct competitor in better-for-you, made-to-order, customization-oriented dining that overlaps with Subway's Fresh Fit positioning and lunch-daypart traffic.
• Jersey Mike's Subs: Rapidly expanding US submarine sandwich franchise with 2,800+ locations. Direct head-to-head competitor in the sandwich QSR category with similar freshly-made, customizable positioning and an aggressive franchise growth strategy.
• Jimmy John's: US submarine sandwich franchise chain and #5 US sandwich chain, also owned by Roark Capital following the Subway acquisition. Sister-company relationship creates direct supply chain and development synergies and makes it the closest comparable in product offering (delivered submarine sandwiches).
• Chick-fil-A: US QSR chicken chain with ~3,000 company-operated locations and industry-leading per-unit sales. Comparable as a top-tier QSR competitor with strong loyalty, digital ordering, and customer engagement metrics that Subway's Sub Club program is attempting to match.
• Arby's: US QSR sandwich and roast beef chain with ~3,400 locations under Inspire Brands. Comparable as a multi-banner sandwich-focused QSR competitor competing for lunch traffic and franchisee capital against Subway.
• Wendy's: Major US QSR hamburger chain with ~7,000 global locations, predominantly franchised. Comparable in scale, franchise-based model, value menu competition (Wendy's $5 Biggie Bag vs. Subway's $5 Fresh Value Menu), and digital ordering infrastructure.
• McDonald's: World's largest QSR hamburger chain with ~40,000+ locations across 100+ countries. Directly comparable to Subway in global franchise-based QSR model, location count, and value-menu positioning, though Subway's average franchise investment ($150K-$500K) is materially lower than McDonald's $1M-$3M.
• Burger King: Global QSR hamburger franchise chain with ~18,000+ locations under RBI parent. Directly comparable in global franchise footprint, value-tier QSR positioning, and recent turnaround playbook similar to Subway's under Roark.

Emerging players

• Domino's Pizza: Global QSR pizza delivery chain with 20,000+ locations and industry-leading digital ordering/loyalty infrastructure. Comparable as a franchise-driven QSR with best-in-class digital platform that serves as a benchmark for Subway's app, loyalty, and delivery initiatives.

Broad incumbents

• Yum! Brands: Multi-brand QSR franchisor (KFC, Pizza Hut, Taco Bell, Habit Burger) with 60,000+ global locations. Comparable as a large-scale, asset-light franchise QSR holding company model, though it operates across multiple brands rather than a single sandwich concept.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/SUBWAY
• YouTubeyoutube.com/user/subway
• Facebookfacebook.com/subway
• LinkedInlinkedin.com/company/subway
• Instagraminstagram.com/subway

Compliance10 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles15 records

Subsidiaries2 records

Funding overview

Funding rounds1 record

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A1 record

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Subway