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Tuesday, November 11, 2008

How Subway overtook McDonalds


Subway is one of the UK's fastest growing major fast-food chains and has just sneaked past McDonalds to hold the largest number of outlets in the UK and Ireland, yet Subway remains an underground success. The privately owned US company, which operates through dozens of franchisees around the country, has seen exponential growth in the past three years, opening 800 stores to reach 1,300 outlets in the UK and Ireland.
Its ambition is to have 2010 stores here by 2010 as it ramps up advertising spend in a bid to draw in new customers and franchisees.
Although it is a sandwich shop, Subway's locations, customer profile and operating style, such as late opening hours, give it more in common with fast food chains such as McDonalds and Kentucky Fried Chicken. Subway, which sees 15-25 year olds as its core customers, is now trendier among teenagers than McDonalds in certain sectors of the country. No doubt that's helped by its relatively cheap and large sandwiches, assembled to order on the spot.

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