Subway has decided to end its $6.99, 6-inch Meal Deal earlier than planned due to disappointing sales performance. Initially introduced on November 3, the Meal Deal aimed to boost customer traffic and profitability but did not yield the anticipated results across the board. Although the promotion did generate a notable number of daily redemptions during its market test, it has not significantly impacted overall sales, leading Subway to withdraw it from stores by December 4, while keeping it available through digital channels until December 26.
In a strategic pivot, Subway will offer a 20% discount on any sub from November 27 to January 5, 2025. A Subway representative emphasized that the company’s approach to value is data-driven and focused on balancing consumer interests with franchisee profitability. This commitment to respond quickly to feedback showcases a dedication to adapting and improving their offerings.
Subway has faced notable challenges in recent years, including the closure of over 6,500 U.S. locations since 2016. The company also recently encountered financial difficulties, such as the hacking incident that drained a franchisee’s account in Oregon and Washington.
Amid these struggles, the brand is preparing for leadership changes as CEO John Chidsey announced his retirement at the year’s end. He will be succeeded by Carrie Walsh, the current president for Europe, the Middle East, and Africa, who will take on the role of interim CEO.
In contrast to Subway’s experience, other fast-food chains like Taco Bell and Wendy’s continue to thrive with their affordable menu options, demonstrating that value meals can still resonate with consumers. Upcoming changes in the industry include McDonald’s revamped McValue menu, which launches in 2025 with enticing offers.
In conclusion, while Subway is recalibrating its approach to marketing and valuing customer needs, it remains hopeful for recovery and resilience. By strategically exploring new initiatives, the brand can reinforce its commitment to serving its customers and franchisees effectively.
Summary: Subway is discontinuing its $6.99, 6-inch Meal Deal due to low sales, opting instead for a 20% discount on subs. The chain has faced financial challenges and announced leadership changes while noting that other fast-food chains have found success with value offerings.