The Rise and Fall of Subway

Subway's success reached its peak in the early 2000s through strategic marketing campaigns, like the Jared Fogle weight loss story. The financial crisis of 2008 further boosted sales with the introduction of $5 footlongs. However, Subway's aggressive expansion and low franchise fees led to oversaturation, cannibalizing sales and prompting franchisee dissatisfaction. PR scandals, including accusations against their spokesperson and quality control issues, eroded trust in the brand. These factors, along with poor financial performance, resulted in Subway ceding control to a private equity firm for $9.6 billion, signaling the need for a revitalization strategy to restore Subway's reputation and financial health.