1851

<a href="https://1851franchise.com/subways-tuna-fish-sandwich-is-not-tuna-and-not-fish-lawsuit-claims-2714881">Tuna-gate</a> aside, 2021 was a great year for <a href="https://www.subway.com/en-US/OwnAFranchise?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">Subway</a>.&nbsp;The world's largest sandwich chain — and the second-largest franchise brand — recently <a href="https://www.qsrmagazine.com/fast-food/subway-breaks-sales-and-development-records-2021?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">announced</a> that it beat 2021 sales projections by nearly $1.4 billion and reached its highest annual AUV since 2014. Despite the ongoing challenges of the COVID-19 pandemic, including <a href="https://1851franchise.com/supply-chain-crisis-should-franchise-brands-turn-to-hoarding-2717359">supply chain issues</a>, <a href="https://1851franchise.com/what-the-vaccine-mandate-entails-for-fast-food-franchises-2717059">safety restrictions</a> and <a href="https://1851franchise.com/omicrons-spread-perpetuates-restaurant-labor-shortages-supply-chain-issues-2717672">labor shortages</a>, Subway’s success shows the industry at large may be well on its way to achieving — and surpassing — pre-pandemic levels.&nbsp;A massive 16,000 Subway locations experienced a 7.5% rise in same-store sales compared to 2019. Overall, the system saw an 8.7% increase in domestic same-store sales versus December 2019.&nbsp;Still, that recent AUV improvement could also be influenced by store closures. The brand closed 1,000 locations in 2021, most of which had lower unit volumes, which may have heightened the entire system average.&nbsp;But those closures don’t mean the chain hasn’t seen any development momentum, particularly internationally. Last year, Subway signed major development deals in India, Indonesia, Kuwait, Saudi Arabia, the United Arab Emirates and Thailand that will result in more than 3,000 future restaurants, <a href="https://www.qsrmagazine.com/fast-food/subway-breaks-sales-and-development-records-2021?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">according to QSR</a>. In November, the brand announced one of the "largest master franchise agreements in quick-service restaurant history” — an agreement with private equity firm Everstone Group to open more than <a href="https://www.qsrmagazine.com/fast-food/subway-inks-one-biggest-franchise-agreements-history?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">2,000 units</a> across South Asia over the next decade.Subway points to several factors that may have aided in its recent success. For one, the brand rolled out its largest menu update ever with <a href="https://www.qsrmagazine.com/exclusives/subway-unveils-biggest-menu-update-brand-history?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">July's launch of "Eat Fresh Refresh</a>,” introducing 11 new and improved ingredients, six new or returning sandwiches, and four revamped signature sandwiches. The brand also <a href="https://www.qsrmagazine.com/outside-insights/story-behind-subways-historic-menu-refresh?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">upgraded its mobile app</a> to include a new dashboard, fewer clicks, and insight into out-of-stock items.&nbsp;Subway also partnered with DoorDash to launch delivery through its website and app, emphasizing the growing importance of having a <a href="https://1851franchise.com/third-party-delivery-apps-continue-to-take-over-the-game-2710464">robust delivery platform</a> amid changing consumer behavior. Third-party delivery market revenue has increased <a href="https://www.businessofapps.com/data/food-delivery-app-market/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">204% in the past five years</a>, and the COVID-19 pandemic has only accelerated that trend."Subway’s 2021 sales results indicate we have the right team and strategy to bring our multi-year transformation journey to life," CEO John Chidsey said in a statement. "As we continue to evolve and build a better Subway, our priority remains working closely with our network of dedicated franchisees to help them grow their business and deliver a better food and better guest experience.”Subway isn’t the only franchise brand that exceeded expectations in 2021. Yum! Brands, the franchisor behind legacy concepts like KFC, Pizza Hut and Taco Bell, reported same-store sales growth for all of its concepts, both globally and in the U.S., and also broke a <a href="https://1851franchise.com/yum-brands-broke-a-franchising-record-last-year---heres-what-it-could-mean-for-the-industry-2717996">franchise industry record</a> with a whopping 4,200 new restaurants opened last year.Although both franchisees and franchisors are continuing to navigate a tumultuous restaurant industry, Subways’ sales growth suggests post-pandemic recovery is potentially on the horizon. According to a newly released <a href="https://restaurant.org/research-and-media/media/press-releases/association-releases-2022-state-of-the-restaurant-industry-report/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-subways-record-breaking-year-means-for-franchising-2718084" target="_blank" rel="nofollow">State of the Restaurant Industry</a> report from the National Restaurant Association, industry sales are expected to increase 12.4% in 2022, reaching $898 billion. The size of the workforce in the foodservice industry is also expected to grow in 2022, with an estimated addition of approximately 400,000 jobs.Related articles:&nbsp;<ul><li><a href="https://1851franchise.com/restaurants-reduce-operating-hours-due-to-staffing-shortages-2717775#industry-spotlight">Restaurants Reduce Operating Hours Due to Staffing Shortages</a></li><li><a href="https://1851franchise.com/december-restaurant-sales-slip-with-omicron-variant-and-inflation-to-blame-2717802#industry-spotlight">December Restaurant Sales Slip With Omicron Variant and Inflation to Blame</a></li><li><a href="https://1851franchise.com/restaurants-increase-menu-prices-due-to-inflation-2717700#industry-spotlight">Restaurants Increase Menu Prices Due to Inflation</a></li></ul>

What Subway’s Record-Breaking Year Means for Franchising

1851 Franchise

Like many other of the biggest franchise systems, 2021 proved to be a major turnaround year for the world’s largest sandwich brand and suggests a bright future ahead for the restaurant industry.  

what-subways-record-breaking-year-means-for-franchising

KLA Schools

kla-schools-franchise-positioning-image-building-exterior

KLA Schools Franchise: Cultivating Curiosity, Creating Opportunity

kla-schools-franchise

kla-schools-consumer-positioning-image-kids-playing-with-sand

Ignite Curiosity: Discover Child-Led Learning at KLA Schools

kla-schools-child-led-learning

Building Schools That Matter: How Roberto Ortega Is Scaling Purpose-Driven Education Through KLA Schools

kla-schools-roberto-ortega-franchise-education-model

Shuckin' Shack

Photo of spread of Shuckin' Shack menu items on table featuring oysters in the middle

Shuckin’ Shack Eyes Greenville, North Carolina for Franchise Growth

shuckin-shack-franchise-greenville-north-carolina

Footprints Floors

Photo of Footprints Floors team standing around kitchen island alongside CEO Bryan Park

How Footprints Floors Helps Franchisees Build Strong, Sustainable Businesses

footprints-floors-franchise-support-success

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

McDonald’s To Hire 375,000 Workers as It Prepares for Major U.S. Expansion

mcdonalds-to-hire-375000-workers-as-it-prepares-for-major-us-expansion

Subway Pushes Global Growth Despite U.S. Closures 

subway-pushes-global-growth-despite-us-closures

DoorDash Expansion Could Reshape Delivery and Operations for Franchise Brands - 1851 Franchise

DoorDash Expansion Could Reshape Delivery and Operations for Franchise Brands

doordash-acquistions-deliveroo-sevenrooms

Crumbl Franchise Investment - TSG Consumer Partners -  1851 Franchise

TSG Consumer Partners Takes Minority Stake in Crumbl, Signaling Franchise Growth Potential

crumbl-franchise-investment-tsg-consumer

Yum Brands Reports Strong Q1 Results with Big Boost from Taco Bell

yum-brands-reports-strong-q1-results-with-big-boost-from-taco-bell

District Taco Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-district-tacos-franchise-costs-fees-profit-and-data

How Car Sales Taught Buddy's Home Furnishings’ Mitchell Lee the Secrets of Franchise Development

how-car-sales-taught-buddys-home-furnishings-mitchell-lee-the-secrets-of-franchise-development

From Rock Bottom to Rock Solid: Why Butch Mogavero’s Franchise Journey Is Striking a Chord With Entrepreneurs

butch-mogavero-boulder-designs-border-magic-franchisor-hot-seat

Bumble Roofing Franchise Costs, Fees, Profit and Data for 2025

bumble-roofing-franchise-deep-dive

1851 Franchisee Spotlight graphic with photo of Steve & Mia Kim & Paris Baguette logo

After Falling in Love with Paris Baguette, This North Carolina Couple Decided To Open One of Their Own

paris-baguette-franchise-charlotte-nc

The Top 20 Cleaning Franchises to Invest in for 2025

top-cleaning-franchises-to-invest-in

Affordable Franchise Opportunities: Exploring Low-Cost Home Service Franchises Under $50K

affordable-franchise-opportunities-exploring-low-cost-home-service-franchises-under-50k

What Subway’s Record-Breaking Year Means for Franchising

MORE STORIES LIKE THIS