Subway Sale to Roark
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Subway Sale to Roark
Subway finally completed its sale to Roark Capital today:
https://newsroom.subway.com/2024-04-30- ... s-Complete
You all probably know that there are other restaurants including other sandwich operators, in Roark’s portfolio. Some of their restaurants are in holding companies. It sounds like Subway will be ran separately like a few of their holdings are. But could they at least be adventurous and do some co-branding? In the past I’d been to a Blimpie/Baskin-Robbins co-brand. Yes, I know those aren’t even the same company. But dessert with your Subway sub would be great, other than their cookies! Or a Dunkin/Subway? We used to have Schlotcsky’s in my area that also had a Cinnabon! Subway/Cinnabon? Or how about offering MiniBons at breakfast? I know I’m dreaming!
https://newsroom.subway.com/2024-04-30- ... s-Complete
You all probably know that there are other restaurants including other sandwich operators, in Roark’s portfolio. Some of their restaurants are in holding companies. It sounds like Subway will be ran separately like a few of their holdings are. But could they at least be adventurous and do some co-branding? In the past I’d been to a Blimpie/Baskin-Robbins co-brand. Yes, I know those aren’t even the same company. But dessert with your Subway sub would be great, other than their cookies! Or a Dunkin/Subway? We used to have Schlotcsky’s in my area that also had a Cinnabon! Subway/Cinnabon? Or how about offering MiniBons at breakfast? I know I’m dreaming!
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Re: Subway Sale to Roark
I wonder how many Subway operators will take the opportunity to change completely out of the concept and switch to another Roark brand. I imagine it will be a significant number, especially in markets where Jersey Mike's is still aggressively adding locations like SoCal. I cannot recall the last time I passed a Subway with any customers inside, and all the mall food court locations I can think of are gone.
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Re: Subway Sale to Roark
Do the other Roark brands have territory rights built in unlike Subway? Pretty sure at least some of them do. Might not be an option to switch for a lot of them.
I don't see any integration with Roark. I think they are just a holding company to collect royalties.
Unlike RBI (BK/Popeyes,etc.) where there is quite a bit of integration occurring between the brands.
I don't see any integration with Roark. I think they are just a holding company to collect royalties.
Unlike RBI (BK/Popeyes,etc.) where there is quite a bit of integration occurring between the brands.
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Re: Subway Sale to Roark
For most Subway operators, there is not enough space to change to anything else. Jersey Mike's is a larger format, and higher costs. There was a time when a Subway franchise could be had for $10,000 plus building and FFE costs. Obviously that's no longer true, but it has long been one of the lowest cost franchise restaurants around.ClownLoach wrote: ↑April 30th, 2024, 9:29 pm I wonder how many Subway operators will take the opportunity to change completely out of the concept and switch to another Roark brand. I imagine it will be a significant number, especially in markets where Jersey Mike's is still aggressively adding locations like SoCal. I cannot recall the last time I passed a Subway with any customers inside, and all the mall food court locations I can think of are gone.
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Re: Subway Sale to Roark
Given the relatively small size of some Subway locations, I could see some potentially converting to Baskin-Robbins. The layout of the counter space is somewhat similar, although coolers obviously would need to be swapped out. I can't see a Subway co-branding with Baskin-Robbins unless it is a larger location. Baskin-Robbins locations seem to be disappearing in my area though.
I am not really sure that Subway co-branding with their other companies would work all that well though.
I am not really sure that Subway co-branding with their other companies would work all that well though.
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Re: Subway Sale to Roark
Ironically, the first Subway I remember seeing was in the early 80's in Longview, TX - sharing a parking lot with BR. The buildings were of an identical but flipped floorplan....Super S wrote: ↑May 1st, 2024, 11:23 am Given the relatively small size of some Subway locations, I could see some potentially converting to Baskin-Robbins. The layout of the counter space is somewhat similar, although coolers obviously would need to be swapped out. I can't see a Subway co-branding with Baskin-Robbins unless it is a larger location. Baskin-Robbins locations seem to be disappearing in my area though.
I am not really sure that Subway co-branding with their other companies would work all that well though.
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Re: Subway Sale to Roark
Some Roark owned concepts that might fit (I didn't realize how many of these they owned);
Auntie Anne's, Carvel, Cinnabon, Jamba, McAlister’s, Schlotzsky's, Seattle's Best Coffee (when did SBUX give that up?), Baskin Robbins, Dunkin Donuts, Jimmy John's.
I think any of these would be an upgrade from the bottom of the barrel Subway. I had only mentioned Jersey Mike's because they're killing Subway as they're perceived to be serving fresher food. Subway has never recovered from the perception of the chemicals in the bread. Wherever Jersey Mike's opens, the nearest Subways close shortly after.
Auntie Anne's, Carvel, Cinnabon, Jamba, McAlister’s, Schlotzsky's, Seattle's Best Coffee (when did SBUX give that up?), Baskin Robbins, Dunkin Donuts, Jimmy John's.
I think any of these would be an upgrade from the bottom of the barrel Subway. I had only mentioned Jersey Mike's because they're killing Subway as they're perceived to be serving fresher food. Subway has never recovered from the perception of the chemicals in the bread. Wherever Jersey Mike's opens, the nearest Subways close shortly after.
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Re: Subway Sale to Roark
I can think of one locally where that has not happened - in fact, in that case the Subway is in a strip plaza directly behind the Jersey Mike's (that is a smaller building with about 4 small store spots that was built closer to the road, and the spot was Moe's and switched at some point at least a year ago now). They also have a Five Guys and Applebees in that same plaza (not quite the same, but other options).ClownLoach wrote: ↑May 1st, 2024, 1:28 pm I think any of these would be an upgrade from the bottom of the barrel Subway. I had only mentioned Jersey Mike's because they're killing Subway as they're perceived to be serving fresher food. Subway has never recovered from the perception of the chemicals in the bread. Wherever Jersey Mike's opens, the nearest Subways close shortly after.
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Re: Subway Sale to Roark
McAlister’s, Schlotsky’s, or even Jimmy John’s would be an upgrade over Subway…
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Re: Subway Sale to Roark
I think the "chemicals in the bread" was a bunch of hogwash that was completely overblown. The only reason it gained any traction was the distinctive "Subway smell" which everyone knows about but no one can adequately explain.ClownLoach wrote: ↑May 1st, 2024, 1:28 pm Some Roark owned concepts that might fit (I didn't realize how many of these they owned);
Auntie Anne's, Carvel, Cinnabon, Jamba, McAlister’s, Schlotzsky's, Seattle's Best Coffee (when did SBUX give that up?), Baskin Robbins, Dunkin Donuts, Jimmy John's.
I think any of these would be an upgrade from the bottom of the barrel Subway. I had only mentioned Jersey Mike's because they're killing Subway as they're perceived to be serving fresher food. Subway has never recovered from the perception of the chemicals in the bread. Wherever Jersey Mike's opens, the nearest Subways close shortly after.