Multi-generational franchisees keep Subway® a strong family business
BIRTH OF A LEGEND
Subway® started as a family-owned business 52 years ago when 17-year-old Fred DeLuca opened a sandwich shop in Bridgeport, CT, U.S.A. Today, the world’s largest quick service restaurant chain is led by Fred’s sister Suzanne Greco, who oversees a brand whose strength is still in its strong family bond, with many second- and third-generation franchisees joining the Subway team.
“I started when I was very young, maybe around 12-years-old or so,” said 30-year-old Nick DiPasqua, Executive Vice President of Subway Development of Central Florida. “I was cleaning tables and prepping food. I worked in the shops throughout high school and college. After college I officially began my career at Subway.”
BUILDING A LEGACY
Nick’s grandparents, Peter DiPasqua Sr. and Lucy DiPasqua, began DiPasqua Enterprises Inc. as Orlando-area Subway franchisees in 1977. Peter, a barber, had used his life savings to buy a Subway restaurant and invited his children to join the “family” business. Now, with Nick, his sister and a cousin on board, the DiPasqua family is now into its third generation of family-run Subway restaurants.
“There were a few things that attracted me to Subway,” Nick explained. “Since I was the third generation in our franchise, I grew up in this business. I saw the success my grandparents and my parents achieved and I wanted to be part of that legacy.”
Second generation Franchisees Raghu, Rohit and Rinku Marwaha also started working in their parent’s Subway restaurant, located in Hawthorne, California, as teenagers. After college, Raghu and Rohit entered the corporate world, but quickly decided they would have greater potential as an entrepreneur with Subway.
“Although we are under the franchise umbrella, Subway really allows one to be a true entrepreneur and control your future,” said Raghu. The brothers, who are still involved in restaurants with their sister and parents, own 150 restaurants as franchisees and oversee another 1,230 locations as Development Agents.
CREATING A MODERN BRAND
While one of Subway’s strengths is the generations of families invested in the restaurant chain, the benefits of the multi-generational franchises are the cutting-edge ideas and perspectives the younger generation brings.
Over the last few years, Subway has undergone a transformative journey to reflect a modern perspective of the brand. In 2016, the company launched a new visual identity, marked by an updated logo and signature choice mark. Most recently, Subway launched its new restaurant design and concept, Subway Fresh Forward, to create a personalized, convenient and rewarding experience for customers. The changes executed by Subway was partly informed by input from its franchisees and customers, many who are millennials.
The Subway Fresh Forward design has a digital focus. Customers can now customize their sandwiches through a self-ordering kiosks. For those going through the traditional sandwich line, there are digital menu boards with calorie information listed. Also, customers who use remote ordering through Subway’s website, app or Facebook messenger have a designated area to pick-up their food quickly.
“We’ve created a modern design that gives our guests choices – from how they order, to how they pick up their food, to how they enjoy their meal,” said Trevor Haynes, Vice President of Operations for Subway. “The reactions from our guests, our franchisees and the Sandwich Artists™ has been incredibly positive.”
Stephen and Sue Pasco, who own and operate 16 Subway shops in the U.K. across Bristol, Gloucester, Somerset and Wiltshire, opened one of the 87 re-designed locations currently operating around the world. “We’re hugely proud to be able to open one of the first UK restaurants featuring the new design,” Sue said. “The newly transformed restaurant offers customers more of what they love about Subway.”
The new design showcases Subway’s fresh baked bread in new, modern displays. Also, redesigned restaurants feature a fresh veggie display for the vegetables that Sandwich Artists cut daily in the restaurants.
For Stephen and Sue Pasco, Subway is also a family affair. Their son, Ryan, started as a Sandwich Artist™ and has recently transitioned to the development team to help ensure the future and success of his family’s business.
GLOBAL OPPORTUNITIES
Subway Chief Development Officer Don Fertman said that there are still global opportunities with the world leader in sandwiches and salads. Currently, there are 44,267 restaurants in 112 countries – and many of the opportunities are available outside the United States.
“It is almost like ‘Where in the world do you want to go?’“ Don asked. “We are undergoing a market realignment initiative to make sure we have the right locations with the right franchisees in every market we serve. As we get into new markets, we have and will continue to build Subway shops one location at a time. Each location is important to us.”
AT A GLANCE
Name of franchise: Subway
(Franchise World Headquarters, LLC)
Established: 1965
Number of franchised outlets: 44,267
Location of units: 112 countries
Investment range: $147,050 – $320,700+
Minimum required capital: one half of the total investment in cash
URL: www.subway.com
Contact: Ralph Piselli, Franchise Sales Manager email: Piselli_R@subway.com
