Largest US Fast Food Chain Closes 600 Stores in 2025
Subway Faces Significant U.S. Store Closures, Lowest Count in 20 Years
Subway, the fast-food chain known for its submarine sandwiches, has experienced a notable reduction in its U.S. presence, with over 600 locations closing in the past year.
Shrinking Footprint
According to QSR, Subway’s U.S. footprint decreased by a net of 631 restaurants in 2023, bringing the total number of stores to 19,502.this marks the lowest number of locations in the United States for the chain in two decades.
The decline is significant, as the company had not dipped below 20,000 stores since reaching its peak of approximately 27,000 locations in 2015.
Unexpected Closures Impact Employees
The impact of these closures has been felt across the country. In Oregon, for example, 23 Subway branches closed abruptly, leaving more than 200 employees without jobs, according to KPTV.
Joanne Kennedy, a manager at one of the affected locations, expressed her frustration, stating the closures were sudden adn without warning. “Without notice, without anticipation, wholly surprised, all of us,” Kennedy saeid.
Overall Decline and Market position
Since 2016, Subway has shuttered approximately 7,600 stores in the U.S., according to data reported by QSR. Despite these closures, subway still maintains the largest number of locations compared to other fast-food chains in the United States.
Though, in terms of revenue, McDonald’s led the fast-food market in 2023 with 13,457 U.S. locations, according to Food Industry.com. Starbucks holds the second position in terms of store count, with 16,346 locations.
Global Expansion and Strategic Adjustments
While facing contraction in the U.S. market, subway has focused on international expansion and brand revitalization. QSR reports that Subway has achieved positive net growth in its global restaurant count for the second consecutive year.
Currently, Subway has approximately 37,000 stores worldwide. A company spokesperson told QSR that their approach involves “intelligent growth,” optimizing their presence through data-driven strategic analysis.
This strategy includes opening new restaurants, relocating existing ones, and closing locations that do not meet the company’s standards for location, design, and operation.
Franchisee Challenges
An article in Restaurant Business highlighted that Subway franchisees in the U.S. have closed 28% of the chain’s stores in less than a decade. The company says this adjustment reflects an effort to ensure a consistent and high-quality customer experience.
Humble Beginnings
subway, founded in Connecticut in 1965, began as a modest endeavor. According to the company’s website, Fred DeLuca, then 17, started the business to fund his college education.
With a $1,000 investment from dr. Peter Buck, a nuclear physicist, the two formed a partnership that would transform the fast-service restaurant landscape. Since then, Subway has grown into a global brand, now navigating significant challenges in its original market.
Subway Store Closures: Your Top Questions Answered
subway, the popular sandwich chain, has been in the news lately. This article addresses the important questions surrounding Subway’s recent challenges,all based on the details provided.
What’s happening with Subway in the U.S.?
Subway is experiencing a meaningful reduction in its U.S. presence. According to QSR, the chain’s U.S. footprint decreased by a net of 631 restaurants in 2023. This brought the total number of U.S. locations down to 19,502, the lowest count in two decades. The company’s peak was approximately 27,000 locations in 2015.
How many Subway stores have closed recently?
in 2023, Subway saw a net decrease of 631 restaurants in the U.S., as reported by QSR. This number reflects the difference between store openings and closings.
How does this compare to Subway’s past performance?
The current number of U.S.locations, 19,502, is the lowest in the past two decades. Subway had not dipped below 20,000 stores since 2015 when it had approximately 27,000 locations. Since 2016, Subway has closed approximately 7,600 stores in the U.S., according to QSR data.
Have these closures impacted employees?
Yes, the closures have had a direct impact on employees. For example,23 Subway branches in Oregon closed abruptly,leaving over 200 employees without jobs,according to KPTV.
What’s the manager’s perspective on the Subway closures?
Joanne Kennedy, a manager at one of the affected locations, expressed frustration, stating the closures where sudden and without warning.She said, “Without notice, without anticipation, wholly surprised, all of us.”
How does Subway’s store count compare to other fast-food chains?
Despite the closures, Subway still maintains the largest number of locations compared to other fast-food chains in the united States.However, in terms of revenue, McDonald’s led the fast-food market in 2023 with 13,457 U.S. locations, according to Food Industry.com. Starbucks holds the second position in terms of store count, with 16,346 locations.
What is Subway doing in response to the U.S. market contraction?
Subway is focusing on international expansion and brand revitalization. QSR reports that Subway has achieved positive net growth in its global restaurant count for the second consecutive year.
How many Subway stores are there worldwide?
Subway has approximately 37,000 stores worldwide.
What is Subway’s strategy for growth?
A company spokesperson told QSR that their approach involves “bright growth,” optimizing their presence through data-driven strategic analysis. This strategy includes opening new restaurants, relocating existing ones, and closing locations that do not meet the company’s standards for location, design, and operation.
Are franchisees facing any challenges?
Yes. An article in Restaurant Business highlighted that Subway franchisees in the U.S.have closed 28% of the chain’s stores in less than a decade. the company says this adjustment reflects an effort to ensure a consistent and high-quality customer experience.
How did Subway begin?
Subway was founded in connecticut in 1965. Fred DeLuca, then 17, started the business to fund his college education with a $1,000 investment from Dr. Peter Buck,a nuclear physicist. Together, they formed a partnership that transformed the fast-service restaurant landscape.