Subway has had its share of misfortunes, including seeing its longtime advertising spokesperson jailed on misdemeanor charges of child pornography and sexual intercourse.
You might say that when you mention this brand, the first thing people think of is still “$5 Footlongs” or Jared Fogle. Still, Subway has moved on from its endorsement scandal.
“They have to admit they are in a terrible situation and then get back to the fact that the spokesperson’s actions in no way affect the brand’s commitment to providing customers with healthy alternatives to fast food,” Patrick Hillman, a vice president at Levick Communications, a public relations firm that specializes in crisis management, told Marketing Dive when Fogle was first arrested.
Subway’s successful response to the scandal could open the door for domestic competitors like Blimpie’s to capture market share. In contrast, Blimpie’s has closed nearly 2,000 stores, leaving fewer than 100 in the United States
In fact, Blimpie’s is connected to another famous sandwich chain that does a better job.
“Blimpie was founded in 1964 in Hoboken, New Jersey, by three partners who borrowed $2,500 to open their first sandwich shop. Blimpie was originally modeled after a business called Mike’s Submarines (which later became Jersey Mike’s), selling a line of very similar sandwiches,” The Takeout reports.
After a change of ownership in 2001, Blimpie began contracting.
The website adds: “Some of the factors that contributed to Blimpie’s fall from grace include poor management decisions and overexpansion in poorly chosen areas. One of the chain’s biggest mistakes was trying to expand into non-traditional areas such as convenience stores, kiosks and shopping carts. These businesses failed to generate meaningful profits.”
The chain’s current owner, Kahala Brands, acquired it in 2006.
“But Blimpie’s accumulated challenges and missteps proved too great; it continued to falter, closing more than 1,000 stores between 2001 and 2011, and now has fewer than 100 stores,” Food Republic reports.
Blimpie’s, Subway and other low-cost sub chains never really caught on in the small Massachusetts town where I grew up, which had at least three locally owned sub stores within three square miles.
When I do experience these chains on my travels, it doesn’t take 30 years of food writing experience to notice where they seem to be cutting corners to keep prices down. Portions feel smaller and ingredients are of noticeably lower quality than at local branches, a trade-off that helps explain why these national chains have struggled to gain traction in markets with strong independent brands.
