![]() ![]() Our team will help you evaluate potential site locations targeting a variety of demographics without overly saturating the market and consumer demand for the area. With a brand in growth mode, such as Penn Station, the sky is the limit when it comes to expansion opportunities in many major markets. Large brands that have reached unit saturation in markets may typically have far fewer growth opportunities for potential new franchise investors because new growth is often awarded first to current franchisees that are already a part of the system. Subway has expanded into nearly all markets, and by some estimates there are more Subways than McDonalds in the world. Franchise Expansion Opportunities (The Lettuce) Now is a perfect time to get in early on a growing, thriving chain. There are currently more than 300 locations with more growth opportunities and market territories coming available regularly. Penn Station is currently growing throughout the Mid-West and East coast with future growth opportunities across the country. Our East coast style sub chain is not confined to just the shoreline. With so many locations, new growth opportunities for franchisees may be a challenge because many of the prime franchise development territories are already taken. ![]() However, this can make it difficult to stand out among the sandwich crowd. alone and in every state, Subway is present in just about every market imaginable. With more than 20,000 locations in the U.S. Let’s compare Subway’s franchise “BLT” scenario to Penn Station’s. Looking at how much your bacon, lettuce, and tomato costs can show it’s worth, too-you know, you get what you pay for. If there’s not enough lettuce, is it really a BLT? If the tomatoes are too small, you just have bacon and lettuce-and that’s no sandwich. If the bacon is too saturated, it ruins the whole bread. There are a few main ingredients you need to set up a business venture for success. In a 2022 Franchise Business Review survey, Penn Station outperformed the national average of franchisees who say they would still invest and “do it all over again” if they had the chance with 68.8% of franchisees saying “yes, they would invest all over again knowing what they know today.”īuilding a good sub sandwich franchise is a little like building a knock-out BLT sandwich. They should also ask if they would do it again if they had the chance to start from scratch. They should ask questions about the business, their return on investment (“ROI”), competency and strength of management, and evaluate the franchisee satisfaction levels. Potential sandwich franchisees should always carefully review the Franchise Disclosure Document (“FDD”) and connect with current franchisees of the brand they are evaluating. Is the sandwich chain you are evaluating typically empty at night and known mostly as a quick and cheap lunch option, or do they also attract the dinner crowd? Penn Station, with its fresh, grilled to order, hot sandwiches and fresh-cut fries enjoys a lunch and dinner daypart that is almost evenly split. Another important factor is the daypart opportunity for the business. While alternative sub franchises may potentially have some a higher initial investment, the growth and return potential should always be factored into the decision-making equation. Consumers crave new and unique dining options in the fast food and fast-casual space and desire a variety of brands. A growing alternative sandwich franchise can be a lucrative opportunity to invest in because it has more growth potential for the franchisee as well. While a large name brand may initially be appealing to invest in, consideration of the growth and development territory expansion opportunities is critical for return on investment and portfolio building. Alternative Sub Sandwich Franchise Success Savvy prospective franchisees are looking beyond larger chains, such as Subway, as part of their due diligence process to carefully evaluate the right sandwich franchise opportunity for their investment. Investors looking to get a bite out of the sandwich franchise industry have several options and should carefully consider multiple available brand opportunities. The saying is, “the proof is in the pudding,” but for the sandwich franchise industry, the proof is really between two slices of bread. Penn Station Subs Franchise: How they Compare ![]()
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