Topic > Situation Analysis of Subway Sandwich Shops - 1644

Situation Analysis of Subway Sandwich ShopsSubway Sandwich, as presented in the Case Study presented in the Marketing Management class MGT 551, is an undisputed market leader in a segment that is “firmly established as a national food market for which there is ample space in all areas” (University of Phoenix, 2008). However, with increasing competition, changing consumer trends, and increased product specialization, Subway's true strategic marketing challenge is to be able to develop and maintain a differential advantage while sustaining sales growth and of profitability. Subway Sandwich competes effectively with other fast-food restaurants by including and promoting healthier meals on its menu, as demonstrated by singling out its subs with 6 grams of fat or less, and through its advertising campaign featuring Jared "the Subway guy" who has lost 245 pounds in one year on a strict Subway diet (Subway, 2008). However, as demonstrated below in a market summary supplemented by a SWOT analysis, it is established that Subway must attract a customer base beyond its traditionally health-conscious consumers in order to overcome marketing challenges and increase sales volumes and profitability. individual stores. The sandwich market – a growing industry Consumer interest in burgers and fries is steadily declining in favor of sandwiches, which gives Subway a competitive advantage over competitors such as MacDonald's or Burger King, for example. While most fast food restaurants respond to this phenomenon by modifying their menus to include healthier choices, Subway benefits from 15% annual sandwich sales growth compared to a meager 3% growth for burgers and steaks (McCarty, 2007 ). The United States......middle of paper......les. Retrieved June 16, 2008, from http://ezinearticles.com/?Fast-Food-Market-Forecast---The-Subway-Example-of-Strategic-Product-Positioning&id=735770Men's Fitness, (March 2008). Don't overdo it. Men's Fitness, 24(2), p.32. Retrieved June 17, 2008, from the EBSCOhost.Subway database, (2008, June). Frequently asked questions. In Who we are. Retrieved June 17, 2008, from http://www.subway.co.uk/Subway (2008, June). Jared's incredible story. In Menu/Nutrition, All about Jared. Retrieved June 15, 2008, from www.subway.comUniversity of Phoenix, (2008, June). Case 1: Subway sandwich shops. On the MKT 551 – Marketing Management rEsource web page. Retrieved June 17, 2008, from https://mycampus.phoenix.edu/secure/resource/resource.aspWilson Quarterly, (Winter 2008). Light food, heavy eaters. Wilson Quarterly, 32(1), p.11. Retrieved June 17, 2008, from the EBSCOhost database.