Subway, the US-based restaurant chain has stepped up efforts to increase its footprint across India as it plans to have around 1,000 outlets over the next five years. The company currently operates 263 restaurants across 50 cities of India.
“A large part of our expansion will be focussed on smaller cities such as Shillong, Darjeeling and Ambala among several others,” said Fred DeLuca, CEO and founder, Subway.
He added that the small store format, which allows for Subway restaurants to come up in around 600 to 800 sq ft, makes it easier for the company to target far-flung areas and smaller towns.
“The smaller format makes it much easier for our franchisees to break even and make good profits,” said DeLuca. The total investment is estimated at around $58 million (Rs 300 crore).
Globally, Subway does not own or operate its own stores rather has stores that are operated and managed by its franchisees. A franchisee contributes $90,000 (Rs 45 lakh) as fees to open a Subway restaurant.
DeLuca added the company aims to open 4,000 new stores across the world over the next two years. At present there are around 36,000 Subway restaurants across the world.