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Subway strategy for sandwich restaurant chain

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The Star:

SUBWAY, a sandwich restaurant chain from the US, plans to increase its presence in Malaysia by having 12 franchised outlets by the end of this year.

It aims to open eight outlets this year, in addition to the four that are located in the Klang Valley, said Subway development agent Cynthia Cheong. The latest outlet was opened in Leboh Ampang, while the next one is scheduled to open in Penang by end of this month. At present, each outlet runs its own in-house promotion. After the number of outlets reached 10, Cheong said Subway would revise its strategy to do above-the-line advertising such as on radio and in newspapers.

“We have received numerous enquiries from Johor Baru, Ipoh and east Malaysia. However, currently, we have no plans to go into those areas.

“We want to focus on the Klang Valley, which still offers a huge potential for expansion, to ensure a better visibility for Subway here,” she told StarBiz.

Cheong added that Penang was an exception because the franchisee there had the potential to open a few outlets.

“Penang is the next location outside of the Klang Valley that we want to develop. Then, we will consider other parts of Malaysia,” she said.

In the Klang Valley, the restaurants are located in Wisma UOA at Jalan Pinang, Wisma UOA at Jalan Dungun, Pusat Bandar Damansara, and 1 Utama shopping centre.

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