Companies

Subway Drops Below 20,000 U.S. Locations for the First Time in Two Decades

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Sandwich chain Subway has once again downsized its footprint in the United States, closing 631 restaurants in 2024 and bringing its total number of domestic locations down to 19,502, according to franchise disclosure documents. This marks the eighth consecutive year the company has reduced its U.S. presence, though it remains the largest restaurant chain in the Americas.

Subway’s decline in the U.S. has been gradual since peaking at around 27,000 locations in 2015. The brand has struggled amid intensifying competition, shifting consumer preferences, and lower average sales per store compared to its rivals.

Despite shrinking at home, Subway highlighted its international growth for the second consecutive year, now operating a total of 37,000 restaurants worldwide. The company told CNN it is using a “data-driven strategic approach” to refine its U.S. footprint by relocating or closing restaurants as needed to enhance the customer experience.

In recent years, Subway has undertaken a broad effort to revamp its image and offerings. In 2023, it unveiled a new store design featuring a bolder brand identity, vibrant decor, and upgraded seating. It also introduced freshly sliced meats, moving away from its previous use of pre-sliced deli options, and expanded menu customization.

Amid rising prices, Subway has also leaned into digital tools to draw in value-conscious customers. On Wednesday, it announced the return of its $6.99 footlong promotion throughout May, though the offer remains exclusive to digital orders placed via its app or website — a tactic widely used in the fast food industry to drive customer loyalty.

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