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Freshii takes another shot at Subway Freshii

Freshii takes another shot at Subway

Another open letter urges sandwich giant to allow franchise conversions

Freshii Inc. took another broadside shot at its far larger competitor Wednesday with the CEO again urging Subway to allow franchisees to convert to the Canada-based health-oriented brand.

Toronto-based Freshii, with 300 locations in 15 countries, published a full-page open letter to Subway in the Chicago Tribune urging the company to consider allowing franchisees to move to its brand. Milford, Conn.-based Subway, owned by Doctor’s Associates Inc., has 44,000 restaurants in 113 countries, but it has closed some stores over the past three years.

“Rather than risking the closure of another 900 Subway stores in 2018,” wrote Matthew Corrin, Freschii CEO and founder, “let’s explore a partnership.” The letter will also appear in the Jan. 22 issue of Nation’s Restaurant News.

In March 2017, just two months after going public in Canada, Corrin published a similar letter aimed at Subway in the Toronto Globe and Mail. Corrin also aimed his pen at frozen yogurt brands in 2016 and McDonald’s Corp. in 2015.

“Let’s work together to convert select Subway stores to Freshii restaurants,” Corrin said in the most recent “Dear Subway” letter. “This will allow Freshii and Subway to achieve a mutually beneficial outcome: supporting entrepreneurial franchise partners and continuing to deliver on our missions.”

Subway had not commented on Wednesday’s letter by press time. The company has been working on refreshing units and modernizing its menu, but some franchisees have reportedly pushed back on recent promotions like the $4.99 foot long.

Corrin quoted late Subway founder Fred DeLuca as saying, “As a business owner you’ll be in a constant race against an ever-improving marketplace.”  And Corrin added that DeLuca was an inspiration for the recent offer.

“By allowing some of your franchise partners to convert now, we believe you’ll be creating a better business future for them,” Corrin wrote. “You’ll also be improving the future of your remaining franchise partners who will continue to operate their Subway restaurants in a less-crowded marketplace. The health of the overall Subway system will be improved.”

Freshii, founded in 2005, reported same-store sales grew 5.1 percent in the third quarter ended Sept. 24.

Contact Ron Ruggless at [email protected] 

Follow him on Twitter: @RonRuggless


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