Subway Plans 30-Store Sandwich Chain in Sri Lanka!
Subway, a US-based fast food franchise which launched in Sri Lanka this week is planning a 30-store chain in the island over the next five years, officials said.
Subway opened its first store in Colombo’s upmarket R A De Mel Mawatha this week.
“We are planning to open 30 stores in Sri Lanka within next five years and double it within another five years’ time, Asanth Sebastian, co–franchise owner said.
The firm has invested about 500,000 US dollars in the venture with total investment including marketing to kick-off the brand estimated at about a million US dollars.
The chain has expanded into over 100 countries with its trademark submarine sandwiches and salads.
“What we will do in the years to come is to find customize locations to suits the market,” Nathan Wills, Chairman of Subway Development (Pvt) Ltd, Sri Lanka said.
“The store you have seen today at R A De Mel Road (Colombo) is quite rich and lavish. We can scale it up or scale it down according to the location or the shopping center.”
Sebastian said up to three more restaurants may be opened this year.
“We are planning to open two to three subway stores in Sri Lanka this year,” Sebastian said.
“Initially we will launch Subway in Colombo and greater Colombo and then we will be looking at Kandy Galle ,Matara , Rathnapura and so on.”
Officials said the franchise was on offer to Sri Lankan entrepreneurs, who can operate their own restaurants.
“All we see is an aggressive growth plan for Sri Lanka, it’s up to the local entrepreneurs to join with us for our growth plan in Sri Lanka.”
Around the world the chain now employs over 400,000 people. The Sri Lanka operation so far employs 35 people.
Wills said each store will need an investment of about 300,000 US dollars
“We also have a strategy called nontraditional location which are airports, hospitals etc. where we have the ability to put a store in a competitive location,” Wills said.
Sebastian said with Sri Lanka targeting 4000 US dollar per capita income, eating out among consumers is expected to increase.
“Also with the influx of tourists we see an opportunity,” he said. They also like to experience international brands with a local taste which they have experienced internationally. So that where the Subway is a natural fit in Sri Lanka.”