Subway is ending its $6.99 Meal Deal promotion earlier than planned.
Why is Subway’s $6.99 Meal Deal abruptly ending?
According to a message sent to operators last week, Subway is removing its $6.99 Meal Deal from menu boards on Wednesday, November 27th. The value offer, however, will still be available for orders through the fast-food chain’s digital channels through December 26th.
Launched on November 3rd, the $6.99 Meal Deal includes any chef-crafted or custom six-inch sub from the Subway menu, along with a side of chips or two regular cookies, and a small fountain drink. The promotion was supposed to run until the last week of December 2024 but is now being discontinued a month ahead of its end date because it failed to meet expectations.
“The Meal Deal was designed to help drive a lift in traffic, sales, and, ultimately, restaurant-level profitability, and delivered on these objectives during the market test,” read the message seen by Restaurant Business. “While the national Meal Deal promotion is delivering the expected number of daily redemptions, overall the promotion is not driving the anticipated results.”
While it’s a known fact that promotions can take time to take off, the message said that after deliberate consultation with the franchisees plus the unpromising data from the offer, the decision was made to end the offer.
Subway Introduces 20% Off Digital Offer for Subs
To replace the short-lived $6.99 Meal Deal, Subway is transitioning to a new digital promotion, offering customers 20% off any sub starting November 27th until January 5th.
In a statement shared via email to Restaurant Business, Subway emphasized its adaptable approach to value-driven offers, though it did not explicitly acknowledge the change.
“Subway’s approach to value is thoughtful and strategic, leveraging data to help balance consumer needs while protecting franchisee profits,” Subway said. “We continuously test new value platforms aimed at helping drive profitable traffic and encouraging repeat visits. We take feedback and data seriously, and if needed, we quickly adjust course to ensure we’re doing what’s best for our franchisees, guests, and overall business.”
Fast-Food Chains Focus on Value Amid High Consumer Prices
Value promotions have taken center stage in fast-food marketing this year as traffic has slowed at many chains due to consumer dissatisfaction with rising prices. Several brands are rolling out budget-friendly offers to attract customers. On Friday, McDonald’s unveiled a new value platform, McValue, featuring a range of affordable promotions.
However, value deals often face resistance from franchisees, who must balance such promotions with the need to turn a profit. This is especially challenging in high-cost markets, where standardized national pricing can strain profitability, and in systems where operators are already struggling to maintain margins.
Subway has experienced notable franchisee opposition to value-focused promotions. The chain, which has seen low unit volumes and declining sales, has closed approximately 7,000 U.S. locations since 2015. Resistance from some franchisees, who opt out of participating in value deals, can also limit the effectiveness of such campaigns.