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Corporate Gossip

Subway: Never go against the fahmily

Corporate Gossip

Becca Platsky

Society & Culture, Business

4.9655 Ratings

🗓️ 14 April 2023

⏱️ 61 minutes

🧾️ Download transcript

Summary

If Theresa Giudice opened a mediocre fast casual sandwich shop it would look like Subway restaurants. Founded in part by a 17 year old from the Bronx named Fred Deluca, Subway would become the world's largest fast-food chain. But while Deluca's family was raking in that sweet meatball money, their franchisees were in honey ham hell. Once the sandwich king, Subway now faces serious lawsuits and FTC investigations amid dwindling sales. How did this chain, known for its "definitely 100% real, seriously guys I promise it really is tuna" sandwiches tumble to the bottom of the food chain? Find out on this episode of Corporate Gossip!

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Hosts: Becca Platsky (Becca@nitetoast.com) Adam Platsky (Adam@nitetoast.com

Produced by: Michael Albanese @bigmanmike

Timestamps: 

1:50 - Fred Deluca opens the first Subway with $1,000 and a bag of tuna and quickly realizes that making franchise royalties is wayyyyy easier than making a hot italian sandwhich.   

5:15 - Deluca is Tiny Time vibes with a Scrooge personality.  

 7:40 - The most haunted calendar of all time is created by Deluca and his colleagues. They literally take pictures of themselves shirtless around the office. Deluca is Mr. January. 

12:30 - Subway becomes the LuLaRoe of fast food restaurants. 

16:00 - Wokeup this mornin' and I got myself a sub.... Subway's hitmen set their targets on francisees.

22:30 - J*red F*gle, I don't think I need to say anymore. 

26:00 - After his death, Deluca gives his estranged wife the ultimate anniversary present... half of a dying sandwhich company! 

31:50 - Subway's requirement for a new CEO? Sharing the majority of the founder's DNA. 

37:00 - You know what they say about mixing business with family? It literally always works every time! You should def do it! 

40:00 - Subway spends millions of dollars on a rebrand and a ton of celebrity influencers but their sandwhiches still suck. 

44:20 - Subway's future looks as grey as their tuna. 

45:45 - Find out what fast food restaurant you are based on your zodiac sign.

Links: 

SubCon 2023! (Subway Convention) 

Subway cofounder Fred DeLuca ruled the company like a demigod and pursued wives of franchisees. How one man sent the world's biggest fast-food chain into a tailspin

Subway does franchisee damage control after John Oliver segment: memos

Subway Got Too Big. Franchisees Paid a Price

Inside the 2 secretive billionaire families that own Subway, as they face backlash from furious franchisees

Judge rules Subway can be sued over claims that its tuna sandwiches contain other fish species or animal products

New Subway sandwich menu items taste just as vile as the old ones

What fast food are you based on your zodiac

Transcript

Click on a timestamp to play from that location

0:00.0

Hey guys, welcome back to another episode of the corporate gossip podcast, a few things before we get

0:05.4

started. A lot of you have been asking for a list of all the books we've read on this podcast.

0:10.4

So we now have a bookshop.org link in the show notes. Check it out and you'll find all the books

0:15.9

we've read for the pod and a few others that we recommend. Also in the show notes, I've got a link to

0:20.8

a listener

0:21.2

survey. It'll take you less than five minutes and it'll help make season three our snarkiest season

0:26.7

yet. And now for my favorite part of the show. I get to shout out those people who bought us a coffee,

0:32.2

at least the ones, who did give their names. This week we have two great friends of the pod, Kristen Dale and

0:38.7

Carrie Mack. We love you, ladies. One more housekeeping note. There will not be an episode of the

0:45.0

podcast next Friday, April 21st, but we're going to make it up to you guys. We've got two

0:50.8

episodes coming out the following week, and they are bangers.

0:54.8

Okay, here's the show.

0:57.0

Kenwar Deep Burke was living the American dream.

1:00.8

A Lake Tahoe businessman, Burke operated four subway franchises in prime locations across the vacation town.

1:09.3

Starting in 2006, Burke fed thousands of customers in his sandwich shop.

1:15.0

His babies, he called them. He was one of thousands of American immigrants who went into business

1:21.3

with Subway in the early 2000s. Lured by low startup costs and recruitment campaigns in their home countries,

1:29.0

these eager entrepreneurs fired up their bread ovens, sliced their cucumbers,

1:33.4

and filled their soda dispensers for sandwich lovers across the country.

1:39.2

On the other side of the Sierra Nevada, near Sacramento, Minal Katri and her husband were operating

1:46.5

their subway right off the freeway. Business was solid and the pair found it easy to work together.

1:53.1

Until that is, a saboteur set their crosshairs on the Katri's store. What happens next is straight out of the Sopranos. It all started when an

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