Subway CEO, John Chidsey to Step Down at the End of the Year

Subway has announced that CEO John Chidsey will retire at the end of 2024, marking the end of his tenure as the first leader outside the chain’s founding family.

Executive Carrie Walsh, currently president of Subway’s operations in Europe, the Middle East, and Africa, will serve as interim CEO.

Chidsey’s Legacy:

• Joined in 2019: Chidsey took over during a challenging period for the brand, with declining sales and growing competition in the fast-food space.
• Strategic Changes: His leadership saw significant transformations, including:
  • Freshly slicing deli meats in stores to rival competitors.
  • Emphasizing customisation and digital orders through app integration.
  • Overhauling the menu in one of the brand’s largest changes to date.
  • Participating in "value wars" with promotions like the $6.99 footlong.

Despite these efforts, franchisees expressed mixed reactions, with some noting underwhelming results from investments like meat slicers.

Meanwhile, sales challenges persisted, as seen with underperforming deals and a shrinking store count, which reached its lowest level in the U.S. since 2005.

Challenges Ahead:

• Franchisee Concerns: Maintaining franchisee satisfaction will be key for Walsh, especially as Subway continues adapting to market shifts.
• Competitive Pressure: With rivals like McDonald’s and Chipotle expanding their footholds, Subway must find ways to stand out.
• Digital Growth: Continuing Chidsey’s push for app-based orders and convenience-driven strategies will likely remain a priority.

Chidsey will remain in an advisory role through the transition period, as Walsh takes the reins. Her experience as global chief marketing officer and regional president positions her to guide Subway into its next chapter.
Source: CNN