Sandwich Chains Key Terms

Understand important concepts before you buy or start a sandwich chain

If you are looking to buy or start a sandwich chain, you need to be savvy about marketing and the financial outlook. Know what customers are buying and what kinds of sandwiches are most popular. Do your homework before you invest any significant funds into a purchase or a start-up. Be sure it appeals to consumers and is branded properly for its main clientele.

Many customers choose sandwich chains because they provide quick and easy meals. Health-conscious consumers will look for products that are more nutritious and lower in trans fat. Eco-conscious consumers often look for sandwich chains that have green practices. Consider these factors too when you are deciding to buy or open your sandwich chain.

 

Franchise

Most sandwich chains offer franchise opportunities. Advantages of a franchise are that the parent company usually provides the business plan and advertising, establishes the brand, and buys supplies and uniforms in bulk.
Try: Franchising.com discusses the basics of franchising.

Trans fats

With many people concerned about their health, sandwich chains need to consider the amount of trans fat in their offerings. Trans fats are found in hydrogenated, or solid, vegetable shortenings. They are particularly dangerous because they increase bad (LDL) cholesterol and decrease the good (HDL) cholesterol.
Try: The Mayo Foundation for Medical Education and Research explains what trans fats are and why they're bad for your health. USA TODAY discusses some of the actions sandwich chains are taking to reduce trans fats.

Branding

Branding is key to sandwich chain sales. By establishing a certain image in a customer's mind, chains can ensure that customers will continue to come into their stores. A brand gives customers certain expectations when they enter the chain, and each store in the chain needs to maintain that image.
Try: AllBusiness.com presents the results of a study on chain restaurant branding.

Sustainability

Many sandwich chains are eco-conscious. Sustainability means more than just offering organic menu items. Many chains have developed a planned approach to conserving resources and reducing their non-recyclable waste.
Try: Chain Leader presents suggestions for how food businesses can go green.

Outsourcing partnership

One trend in the sandwich chain industry is developing an outsourcing partnership. A sandwich chain partners with a store, a college, or other company to increase both businesses. The store benefits by having an in-house sandwich shop without the expensive overhead and staffing issues. In return, the sandwich chain gains a built-in clientele and a place to do business.
Try: Funding Universe presents a business plan to show how a smaller franchise sandwich shop can compete with large fast-food chains by developing unique relationships with other established businesses.

Repositioning

Repositioning is a marketing strategy that changes aspects of a product or brand in order to change market position and alter consumer perceptions. Many sandwich chains reposition themselves by offering trendier menu items or altering their look and advertising to attract new customers.
Try: IMEC defines strategic repositioning and explains how it is beneficial.

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