Subway hopes new $5 footlong nachos will attract budget-conscious customers
The chain is partnering with Doritos to sell footlong nachos for $5, marking Subway's latest addition to its popular Sidekicks menu that aims to attract budget-conscious customers.
In a press release, Subway said the new dish is 'freshly prepared' using nacho cheese-flavored Doritos chips, topped with cheddar cheese, jalapeno slices, diced tomatoes, red onions and drizzled with a chipotle sauce. To make it more filling, customers can add rotisserie-style chicken or steak for no extra charge or a scoop of avocado for an additional cost.
Subway has gradually been expanding its Sidekick menu since its introduction last year. Most recently, the chain added a 12-inch slab of chocolate cookie dough that is sprinkled with pieces of Oreos and topped with vanilla cream.
The Sidekick menu also includes 12-inch versions of chocolate chip cookies, a Cinnabon churro and a soft pretzel from Auntie Anne's. It also has three footlong foods called Dippers, which uses Subway's flatbread, rolled up with pepperoni and cheese, chicken and cheese or double cheese, and served hot.
Plus, the nachos are a cost-efficient addition for Subway, which uses existing ingredients like bagged chips and fresh toppings that are already used in its sandwiches.
Sidekicks and Dippers were born out of the chain seeing younger customers' preference for snacking, according to Douglas Fry, Subway's North America president, who previously told CNN that they want 'convenient, hand-held, grab-and-go' food at an affordable price.
Restaurant chains have scrambled over the past year to attract customers who are fed up with high prices. Although some have succeeded with limited-time promotions, others like McDonald's, Chili's and Taco Bell have found more success offering value meals. Americans continue to be willing to spend — if they feel like they're getting good bang for their buck.
Subway isn't exempt from that. Although the privately held company doesn't frequently release sales numbers, the chain resurrected its discounted footlong promotion in February, perhaps signaling it's also off to a sluggish start to the year along with its rivals.
In recent years, Subway has added customization to its menu, doubled down on pushing orders to its app, increased its international presence and introduced freshly sliced meats — a major shift from Subway's previous method of delivering cold cuts pre-sliced.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
2 hours ago
- Yahoo
10 Reasons This Popular Sandwich Chain Is No Longer America's Favorite
Subway used to be a leading player in fast food, but has lost a lot of ground over the last decade. The chain -- known for its custom-made subs and "Eat Fresh" slogan -- is now struggling to keep pace with what consumers want and where food trends are going. Once the world's largest fast-food chain by store count, Subway has lost more than 7,000 stores since 2015 and continues to fall short compared to its fresher, more modern rivals. Central to its falloff is a menu that hasn't changed quickly enough -- or maybe just not meaningfully enough -- to keep up with changing tastes. Efforts to revamp the menu have not proven particularly successful. Health-conscious diners have also begun to question the chain's image as a healthy option, as studies and nutritional breakdowns show high levels of sodium, the downsides of eating an excess of processed meats, and controversial ingredient sourcing. Subway may have a holiday cookie big enough to stuff a stocking, but a series of scandals, a boom in underperforming franchise locations, and higher prices have only served to further tarnish its image over the years. Let's break down some of the reasons this once beloved chain is no longer America's sandwich go-to. Read more: 22 Fast Food Breakfast Menus Ranked From Worst To Best Fan Favorite Breads Have Disappeared One of the quieter shifts that irked long-time Subway fans was the gradual fading of a few favorite bread choices. Over the past few years, regulars have noticed that the classic Hearty Italian Bread and Jalapeño Cheddar Bread are missing from their stores. While Subway didn't officially declare their discontinuation, employees online have confirmed that a few breads have quietly been retired from their stores or are no longer on the delivery trucks. At first glance, the vanishing of a few breads feels small, yet bread has always defined Subway. Unlike many other fast food chains, where the bread plays a background role, Subway's loaves are the canvas on which the brand is painted. The fact that customers were able to pick from an array of hot, crusty choices set Subway apart when it was beginning to peak in the market. Losing the beloved breads in some locations has left many questioning if they want to continue dining at the chain. The fallout is bigger than pickiness. When the breads that first welcome a meatball, a veggie, a splash of red sauce start slipping away, it's easy for a diner's mind to picture tighter budgets or a brand that has lost its grip. Competitors Are Winning Subway's competitors in the sandwich industry are making it harder and harder to stay on top. For example, Jersey Mike's, which was acquired by Blackstone for $8 billion in 2024, has built a loyal customer base with its signature approach of slicing meats and cheeses fresh at the counter. Meanwhile, Firehouse Subs uses its firefighter-themed narrative to promote its hearty hot sandwiches, and Jimmy John's maintains its focus on quick service and basic menu options while using a fun company personality to appeal to younger customers. In short, Subway's rivals have very clearly defined identities compared to Subway. It also doesn't hurt that customers have lavished praise upon the sandwiches found at rival chains while comparing them to those sold at Subway. The customization model that once served as Subway's main advantage now feels outdated when compared to the streamlined presentation and carefully crafted menus of its competitors. This feels evident in the way the market is responding. According to CNN, Subway closed over 600 stores in 2024 alone, with its total number of locations in the U.S. dropping to less than 20,000 for the first time in two decades. Meanwhile, Subway's sandwich shop competitors are growing, with Jersey Mike's, Jimmy Johns, and Firehouse Subs all sharing ambitious expansion plans. It feels like Subway's image is still stuck in the 2000s, lacking the clarity and innovation needed to compete with these other modern players who understand exactly what today's sandwich lover wants. Failed Value Meals Reflect Weak Demand In an effort to win back customers and boost sales, Subway introduced a value meal promotion in 2024 that offered a 6-inch sub with a drink and your choice of chips or two cookies for $6.99. At first, the strategy looked solid. After all, discount lovers usually outnumber discount skeptics. But the reception was weak, and the promotion was quietly shelved after a few weeks, with sales and traffic reportedly falling short of Subway's projections. Its price alone wasn't the problem. Today's customers don't necessarily just view value as a number. Instead, they're looking for food that feels fresh, flavorful, and wholesome. A lower price is irrelevant if the product doesn't elevate the experience above the food served by rivals. Some food analysts also warn that value offers may actually be more damaging than restorative. The sharp price drops tend to lure deal-seekers -- once-off visitors that would be hunting for the next discount -- rather than the loyal, repeat customers Subway hopes to cultivate. Once the promo disappears, so do they. However, value promotions seem to work for other chains, such as Taco Bell and Wendy's, which shows that Subway is simply missing the mark in some way. Subway Is Not So Healthy After All Subway has built its brand around being the healthier fast food option. In the past few years, that reputation has taken a hit. The familiar green "Eat Fresh" slogan still features on its posters and ads, yet more customers are peeping under the hood and not really liking what they see. Plenty of Subway offerings are high in sodium, preservatives, and reconstituted meats. Take the classic 6-inch All-American Club, which contains a whopping 1,520 milligrams of sodium and 10 grams of saturated fat. Even seemingly lighter options, such as the All-Pro Sweet Onion Teriyaki, still deliver a surge of sugar at 20 grams per 6-inch sandwich (17 grams of which are added sugars). Lingering skepticism from past controversies hasn't helped. In 2017, a CBC Marketplace investigation claimed that DNA tests showed Subway's chicken was only 50% chicken, while the rest was soy-based. Subway denied this claim, but the idea of its fresh promise frayed in the eyes of many. Heavy Discounts, No Loyalty Subway uses intense discounting methods to attract customers through their footlong, BOGO deals, app-exclusive promotions, and meal bundles that run continuously. But while these tactics offer short-term sales spikes, they've failed to build lasting brand loyalty. Some franchisees have noted that an overreliance on deals has made Subway customers only want to buy from there when there are discounts. Instead of trying to nurture repeat buyers who value flavor, consistency, and the brand itself, the chain attracts price-driven diners who lose interest when a better deal shows up elsewhere. Ultimately, the true value of a footlong sandwich becomes unclear if its price can be halved through a single promotion. The product stops feeling premium and starts feeling disposable. As a promotional strategy, this can weaken brand perception while creating financial strain on franchisees who already operate with slim profit margins. Subway's deep discount model might get customers in the door, but it doesn't give them a reason to come back. Not All Subway Franchisees Are Happy Subway locations face the challenge of thinning franchisee resources in addition to stretched sandwich ingredients. Subway's corporate leadership has faced criticism from numerous operators over the past few years. The brand achieved its position as the biggest fast food chain with the most U.S. locations through aggressive expansion, yet this growth has also resulted in too many stores in close proximity, which has in turn impacted profitability. In 2021, some franchisees penned an open letter highlighting their dissatisfaction over the number of locations and low-quality ingredients. To make matters worse, some Subway franchisees are also unhappy with the discounts imposed on restaurants -- such as an app-only promotion for a $6.99 footlong sandwich -- when those who signed contracts after 2021 were unable to opt out of promotions. These corporate-mandated discounts create additional financial pressure on franchisees by reducing each location's already limited profit margins. The ongoing franchisee issues at Subway have become increasingly apparent as more locations shut down, thus threatening the chain's future stability. Subway Has Come Under Fire For Misleading Advertisements Subway has always raved about the freshness of its menu items, and yet the company has faced numerous issues with the claims made in its advertising throughout the years. In 2024, Subway was sued for allegedly misleading customers with advertisements that give the impression of a sandwich filled with meat, when the reality is a higher ratio of bread to filling. This isn't the first scandal related to Subway's advertising. In 2016, Subway faced a class-action lawsuit after customers discovered that certain footlong sandwiches fell short of reaching the 12-inch mark. The company settled the case after asserting that size differences occurred naturally without any intentional actions, and agreed to ensure that its sandwiches were 12 inches long in the future. Meanwhile, in 2021, another lawsuit was filed against Subway when laboratory tests questioned whether Subway served actual tuna in its products. The lawsuit was later dropped in 2023, and Subway added a page to its website to clarify that yes, it uses real tuna. However, the story spread rapidly through social media platforms, leaving some customers uncertain about their purchases. The repeated attacks on Subway's credibility and questions over its menu items have likely caused some harm to the brand with time. Customers Have Questioned Subway's Steak Preparation Meat has generated ongoing doubt from customers, with some questioning the quality of Subway's steak. A viral TikTok video once showed an employee tearing up some frozen steak from a plastic pack and measuring it out into 2.5-ounce portions, sparking widespread disgust about the authenticity of the sandwich meat. Some ex-Subway employees on Reddit have also confirmed that the frozen steak arrives in pre-made packs. As one Reddit user explained, "The meat is delivered as a compressed brick of pre-sliced and pre-cooked beef. ... I feel that there's more processing to Subway steak than 100% meat." While Subway openly lists the ingredients of its steak -- which includes preservatives such as citric acid, maltodextrin, and dextrose -- on its website, it has still become one more menu item that falls short of expectations. The outraged reactions on social media after discovering how Subway's steak is really prepared show how customer expectations regarding transparency, taste, and simplicity have changed over the years while exposing Subway's failure to meet these standards. Subway's Jared Fogle Scandal Still Hurts For years, the Subway brand used Jared Fogle as its main representative while the former Indiana University student walked the streets as a living embodiment of its health-oriented brand identity. The company built its marketing strategy on Fogle's well-known weight loss success, which he achieved through regular Subway sandwich consumption. Choosing a non-celebrity to authentically represent the brand was a genius move -- but then, in 2015, Fogle was convicted for possessing child pornography and illicit sexual conduct with a minor. This news shocked the public and sent the brand into crisis mode. Subway severed all ties with Fogle and eliminated his promotional content. Yet the harm persisted. The scandal damaged the wholesome, family-friendly image that Subway had built over multiple years. The company faced criticism from the public for its long-term relationship with Fogle. Subway has experienced ongoing difficulties in totally overcoming this incident. The public memory of the scandal continues to evoke uncomfortable feelings about the Subway brand, even though many years have passed since the incident. Fogle's downfall left a dent in Subway's brand identity. While the company attempted to fill the void with multiple marketing campaigns and celebrity endorsements -- and the Fogle incident is far from the only factor to have taken its toll on the brand -- Subway's reputation took an undeniable hit. Prices Keep Rising For a long time, Subway was popular for its affordable food options. After all, the jingle for Subway's $5 footlong was once a well-known tune. Sadly, a footlong now costs more than $5, with its regular, non-deal prices increasing to the point that customers are confused. This problem goes beyond inflation, with some questioning the value they receive for their money. Many customers have taken to social media to share their doubts that a basic sandwich with pre-cut meat, processed cheese, and basic toppings warrants Subway's current price point. These same customers claim that they can obtain a toasted panini from Panera, a fully loaded sub from Jersey Mike's, or a customizable bowl from Chipotle -- all of which promise better quality in their eyes -- for just a few dollars more than what Subway charges. Subway has attempted to defend its price increases through new menu items and its Subway Series launches, but some have criticized these offerings for being renamed versions of familiar subs with a few insubstantial additions. Customers who remember Subway as an affordable option struggle to accept the price increase since the chain has not made meaningful changes to its ingredients or introduced new innovations. When affordability and quality slip, customers do notice -- and they start looking elsewhere. Read the original article on Mashed. Solve the daily Crossword
Yahoo
2 days ago
- Yahoo
The AI Race: How Shopify Positions Itself to Win
Key Points AI is lowering the barriers for merchants, helping them do more with less. An AI-first culture is making Shopify faster, better, and stronger. AI adoption helps Shopify improve its financials. 10 stocks we like better than Shopify › Shopify (NASDAQ: SHOP) has always been a platform built to empower entrepreneurs. But as artificial intelligence (AI) reshapes how businesses operate, Shopify is leaning in -- not just with new features but with a full-stack transformation. The company is reengineering its platform, product, and internal culture around it. Above all, it's positioning itself to emerge as one of the winners in this next technology cycle. 1. AI as a merchant superpower The most visible impact of AI is on the merchants themselves. Shopify is embedding AI into tools that make it dramatically easier to build, run, and scale a business -- often with fewer people and less effort. A prime example is Shopify's new AI-powered Store Builder, which can generate an entire storefront -- layout, product descriptions, and banners -- from a simple brand description. It's a game-changer for new entrepreneurs. The company also significantly expanded its AI assistant, Sidekick, which now supports all 20 languages in the Shopify admin. Sidekick offers both text and voice chat, and can generate images, run sales reports, create customer segments, and even filter orders. It's more than a chatbot -- it's a digital co-pilot for every aspect of e-commerce. Shopify also launched Shopify Magic, a suite of free AI features embedded throughout the platform, automating everything from email marketing to content generation. By making powerful tools easily accessible, Shopify helps merchants do more with less. It lowers the technical and creative barriers to entry, attracts more first-time entrepreneurs, and increases productivity for existing sellers. The result is more merchants, better retention, and a long-term expansion of Shopify's total addressable market. 2. AI-first company culture and operating model While serving customers is the priority, Shopify is also making sure that it's getting the most out of this revolutionary technology. Internally, Shopify has declared an "AI-first" mindset, making sure that AI is embedded into the company's way of doing things. For instance, founder and CEO Tobi Lütke has declared that AI literacy is now a baseline expectation across Shopify and that employees must find ways to learn AI skills. The company will add AI usage questions to its performance reviews, with employees -- including all executives -- expected to integrate AI into daily workflows. In other words, Shopify is reshaping its organizational DNA around AI, using it not just as a product feature but as a foundation for how the entire company operates. Doing so will likely lead to multiple benefits, including a leaner cost base, the ability to move and innovate faster, and, above all, continuously staying ahead of the competition. 4. Long-term margin expansion and operating leverage Shopify's AI strategy isn't just about smarter features -- it's a lever for financial upside. AI allows the company to serve more merchants with less incremental cost, driving improved operating leverage. At the same time, by launching enterprise-grade AI tools, Shopify is extending its reach beyond SMBs and tapping into larger customers with higher lifetime value. So, its AI strategy creates a rare combination: higher growth and higher margins, two ingredients that compound into significant long-term shareholder value. Shopify's AI investments could unlock a new phase of scalable, profitable growth -- boosting free cash flow and supporting long-term valuation expansion. What it means for investors Shopify isn't just adopting AI -- it's being transformed by it. From merchant-facing features to internal operations, the company is weaving AI into everything it does. For investors, this is more than a tech upgrade. It's a strategic shift that improves customer outcomes, increases organizational agility, and enhances the company's long-term financial profile. What's more, Shopify is quietly evolving into an AI-powered commerce operating system -- and that could make it one of the most important platforms in the next era of online business. It's a company that investors should keep an eye on. Should you invest $1,000 in Shopify right now? Before you buy stock in Shopify, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Shopify wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $634,627!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,799!* Now, it's worth noting Stock Advisor's total average return is 1,037% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Lawrence Nga has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Shopify. The Motley Fool has a disclosure policy. The AI Race: How Shopify Positions Itself to Win was originally published by The Motley Fool Sign in to access your portfolio
The Drive
3 days ago
- The Drive
Tesla's Los Angeles Diner Is a Trojan Horse and a Wake-up Call
The latest car news, reviews, and features. The recent news cycle hasn't been kind to Tesla. Sales are down. Its CEO is locked in a pissing match with the most powerful office on Earth, and its investors are starting to wonder whether its leadership can rise to the moment. And yet, somehow, in the shadow of all that, it seems Tesla actually launched something new for once. Too bad it's not a car. Tesla's newest venture is billed as a 'diner and drive-in,' and its location on Santa Monica Boulevard (where a Shakey's previously stood) reveals it for the suburban eatery and retail destination it is, rather than the convenient service it could be. Under pressure to turn tables and actually make money, Tesla is using congestion fees to pressure its customers into spending less time loitering on the premises. What began as a fancy charging concept is instead a fast-casual, quick-turn restaurant in disguise. True to its 'drive-in' label, customers can send in their orders directly from their cars and be served upon arrival. The smart kitchen even queues up their tickets by driving distance, prioritizing those who will show first, and waiting to fire meals for those driving long distances to keep them fresh—and get existing customers out the door to make room for new ones. The optimization of it is very on-brand in the casual sense of the term, but what does it actually do for Tesla? We've seen such things before, after all. Superchargers made sense, certainly, but then came the tunneling operation, followed by the flame throwers and the tequila. Teslas were going to be the subway, now they're competing with Subway. The F-? And I can't help but ask, what does any of this have to do with selling Cybertrucks? Sure, a marketer could put some English on the notion of offering exclusivity, but Tesla's shilling the basics here, not high-end fare. On top of that, nothing about this concept is new. The truck stop as a concept has existed since the end of World War II. Even if we exclude America's ubiquitous rest stop food court, smaller-scale operations such as Wawa and Sheetz have been churning out made-to-order meals while its customers fuel up for decades. Some of their locations even offer something resembling a rudimentary dining room. The only difference is that neither enjoys the vertical integration of Tesla's approach, where they're selling you the car, the fuel, the snacks and the company line—all in one neatly wrapped package. But above all of that, it's a revenue stream, and one that couldn't have come at a better time. Revenue growth from simply selling cars is becoming a trickier proposition for Tesla, whose sales volumes have been in decline longer than company investors would like. With federal EV incentives going away later this year, Tesla stands to make even less money on each car it sells. Hamburgers it is, then. But at what scale? View this post on Instagram A post shared by 30 Rock (@30rock) As an attraction in Hollywood, the Tesla Diner may well succeed. But as a caricature of an actual service model, its need to turn tables outweighs any fealty to the community it was ostensibly built to serve. There's no room here for R&R it's all about ROI. Tesla owners are already 'hacking' this by showing up with their batteries as close to depleted as possible, extending their visits without risking penalties for overstaying their welcome. So why, in a nation where entire industries have formed around making money off mandatory fuel-ups, are so many people pretending that empty parking lots full of fast chargers are the way to go? America is the land of Buc-ee's and roadhouses. We were doing this nonsense back while Europe was still busy shooting at each other. So why have we gotten so bad at it? When I look at Tesla's cars, I see good ideas wrapped in questionable packages. Its Diner is no different. There's a kernel of genius buried in there somewhere, but it lacks the proper environment in which to thrive. Here's hoping somebody else can seed it, and finally put the 'rest' back in 'rest stop.' Got a tip? Send it our way at tips@
