{"id":454027,"date":"2022-05-28T03:37:33","date_gmt":"2022-05-28T00:37:33","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/subway-does-franchisee-damage-control-after-john-oliver-segment-memos\/"},"modified":"2022-05-28T03:37:33","modified_gmt":"2022-05-28T00:37:33","slug":"subway-does-franchisee-damage-control-after-john-oliver-segment-memos","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/subway-does-franchisee-damage-control-after-john-oliver-segment-memos\/","title":{"rendered":"#Subway does franchisee damage control after John Oliver segment: memos"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a4298b877d5b\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a4298b877d5b\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/subway-does-franchisee-damage-control-after-john-oliver-segment-memos\/#%E2%80%9CSubway_does_franchisee_damage_control_after_John_Oliver_segment_memos%E2%80%9D\" >&#8220;Subway does franchisee damage control after John Oliver segment: memos&#8221;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CSubway_does_franchisee_damage_control_after_John_Oliver_segment_memos%E2%80%9D\"><\/span>&#8220;Subway does franchisee damage control after John Oliver segment: memos&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/05\/oliver.jpg?quality=90&amp;strip=all\" \/><\/p>\n<div>\n<aside class=\"single__inline-module alignleft\">\n<\/aside>\n<p>Subway, America\u2019s biggest restaurant chain, is doing damage control with its own franchisees after a 26-minute segment on HBO\u2019s \u201cLast Week Tonight with John Oliver\u201d sharply criticized its treatment of them.<\/p>\n<p>Oliver criticized Subway for exploiting its franchisees and being perhaps the country\u2019s worst franchisor during the episode on May 22.<\/p>\n<p>\u201cFor decades, franchisees have complained about Subway allowing locations to open near each other and cannibalizing their business,\u201d he said. \u201cA Subway could open right next to yours and cut your sales in half.\u00a0 And none of this really affects Subway corporate. They still get their royalty fees on any sale, plus a $15,000 franchise fee for every new store that\u2019s opened.\u00a0 That is why these stores are f***ing everywhere.\u201d<\/p>\n<p>Subway fired back after the segment went viral, having been viewed more than 4 million times on <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">YouTube<\/a>. The company said Oliver based his segment on old facts and that since John Chidsey took over as CEO in 2019 it looks out more for the owners of its roughly 21,000 US restaurants.<\/p>\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\">\n<iframe loading=\"lazy\" title=\"Subway: Last Week Tonight with John Oliver (HBO)\" width=\"640\" height=\"360\" src=\"https:\/\/www.youtube.com\/embed\/jDdYFhzVCDM?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/p>\n<\/figure>\n<p>\u201cWe are dis<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ointed that a recent episode of Last Week Tonight with John Oliver inaccurately characterized Subway and the support we provide to our franchisees,\u201d Subway said in a message to its franchisees and shared with the media this week.<\/p>\n<p>The chain saw 1,043 more Subway restaurants shuttered in 2021 than it opened, making this a touchy subject for Subway during a time when the company is having difficulty retaining restaurants and finding new franchisees. Subway owns none of its own restaurants.<\/p>\n<p>The British funnyman also poked fun at allegations Subway does not use real tuna and maybe not even real meat in its meatballs.<\/p>\n<p>He put a tray of Subway sandwiches on his desk and noted the smell.<\/p>\n<p>\u201cThis entire studio is about to smell like a Subway, which, as we all know is the exact smell of \u201cWhat if bread could fart?&#8217;\u201d\u00a0<\/p>\n<p>Turning serious, Oliver cited a 2019 New York Post story that detailed how area managers (\u201cdevelopment agents\u201d) often find franchisees out of compliance for minor infractions and close their stores so they can buy them for artificially low prices or resell them and collect more fees.<\/p>\n<aside class=\"single__inline-module alignright\">\n    <\/aside>\n<p>\u201cThere\u2019s an incentive for development agents to be overly harsh, because if a store gets multiple violations, that franchisee\u2019s agreement can be terminated and the store can be re-sold, sometimes to the business development agent themselves at a discounted price. One former inspector even described a development agent telling her the exact store owners that he wanted to fail, adding, \u201cI was kind of his hit man.\u201d You know, normal sandwich stuff. \u201c<\/p>\n<p>Public filings show Subway in 2018 took 718 actions against its franchisees and 955 the prior year. That compares to less than 10 per year during that time filed by McDonald\u2019s, Burger King and Wendy\u2019s.<\/p>\n<p>Subway took only 13 actions in 2021 against franchisees as more of the shops struggle to make a profit, a long-time franchisee said.<\/p>\n<p>New York City Subway area manager Restaurex sent its own May 25 memo to local franchisees it oversees, which was reviewed by The Post.<\/p>\n<p>\u201cThe segment included misinformation and damaging comment about our food,\u201d it said.<\/p>\n<p>Restaurex also gave suggestions on how to respond to customers who say they watched the segment, especially the part about how Subway exploits its franchisees.<\/p>\n<p>\u201cMost of the information on the show was from more than a decade ago,\u201d it said. \u201cThat is not how Subway works today.\u201d<\/p>\n<figure class=\"wp-block-pullquote\">\n<blockquote><p>\u201cA Subway could open right next to yours and cut your sales in half.\u00a0 And none of this really affects Subway corporate. They still get their royalty fees on any sale, plus a $15,000 franchise fee for every new store that\u2019s opened.\u00a0 That is why these stores are f***ing everywhere.\u201d<\/p>\n<p><cite>John Oliver on \u2018Last Week Tonight\u2019<\/cite><\/p><\/blockquote>\n<\/figure>\n<p>Oliver also mocked Subway for implementing a new franchise agreement last year that forces franchisees to be open every day except one barring \u201can act of God\u201d \u2014 a strict legal term that tends to include only the most severe of natural disasters \u2014 or risk being taken over by the parent company.<\/p>\n<p>Franchisees can extend their current franchise agreements and pay much higher royalties if they do not want to comply with the new rules that are unusually harsh for the fast food industry, The Post reported at the time when breaking the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> about the agreements.<\/p>\n<p>\u201cThey recently updated their contract for new and renewing franchisees, which, among other things, expands the non-disparagement clause to include subjecting the Subway brand to ridicule, which, come on, Subway. You\u2019re the one who made your new logo two arrows 69-ing each other. The call is coming from inside the house here,\u201d Oliver quipped.<\/p>\n<p>The HBO host asked rhetorically why anyone would open a Subway.<\/p>\n<p>\u201cAnd look, lots of the problems you\u2019ve seen tonight exist in some form with almost all franchises,\u201d Oliver said. \u201cBut Subway in particular seems like the absolute worst.\u201d\u00a0<\/p>\n<p>Subway told its franchisees it is worried how Oliver\u2019s segment could hurt them.<\/p>\n<p>\u201cWe are concerned that the misleading characterizations made on Last Week Tonight with John Oliver may have a negative impact on our franchisees \u2014 thousands of small business owners whose livelihood is serving guests, every day in their communities,\u201d Subway said in its franchisee memo.<\/p>\n<p>\u201cFranchisees are key to our success \u2014 when they succeed, we succeed. It is our top priority at Subway to ensure our franchisees have the tools they need to thrive.\u201d\n                        <\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/nypost.com\/2022\/05\/27\/subway-does-franchisee-damage-control-after-john-oliver-segment-memos\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Subway does franchisee damage control after John Oliver segment: memos&#8221; Subway, America\u2019s biggest restaurant chain, is doing damage control with its own franchisees after a 26-minute segment on HBO\u2019s \u201cLast Week Tonight with John Oliver\u201d sharply criticized its treatment of them. Oliver criticized Subway for exploiting its franchisees and being perhaps the country\u2019s worst franchisor&#8230;<\/p>\n","protected":false},"author":1,"featured_media":454028,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/05\/oliver.jpg?quality=75&strip=all&w=1024","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[129681,72001,69556,70549],"class_list":["post-454027","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-5-27-22","tag-john-oliver","tag-last-week-tonight-with-john-oliver","tag-subway"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/454027","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=454027"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/454027\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/454028"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=454027"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=454027"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=454027"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}