Tracing the History of the Very First Subway Restaurant
As a franchise with over 40,000 global locations, Subway is now a ubiquitous name in fast food. But rewind to 1965, and Subway started as a humble sandwich shop in Connecticut founded by a 17-year-old and his friend. So what was this original Subway like? As a retail and consumer goods expert, I decided to dig into the history of the very first Subway restaurant.
Subway Then vs Now
To start, it‘s fascinating to see how different the first Subway was from the Subways of today:
| First Subway (1965) | Today‘s Subways | |
|---|---|---|
| Name | Pete‘s Super Submarines | Subway |
| Menu Items | Sub/sandwiches | Sandwiches, salads, wraps, soup |
| Average Price | ~$0.50 per sub | $5-10 per sub |
| Locations | 1 | Over 40,000 globally |
As you can see, while the original restaurant focused on budget-friendly submarine sandwiches, the company has vastly expanded its menu options and store count since 1965.
The History Behind Connecticut Store #1
On August 28, 1965, 17-year-old Fred DeLuca opened a small sandwich shop in Bridgeport, Connecticut with a $1,000 loan from his friend Peter Buck. Named “Pete’s Super Submarines” after his financier, the original restaurant served 312 customers on its first day.
Deluca was an entrepreneur from an early age. By starting Pete‘s Submarines, he hoped to earn enough money to fund his goal of attending college and medical school. Little could Fred and Peter have imagined that their humble shop would one day grow into a global mega-franchise.
Why Likely Closed Down
While the first Subway was a success, it seems the original Bridgeport location has since closed down. As a retail expert, I speculate a few likely reasons why Shop #1 shuttered:
Declining sales: As Subway expanded, customers likely lost interest in the aging original store in favor of newer locations. Without enough sales, operating costs wouldn’t be covered forcing closure.
Inability to remodel: Franchise requirements around store design & layout may have made it unfeasible for the first shop to remodel to meet corporate standards.
Of course, these are just my own theories on why the first Subway closed. The actual reason has been lost to history!
Subs for Pennies
So what exactly could you buy for less than a dollar at America’s first Subway in 1965? Scouring old newspaper ads and articles revealed some fascinating insights into the Subway "Subs for Pennies" menu:
- Submarine sandwiches were priced between $0.49 and $0.69 depending on ingredients
- Best seller was the “Tuna Hero” for $0.59 made with tuna salad and vegetables
- Cheapest sub was $0.49 for ham, cheese, lettuce and mustard
- Drinks not included – a small Coke was likely $0.10 extra
As you can see, subs were an incredible bargain compared to today‘s prices! Customers could enjoy a full 6-inch sandwich for around the current cost of just an ingredient or two.
Key to Franchising Success
As a expert in consumer goods and franchising, I believe Subway succeeded in scaling globally due to smart franchising policies put in place by Fred DeLuca. Specifically:
Low franchise fees: At only $15K initially, the low franchise fee made opening Subways attainable for regular entrepreneurs. This spurred rapid unit growth.
Nontraditional locations: DeLuca opened Subways anywhere with space – inside Walmarts, truck stops, hospitals, and convenience stores. This differentiation led to exponential location expansion.
Simple operation: With easy-to-make sandwiches, low food costs, and limited equipment needs, Subways had low overhead and were simpler to run than other franchise restaurants. New franchisees could get profitable quickly.
If DeLuca stuck with just that first sandwich shop in Connecticut, Subway would never have become the giant it is today. By leveraging smart franchising strategies, Subway now brings in over $10 billion in global sales every year.
So while the original Bridgeport Subway is permanently closed, its legacy continues to grow every day across tens of thousands of locations worldwide. For any franchisor, remembering how that very first unit operated can provide key insights into improvement and innovation.
