U.S | Subway Taps into Vending Machines

As part of Subway’s efforts to get food closer to customers, the company has installed its first interactive, unattended smart fridge at the University of California San Diego. The sandwich brand said the fridges are stocked daily by the franchisee’s nearby restaurant location.

The fridges feature artificial intelligence and language processing, so customers can speak to the device and ask about any of the products inside. Weight-sensor shelves ensure guests are charged correctly, the company said, and features contactless and cashless transaction. It also uses UV-C light sanitation after every purchase.

The fridges are part of Subways efforts to expand into non-traditional locations.

“As more of our guests search for dining experiences to meet their ‘in-the-moment’ needs, the brand’s non-traditional locations and platforms can serve them wherever and whenever they are craving Subway,” said Taylor Bennett, Subway’s vice president of non-traditional development, in a statement.

“As Subway focuses on strategic and profitable growth, there is a significant opportunity to expand our footprint in non-traditional locations and for franchisees to generate incremental revenue for their business.”

For the first three quarters of 2022, about 5,900 non-traditional locations across the U.S. and Canada saw an average 13 percent increase in same-store sales, the company said, adding that those 5,900 locations represent about 25 percent of Subway’s North American footprint. Non-traditional locations include as airports, truck stop plazas, college campuses, convenience and gas stores and hospitals.

Since its installation in September, the smart fridge has received positive feedback, the company said, and franchisees have expressed interest in expanding their portfolios.

“Subway Grab & Go has quickly gained traction as consumers are drawn to sandwiches made fresh daily from a brand they know and love, vs. competitor items that rely on a 14-day plus shelf life,” said Karla Martinez, the company’s director of innovation for non-traditional development.

“As Subway continues to expand off-premises concepts, guests can expect to find Subway Grab & Go and smart fridges in more convenient everyday places like airports, college campuses and hospitals.”