Jersey Mike’s Embraced Change — Then Sold for $8 Billion

Jersey Mike’s Subs is known for its classic, no-nonsense appeal, but its willingness to embrace change has proven to be just as important. This year, Jersey Mike’s is ranked No. 2 for the second year in a row, in the Top 10 for the seventh year in a row, and No. 1 in its category for the eighth year in a row. It’s going so well that in November, Blackstone announced it was buying the subfranchise for $8 billion.

Operationally, the biggest development this year is that almost every store has separate lines for digital and in-store orders. “When we renovated a few years ago, we started putting in the second lines, and it just keeps building and building,” explains Hoyt Jones, president of Jersey Mike’s. “We’ve really focused this year on making sure stores are using it so that we’re rewarded with the efficiency of our drivers and our online customers coming in. The key is not disrupting customer flow in the store.” If you’re looking for proof of the strategy’s success, look no further than the company’s high online ratings.

Related: Where Jersey Mike’s Reaches 3,000 Focuses on Aggressive Expansion

Operations is always a key focus for Jersey Mike’s, but with digital orders accounting for 40% of its sales, addressing digital lines is especially important. DoorDash and UberEats are integrated directly into the company’s proprietary point-of-sale system, eliminating the need for additional ordering tablets that cause headaches behind the counter. This element may be invisible to customers, but to employees and franchisees, it leads to less confusion in the ordering process and smoother deliveries.

At the same time, consistency in the menu allows Jersey Mike’s to provide customers with quality products time and time again. 2024 has had some limited-time menu items — including new cheesesteaks in the spring and a pastrami sandwich in the winter — but the breadth of its fixed menu keeps brand loyalists coming back.

“It’s fun for stores to add a little variety, sometimes for customers who have been coming for years,” says Jones. “When we feel good about something and are excited about it, we’ll do it on a short-term basis and then go back to what we do best: create great Italian subsidies.”

Related: How to Successfully Franchise Your Business

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