The largest fast-food chain in America isn’t expanding. It’s shrinking, and fast.
Subway, the once-unstoppable sandwich empire, has closed 631 U.S. locations in 2024 alone, dipping below 20,000 domestic restaurants for the first time in two decades. That’s a dramatic drop from its 2015 peak of over 27,000. But don’t call it a collapse just yet.
The Subway company insists these closures are part of a bold new strategy it calls “Smart Growth.” Translation? Fewer stores, better locations, stronger operators, and no more blanketing every corner with a footlong sign.
In a statement, Subway said it’s “optimizing [its] footprint using a strategic, data-driven approach” to ensure every remaining store hits the right mix of location, image, and operator quality. That means some stores are closing, others are relocating, and a select few are opening, but only if they meet the chain’s newly sharpened standards.
Still, the numbers don’t lie: Subway has lost over 7,000 U.S. stores since 2015. That includes massive annual drop-offs like 866 closures in 2017, 1,108 in 2018, and a brutal 1,601 in 2020. The decline has been relentless, and highly visible in strip malls and gas stations across the country.
Despite the slow-motion retreat in the U.S., Subway still holds the top spot for most locations of any fast-food chain in the country. In comparison, Starbucks clocks in second with 16,935 stores, and McDonald’s ranks third with 13,559.
But this lead may not last forever, especially as rivals continue to modernize, rebrand, and steal market share. And with copycat complaints (see: the spring menu scandal over allegedly mimicking Jersey Mike’s), customer loyalty is getting harder to retain.
Subway, however, is shifting its focus beyond American borders. According to QSR, the brand now operates nearly 37,000 restaurants worldwide, and it’s enjoying positive net global growth for the second straight year. The company is banking on its international footprint to help steady the ship as U.S. tastes shift.
So what does this all mean for your neighborhood sandwich shop? That “Closed” sign on the window may not be a sign of doom, but rather a symptom of Subway’s bid to get leaner, meaner, and more globally minded.
Even so, for millions of Americans, the Subway closures are tangible, and not exactly confidence-inspiring. The company’s “Smart Growth” might be the long game, but it’s clear that the era of a Subway on every block is officially over.
