Subway to bring in new equipment after seven-year beverage deal

CHICAGO, IL - MARCH 08: In this photo illustration a sandwich and drink is seen at a Subway restaurant on March 8, 2011 in Chicago, Illinois. With 34,225 restaurants in 95 countries, Subway has surpassed McDonalds as the world's largest restaurant chain.  (Photo illustration by Scott Olson/Getty Images)

Subway’s European purchasing group, EPIC, today announced that the chain will be installing new equipment in its stores following a long-term beverage contract it has signed.

EIPC has awarded PepsiCo and Britvic a seven-year beverage contract to supply Subway stores throughout Great Britain, following a competitive tender process.

The new deal is effective from 1 January 2016 and will see franchisees realise a number of substantial cost savings and benefits, according to the firm.

It said that the new equipment which will be installed in the stores will be supported by a bespoke maintenance programme.

It also anticipates “significant savings” on energy costs as a result of the introduction of new touch-screen technology in stores. New cooler cabinets, meanwhile, will be installed at each store to maximise the display of beverages

The agreement covers all 2,200 stores throughout the UK and Ireland.

Mike Attwood, purchasing and supply chain director at EIPC, said: “We have been working closely with leading beverage providers, in order to ensure that we are delivering the best value, cost-savings and benefits for Subway franchisees, alongside offering greater choice for customers.

“Following the completion of a rigorous tender process, the new contract with PepsiCo allows Subway franchisees to provide a wide range of beverage options, including low sugar, low calorie and non-carbonated drinks, reflecting current and future customer demand and choice.”

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