Re: The Action Plan
1. The Situation: At Subway Restaurant, the winter months are especially tough and the low revenue generates a problem. The purpose of the report is identifying a problem at Subway and developing a plan that solves the problem.
2. The Problems (table 1): * Lack of traffic in the stores throughout the winter
The summer and spring month’s people are leaving the house much more frequently than in the summer which poses a problem for Subway because there is no delivery. Also, fitness and exercise are priorities for people but in the winter many individuals are lose the drive for health. * Higher food costs in the winter
In the winter the price of vegetables is higher than in the summer because of the change in temperature. Higher prices pose a problem for Subway because the price of sandwiches does not increase because the cost of vegetables does. Also, because Subway is a franchise, all food must be ordered through Subway which means there is a set price.

3. The Solutions (table 2)
The goal of implementing change: * In short term, draw customers into the store
Keep customers coming back to the store * The focus of specials during the winter months * The menu options during the winter months

4. Executing the Plan * First, offering soup with sandwiches as part of specials will draw customers because people like * In the long term, generate for revenue during the winter months
The changes that need to be made:
First begin to offer soup in the winter. With that, offering coupons or free six inche sandwiches with purchase of a certain amount of gift cards will draw people in for the holidays and then bring the customer back in after for the sandwiches. Although the sandwich is free, the customer may buy soups, drinks, chips or cookies which will boost sales. Employees are important in selling gift cards. Offering a small prize fort the most sales will encourage the employees offering give cards. By Christmas time, the amount of gift cards sold should be considerably high which will bring customers back into the store. Also, the amount of revenue should have increased at this time but should continue. At the end of January, the amount of revenue generated should exceed previous years. Revenue should continue to grow throughout February and from March on, revenue will rise to the normal warm weather months.
5. The conclusion After implementing the plan, the cost of food is out of anyone’s control because of franchise rules which takes that aspect of change away. Also, just because a plan is implemented does not mean the plan is successful so trial and error becomes a strategy. Secondly, a small gift to a customer such as free six inch will generate customers to come in but people will generally buy something else because the customer is still saving. An action plan is more difficult than expected but implementing the right strategy makes a huge difference in the amount revenue generated.

Table 1.

Table 2.