Subway to offer delivery from Walmart locations

Subway has become the first restaurant brand to integrate with Walmart’s Express Delivery service, allowing customers to order sandwiches alongside their grocery or household purchases. This partnership aims to drive sales for Subway franchisees located within Walmart stores while enhancing the retail giant's delivery ecosystem. The move highlights a growing trend of cross-category fulfillment in the grocery and meal delivery sector as providers seek to increase basket sizes and convenience.

Subway is expanding its delivery reach by integrating with Walmart’s Express Delivery platform, marking the first time a restaurant has been included in this specific service. Customers can now order Subway menu items directly through the Walmart app or website, either as a standalone meal or as an addition to a larger grocery and household item order. This service is currently available at select Walmart locations in Connecticut, Florida, Georgia, Ohio, Pennsylvania, and Texas, with plans to scale to approximately 1,400 locations by the end of the summer.

For Subway franchisees operating inside Walmart stores, this additional delivery channel is a strategic effort to boost sales amidst a period of traditional restaurant closures across the system. As of June 1, Subway has mandated that these specific franchisees participate in Walmart’s third-party delivery program. To facilitate this, orders placed through the Walmart platform are routed directly to the restaurant's point-of-sale (POS) system. Franchisees are responsible for maintaining updated POS systems to ensure order accuracy and are paid by Walmart on a weekly basis for the previous week's fulfilled orders.

The integration offers a seamless user experience where customers can browse the full Subway menu, customize their orders, and add them to their digital carts alongside retail goods. While there are currently no participation fees for franchisees, they are responsible for credit card processing fees on these transactions. This initiative aligns with Subway's broader strategy of menu innovation and value-driven offerings, such as the recently launched Fresh Value Menu, to drive traffic and adapt to changing consumer habits in the competitive meal delivery landscape.