Leo New York Secures U.S. Creative Business Victory with Subway
Subway's New Creative Agency: Publicis' Leo New York
It looks like Subway has united with Publicis' Leo New York for their U.S. creative agency duties, according to industry sources.
Hot on the heels of this decision, Leo New York has secured the prestigious creative account, with Dentsu, the previous incumbent, attempting to defend the business. This change comes following a rigorous competitive review process aimed at revitalizing Subway's marketing strategy and emphasizing their commanding presence in the sandwich market.
A company spokesperson revealed, "Publicis will lead a fresh and guest-centric creative strategy designed to uphold Subway's sandwich dominance. Although Dentsu Creative has been a trusted creative partner in the U.S. for nearly eight years, they'll continue to partner with us on various marketing endeavors."
Though both Publicis and Dentsu declined to comment on the matter, sources suggest that the media portion of the review is set to be concluded by the end of the second quarter. As it stands, Dentsu is also defending this portion of the business.
This agency switch marks the second significant event for Dentsu this week, as they lost the search account for Spectrum to Horizon Media.
Subway's transition has been sparked by a series of recent executive changes. Global CEO John Chidsey stepped down at the end of 2024, after five years in the role, paving the way for EMEA president Carrie Walsh to take charge temporarily while Subway searches for a new global CMO.
Last year, Subway was acquired by private equity firm Roark Capital for $9.6 billion. This change of hands signifies the first shift in ownership since the sandwich chain's inception by Fred DeLuca in 1965. Roark also owns other fast-food giants, such as Inspire Brands, Arby's, Buffalo Wild Wings, and Dunkin', along with GoTo Foods, including Auntie Ann's, Carvel, and Cinnabon.
In related news, Publicis Groupe recently announced the formation of Leo by merging Leo Burnett and Publicis Worldwide agencies into one single creative network. This integration may have provided a more streamlined strategy to cater to Subway’s evolving needs. Leo will head the creative marketing strategy with an emphasis on guest satisfaction, effectively bolstering Subway's market standing in the expansive sandwich category.
- The record-breaking sale of Subway to Roark Capital in 2023 resulted in a new era of equity in the business, with private equity firms now holding ownership.
- Publicis' Leo New York, following their acquisition of Subway's creative agency duties, will design a fresh, guest-centric strategy aimed at maintaining Subway's dominance in the sandwich market.
- The media portion of the thorough review process, initiated to revitalize Subway's marketing strategy, is expected to conclude by the end of the second quarter, with Dentsu currently holding onto that portion of the business.
- In finance, the business shift sees Publicis replacing Dentsu Creative, marking a significant change in Subway's creative marketing strategy within the competitive fast-food industry.
