Fast food expansion: Ambitious plan for Jersey Mike’s to have 1200 stores in Australia starting with the Gold Coast fizzles
An attempt by a US fast food chain to push into the highly-competitive sector has fizzled with both its Gold Coast stores closing their doors.
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AN attempt by US submarine sandwich chain Jersey Mike’s to push into the highly competitive Australian fast-food sector appears to have fizzled with both its Gold Coast stores closing their doors.
Jersey Mike’s, founded in New Jersey in 1956, sells deli-style submarine sandwiches.
It was a purely US phenomenon with turnover of $US1.148 billion ($1.52 billion) and more than 1400 stores until 2016 when it chose the Gold Coast and South Brisbane for its first international expansion.
The chain’s founder Peter Cancro partnered with Jack Cowin, of Hungry Jacks fame, on an ambitious plan which aimed to roll out stores nationwide starting with the Gold Coast.
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Mr Cranco told the Bulletin in 2016 that he planned an additional 1200 stores, many of which would be in Australia.
“The days of burgers and fries are over and people will no longer buy stuff like that,” he said.
“That’s why we will do well here, because people will recognise the quality of the food.
“Once people try one they will be return customers.”
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The first shop was set up in 2016 at the Q Super Centre in Mermaid Waters following $400,000 in fit-out costs and was closely followed by another outlet at the Benowa Village Shopping Centre with an additional shop in Browns Plains south of Brisbane.
The chain was hard hit by coronavirus-related restrictions on in-store dining imposed on businesses in March and had to temporarily close its stores.
Those closures appear to have become permanent and Jersey Mike’s Australia’s Facebook page lists its operation as “permanently closed”.
The Q Super Centre store is for lease while the Benowa shop has been shut for months.
The website lists no outlets in Australia with a message on the front page stating: “We are working on an opening date”.
Retail Direct Property Group’s Steven Black, who handled site procurement for the brand when it launched and is listed as leasing agent of the Q Super Centre store, declined to comment.
Jersey Mike’s Australia general manager John Mackay did not return phone calls on Monday.
Jersey Mike’s grew out of Mike’s Subs, a business established in New Jersey in 1956.
Mr Cancro was a 14-year old high school student when he began working for Mike’s Subs in 1972. He later became the owner of the sandwich business at age 17 after its founder decided to sell.
In 1987 he changed the name to Jersey Mike’s and launched into franchising. He is now chief executive of Jersey Mike’s Franchise Systems Inc.
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