In the summer of 1965, 17-year-old Bridgeport native Fred DeLuca was tossing around ideas of ways to earn money for his college tuition with family friend Dr. Peter Buck.
After discussing some possible options, Buck told DeLuca, "I think you should open submarine sandwich shop," and backed up his suggestion with a $5,000 loan. DeLuca not only took Buck's idea to heart and co-founded the sub shop with him, but named it after the good doctor, calling it "Pete's Super Submarines."
Little did they realize that the venture would not only be successful, but would change the way people eat around the world. As of Dec. 31, 2006, system-wide sales for Subway - which focuses on serving fresh, healthy food as an alternative to the sea of fast-food available in the marketplace totaled $10.05 billion worldwide.
DeLuca's first sub shop opened its doors for business on Jewett Avenue in Bridgeport on Aug. 28, 1965. Within 10 years, the business had grown to include sub shops, and its name had changed to Subway. "Pete's Super Submarines" sounded too much like pizza, explains the company's public relations coordinator, Rob Wilson. And since the sub shop didn't sell pizza, "within a fairly short time, the name was changed to Subway."
The first franchised Subway location pened in Wallingford in 1974. Its first overseas store opened in Bahrain, in the Middle East, 10 years later. Today, the Subway restaurant chain includes more than 27,500 locations in 85 countries, making it the largest submarine sandwich franchise - and the second largest fast-food chain in the world. Subway has more than 21,000 locations in the U.S. and Puerto Rico, 2,225 in Canada, 1,175 in Australia and New Zealand, 850 in the United Kingdom and 430 in Germany. In fact, in some countries, it has more locations than McDonald's. The goal of the company, which remains privately held, is to operate Subway stores in every country of the world.
More than 6,ooo Subway locations are located in "non-traditional" places like convenience stores, universities, hospitals, arenas and military bases - and even a church in Buffalo and a Harley-Davidson motorcycle shop in Las Vegas. "If there is just a little bit of room, we can utilize the space to the advantage of Subway and our partner," Wilson says.
Responding to Subway's selection as the first company to be inducted into the Connecticut Business Hall of Fame, he says, "We consider it an honor to be in the first group of Hall of Fame inductees. Subway began in Connecticut over 40 years ago, and we have never forgotten our roots here. Our first franchisees and our earliest vendors - many of whom still support us - all came from this region, and we could not be more pleased about this recognition."
Asked about the key to Subway's phenomenal success, Wilson says first and foremost, "everyone loves a well-made sandwich." And the wide selection of breads, meats, cheeses, vegetables and sauces Subway offers - along with the options of having the sandwich hot, cold or toasted - means there's no reason why anyone has to have the same sandwich twice. "Subway offers something for everyone on our menu," he adds. "If you want to eat smart, you can, and if you want to be a wee bit indulgent, you can do that as well."
At a time when competition for customers' hearts, minds and dollars is intense, what differentiates Subway from many of its competitors is its focus on healthy eating. For the past seven years, the company has been represented by real-life customer Jared Fogle, who landed the gig when he wrote to the company to explain how Subway sandwiches had helped him lose 245 pounds in less than a year - and keep it off. "We are fortunate to have him as our spokesman," says Wilson, "because his story is real. He's not a character actor playing a role, so people identify with him, and he has inspired many, many people to follow his lead."
Subway's advertising approach ties in well with its health-conscious focus. Much of its advertising relates to sports, whether it's NASCAR racing or pre-game and post-game NFL coverage. The company's new web site, www.subwayfreshbuzz.com, also promotes an active lifestyle. It features fitness and nutritional information - along with spots by sports figures who appear in Subway commercials, including football sensation Reggie Bush and skating champion Kimmie Meissner. "Even the new movie 'Blades of Glory,' starring Will Ferrell, when you see them competing on the rink, you'll see the Subway logo on the boards," Wilson says. "That's not just good for the brand domestically, but anyone who sees that movie will realize that Subway is known worldwide."
Forty-two years after the first sub shop opened, co-founder Fred DeLuca continues to serve as president of Doctor's Associates Inc. (DAI), the owner of the Subway System. Subway's corporate headquarters, which employs more than 600 people, is located in Milford, with regional offices in Florida, the Netherlands, Lebanon, Australia and Singapore.
Herb Barker Barker Specialty Company 27 Realty Dr., Cheshire, CT 06410 www.barkerspecialty.com (203) 272-2222
During the early 1950s, Herb and Gloria Barker had a job that took them on the road-literally. "Barker Specialty Company began from very humble origins, with (my parents) selling promotional advertising from the trunk of their car," recounts their son Gerry, who today is president of the Cheshire-based company. "They actually went up and down the coast of New England, and at the time, they were primarily meeting with gift and souvenir shops, encouraging them to buy items that would be customized with their own logos and designs."
Getting the venture off the ground was something of an uphill battle, Gerry says. "The most difficult part of the business was finding manufacturers who had the technological capability to be able to customize short runs with someone's name on it. Back then, most of the work wasn't even done with logos. It was straight copy."
And the Barkers had an even bigger hurdle to overcome: The concept of placing a company message on a giveaway product, rather than advertising through traditional means, was relatively unknown. "At the time, the media of promotional advertising was not considered to be an established form of advertising; it was considered a novelty, a trinket, something to hand out for goodwill. There was very little consideration given to the fact that you are putting an advertisement directly in the hands of the person you want to receive the message:' Gerry says. "Today, promotional advertising is recognized as a very legitimate means of getting a message out. In fact, with the tremendous fragmentation of the advertising landscape, promotional advertising is probably the most effective form of advertising today."
From its modest beginnings, Barker Specialty has grown to become one of the most prominent promotional advertising companies in the country. It employs four full-time artists and four full-time Web designers, has a 6,ooo-square-foot promotional products showroom - the world's largest, says Gerry - and sells its customized merchandise to clients around the globe. Its clients include "the world's top companies:' in fields ranging from insurance to banking to consumer products.
At the same time, he says, the company and its employees "derive as much pleasure working with their local high school sports team and local organizations and political candidates. Whether it's one trophy or ioo,ooo t-shirts, everyone at Barker Specialty wants to make sure that the recipients are thrilled and happy with their products."
The customizable merchandise provided by the firm ranges from simple, low-cost items like balloons and ball caps to top-quality promotional products made by companies like Swiss Army Brands, Waterford Crystal and Zippo. Asked about the induction of Barker Specialty into the Connecticut Business Hall of Fame, he says his family is "very honored, very proud and very pleased to be recognized as one of the first inductees."
His parents were successful in building a business that now employs several members of the family, including two of his three siblings. Gerry says the company's mission is simple. "Barker Specialty Company has accomplished great things over the past 50-plus years because of a singular goal. We want to offer the finest products at the industry's most competitive prices while earning the respect from our customers and suppliers for exceptional service," he says.
As for the business philosophy that the company's founders instilled in their children, he adds, it all comes down to three things. "I like to call it the three Cs. We're concerned and careful about how we treat our customers; they're the lifeblood of our business. We cherish our company, which means all of our employees and suppliers with whom we work every day. And we understand that we live in a community and we're a part of that community; that requires participating on different (charitable) boards and organizations, and giving whenever we're able to."
Gerry says while Connecticut is often criticized for having a difficult business climate and some of the highest costs of doing business in the country, "we feel very fortunate to be able to have a business and live in this great country, as well as a wonderful state that really promotes the values of community." As successful as Barker Specialty has become, Herb and Gloria are just as well- known for their long-time passion for art. Gerry says his parents began collecting animation art and character collectibles in the 1960s. When the company moved to Cheshire in the 1980s, the couple bought an adjacent farm to their property, and established the Barker Animation, Fine Art and Sculptures Art Gallery, now the largest animation and entertainment art gallery in the world. They also opened the Barker Character, Comic and Cartoon Museum, which today exhibits more than 8o,ooo items, offers free admission, and has become a national tourist attraction, drawing tens of thousands of visitors each year.
Herb and Gloria also own Comic Strip Art Publishers Co. and Barker Publishing Co., the world's largest publisher of advertising and entertainment art. In 1999, Herb - a licensed appraiser and an authorized associate dealer for Sotheby's - was chosen by Animation Art Magazine as one of the top 10 most influential people in animation in America.
John B. Farnham Associated General Contractors 912 Silas Deane Highway Wethersfield, CT06109 www.ctconstruction.org (860) 529-6855
John B. Farnham has been in the trade association business for roughly 30 years. And while he didn’t originally set out to make construction his life’s work, he not only has a passion for what he does, but has a long list of achievements in the industry he adopted as his own.
Farnham is the executive director of the Associated General Contractors of Connecticut (AGC/CT), the Connecticut chapter of national construction contractors’ trade association, the Associated General Contractors of America. The organization represents commercial, industrial and institutional construction contractors, subcontractors, material suppliers and professionals in the construction field, while also keeping a close eye on issues affecting the industry. Asked for his reaction to being inducted into the Connecticut Business Hall of Fame, Farnham says he was “surprised, for the most part. It pretty much blew me away.”
A native of St. Louis, Mo., Farnham worked construction jobs in college, but went on to earn degrees in public health administration and speech pathology, then spent three years in the public school system before taking a PR position with the Easter Seals Society. After 10 years in the workforce, he decided it was time for a change, and landed a job as director of PR for the Associated General Contractors of America in Lansing, Mich. Farnham had found his niche. He was promoted to assistant executive director, then became an executive director in Detroit, where he spent five years. He followed that up with a six-year stint in Virginia before moving to Connecticut almost 15 years ago. “It was my choice," he says of the decision to move north. “My wife and I have always liked the Northeast. ‘We just find the Northeast to be very culturally rich, and it has a lot of interesting history. It’s also a great place to do business, particularly in Connecticut, being strategically located between Boston and New York. For the construction industry, it is a particularly rich market.”
Farnham notes that on both the national and state levels, the construction industry plays a significant role in the economy. “It makes up a little over 10 percent of the GNP (Gross National Product), and it is an integral part of the whole business climate. Construction is something that clients need, and here in Connecticut, there has been a huge amount of public construction - schools, public facilities, city halls, all kinds of urban structure - in the last few years. We’re in a very diversified economy on the private side as well - pharmaceuticals, entertainment, high-tech, biotech - there are just so many things happening now in Connecticut. The medical services industry is huge.”
In addition to his regular duties, Farnham has served on a number of national and state organizations involved in formulating regulations and policy for the commercial construction industry, and was involved in efforts to pass legislation to prevent unqualified and inexperienced contractors from being hired to work on public construction projects in the state. He has also been active in projects aimed at assisting his adopted community - including an initiative asking members of the industry to donate labor, materials and supervision for the construction of Ann’s Place, a cancer care center in Danbury.
Farnham also helped establish the Hartford Construction Jobs Initiative, or “jobs funnel,” a program that recruits, trains and places Hartford residents into construction careers through area contractors and apprenticeship programs. And he launched the Connecticut Young Contractors Forum, a networking group of young construction professionals, with the goal of helping them understand more about the industry and make contacts to help launch their future careers. He says he’d like to see more young people take advantage of the career opportunities the industry has to offer, noting that the AGC/CT is in the process of awarding two $5,000 scholarships to seniors interested in pursuing careers in the field.
“There’s always been a frustration about attracting new people, because of a misconception about the industry and the perceptions that survive from 30 years ago,” he says. “People (still) see it as a dirty industry, and one that does not have a professional image. But it really is an industry that has a variety of professional career opportunities.” He adds that people interested in the field “don’t need any particular credentials to get in, and if you’re willing to work and seek out opportunities, they’re there for you. The cream rises very quickly to the top.”
Asked if he’s happy with his own career choice, Farnham’s answer is an emphatic yes. And what does he like best about it? “Being around good people. The construction industry, for the most part, is made up of people of good values, who believe in an honest day’s work. It really hearkens back to the days when your handshake was your bond, and in this industry, it’s still practiced very much the same way,” he says.
And it doesn’t hurt that he simply loves what he does. “My basic philosophy is, when it comes to your career, you should be having fun. It should be personally stimulating. It should be a passion. If you’re in a job that doesn’t have those things, go out and find one that does.”
Barry Berman & Dick Kalt CRN International, Inc. One Circular Ave., Hamden, CT 06514 (203) 288-2002 www.crnradio.com
In 1973, when he was fresh out of university, Barry Berman founded the Connecticut Radio Network (CRN). “Right out of college, I knew that I wanted to be in broadcasting somehow,” says the UConn grad. He also knew that he wanted to live in Connecticut. “So my first mission was to create a business in a place I wanted to be.”
Before long, the fledgling media company was providing news, sports and information to dozens of Connecticut radio stations, with Berman doing everything from recording voiceovers and covering sports to hosting talk and cooking shows. He also began creating promotional campaigns for clients that combined advertising, sales promotions, public relations, retail marketing and special events - 10 years before the phrase “integrated marketing” was coined.
Today, he is president of CRN International, America’s leading radio marketing and promotions firm, representing some of the largest companies in the country, and his radio series have aired on thousands of radio stations across North America. Berman, marketing chair of the Governor’s Council on Competitiveness and Technology, was one of Inc. Magazine’s regional finalists for “Entrepreneur of the Year.” His company has received more than a dozen awards for its innovative marketing strategies, and has repeatedly appeared on Inc. Magazine’s list of the “500 Fastest Growing Private Companies in America.” Surprisingly, Berman did not set out to have a broadcasting career. He chalks that up, like many other things in his life, to serendipity - a confluence of unexpected events. His mother, he says, wanted him to be a lawyer.
Berman had hosted a radio show part time while at UConn, and worked two different summer jobs at radio stations in Bridgeport and Ansonia. While there, he tried to land on-air interviews with prominent newsmakers, but their representatives often said they couldn’t accommodate secondary stations like Ansonia, which Berman felt was unfair. He came up with a novel idea: finding corporate sponsors to pay for programs that would be aired on numerous radio stations. He decided to pursue that angle part-time while getting his law degree. Berman went to Boston for an interview at a law school, but the director of admissions was a no-show. Unfazed, he walked down the street to Mutual Life’s headquarters and “talked my way up to the executive floor.”
Berman pitched his idea for a radio show to the president who, in turn, called a colleague at Aetna, a company with more business in Connecticut. Before long, Berman was on the receiving end of an offer to make it happen - for $8oo a week. At the time, junior lawyers were making $12,000 a year, he says. “I spaced out, and the guy thought I was hesitating. He offered me ‘$1,000 a week, and not a penny more.’”
Berman was in business. As a reporter for the network, Berman landed exclusive interviews with the likes of U.S. presidential hopefuls Ronald Reagan, Jimmy Carter and George H.W. Bush, thanks to his groundbreaking business model, and his company continued to grow. In the mid-1970s, Berman met Richard (Dick) Kalt, general manager of WPLR-FM, a local radio station that broadcasted CRN’s “Dialogue” program. Berman was a frequent visitor at the station, and the two men became friends. In late 1980, Kalt decided to make a career change. “He (Berman) called me, literally, within an hour after I left WPLR, and he wanted to know if I wanted to join him in business:’ Kalt remembers. “I thought, ‘This could be one of those very serendipitous moments.’ I liked the idea of getting involved in a small business that we could grow creatively.”
Kalt became a partner and executive vice president of CRN. “I had radio station management and organizational experience, he had entrepreneurial spirit, plus we were good friends, so it seemed like a very good match. From that point forward, we pushed each other in our thought process and our ability, and we grew and expanded our product base.”
Over the past 26 years, Kalt and Berman have worked together to create numerous award-winning broadcast campaigns for clients across the nation. “We develop nontraditional marketing (programs), using radio as a foundation. We work with major package goods companies as well as other Fortune 100 companies that need to communicate with the consumer," Kalt explains. “We find ways for our clients to reach their consumer target more effectively, more often, and have consumers retain and respond to their message more efficiently than with traditional advertising.”
They do that through a creative mix of advertising mediums, from radio programming to promotional contests to events. The two also apply their innate creativity to staff management. “We really challenge the people at CRN intellectually. We’re interested in their ideas,” Kalt says. He and Berman see the company culture as “a learning culture, one that doesn’t accept the notion that you can’t do something. We want our people to go outside the white lines and think in new ways that keep us ahead of our competition.” Profit sharing and office parties every Friday afternoon also help to keep employees engaged, and make CRN a fun place to work.
Asked for his keys to success, Berman boils it down to three things: “One, you need to be passionate about what you do, because that will get you through hard times. Two, build a great team of people, and do whatever it takes to make sure that they’re happy and motivated. And three, don’t do something because that’s the way you’ve always done it. You need to keep breaking the rules.”
Adds Kalt, “The world is filled with people who choose to restrict themselves (to their comfort zones). We are willing to go out and do the things that some people may not be comfortable doing. That’s the kind of people we are, and those are the kind of people who make a difference.”