Research Proposal And Introduction Of Publix

This research paper will be about how the privately held company known as Publix Supermarket which is now exploring the new way their customers are shopping using the internet with the help of e-commerce. Moreover, on how the Publix Supermarket stands up against the many of its competitors in the grocery market business. Publix Supermarkets is especially known for their exceptional customers’ experiences within their supermarkets, and now their customers are bringing Publix directly into their homes with the help of Instacart. Publix Supermarket is partnering with now a delivery source known as Instacart which is now providing numerous grocery delivery services to customers around the State of Florida with their popular large chain grocery

With sales of over thirty billion back in 2014, Publix is an American supermarket that has been listed on the top ten American’s largest private companies by Forbes in 2010. It is also the fourteenth largest retailer in America. Publix is privately owned and operated by its 176,500 employees, with its main base in Florida. However, “Publix has 1,103 stores in Florida, Georgia, Alabama, Tennessee, South Carolina and North Carolina” (Publix Funding) as well. Publix super markets are always trying to be more sustainable and environmentally friendly. For example, they create recycling programs, make sustainable choices of where food is purchased, use reusable grocery bags instead of plastic bags, and so much more. In addition to being more sustainable, they partner with many charities, including: Feeding America Foundation, United Way, and Greenville Habitat. These are just a few of the forty affiliates that Publix has connected with.

Publix Supermarkets, Inc. is the largest employee supermarket chain and fastest growing company in the United States. It was founded in 1930 by George W. Jenkins and opened the first Publix store in Winter Haven Florida is a employee- owned privately held corporation. Publix is has over more than 1,061 supermarket stores, eight grocery distribution centers, twelve brand manufacturing facilities, and 820 Publix Pharmacies. The manufacturing facilities produce its dairy, deli, bakery, and other food products. Our stores are located in Florida- 752, Alabama-51, Georgia- 180, South Carolina- 45, and Tennessee- 33. Publix built its first distribution in Lakeland, Florida and moved its headquarters there from Winter

According to Publix website http://corporate.publix.com/about-publix, Publix Supermarket is a premier food retailer founded and opened in 1930 by George W. Jenkins. Mr. Jenkins opened a store that operated on a set of values, respect and dignity of individuals, and that the doors of communication would be opened for his associates to their managers. Along with a mutual respect and engagement, and diversity. This philosophy still continues to be a part of the decision making process even today. The same respect would be given to the customers upon entering the doors of Publix. As part of their commitment, Publix makes it a priority to employ, service people and vendors from many backgrounds, cultures, abilities, and ethnicities. Publix also gives back to the community by participating and providing different services to people in campaign events, sports, and special events. Publix was voted in the top 100 companies to work in Fortune Magazine for 2011

Publix is not your quintessential grocery store, it is so much more. What is it about Publix that make it unique from all the other stores that sell groceries? What are its unique selling points that add extra value to a visit? Why are customers willing to pay more to shop there? To quote Publix President, Todd Jones, “We believe that there are three ways to differentiate: service, quality and price. You’ve got to be good at two and the best at one. We make service our number one, then quality and then price” (Jones, 2013).

In addition, although it was short-lived and unsuccessful, technology gave Publix the opportunity to learn the online market. Where some say Publix decided not to continue with their online version, Publix Direct, too early, this really gives them the option to explore what went wrong, and what went right. With rapidly evolving technological advances, Publix can use what they learned to discover new possibilities.

Trader Joe's faces several threats to its business, as competitors try to invade the company’s niche and attempt to imitate the company’s core strategies. The supermarket industry itself faces a major threat, as larger chains such as grocery retailers Wal-Mart and Tesco have begun to open small-format stores that mimic the Trader Joe's approach. This invasion results in additional cost pressure for incumbents like Trader Joe’s, which had to let go employees in order to become more cost competitive.

This being prices, quality or service, they make sure to provide the “premier quality” in all aspects of their business. So, with this sense of premier quality, they also implement the opening of new stores around the nation to further allow the company to continue to grow. Publix is said to open its ninth store in Charlotte, NC in order to make sure they can continue to go about showing their worth and expanding the company. Not only are they expanding to different states and locations but also Publix has a coupon policy in which they accept coupons from other competitors in order to show their loyalty to their customers and guarantee premier satisfaction within the customer’s eyes. Publix was further mentioned with another big company who goes by the name of Wal-Mart. Upon being mentioned with Wal-Mart, this is what was said: “they were one of the few companies that have been able to thrive despite an onslaught of Wal-Mart’s.” Thus, showing the successful path Publix has come up on. Another key to Publix’s success is their use of

Grocery shopping is more diversified and evolved than ever before. Individuals across the nation have access to everything from exotic products to unique delivery services. Often, specialty stores have limited locations whereas specialty services have a limited reach. However, two retailers have expanded to hundreds of locations while adhering to unexpected market positioning for previously untargeted market segments. Whole Foods Market and Trader Joe’s have become household names while also innovating beyond regional and national traditional chains. Despite comparable size in

Publix is an employee-owned supermarket chain that is said to be the largest of its kind in the United States. Its operations span throughout the southeast region, with locations in Tennessee, Florida, Georgia, Alabama, North Carolina and South Carolina; with Florida having nearly half of the company’s operating base. George W Jerkins founded the corporation as an employee-owned private entity. The company has managed to create over 168,000 jobs in its numerous branches now totaling to a tune of 1098 stores. Moreover, it has invested in cooking schools and grocery distribution. The company’s turnover in the previous year, 2014, was 28.92 billion US dollars to 1.74 billion as its net profit ranking it to be the thirteenth largest private retail company in the United States (Forbes.com, 2014). Currently, the price of its stock share is around 39 US dollars per share capital. The company has managed to build a niche for itself competing with the likes of Costco, Whole Foods, BJ’s Wholesale Club, Sam’s Club and even Wal-Mart.

Larger stores also offer people the convenience of additional services along with their shopping, for example post office, pharmacy and opticians. By addressing consumer’s expectations and using their buyer power they can offer a choice of products to reflect consumer’s diverse budgetary, dietary, ethical and environmental requirements. Furthermore their global buyer power enables consumers to benefit from choosing exotic produce all year round. With 30,000,000 customers (Bevan cited in Allen, 2009) choosing to use the big four supermarkets on a weekly basis it would suggest that they provide a format that consumers want.

In the case regarding Bob’s Supermarket, several economic and social environment challenges were observed. First, the opening of Wal-Mart Supercenters in 1995 created major competition for Bob’s Supermarket. Immediate impact was felt in dropped sales and store closing. The Hope, Indiana store was force to close when Wal-Mart opened a Supercenter in Columbus, Indiana. The store layout of Bob’s Supermarket was customer unfriendly. Some store had old ice machines located in the front and outdated fixtures located inside the store. In addition, Bob’s Supermarket made the decision to not sale alcoholic beverages.

Trade Joe’s is known as “the place to go” if you are looking for unique products you won’t find at other grocery stores, don’t mind Hawaiian-shirt-clad employees, and are lucky enough to have one near you! In 2012 Trader Joe’s ranked as the 2nd best supermarket in US according to Consumer Reports, and in 2013 Market Force Information, named Trader Joe’s as the #1 consumer’s favorite grocery store. These achievements are no doubt due to the company’s strategy and competitive advantage. Their strengths and weaknesses are also a critical component to understand when analyzing Trader Joe’s success, as well as its potential going forward. While Trader Joe faces some problems, these obstacles are by no means insurmountable.

Trader Joe’s forgoes advertising for a strategy of customer relationship management because advertising “can’t create an experience. It’s the personal relationship with these people that builds loyalty” according to St. John, vice president of Trader Joe’s (Guth, and Marsh 183-187). Through this strategy, Trader Joe’s has seen much success. At the time of this case study, analysts estimated annual revenues to be around 3 billion. Today they are estimated to be around 8.5 billion. The effect is that the company has grown and still continues to grow. Trader Joe’s has gone from having 220 stores in 17 states in 2004 to 356 stores in 28 states as of June 2011 (“Trader Joe’s”). One area of attention for Trader Joe’s is to not lose sight of this customer relationship strategy as it continues to grow into a national or even global company. The company needs to continue to “pay attention to the information it

Based on our analysis of both the internal and external aspects of SuperValu, one of our recommendation for the SuperValu board of directors is to sell off the grocery retail business unit. SuperValu does not have the internal resources to continue competing in this highly competitive industry. The company is also not able to strategically place itself in the market compared to competitors because they are not a low cost leader, nor do they have a premium product. Walmart and Aldi will continue to take revenues from Cub and other SuperValu owned grocers in the future, while Whole Foods and other specialty stores will continue to offer better products that match external trends. In addition to the growing competition, SuperValu’s financial performance has been below or stagnant relative to their competitors and the industry overall. The company revealed that about half its revenues and one-third its earnings come from the distribution business, which continues to grow and currently services about 2,500 independent retailers from 19 distribution centers. During that same quarter, same-store sales at its supermarket locations dropped about 4.5 percent, with even Save-A-Lot outlets registering 4.1 percent decreases in same-store sales.