Publix Super Markets tops the list of privately owned grocery
operators in the US. By emphasizing service and a family-friendly
image over price, Publix has outgrown and outperformed its regional
rivals. More than two-thirds of its 1,136 stores are in Florida,
but it also operates in Alabama, Georgia, South Carolina,
Tennessee, and North Carolina (a new market for the company).
Publix makes some of its own bakery, deli, dairy goods, and fresh
prepared foods at its own manufacturing plants in Florida and
Georgia. Also, many stores house pharmacies and banks. Founder
George Jenkins began offering stock to Publix employees in 1930.
Employees own about 31% of Publix, which is still run by the
Publix stores sell grocery products (dairy, produce, deli,
baker, meat, and seafood), health and beauty care products, general
merchandise, pharmacy products, flowers, and other products and
services. Grocery activities account for 85% of sales.
In addition to more than 1,124 supermarkets, Publix operates
seven distribution centers in Florida and one in Georgia. The
company also has ten manufacturing facilities, including three
dairies, two bakeries, and a deli plant. Publix's private label
items are produced at its facilities and by suppliers.
Publix has supermarkets located in Florida, Georgia, Alabama,
South Carolina, Tennessee, and North Carolina.
It restocks store shelves from eight distribution centers --
seven in Florida and one in Georgia.
Sales and Marketing
Supermarkets are often in strip shopping centers where Publix is
the anchor tennant.
In fiscal 2016, Publix recorded a further consecutive year of
growth. Total revenue of $34.0 billion was up 5.1% on the previous
year. Growth was a result of an extra trading week (accounting for
1.9 points of growth) and a 1.9 point increase in comparable store
sales. New stores openings contributed as well.
Net income ticked up 3% to $2.0 billion due to higher revenue,
although as a percentage of sales net income fell a notch to 6.0%.
This was due to an increase in promotional activity.
Cash from operating activities climbed 11% to $3.3 billion,
largely as a timing quirk relating to fiscal year end and the
Publix's growth strategy is based on net store openings.
In fiscal 2016, it opened 32 stores and closed ten. Seven of the
openings were replacement supermarkets, while 156 supermarkets were
remodeled. The openings added 1.3 million square feet, or 2.4% of
total square footage. Publix has 29 supermarkets under construction
-- twelve in Florida, seven in North Carolina, four in Virginia,
two in Alabama, two in Tennessee, one in Georgia, and one in South
The company opened 28 supermarkets in 2015, including five in
North Carolina, three in South Carolina, three in Alabama, and two
in Georgia. The company closed nine under-performing stores during
To drive more foot traffic to stores, Publix partnered with
Starbucks to open franchise outlets in its supermarkets. The first
such in-store coffee shop opened in late 2016, with five more
scheduled to open in 2017.