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‘Kentucky it is’ – Commonwealth new territory for grocery growth leader Publix also adding 40-50 stores per year across footprint Lakeland, Florida-based Publix has been named Shelby Publishing’s 2023 Growth Leader. Now operating more than 1,360 stores, the employee-owned company has opened 45 new locations this year and completed more than 100 remodels. CEO Todd Jones said Publix is averaging 40-50 new stores per year. The company is preparing to enter a new market, Kentucky, in early 2024, with six locations planned for Louisville, Lexington and Walton. Jones said the company tries to enter new states that are contiguous to those where it already is established. This helps with staffing as well as supply chain. Other considerations include making sure a state is business friendly and that it has a population conducive to locating several stores. “We certainly don’t want to go to a state and put five stores there. The economics won’t work. You want to get some scale,” he explained. “When you start thinking about scale, population growth, business friendly, contiguous associate base, we try to triangulate those things and model it out. And it modeled out higher than the other contiguous states. So Kentucky it is.” Publix established a new micro-website, “Hello, Kentucky,” to share updates on store openings and information about the company. “All the things that customers would want to know … give them a little bit of culture, give them a little bit of flavor, because a lot of folks may not know us in that area,” Jones said. Before Publix locates in a new state, Jones said they have been “scoping it out” for a couple of years. “We’re getting to know customs, traditions, neighborhoods, communities, what’s important from a nonprofit sector. We really want to be part of the community. We’re not just putting your store there; we are becoming a part of that [community].” He said they want to connect with the communities to understand what their needs are and what Publix can do “to lean into those areas.” In June, Publix broke ground on its first Kentucky location in Louisville. Jones said that was the community’s first introduction to Publix’s products and services. “We brought some of our best foods … For some, it was the flavors that they remembered from when they’ve been at Publix for holidays or vacation trips.” Jones noted that even those who haven’t visited a Publix often have heard about “legendary” Pub subs and bakery cakes. Store grand openings and gifts of Publix private label products and reusable bags often draw new customers. “Once we get them in, we really count on our associates to do the rest,” he said. In Kentucky, Jones said Publix is working on some “surprise-and-delight items that we want to make resonate to the local Kentuckian community. We’re working on a Kentucky bourbon ice cream.” The company’s first liquor store outside of Florida also will be in Kentucky.
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While Publix is entering a new of the market in Kentucky, it continues to grow in states where it already is established. The company has stores in Florida, Alabama, Georgia, North and South Carolina, Tennessee and Virginia. “All of our states that we operate in are growing, so we have opportunity,” Jones said. “We’re finding that as consumers become more time starved, convenience matters more and more, so we can keep closing that gap down on the space that we have in between our existing stores. Maybe it won’t be uncommon to have stores right across the street, two stores on either corner, and still be very successful.”
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Todd Jones and Kevin Murphy
Jones said the company wants to keep adding 40-50 stores each year, “whether they’re replacements or net new.” In September 2022, Publix opened a new distribution center in Greensboro, North Carolina, which Jones said is a “huge facility.” It also has expanded its warehouse in Boynton Beach to help with the growth in South Florida. In addition to those facilities, it has distribution centers in Dacula, Georgia; Deerfield Beach, Jacksonville, Lakeland, Miami, Orlando and Sarasota, Florida; and McCalla, Alabama. Jones said Publix has two Fresh Kitchen facilities (Deerfield Beach and Lakeland, Florida) and is opening a third in Atlanta, Georgia. The Fresh Kitchens make about 25-30 grab-and-go items, which are sent out on produce trucks the next morning. This helps store deli associates take care of customer-facing tasks. Jones said the company continues to work to harden its supply chain and “help our growth going forward.” Opening the DC in Greensboro, North Carolina, will allow Publix to more easily get products to the Kentucky stores. “Moving food is a big part of it,” Jones said. “You’ve got to get it from point A to B as efficient as you can, as fast as you can. Turn it around, get those trucks back out, get them filled back up, get them turned back around, never have a down cycle. It’s 24/7, rock and roll all the time with supply chain movement.” While many companies are dealing with a shortage of truck drivers, that has not been a problem for Publix. “We hire them and grow them into drivers,” Jones said, providing training for warehouse associates who are interested in becoming CDL drivers. “It takes a little while, but we grow them.” Jones said having truck drivers who have worked in the warehouse has its benefits. They know what’s in the truck and how it’s been loaded. “They know the care they put into that truck. When they get behind the wheel, they know what’s back there. They know how it shifts. They care for it,” he said. Jones said they have a lot of associates who want to become drivers, adding Please see page 16
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that 99 percent of the time, Publix drivers are home every night. He said the company wants to “put the associate before the process.” Most drivers have one or two runs a day. On longer runs, they will try to build a drop spot, if of the necessary, where one driver can drop a trailer and have another driver pick it up and deliver it to its destination, allowing both drivers to be home that night. “You don’t have to put them on the side of the road and have to spend the night at a rest area,” Jones said.
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Keep running
Publix remains committed to its associates, its customers and its communities. While the company continues to grow and expand its footprint in the Southeast, its leaders remain focused on its core values and commitment to excellence. Jones shares a story of a lion and a gazelle. “Every day in Africa, a lion wakes up and knows it has to outrun the slowest gazelle or it will starve. At the same time in Africa, every gazelle wakes up and knows it has to outrun the fastest lion or it’s going to get eaten. It really doesn’t matter whether you’re the lion or the gazelle. When the sun comes up, you best get running. “It means you’ve got competitors that are possibly coming after you. They’re coming after your customers, they’re coming after your associates. If you allow them to do that, [it could] make it easy for them. But if you get up every morning and you’re running, you build a little bit of a barrier,” Jones said. Publix continues to care for the vision of its founder, George W. Jenkins (Mr. George), from 93 years ago of being the company that “knows the most and cares the most about the products we sell and the people we serve,” Jones said. “It’s a privilege to be part of it. We do this because it’s the right thing to do.”
The Membership of the GMR would like to take the honor to say
CONGRATULATIONS Publix! on being awarded the
2023 Growth Leader of the Year!
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Company’s culture of caring begins with hearts, minds of its associates Publix was founded in 1930 in Winter Haven, Florida, by George W. Jenkins (Mr. George) on the concept of community first. CEO Todd Jones said while food is the “backbone” of the company, “we wanted to make sure that we’ll take care of our customers and our communities.” Talking with Shelby Publishing President and COO Stephanie Reid and SVP Jan Meade about Publix being named the publication’s first Growth Leader, Jones said he was humbled to represent the associates. “They’re the ones that do the work every single day. They’re out here, getting up every morning, serving their community, unloading trucks, moving inventory across the network,” he said. “I’m just very thankful of what they do. Caring for Mr. Gorge’s visions from 93 years ago, being that company that knows the most and cares the most about the products we sell to people. It’s a privilege to be part of it.” As an employee-owned company, taking care of customers and communities starts with the more than 250,000 Publix associates. Jones likes to say the company puts “the A’s [associates] before the C’s [customers] and puts the C’s before the P’s [processes]. That’s our way of saying put the associates actually in front of the customer.” According to Jones, if they can get the hearts and minds of associates – engage them, train and develop them – they will make it right for the customer and then they can figure out the process. “We try to say our brand is the company that knows the most and cares the most about the products we sell and the people we serve. And we live by that Publix brand every day,” he said. “Then we figure out the logistics and supply chain, conditioning the store, stacking produce and making sure the lights are right … But you can’t get that to happen on a regular basis in more than 1,360 stores across seven states unless you’ve won the hearts and minds of the associates first.” Publix associates have “got to be in the game.” “If we made a company that had ownership, if we made a company of inclusive behavior where people bring their full selves to work, if we build a company of opportunity where I can start off as a bagger and I can be CEO of a company, and then in turn, that group of people wants to serve our communities and treat our customers like royalty – that’s possible,” Jones said. “It’s not possible any other way, I can assure you. “That’s not easy to do … It takes a lot of work, a lot of planning, a lot of engaged decisions to make that happen. If you win their hearts and minds, you’ve got their hands and feet.” Jones said if you start with hands and feet, that’s a command-and-control approach. Publix wants its associates’ hearts and minds. “That’s a functional team and is actually harder,” he said. Operating in the “top right quadrant” of the nine-box grid by having associates’ hearts and minds and having processes at the highest level, “you’re going to usually end up on the top, most of the time,” Jones said.
Culture of excellence
Publix has received many awards for being a great place to shop and work, including being named for 26 consecutive years as one of Fortune’s 100 Best Companies to Work For. Jones said they make a concerted effort to find out what customers think about how well Publix is serving
them. They also want to know if their associates believe they are “caring for Mr. George’s philosophy of being inclusive, continuing to provide opportunity – whether it’s recognized for customer service, great place to work for Millennials, great place for women – we want to make sure that we listen to that.” Jones said it often is like a cause-and-effect relationship. “If I study, I should get better grades. If I have a great place to work, it’s generally going to turn into a great place to shop.” Publix wants its associates, who also are company owners, to feel it is inclusive and that they can bring their whole selves to work. If the associates feel that way, customers also will pick up on that feeling. When he is in a store, Jones said he often will observe how associates interact with customers. “We’ve got to be out there and be engaged,” he said. Maria Brous, director of communications at Publix, said when people leave companies, it’s often a case of them leaving the people they work for. She said Jones and President Kevin Murphy set a pace and make their expectations known. “It’s the ownership that we have in this company; we really are in this together. We either are going to succeed together, or we’re going to fail together. And we’re going to learn,” Brous explained. “We don’t always get it 100 percent right, but we’re always striving to get it 100 percent right. And we’re going to make those adjustments along the way. But when you own it, you take better care of it.” She said when Jones and Murphy are in the Lakeland office, they eat in the cafeteria nearly every day. “There’s not many Fortune 100 companies that you can go to where you have direct access, where we have the ability to reach out to talk … They’re in the stores every week, multiple times a week.” Jones said when they are in the store, they are there to help and to “try to find what they’re doing right.” He said they want to see the associates, say hello and meet them. He said if there is a problem, they fix it and move forward. “We’re not perfect, far from it in some cases, but we’re going to go after perfection. That’s going to happen every day,” he said. “We’re not striving for mediocrity.”
Giving back
The Publix belief in putting community first is evident in the many ways the company and its associates give back to local communities and to causes that cross county and state lines. During its annual stockholders meeting, Publix honored six employees with the Mr. George Community Service Award for outstanding commitment to their communities. Each year, one employee from each retail division and one support associate are recognized with the award. These associates are involved in their communities, display their personal integrity and represent the generous spirit of Publix’s founder. Publix associates also volunteer annually with nonprofits during its Service Weeks in March and September. In 2023, more than 7,500 Publix employees across the company’s seven-state operating area volunteered at more than 200 organizations, including those working to alleviate hunger and others focused on environmental sustainability. In September, a number of the 22 mobile food pantries Publix Super Markets Charities (PSMC) funded in 2022 were on the road, bringing Publix-provided produce and Please see page 20
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other nutritious food to communities facing food insecurity throughout the Southeast. The Feeding America partner food banks received $175,000 each from PSMC to purchase and equip their mobile units. To further its commitment to alleviating hunger, PSMC has donated $6 million to 36 Feeding America partner food banks and more than 300 other nonprofit organizations this year. These funds will help support organizations providing services like weekend backpack programs, food pantries and meal delivery programs In addition to volunteer opportunities, Publix continues to look for ways to reduce waste and protect natural resources. The company’s most recent efforts focus on long-term collaborations to support freshwater restoration in Florida, as well as sustainable fisheries practices. In June, the company’s support of the March of Dimes
topped $100 million since 1995 to help improve the health of mothers and children. In 2023, the Publix campaign raised about $6.4 million, making it the March of Dimes’ No. 1 corporate partner for the eighth consecutive year. In August, Publix Super Market Charities donated $1 million to support relief efforts in areas affected by Hurricane Idalia. Publix also activated a company-wide donation campaign, allowing customers and employees to help provide relief for those affected by the hurricane. In December, PSMC donated $10 million to build hope and strengthen communities. The donation will support more than 250 nonprofit organizations focused on providing housing and shelter services, including 125 Habitat for Humanity affiliates. Since 2015, PSMC has donated more than $43 million to nonprofits that build homes and provide emergency shelter and transitional housing.
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$2M donated to remove invasive trees, plants from wetlands in Florida Everglades Publix is contributing $2 million to remove invasive trees and plants in 1,000 acres of wetlands in the Florida Everglades. These trees and plants use more than their share of water, interrupting Florida’s natural water system. The company is funding projects at Corkscrew Swamp Sanctuary and the saline glades in Everglades National Park that will restore the health of these habitats and return an estimated 174 million gallons of water per year to the local environment. “A clean water supply is fundamental to the health and wellness of our communities,” said Publix CEO Todd Jones. “Through these collaborations with the National Audubon Society and the National Park Foundation, we are deepening our commitment to water stewardship by protecting, restoring and conserving an area that supplies nearly 8 million Floridians with fresh water every day and provides a critical natural habitat for endangered native species.” Part of the donation will be provided to the National Audubon Society over a period of five years to help remove invasive willows and other plants from about 500 acres in Corkscrew Swamp Sanctuary in the western Everglades. “In Florida, our quality of life and prosperity depend upon a healthy environment,” said Julie Wraithmell, executive director of Audubon Florida. “Publix’s ambitious restoration initiative at the Corkscrew Swamp Sanctuary will not only improve the habitat for iconic Florida species like the wood stork, but it is an investment in the quality of life for downstream communities in Naples, Bonita Springs and more.” Similarly, Publix has pledged a three-year donation to the National Park Foundation to help remove and control Australian pine trees in some 500 acres of the saline glades region in the eastern portion of Everglades National Park.
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“Publix understands that healthy parks and healthy people are interconnected,” said National of the Park Foundation President and CEO Will Shafroth. “Thanks to Publix’s support, the National Park Foundation is helping to create a healthier future for Everglades National Park and everyone who lives nearby. We couldn’t be more proud to partner with Publix on this important effort.” Publix is helping to remove plants which disrupt Florida’s natural water process by absorbing water from rainfall before it can seep into the underground aquifers which provide South Florida residents with their daily supply of drinking water. They also displace native species like mangroves, which are important for their ability to convert salt water to fresh water. In addition, the Florida Everglades acts as a natural hurricane barrier and helps reduce the impact of flooding in storm events. The Everglades is home to 39 federally protected and endangered species, including the manatee, American crocodile and Florida panther. Restoration work at the two sites began in 2021. For more information, visit publix.com/TheEverglades. In addition to Everglades restoration, Publix has collaborated with the Arbor Day Foundation over the past five years to plant 605,000 native longleaf pine trees across more than 870 acres in Florida’s Little Orange Creek Preserve and Withlacoochee State Forest. The trees are estimated to collect more than 66 billion gallons of rainfall and absorb more than 182,000 metric tons of net carbon dioxide over the next 50 years. For more information about Publix’s sustainability efforts, visit sustainability.publix.com.
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Summit in early 2023 just one part of finding new ways to fight hunger Publix long has been working to alleviate hunger in the communities it serves. That effort reached a new level in early 2023, when the company hosted a Hunger Summit at its Lakeland, Florida headquarters. Executives from 35 Feeding America member food banks in the Publix operating area attended, along with state and federal officials. Company leaders shared best practices in talent acquisition, sourcing, warehousing and distribution. CEO Todd Jones told Shelby Publishing that trying to alleviate hunger is a strong pillar for the company. “As a food retailer, it’s our space. That’s where we should be … We know food, and we know how we can help communities with people in need. I think our first Hunger Summit was a good effort.” Jones said the summit did a good job of bringing people together and recognizing that not all food banks have the same needs. “All of our Feeding America partner food banks that are out there, they are all uniquely different depending on the area. We were sending food to Miami that might have needed to be different than what is in Orlando or maybe South Carolina,” he said. Some of the feedback from the food banks was a desire to pick from “a different recipe of foods.” “We really worked on trying to make sure we can do that,” Jones said. “It sounds simple, but it’s not as simple as it seems. That’s something that was a really big takeaway for us, to see how we can actually make it more relevant to the different communities that we operate in.” Jones added that he thought the summit was a “home run” and will only get better in the future. Publix is planning for another Hunger Summit in 2025. In the meantime, the company is considering the feedback it has received from its partners. Jones said they are looking at expanding the next summit, possibly bringing in more people with the ability to “help us break down some barriers and walls.”
Addressing need for protein
One of the biggest requests from food banks is for more protein, which is harder to provide than shelf-stable products. Publix is working on a way to donate proteins that are still wholesome. Part of that is the development of a passive pickup program for chicken. “We have a great chicken program, but it has a short window in our stores,” Jones said. “When we pull that product back, it’s still good. So we can chill blast that product, get it down underneath the hot temperature so that bacteria goes way down really quick.” After that process, it’s just a matter of getting the chicken to the Feeding America food banks. Maria Brous, director of communications at Publix, said this has been an
important project that Jones has challenged staff to “figure out.” “Todd has very much been a proponent of how do we help feed more people in need. We are continuously challenged to figure out ways to keep food out of landfills and feeding people,” she said. The company has been working with its Quality Assurance associates and with the University of Florida on the project. They have conducted tests on the blast chill process. “We’ve frozen the product, thawed the product and reheated it to ensure we’re donating good quality products to our neighbors in need,” Brous said. She said one thing learned from the COVID-19 pandemic was that there are many families just one paycheck away from having to be in a food line.
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Jones said the program is ready to go. While the leftover chicken at one store may not seem like a lot, maybe two packages that have to be pulled back, it adds up when more than 1,360 stores are considered. “That’s three times a day times more than 1,360 stores. You could have just taken care of 1,700 families. It sounds small in its own little microcosm, but when you lift it up and look at it across the network, you can solve that for some of the customers out there in need,” Jones said. Adding on to the protein part are the shelf-stable items and the “wonderful produce program that we have … it’s a win-win-win all the way across for our customers and our community. And our associates are all the way behind it. It fits right along with our brand,” he said. Brous said the passive pickup program, which works with Feeding America food banks, allows partner agencies to come to Publix stores and use refrigerated blankets and coolers to transport food that’s been chilled and maintain that cold chain. That food goes back into the communities within 24 hours. “When you talk about immediate help, immediate assistance, immediate need, it’s the most efficient way to do that, when you can get from here to the client in less than 24 hours through that passive pickup. That’s where we’re really trying to move the needle,” she said. Please see page 26
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Mobile food pantries
Publix Super Markets Charities also is starting to provide mobile food pantries to Feeding America partner food banks to serve more clients and people living in food deserts. “You might not be able to put a store out there, but you can send a trailer load of food and let the community know when we’re going to be there,” Jones said. “Open that up, let them come in and get that food and then take that trailer to a Feeding America food bank. “We’ll take it back and we’ll fill it back up and send it out to the next place. There’s multiple ways to do the logistics side of it.”
Brous added that some of the mobile pantries made their debut during September, which was Hunger Action Month. She said mobile units can cover more ground and bring food to where people can access it without having to worry about transportaof the tion issues. “There’s also the dignity component that we go back to, having families be able to pick their produce, be able to walk inside this pantry and pick what they need,” she said. “It’s valuing our neighbors. It’s giving them a hand up, not a hand down. It’s helping them understand that we’re part of their community. That’s one of the things we are most thankful for. Todd’s always had a vision for helping our communities and, food being our business, you have to be able to do that.”
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Finding solutions to hunger is ultimate goal
During the pandemic, many businesses shut down temporarily or closed permanently. People lost their jobs. Today, with inflation and natural disasters such as hurricanes, flooding and tornadoes affecting the nation, Publix President Kevin Murphy said many people are faced with choices of how they are going to spend the little money that they have – rent, utility bills or putting gas in their car. “We are seeing more people, for the first time ever in their life, have to reach out and ask for help. I think that’s what really motivates us to want to be able to do more and be able to contribute more…we see it everywhere,” Murphy said at the Hunger Summit. Publix just concluded its Feeding More Together program, which ran Nov. 8-19, collecting more than $7.1 million. Murphy said in the past 12 years, the company has raised $177 million through the register program, which is donated to Feeding America affiliates and other nonprofit organizations. He added that, in addition to the funds raised, Publix donated $10 million in produce for the year. The produce donated is surplus, allowing farmers to earn money on what otherwise may just “sit in the ground and go to waste. It’s positive all the way around,” Murphy said. Paco Veléz, president and CEO of Feeding
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South Florida, attended the Hunger Summit, which he deemed a “huge step for Publix … and a great win for our community. We’re excited and thrilled. Publix has always been our biggest donor of food and funds, and this just compounds that.” During the summit, representatives from Publix Super Markets Charities announced a special $4 million grant opportunity available to select food banks in Publix’s operating area to fund non-recurring, capacity-building projects. The opportunity is in addition to PSMC’s annual hunger alleviation donations announced in September 2022 during Hunger Action Month. It will bring the organization’s total contributions to help alleviate hunger to more than $52 million since 2015. Veléz said the grant is a “huge, huge win for food banks but more importantly for families. It’s going to allow food banks to really think bigger.” He said emphasis needs to be on finding solutions to the issue of food insecurity. “What are the steps we need to take? What are the systems we need to change in order to do this? I think forcing folks to think will only benefit the families that we serve.”
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Veléz agreed with Murphy that, through a variety of circumstances, more families are having to reach out for help with food. “The pandemic was really the beginning of a new issue for families … now we’re in full-blown inflation and families are struggling to make ends meet,” he said, adding that they are seeing families coming in every week. “It went from being emergency food assistance to an ongoing sustainability. Especially in South Florida, the farther south you go the more expensive things become.” In addition to providing food to families, Veléz noted that Feeding South Florida is trying to help them become more marketable in the workforce and get higher paying jobs. The organization has a warehouse training program, and Veléz said Publix has agreed to interview every one of its graduates. “Publix is a great employer and has great benefits and salaries … once the (graduates) get their foot in the door, it’s a great opportunity to move their families toward self-sufficiency.” Veléz said it is important to keep the issue of hunger in front of people. “Hunger is not a sexy topic. It’s people needing food.” Keeping that awareness top of mind can make a huge difference. “It just adds more folks to the table. And for food banks and folks that are serving people, there’s room at the table for everyone to get involved,” he said. “No matter where you’re from, what you do, there’s room at the table if you want to help.”
Publix hunger-relief efforts
The company’s hunger-relief efforts include: • In-store perishable food recovery program. Every day in stores, associates gather wholesome but unsalable dairy, deli, meat and produce items to donate to food banks throughout the company’s seven-state operating area. Since 2009, it has donated more than 800 million pounds of food to Feeding America partner food banks. • Feeding More Together. In March 2021, Publix launched its bi-annual Feeding More Together register campaign. Donations at the register provide nonperishable food needed most by local food banks and pantries. In addition, Publix purchases $5 million in fresh produce and donates it to Feeding America
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partner food banks. Since the campaign’s launch, the company, its associates and customers have provided more than 90 million pounds of food. • Publix Serves. The company schedules two Publix Serves weeks every year where associates volunteer together in their communities to carry on founder George W. Jenkins’ (Mr. George) legacy of supporting neighbors. Since 2015, Publix Serves has united associates in community service efforts. During the Publix Serves week in September, more than 7,500 associates volunteered at over 200 nonprofits focused on hunger alleviation. Throughout the week, associates spent time together preparing meals, sorting produce, boxing food and doing good.
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Remodeled store in Tampa serves as prototype for grocer’s future locations Publix has been named Shelby Publishing’s 2023 Growth Leader. Publix President Kevin Murphy recently visited with Shelby President and COO Stephanie Reid and SVP Jan Meade as they toured the Publix at 3617 W. Gandy Blvd. in Tampa, Florida. The 55,000-square-foot store is the company’s newest prototype. Murphy referenced the company’s Greenwise stores, which he said were a test of sorts. “It was more of a sandbox for us to be able to give us permission to do things a little bit differently and not have to give up or fully commit to a Publix design,” he explained. “It let us do things a little bit outside of the box, a little bit outside of the norm. And it worked really well for us.” He said the prototype store incorporates some of the best liked aspects of the Greenwise stores. Putting floral at the entrance is one example. “That worked out nicely for us and allows us to feature different things. Kevin Murphy It allows us to make a
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statement of the season … as the customer comes in,” Murphy said. of the He pointed out the customer service area, which he said has changed over the years. Instead of it being in front of the registers, it is off to the side. “People don’t cash checks very much anymore. Most people are either well banked or not banked at all,” Murphy said. He said the Florida Lottery is big, which also is handled in the area, along with Western Union services. Moving to the omni services area, where curbside pickup access and staging are located, Murphy noted that delivery and pickup have gained in popularity over the past several years. Publix partners with Instacart for delivery orders. Murphy said finding space in older stores for curbside and delivery staging has been a challenge and is being is addressed during remodels. He said having a designated area has worked well in the new stores, as people go back and forth from curbside and delivery. Walking into the Pours area, or beverage center, Murphy said they wanted to provide a fun place for customers to sit. The area has chairs, tables and TVs. Many customers use it as a meeting spot or a place to grab something quick on their way home.
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Publix also has a calendar of events for the area, with tap takeovers for local breweries, dessert events, smoothie-making classes and other activities available. “We have different, fun things, things that are geared to kids as well as things that are geared to adults. But when you do a tap takeover or we do a local winery or wine tasting event, it’s standing room only. It’s really exciting,” he said. Entering the produce area, Murphy called it one of the most important departments in the store. “We associate food with health now. We associate food with better living. I think today’s customer is much more educated about the importance of what they eat, what they put into their bodies,” he said.
“The produce department is one of our better performing departments.” He said Publix wants to feature that and put it up front. “This is a department that customers do not skip, and we’re able to show them what’s fresh. We’re able to show them what’s in season.” The broader use of doors in the produce department is part of the company’s awareness of its carbon footprint and concern for the environment. While some states require the use of doors, Murphy said Publix has been installing them on its own “just to move in that direction so we can learn and we can understand what effect it is going to have on the overall store environment, on the overall customer environment, the shopping and merchandising environment.” Over the past 10 years, Publix has been expanding its use of doors in the department while trying to ensure customers can clearly see the products. A deli island is nearby, where customers can “move around depending on what they’re looking for,” Murphy said. “It also is a more efficient way of serving a customer. If I’m over here for a burrito, I’m not impacting all the people that may be in line for a ‘Pub sub’ or all the people ordering a pizza or wanting fried chicken.” He said they are excited about featuring their sushi and noodle program in the area, calling it a great alternative for lunch or dinner. “It’s really just giving the customer another choice,” Murphy said. Maria Brous, director of communications at Publix, said Murphy was instrumental when thinking about the layout of the deli format as well as the quality of the foods offered. “We want this to be a destination for lunch and dinner,” she said. “Even my favorite pizza is thanks to him – the cheeseburger pizza. It’s really good!” Murphy said they are very conscious and demanding of high quality in all that they do, but quick service and the ability to customize orders also is important. He also noted the quality and value on the salad and hot bars. “It’s fresh, very delicious and unique,” he said. The goal is to offer customers “something maybe they haven’t seen and tried in some of our other stores … But then you walk into what they traditionally know as our deli at the back, so you can still get your fried chicken and you can still get your ‘Pub sub.’ You can still get all that, but we want to tempt them and show them something different here,” Murphy said. Popcorn and kettle corn are available and made in-store with different flavors. “It’s really fun,” said Murphy, who pointed out they had partnered the bakery
and deli departments so customers can see the work going on. “You get a sense that all of it is being made here, it’s fresh,” he said. In the bakery and dessert area, customers can see items coming out of the ovens and being packof the aged for sale. “That’s been really great for us. And having the two [departments] merged together [creates] some efficiency in the back as far as cleaning and storage, loading and unloading supplies,” Murphy said. “It’s been really good synergy having the two together like that. Customers love this because you could almost stop your shopping trip here because you’ve got enough for a few days of meals.” He also pointed out the grab-and-go section, with ready-to-eat or heat-andeat selections. All the salads are made fresh in-store a couple of times each day. “We’re doing more and more of this, just making it so easy to pick up for a football game or an afternoon on a Saturday,” Murphy said. “Some of this comes from our Fresh Kitchen – all our recipes, all our ingredients, all made in a stateof-the-art kitchen and brought into our stores seven days a week, fresh. “We’ll order this afternoon; we’ll do production all night and into the morning. It will come out and be delivered the next day.” When asked about labor issues that some companies continue to face since COVID-19, Murphy said Publix is “blessed because of our associates.” The company never had to close a store or not open a department during the pandemic and afterward. “Our people are unbelievably dedicated and committed, and really feel passionate about serving the communities that they live in. Our associates and managers live in the communities that they serve,” he said. “It means a lot for our associates to be here and be able to serve. We’re here before a hurricane, we’re here during COVID, we’re here after COVID. It’s unbelievable, the outpouring of appreciation directly from our customers for our associates.” As the tour continued, Murphy noted Publix operates more than 1,200 pharmacies in its stores, adding that it is a challenging business. “It’s very hard to make money with pharmacy because you’re dealing with a lot of the insurance plans, you’re dealing with a lot of the PBM (pharmacy benefit manager) plans, the third party and middle person that helps negotiate drug prices … so it’s very difficult.” However, it is an important department, and Murphy said there needs to be some help through legislation to address the issues that are making pharmacies “more and more challenging to operate.” Heading into the seafood department, Murphy noted that Publix receives fresh seafood from all over the world. Many selections of fish are not frozen
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but delivered fresh to the stores. Some varieties of items, such as shrimp, are quick frozen on the boats, but he said that is indicated through signage. “People are experimenting more with seafood and understanding the health benefits of fresh foods,” he said. Publix purchases from a variety of seafood suppliers on a daily basis. It has certain specifications and grades it is looking for to ensure quality and maintain the cold supply chain. In the meat department, Murphy pointed out that all the fresh sausage is made in-house, including different flavored sausages and bacon, as well. He said the sausage is stuffed and hand tied in store. Publix also offers Prime and Kobe beef, along with its Publix premium choice steaks and its Greenwise options with chicken, beef and pork. Several fresh heat-and-eat options are available, all made in-house. “It’s just fantastic,” Murphy said, adding that their chefs create many of the recipes. “They’ve just done a great job on flavors and on-trend items.” He also noted the “outstanding” tenderness of the Greenwise beef, chicken and pork. All Publix premium grinds are done in-store, four to five times each day. “We’re just continuing to bring that out fresh,” Murphy said. Brous added that while many competitors are outsourcing several items, Publix continues to have meat cutters in-store and operate a scratch bakery, as well.
The company employs journeyman meat cutters. As an example, Murphy said if an associate working as a bagger on the front end decides they would like to learn to be a journeyman meat cutter or a baker, Publix will train them in that skill. of the “That’s where most of our meat managers come from,” he said. With the pace of Publix’s growth, either opening new stores or remodeling older ones, Murphy said the company likes to promote from within whenever possible. “We want our associates and our managers, who own this company, to really understand Publix and what our values are, what our culture is. To be able to do
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that, they’ve got to be immersed in the operation. They’ve got to be immersed in the company and learn several different roles and responsibilities as they’re coming up.” The company’s Contender Program identifies associates in various departments who have a desire and the ability to take on more responsibility. “I think in large part our culture is the promise that you can build a career at Publix. I think that’s what our culture is all about, the promotion and the opportunity that you can come in – in one company – and that you will continue to have opportunity, and you will continue to better yourself, and you’ll continue to grow, and you will continue to learn skills and trades and learn about business,” Murphy said. “You’ll continue to earn more money and do better for yourself and be better for your family. It’s that promise that we want you to come to Publix and be able to achieve your personal best, whatever that is, whatever your ceiling is, the more responsibility you want.” Murphy said he started bagging groceries at age 14 at Publix. “I loved what I was doing … I liked being given responsibility to be able to stand back and see a job well done.” He continued working with the company through college and was offered opportunities for advancement. That continues, as they want to make sure they have people being trained in every department and be ready to fill positions when new stores open. “If we’re not able to have people to open up these stores, then we’re not able to uphold our promise to every associate who comes in that they’re going to have the opportunity to grow their career,” said Murphy, adding that managers are involved in training and developing associates. Brous said while they are preparing to enter a new market in Kentucky, they want to hire from the local community but also want to bring in some of their talent that is ready to advance. “Kevin’s big on talking about ‘prepare for the opportunity.’ We’ll take managers with us that are from all the states that we operate in, and we’ll bring that management team in that’s going to help a whole new generation of Publix associates and company owners understand the culture. You can’t just come in and open with all new people who don’t know what the culture is, because that
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is our hallmark. That is the differentiator for us.” Murphy added that the company grows as its communities grow. “It’s no secret that a lot of people are moving to the South … We want to be there for those customers,” he said. As the company originated in Florida, most of the replacement stores are there, as well as some new locations. “As our stores get very crowded and busy, we want to be able to relieve some of that and open up another location. We’re fortunate and blessed. And that’s Please see page 36
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why we’re committed to the number of managers that you see in the store. A lot of people in the industry, and for good reason, are trying to reduce the number of management [positions] they have … or go to an hourly program. At Publix, we just believe that there’s so much that we do about maintaining our quality in each store and maintaining our service levels in each store. We want to remain committed to that.” Murphy said those managers are the company’s “feeder pool” for store managers and district managers. “It’s important for us to have that and to maintain that structure. It helps us be very consistent when you talk about eight states and more than 1,360 stores. The commitment and the ownership that each one of our managers has and our key associates have allowed us to have that consistency. We think that’s really important. That’s an investment we make.”
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