Who Owns Publix? The History of Publix In A Nutshell

Publix is an American supermarket chain that was founded in 1930 by George W. Jenkins. The founder named his new company after a cinema chain named Publix Theatres Corporation that was in the process of shutting down. The first Publix supermarket opened in Winter Haven, Florida, with another following suit in 1935. Despite the Great Depression, Jenkins’s stores were financially successful. One particular Publix store also had the distinction of being the first to be fully air-conditioned, while others pioneered the use of so-called “electric-eye” automatic doors which were considered revolutionary in the 1940s. The chain is one of only a few to operate more than 1,000 stores in the United States and employs approximately 227,000 people across the southeast of the country. Publix also has a rather unique ownership structure.

Aspect	Description	Analysis	Examples
Products and Services	Publix offers a wide range of products and services primarily in the grocery and retail industry. The company operates supermarkets and grocery stores that provide various food items, including fresh produce, meat, dairy, bakery, and pantry essentials. Publix also offers deli and bakery services, a pharmacy, floral departments, and a variety of household and personal care products. Additionally, the company provides digital services like online shopping, home delivery, and prescription refills.	Publix generates revenue primarily from the sale of grocery and retail products. The company’s supermarkets and stores offer a comprehensive shopping experience, including fresh food, household items, and digital services. Deli and bakery services add to the customer experience. Digital services cater to modern shoppers looking for convenience.	Supermarkets, grocery stores, fresh produce, meat, dairy, bakery, pantry essentials, deli and bakery services, pharmacy, floral departments, household products, personal care products, digital services, online shopping, home delivery, prescription refills, revenue generation, comprehensive shopping experience, customer convenience.
Revenue Streams	Publix’s primary revenue stream comes from the sale of groceries, including fresh produce, meat, and dairy, as well as other retail products. The company earns income from the pharmacy through prescription sales and services. Additionally, Publix offers online shopping and home delivery services, contributing to revenue.	Grocery and retail product sales, encompassing fresh produce, meat, dairy, and more, form the core revenue stream for Publix. The pharmacy division generates revenue through prescription sales and related services. Online shopping and home delivery services cater to modern consumers seeking convenience, expanding revenue sources.	Revenue from grocery sales, fresh produce sales, meat sales, dairy sales, pharmacy revenue, prescription sales, online shopping income, home delivery income, diversified revenue sources, customer convenience.
Customer Segments	Publix serves a broad customer base that includes individuals and families of all ages and demographics. The company’s supermarkets and stores cater to customers looking for grocery and retail products, fresh food, and convenient shopping options. Publix’s pharmacy serves individuals in need of prescription medications and related health services. Online shopping and home delivery attract customers seeking convenience and time-saving options.	Publix’s customer segments encompass individuals and families of varying age groups and demographics. The supermarkets and stores offer grocery and retail products to a broad customer base. The pharmacy division caters to individuals requiring prescription medications and health-related services. Online shopping and home delivery target customers seeking convenience and efficient shopping experiences.	Individuals, families, diverse customer base, age group diversity, demographics diversity, grocery shoppers, retail product shoppers, fresh food enthusiasts, pharmacy customers, prescription medication seekers, convenience shoppers, time-saving options.
Distribution Channels	Publix distributes its products and services through its network of physical supermarkets and grocery stores. Customers can visit these stores in person to shop for groceries, household items, and more. Additionally, the company offers online shopping through its website and mobile app, allowing customers to order groceries and other products for home delivery or curbside pickup.	Publix employs a combination of physical and digital distribution channels to meet customer needs. Physical supermarkets and stores provide an in-person shopping experience, while online shopping and home delivery cater to the digital-savvy and convenience-seeking audience. The mobile app enhances accessibility and convenience for online shoppers.	Physical supermarkets, grocery stores, in-person shopping, online shopping, website, mobile app, home delivery, curbside pickup, digital distribution channels, convenience, accessibility, customer preferences.
Key Partnerships	Publix collaborates with various partners to enhance its business operations. The company works with suppliers and vendors to source a wide range of grocery and retail products for its stores. Publix also partners with healthcare providers to offer pharmacy services, including prescription fulfillment. Additionally, the company collaborates with technology providers for its online shopping and delivery services.	Collaborations with suppliers and vendors ensure a diverse product inventory. Partnerships with healthcare providers facilitate pharmacy services and prescription fulfillment. Collaborations with technology providers enhance the functionality and efficiency of online shopping and delivery platforms.	Supplier collaborations, vendor partnerships, healthcare provider partnerships, technology provider collaborations, diverse product inventory, pharmacy services, prescription fulfillment, online shopping enhancement.
Key Resources	Key resources for Publix include its network of supermarkets and stores, an extensive inventory of grocery and retail products, pharmacy facilities, digital platforms and apps for online shopping and delivery, partnerships with suppliers and vendors, and a skilled workforce. The physical stores provide a foundation for retail operations, while the product inventory meets customer needs. Pharmacy facilities are critical for healthcare services. Digital platforms enhance customer convenience. Collaborations with suppliers and vendors ensure product availability. A skilled workforce supports day-to-day operations.	Publix’s essential assets comprise its physical supermarkets and stores, a wide-ranging product inventory, pharmacy facilities, digital platforms for online shopping and delivery, partnerships with suppliers and vendors to ensure product availability, and a skilled workforce for daily operations. These resources collectively enable Publix to provide a comprehensive shopping experience.	Supermarkets, grocery stores, product inventory, pharmacy facilities, digital platforms, online shopping and delivery, supplier and vendor partnerships, skilled workforce, comprehensive shopping experience, resource foundation.
Cost Structure	Publix incurs various costs, including expenses related to sourcing grocery and retail products, operating and maintaining physical stores, marketing and advertising campaigns, employee salaries and benefits, technology infrastructure for online services, and administrative overhead. The cost of goods sold (COGS) for products represents a significant portion of the expenses.	Costs associated with Publix’s operations encompass expenses related to product sourcing, physical store operations, marketing and advertising investments, employee compensation, technology infrastructure for online services, and administrative overhead. COGS for grocery and retail products form a substantial portion of the cost structure, as it directly relates to the sale of goods.	Product sourcing expenses, physical store operation costs, marketing and advertising investments, employee compensation, technology infrastructure investments, administrative overhead, COGS for grocery and retail products, cost structure composition, retail industry cost dynamics.
Competitive Advantage	Publix’s competitive advantage lies in its extensive network of supermarkets and stores, which provide a physical shopping experience and access to a wide range of grocery and retail products. The company’s commitment to customer service and product quality enhances its reputation. Online shopping and home delivery services cater to modern consumers seeking convenience. Collaborations with suppliers ensure product availability.	Publix’s competitive edge is rooted in its extensive physical store network, offering a comprehensive in-person shopping experience. The company’s strong commitment to customer service and product quality enhances its brand reputation. Digital services like online shopping and home delivery address the convenience needs of modern consumers. Collaborations with suppliers and vendors ensure a diverse and well-stocked product inventory.	Extensive store network, in-person shopping experience, wide product range, customer service commitment, product quality reputation, online shopping and home delivery convenience, supplier collaborations, product inventory diversity, competitive industry advantage.

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Employee ownership

Publix is now the largest employee-owned grocery store chain in the United States, with employees owning about 80% of the company.

This arrangement harks back to the founding days of the company when Jenkins established an employee ownership and profit-sharing scheme.

Such was his reverence that before his death in 1996, employees affectionally referred to him as “Mr. George”.

While shares in the company do exist, they are only available for purchase by employees, board members, and individuals in the Jenkins family.

Publix is a private company and does not disclose how much its employees hold.

However, financial magazine Barron’s estimates that the average employee holds $150,000 in stock and that some stalwarts may have seven-figure holdings.

Publix employees tend to be paid less than their counterparts at Walmart or Costco, but the company has a strong corporate culture because most are happy to work toward the success of the company and be compensated in shares and quarterly dividends.

To that end, the company sets the share price each quarter and requires employees to sell back issued shares if they want to cash out.

Jenkins family ownership

The remaining 20% or so is owned by the Jenkins family which is worth around $8.8 billion.

Several members of the Jenkins family, including Walter, daughter Carol, and son Howard become billionaires in the process.

Current CEO Todd Jones became the first member outside the Jenkins family to hold the position.

In a similar vein to Publix employees, Jones is paid a salary that is below his industry peers, earning a relatively modest $3.6 million in 2020 when compared to Kroger boss Rodney McMullen’s $22.4 million.

Key takeaways:

Publix is an American supermarket chain that was founded in 1930 by George W. Jenkins. The company has a rather unique ownership structure where employees are the majority shareholders.
Publix is now the largest employee-owned grocery store chain in the United States, with employees owning about 80% of the company. Publix is a private company that sets a share price and pays dividends to employees every quarter. Exact figures are not disclosed, but some long-term employees are likely to be millionaires on paper.
The Jenkins Family owns the remaining 20% of the company, with many occupying senior management roles at one time or another. Like his employees, CEO Todd Jones earns a salary that might be considered meager by his peers but the company is no doubt better off as a result.