Publix Urges Supplier Partnerships on Out-of-Stocks

Mar 15, 2010 4:54 PM, By DAVID ORGEL


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BOCA RATON, Fla. — Publix Super Markets is urging baking industry suppliers to partner on improving out-of-stocks during critical parts of the week, said Todd Jones, president of the Lakeland, Fla.-based retail chain.

In a presentation at the annual American Bakers Association Convention here, Jones said retailer-supplier programs should be built around ensuring in-stock positions during the highest traffic periods, especially weekday evenings and weekends.

“If we truly want to collaborate for success, we have to realize that Saturdays and Sundays and nights are a big part of our business,” he said. “Sunday is our busiest day of the week, it’s 19% of our business. And we do more business from 4 to 7 p.m. Monday to Friday than we do from 11 a.m. to 4 p.m. during the day.”

Jones showed a photo of a recent out-of-stock situation on a Sunday in an Atlanta Publix unit, pointing out that customers were disappointed on two counts. “Not only did we not provide customers with the inventory, we disappointed them on ad items, for which we said we’d provide a discount.”

He cited a partnership with Frito-Lay as an example of a joint program to help solve such challenges by improving delivery schedules.

“Let’s talk about what we can do to collaborate and grow our businesses together,” he urged suppliers.

Jones also outlined a program with a few suppliers that forecasts and replenishes inventory levels, which includes a data-sharing component.

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