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Publix is betting you'll switch

The chain is so sure you'll like their brand, they'll give you one free.

By Mark Albright, Times Staff Writer
Published April 13, 2007

ADVERTISEMENT Publix pitch: Buy a 64-ounce bottle of Welch's grape juice ... get a 64-ounce bottle of Publix juice for free.

Publix Super Markets Inc. has the packaged-goods industry chattering about the launch of an unusual national brand comparison challenge.

Beginning April 26, the Lakeland-based chain will offer a buy-one-get-one-free deal for selected national brand products matched with the Publix label version of the same product.

It's an attempt to convince shoppers Publix brands are as good as popular national brand rivals sold on the same shelf at a 20 to 30 percent higher price.

The first week's products will include a 64-ounce container of Welch's grape juice, an 18.2-ounce box of Kellogg's Raisin Bran Crunch and 12-ounce package of Thomas' English Muffins. Buy one of them during the promotion and Publix will toss in its version free.

Grocers typically get up to 20 percent of their business from their own store brands, some of which are made by the same manufacturer but more often are not. In recent years most grocers stepped up the quality and promotion of their own private-label products as part of their chain's overall brand image. It's a trend some experts think corrodes the future of national brands.

Publix risks alienating some big vendors who typically bankroll much of supermarket ad budgets. But many customers loyal to the national brand will likely switch to the Publix brand.

"As regards the relationship between Publix and national brands," wrote Liz Crawford, vice president of Minneapolis market research firm Iconoculture, on RetailWire, an industry Web site, "let's just say that this doesn't make for cozy pillow talk."

Publix, a business that provides branded products access to its customers, sees the competition as healthy.

"Ultimately, it's really all about providing the best quality products for our customers," said Maria Brous, Publix spokeswoman.

Publix tested the promotion last spring in 100 stores in Alabama and in Hillsborough and Pasco counties. Enough shoppers switched to the Publix brand for the chain to expand the offer this spring to all 900 stores.

Mark Albright can be reached at albright@sptimes.com or 727-893-8252.

[Last modified April 12, 2007, 22:42:36]