The Florida-based Publix grocery chain offers a private-label brand, Greenwise, that promises healthy and organic products. The brand has been successful enough, appealing to the many customers who want to eat and live a healthy lifestyle, that Publix has decided to go one step further by opening an entire grocery store under the Greenwise brand.

The new store adopts an upscale grocery concept to compete with retailers such as Whole Foods by attracting environmentally oriented, health-focused, and gourmet consumers. It hosts popular wine-tasting events and sells high-end tuna filets at $30 per pound, organic vitamins, and exotic Romano cheese at $42 per pound.

But part of the appeal of the Greenwise brand in Publix stores is that in addition to the fancy tuna, consumers could pick up some of Publix’s hot and crispy fried chicken, sugary birthday cakes, soda, and even detergent and cat litter. Therefore, the Greenwise store has had to make some adjustments to its product mix to include the basics that customers need, without sending them to another store. To complement its handmade pastries, mousses, and tortes, Greenwise now carries a case of Publix birthday cakes. Even the hot and crispy fried chicken gets displayed right at the front of the store—even healthy customers want naughty food sometimes.

Another interesting challenge has been customers’ expectation that Greenwise would accept Publix coupons, which it did not initially. It has since changed its policy to accept these coupons, as well as price match its competitors, such as Whole Foods and Fresh Market. Greenwise wants to make sure that customers can do all of their shopping in one place, by offering a convenient shopping experience, not just a novelty

Discussion Questions:

1. Describe Greenwise’s product mix.
2. Are other private-label brands strong enough in terms of their brand equity to warrant opening a store by the same brand name?

Richard Mullins, “Greenwise Shoppers Confounding Publix Executives,” Tampa Bay Online, January 29, 2010.