To our Valued Supply Partners
We thank you for your collaboration and partnership relative to the newly announced Publix Consolidation program. You may be aware that Publix initiated this project across multiple supply partners, with an initial request for net pricing. After further review and feedback, Publix has determined the need to include promotions. As a result, Publix has imposed a temporary hold on the program to allow time to analyze brand specific submissions for promotions in an effort to maximize sales. We anticipate the program resuming once Publix has completed their review of the data. Until that time, we ask that you direct any questions to your respective KeHE account manager.
Thank you for your patience and support of Publix and our mutual interest in serving their plans for growth.
General Questions
How will orders be placed?
There will be no change to how KeHE places orders to vendors outside of having to bring in product into an additional DC to service Publix. Publix will order from KeHE in full pallet, truckload quantities. Pallets will consist of only 1 item but the total truck can be a combination of different items/brands.
Will the supplier have to provide the new item intro allowance?
No, This fee is waved for onboarding of program.
Will the supplier have to pay new item set up fees?
No, This fee is waved for onboarding of program.
What distribution centers will service this Publix program?
There are three distribution centers that will service Publix on the consolidation model.
Will all items ship from all three distribution centers?
No, not all items will ship out of all three DCs. For confirmation, please check with your Account Manager.
Will Publix be picking up product form KeHE or will KeHE be delivering to Publix ?
KeHE will be delivering all product to Publix DC’s.
How can I get visibility to projected quantities that will be requested?
KeHE has enhanced supplier visibility via the KeHE Connect Business Intelligence (BI). There is a specific report called Order Projections Report & Dashboard that provides visibility into future order projections, helps suppliers fine-tune their processes and provides more transparency. It has weekly projections 13 weeks out and can be measured in dollars, units or cases. It includes Future Off Invoice (OI) promotions and Advanced Order Management (AOMs) submitted. It is refreshed weekly on Sundays. For additional guidance on how to access this and other helpful reporting, click here.
Pricing and Promotions
Will suppliers have access to their pricing to Publix?
Per Publix request, Publix pricing will not be shared, which is the same way KeHE conducts business on the DSD side.
How will I know how much is needed to fund a promotion?
The KeHE Account Manager will provide that info in order to gain approval and submit to Publix.
Will suppliers be using Pro Grocery for promotions?
No, All promotions will be coordinated directly with the appropriate account manager.
Will KeHE pass through national deals to Publix?
No, KeHE will not pass through national deals. Publix will remain on custom promotions based on their expectations and it will all be scan based. If a supplier submits a National Off Invoice (OI) promotion, KeHE will credit the supplier’s account for the promotional amount based on shipments to Publix during KeHE’s retailer promotion pass dates. If a supplier submits a National Manufacturer Chargeback (MCB) promotion, KeHE will not chargeback the supplier for shipments to Publix during KeHE’s retailer promotion pass dates. Suppliers are encouraged to reinvest the funds to drive Publix custom promotions. The National Off Invoice (OI) promotion credit will include an additional 8% to cover any future Manufacturer Chargeback (MCB) or Extra Performance fees. Assuming you offered a $0.20 Off Invoice Promotion and KeHE shipped 100 units to Publix during KeHE’s retailer promotion pass dates, KeHE will credit you $21.60 to reinvest the funds to drive Publix custom promotions. See example:
What are the KeHE retailer promotion pass dates?
You can find them in the KeHE 2024 Promotion & Advertising Calendar..
Will retail pricing change?
Retail pricing is set by Publix and is at their sole discretion
What will be the start and end date for promotions?
Saturday through Friday for Extra Saving flyers, Co-Ops and TPRs. Ads will run Thursday through Wednesday.
What about existing promotions that are in place?
Promotions that are already in place will remain and KeHE will plan for all buyer approved promotions that are happening after the source of supply change.
How much lead time will promotions require?
As national deals will no longer be passed along, there will not be the long team time requirement of well over 100 days to submit promotions. We do need to consider lead time to get product to Publix and the supplier's lead time. We ask for 42 days to ensure that we get the inventory request in the system via an AOM. We also understand the need to be flexible and will work with Publix and the supplier should anything come in with a shorter timeline.
Category Reviews
Who will be the contact for the category review?
The KeHE Account manager that calls on the buyer will be the contact. This will follow the same model as the DSD business.