Porter 's Competitive Strategy : Publix Essay

Porter 's Competitive Strategy : Publix Essay

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Porter’s competitive strategy
Publix strives to utilize the industry-wide differentiation strategy. Although Publix isn’t open 24/7 and does not have self-checkout (which also plays a role in its strategy), it focuses on providing the best customer service and facility presentation. The grocery store chain sets itself apart from the competition by keeping their stores as neat, organized and clean as possible; as well as Publix strives to provide the highest degree of customer service and accommodation as possible. Not only is the staff friendly and knowledgeable, they are encouraged to assist customers to the best of their abilities, they even help with carrying out the groceries to your car and assist in loading. As mentioned before, Publix does not have self-checkout in order to promote customer communication with its staff even at the checkout point to add onto the exertional customer service and shopping experience.

Kroger, opposed to Publix, employs the cost strategy. Although Kroger can’t compete with Walmart which sells the cheapest groceries Walmart is considered secondary competition and their food quality is by far inferior. In its industry Kroger tries to be efficient and cheap. They even offer the Kroger card membership, which allows for even more savings and discounts on gas. To further increase efficiency Kroger stays open 24/7 and offers multiple self-checkout lanes. Although this strategy seems to be working for Kroger, customer reviews claim that Kroger is less clean than Publix on average and the customer service is minimal.

Cost Benefit Analysis
Better organization on website
More professional look and feel
Make the career page more easily accessible and user friendly for futu...

... middle of paper ...

...a certain experience when they go to Kroger whether they are utilizing their website or in store. By influencing the customer’s perception with a new updated site they could be pushing customers away.
Updating website could give rise to new hacking risk or tampering. Hackers may have a blueprint for updated sites because so many other companies have newer state of the art websites that may be easier to hack.
The risk of the website server going down may be increased. Need additional employees/developers on standby to help if this ever became an issue which is an added cost for the company.
The risk of not making these necessary updates could eventually drive customers away. More consumers are dependent on the internet so Kroger would need to ensure that they are current with the times by having an updated, easy to use website that will appeal to the most consumers.

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