It's common in the grocery business to find the name Publix in the same sentence as "best practices." The company's recent announcement that it would give away antibiotics, often used to treat sick children, should have been another case of the company demonstrating the right way to promote a point of difference in the marketplace. Instead, Publix lost some public relations points by failing to mention that it was doing away with its policy of matching the $4 price charged by others such as Wal-Mart for certain generic versions of prescription medicines.
When first asked about whether it was dropping its price match policy, Publix offered a non-answer. The Orlando Sentinel reported that company spokesperson Dwaine Stevens would not confirm that Publix would no longer match prices, preferring to concentrate on the day's good news of the free antibiotics.
Jeff Johnson, manager of state operations for AARP Florida, said it was unlikely that members of his group would be better off as a result of Publix's new plan.
"Free antibiotics are great. I'm glad that they're doing that. But that's generally a short-term drug," he said. "The bottom line is, I think, consumers will end up being worse off if they have to pay full price for a lot of generics."
The hoopla surrounding the free antibiotics announcement, including an appearance by Florida Governor Charlie Christ to commend the company, made it appear to some as though Publix was attempting to pull off a misdirection play of sorts.
As an opinion piece by Scott Maxwell in yesterday's Sentinel pointed out, the omission gave the press license to go after Publix. His own paper included a story with the headline: Publix's free-drug offer has flip side.
The lead in The Post and Courier of Charleston, S.C. read: "Free antibiotics from Publix Super Markets carry some side effects, including but not limited to the loss of money on other prescriptions."
Maria Brous, director of media relations for Publix, told Mr. Maxwell that the new program would benefit more people because more would use it. As it turns out, few consumers were going to Publix for $4 generics.
Mr. Maxwell concludes that the points made by Ms. Brous suggest that Publix is doing right by its customers.
Unfortunately, by failing to tell the whole story in the first place, Publix now has some questioning if its current story can be wholly believed.
Discussion Questions: Has Publix damaged its credibility with consumers over its failure to mention it was discontinuing its price match policy while announcing its free antibiotics program? What should the chain be doing now to address the perception that it was not being open and honest with its customers?