Piggly Wiggly

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Piggly Wiggly, LLC
Piggly Wiggly
Company type Private, Subsidiary
Industry Retail
FoundedSeptember 6, 1916(107 years ago) (1916-09-06) in Memphis, Tennessee, U.S.
Founder Clarence Saunders
Headquarters
Keene, New Hampshire
,
U.S.
Number of locations
499 (2020)
Areas served
 Southeast
Midwest
ProductsBakery, dairy, deli, frozen foods, grocery, meat, pharmacy, produce, seafood, snacks
Services Supermarket
Parent C&S Wholesale Grocers
Website www.pigglywiggly.com

Piggly Wiggly is an American supermarket chain operating in the American Southern and Midwestern regions run by Piggly Wiggly, LLC, an affiliate of C&S Wholesale Grocers. [1] Its first outlet opened in 1916 in Memphis, Tennessee, and is notable as the first true self-service grocery store, and the originator of various familiar supermarket features such as checkout stands, individual item price marking and shopping carts. The company headquarters is in Keene, New Hampshire. [2] As of 2024, 503 independently owned Piggly Wiggly stores currently operate across 18 states, primarily in smaller cities and towns. [3] [4]

Contents

Piggly Wiggly operations in the U.S. as of 2018 Piggly Wiggly .mw-parser-output .legend{page-break-inside:avoid;break-inside:avoid-column}.mw-parser-output .legend-color{display:inline-block;min-width:1.25em;height:1.25em;line-height:1.25;margin:1px 0;text-align:center;border:1px solid black;background-color:transparent;color:black}.mw-parser-output .legend-text{} 1-10 locations 10-50 locations 50-100 locations 100+ locations Piggly Wiggly Midwest 1-10 locations 50-100 locations Piggly Wiggly locations by US state.svg
Piggly Wiggly operations in the U.S. as of 2018
Piggly Wiggly
  1–10 locations
  10–50 locations
  50–100 locations
  100+ locations
Piggly Wiggly Midwest
  1–10 locations
  50–100 locations

History

Piggly Wiggly was the first self-service grocery store. [5] It was founded by Clarence Saunders on September 6, 1916 [6] (although it did not open until five days later due to delays in construction), [7] at 79 Jefferson Avenue in Memphis, Tennessee. [2] A replica of the original store has been constructed in the Memphis Pink Palace Museum and Planetarium, a mansion that Saunders built as his private residence, which was later sold to the city.

At the time of its founding, grocery stores did not allow customers to gather their goods. Instead, a customer would give a list of items to a clerk, who would then collect them throughout the store. This created greater costs and higher prices. Piggly Wiggly introduced the innovation of allowing customers to go through the store, gathering their goods, thus cutting costs and lowering prices. [2] Losses due to easier shoplifting were more than offset by profits from increased impulse purchasing. Others were initially experimenting with this format, which came to be known as a "groceteria", reminding people of cafeterias, another relatively new, self-service idea. [8]

Piggly Wiggly Corporation secured the self-service format and issued franchises to hundreds of grocery retailers to operate its stores. The concept of the "self-serving store" was patented [9] by Saunders in 1917. Customers at Piggly Wiggly entered the store through a turnstile and walked through four aisles to view the 605 items sold in packages and organized into departments. The customers selected merchandise as they continued through the maze to the cashier. Instantly, packaging and brand recognition became important to companies and consumers alike. [7]

In 1937, Piggly Wiggly became the first company to provide shopping carts for customers, in their Oklahoma branch; [10] they were also the first company to use point of sale lanes for payment. [11]

The success of Piggly Wiggly was phenomenal, and other independent and chain grocery stores changed to self-service in the 1920s and 1930s. At its peak in 1932, the company operated 2,660 stores and posted annual sales in excess of $180 million. In November 1922, Saunders attempted a squeeze on the substantial short interest in the stock, running the share price up from 40 to 120 and profiting by millions on paper. The Stock Exchange Governors responded by deciding that a corner had been established in Piggly Wiggly and removed the stock from the Board, eventually forcing Saunders to turn over his assets to the banks that had financed his leveraged position. Saunders reputedly lost $9 million in the attempted corner. [12]

Following these events, the company was divided into strategic units, which were sold to regional grocery chains, including Kroger, Safeway, National Tea, and Colonial. [13] In 1935, all 179 Canadian Piggly Wiggly were also sold to Canada Safeway, which merged with Sobeys in 2013. [14] Prior to this three stores in Texas were sold to the emerging H-E-B in 1927. [15]

After losing control of Piggly Wiggly, Saunders had no further association with the company. However, he remained interested in automated shopping, with which he experimented initially with the Keedoozle store until he died in 1953. [2]

According to John Brooks, Piggly Wiggly's "greatly changed corporate structure ... flourished into the 1960s", and hundreds of stores operated under a franchise agreement with the Piggly Wiggly Corporation of Jacksonville, Florida. [16]

Name

According to the Piggly Wiggly website, Saunders was "reluctant" to explain the origin of the company's name. One story recounts that while riding a train, he looked out his window and saw several little pigs struggling to get under a fence, which prompted him to think of the rhyme. Someone once asked him why he had chosen such an unusual name for his organization, to which he replied, "So people will ask that very question". [2]

Present company

Piggly Wiggly was acquired by the wholesale grocer Malone & Hyde in 1982. [17] Malone & Hyde was acquired by Fleming Companies in 1988. [18] Fleming filed for bankruptcy in 2003, and C&S Wholesale Grocers acquired most of the business, including Piggly Wiggly. [19] [20] C&S acquired regional warehouses Piggly Wiggly Carolina in 2013 and Piggly Wiggly Midwest in 2021. [21] [22]

There are more than 600 independently owned and operated stores in 18 states. [4] The company headquarters is located in Keene, New Hampshire. [2] Some of the stores in Alabama have formed Piggly Wiggly Alabama Distributing Company, a retailers' cooperative to manage distribution while using the Piggly Wiggly name.

See also

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References

  1. ↑ Fleischauer, Eric (November 3, 2009). "2 Decatur Piggly Wigglys to become Food World stores". Decatur Daily. Archived from the original on July 29, 2012.
  2. 1 2 3 4 5 6 "Our History". pigglywiggly.com. Retrieved July 26, 2023.
  3. ↑ "Number of Piggly Wiggly locations in the United States in 2022". ScrapeHero.com.
  4. 1 2 "Piggly Wiggly Store Locations". pigglywiggly.com. Retrieved July 26, 2023.
  5. ↑ "The Bizarre Story of Piggly Wiggly, the First Self-Service Grocery Store". Smithsonian Institution . Retrieved September 4, 2018.
  6. ↑ Clark, Kristen (March 28, 2018). "Piggly Wiggly Independent Store Owners Enter into Agreement with Southeastern Grocers to Purchase Six Stores" (Press release). C&S Wholesale Grocers, Inc. Retrieved September 6, 2018.
  7. 1 2 Ross, Ashley (November 9, 2016). "The Surprising Way a Supermarket Changed the World". Time . Retrieved September 4, 2018.
  8. ↑ "A Quick History of the Supermarket". Groceteria.com. July 4, 2009. Retrieved October 30, 2023.
  9. ↑ USpatent 1242872,C. Saunders,"Self-serving store",issued 1917-10-09
  10. ↑ Lindstrom, Martin (December 9, 2011). "Shopping Carts Will Track Consumers' Every Move". Harvard Business Review. blogs.hbr.org. Retrieved September 3, 2015.
  11. ↑ Bacon, John U. (2004). America's Corner Store: Walgreen's Prescription for Success. Hoboken, NJ: John Wiley & Sons. p. 153. ISBN   978-0-471-67508-2.
  12. ↑ "Business & Finance: Piggly Wiggly Man". Time. February 25, 1929. Archived from the original on February 5, 2009. Retrieved May 22, 2010.
  13. ↑ Lebhar, Godfrey M. (1959) Chain Stores in America 1859–1959, Colonial Press: 31.
  14. ↑ Chain Store Age. Vol. 12. Chain Store Publishing Corporation. 1936. p. 9.
  15. ↑ Zwiebach, Elliot (January 31, 2005). "A TEXAS-GROWN SUCCESS STORY". Supermarket News. Retrieved August 19, 2023.
  16. ↑ Brooks, John (2014). Business Adventures. New York: Open Road Integrated Media. p. 280. ISBN   9781497644892.
  17. ↑ "Piggly Wiggly Corp., a national grocery chain founded in..." UPI. Retrieved September 20, 2018.
  18. ↑ "Fleming to Buy Malone & Hyde". The New York Times. June 2, 1988. ISSN   0362-4331 . Retrieved September 20, 2018.
  19. ↑ Hamstra, Mark (2003). "C&S Only Bidder for Fleming Assets, Some Resale Expected". Supermarket News.
  20. ↑ Zwiebach, Elliot (August 4, 2003). "Wholesaler Exchange Boosts Both Operations". Supermarket News.
  21. ↑ "C&S to acquire Piggly Wiggly Carolina". Supermarket News. October 8, 2014. Retrieved August 25, 2021.
  22. ↑ "C&S Wholesale Grocers to Acquire Piggly Wiggly Midwest". Progressive Grocer. Retrieved August 25, 2021.

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