H-E-B Own Brands
H-E-B OWN BRANDS For over a hundred years, the H. E. Butt Grocery Company stores have provided people in Texas and Mexico with superior products and service. Headquartered in San Antonio, Texas, H-E-B was the 11th largest grocery chain in the United States. Florence Butt founded the company in 1905 with a $60 investment. A few generations later and four failures later, Charles Butt became president of the company in 1971 and took the family name to a higher level.
Charles Butt was committed to maintaining H-E-B's entrepreneurial spirit without detracting from the focus on the detail needed to succeed in the grocery business. The H-E-B private-label brand contributes greatly to the grocery store's success. By staying true to its small-town roots, H-E-B continues to prosper as a family-ownedand family-focusedchain of grocery stores. Despite H-E-B's regional concentration, it was regarded as a world-class competitor. Today, H-E-B boasts more than 300 locations throughout Texas and northern Mexico and employs upwards of 60,000 people. In 2001, sales approached $9 billion and the chain surpassed 275 stores, H-E-B remained privately held by the Butt family, and Charles Butt stayed actively involved in corporate strategy.
SITUATION ANALYSIS "The main objective of our Own Brand program is to enhance our relationship with customers. Our products offer low prices and great quality. Beyond this, many Own Brand products are only available at H-E-B. Our program communicates to customers how deeply committed we are to exceeding their expectations each and every time they visit H-E-B," says Charles Butt, chairman and CEO.
World-Class Operator
H-E-B concentrates its trading area in the Southwest, but operates on the level of a world-class grocer. While other retailers are outsourcing many support functions for the sake of economy, H-E-B invests heavily in its Own Brand Product Evaluation Center, Test Kitchen, Package Design Department, employs its own Quality
Charles Butt was committed to maintaining H-E-B's entrepreneurial spirit without detracting from the focus on the detail needed to succeed in the grocery business. The H-E-B private-label brand contributes greatly to the grocery store's success. By staying true to its small-town roots, H-E-B continues to prosper as a family-ownedand family-focusedchain of grocery stores. Despite H-E-B's regional concentration, it was regarded as a world-class competitor. Today, H-E-B boasts more than 300 locations throughout Texas and northern Mexico and employs upwards of 60,000 people. In 2001, sales approached $9 billion and the chain surpassed 275 stores, H-E-B remained privately held by the Butt family, and Charles Butt stayed actively involved in corporate strategy.
SITUATION ANALYSIS "The main objective of our Own Brand program is to enhance our relationship with customers. Our products offer low prices and great quality. Beyond this, many Own Brand products are only available at H-E-B. Our program communicates to customers how deeply committed we are to exceeding their expectations each and every time they visit H-E-B," says Charles Butt, chairman and CEO.
World-Class Operator
H-E-B concentrates its trading area in the Southwest, but operates on the level of a world-class grocer. While other retailers are outsourcing many support functions for the sake of economy, H-E-B invests heavily in its Own Brand Product Evaluation Center, Test Kitchen, Package Design Department, employs its own Quality