Piggly Wiggly Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
n.a.
Investment required
$1,404,000 - $4,857,000
Royalty fee
0.41%

Piggly Wiggly: Revolutionizing Grocery Shopping Since 1916

Founded in 1916 by Clarence Saunders in Memphis, Tennessee, Piggly Wiggly introduced the innovative concept of self-service grocery shopping, transforming the retail landscape. This pioneering approach allowed customers to select their own goods directly from store shelves, a significant departure from the traditional clerk-assisted model.

Today, Piggly Wiggly operates over 500 independently owned and operated stores across 18 states, primarily in the Southeast and Midwest regions of the United States. The corporate headquarters are located in Keene, New Hampshire, under the management of Piggly Wiggly, LLC, an affiliate of C&S Wholesale Grocers. The company continues to issue franchises to qualified independent grocery retailers, providing them with support, marketing programs, and a range of promotional items.

Piggly Wiggly distinguishes itself by offering a variety of private-label brands, such as Food Club, Best Yet, and TopCare, delivering quality products at competitive prices. This commitment to value and community-centric service has solidified Piggly Wiggly's reputation as a beloved and enduring brand in the American grocery industry.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $0
Store Layout Plans $5,000 to $10,000
Equipment and Improvements $950,000 to $3,200,000
Opening Inventory $350,000 to $1,200,000
Miscellaneous Opening Costs $10,000 to $50,000
Insurance $25,000 to $70,000
Pre-opening Advertising $10,000 to $20,000
Market Analysis Charge Between $4,000 and $7,000 per market analysis
Additional Funds – 3 months $50,000 to $300,000
TOTALS $1,404,000 to $4,857,000

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Number of units

2023
Franchised units

85

84

84

Company-owned units

11

11

12

Total units

96

95

96

Franchise Disclosure Document

Training

Piggly Wiggly provides comprehensive training programs designed to prepare employees for their specific roles within the store. Here’s an overview of the training types:

  1. Cashier Training:
    • Focuses on customer service skills.
    • Teaches operation of cash registers and self-checkout systems.
    • Includes guidance on handling transactions accurately.
  2. Deli Associate Training:
    • Covers food safety protocols.
    • Trains employees on proper product handling.
    • Emphasizes hygiene and compliance with health regulations.
  3. Paid Training Programs:
    • Offered to employees to support career growth.
    • Includes skill development and advancement opportunities.
  4. Location-Specific Training:
    • Since Piggly Wiggly stores are independently owned and operated, training programs may vary by location to align with individual store needs.

These training initiatives ensure employees are well-equipped to meet operational standards and deliver quality customer service.

Territory Protection

Piggly Wiggly does not offer exclusive territorial protection to its franchisees. This means that franchisees may face competition from other Piggly Wiggly stores, including new franchises or company-owned locations, opening nearby. Such proximity can potentially impact a franchisee's market share and sales.

This lack of territorial exclusivity has led to disputes within the Piggly Wiggly franchise system. Some franchisees have raised concerns about market saturation and encroachment, which can adversely affect their business performance.

These issues underscore the importance for prospective franchisees to thoroughly understand the terms of their franchise agreement, particularly regarding territorial rights and protections.

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