Publix, which operates more than 1,400 stores in the United States, has recently landed in hot water with consumers.
As it struggles with weak sales growth, the grocery chain has decided to end a years-long payment option that has made grocery shopping more seamless for customers, sparking criticism from shoppers who rely on it.
After seeing comparable-store sales increase 6% year-over-year in the second quarter of 2025, Publix’s sales growth has slowed. In the third quarter, its comparable sales increased 3.4%, and in the fourth quarter, it increased just 0.7%, according to the latest earnings report.
The company said the slower sales growth during the fourth quarter, compared to the same quarter in 2024, was primarily due to the higher demand it faced from Hurricane Milton in October 2024.
Many US consumers are also more cautious about their spending as they face higher prices for essential goods due to inflation. A December survey from Swiftly found that 68% of Americans struggle to afford groceries.
Also, 65% said rising grocery prices have affected how they shop, with many relying on digital tools like retailer apps, digital coupons, cash-back offers, and grocery loyalty programs to save money.
“Today’s shoppers expect savings to be simple, intuitive and highly personalized across mobile, web, loyalty, and in-store touchpoints,” Swiftly co-founder Sean Turner said in a press release. “Technology is the infrastructure that enables vendors to honor that trust while delivering value at scale.”
As more consumers seek value from digital experiences than grocery chains offer, Publix recently decided to discontinue Publix Pay, its contactless in-app payment option first made available to customers in 2020.
Publix Pay allows customers to use the Publix app to store payment methods such as credit, debit, and gift cards, and then scan a QR code in-store to check out at the register using a PIN-secured payment tool.
The tool also allows customers to automatically redeem digital coupons they click on the app and receive digital receipts.
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Publix Pay will officially stop on March 19. In a statement to Grocery Dive, a Publix spokesperson said the change will allow the company to shift its focus to other priorities aimed at improving the customer experience.
“This change allows us to focus on enhancing and expanding other features that provide value and convenience to our customers,” said a Publix spokesperson.
Customers will still be able to pay with gift cards saved in the Publix app. They can also use other contactless payment options, such as Apple Pay and Google Pay, on their phones in stores.
Publix notified customers of the change via email, and some took to social media platform Reddit to claim the move was “a step backwards,” as Publix Pay made in-store purchases easier.
One Publix shopper wrote: “So dumb. Been paying this way for 6 years. Don’t like entering my phone number into a keypad or touching anything to get digital coupons/savings. Good job, Publix. Keep making things worse and less convenient.”
“I think this is also a step backwards. Publix Pay allows me to use a preferred card and not have to enter my phone number to get a digital receipt. Now I have to enter my phone number and either use Tap to pay or carry my favorite card. I usually don’t have it with me and I haven’t entered it into Apple Pay. “I use my Publix card elsewhere.
“Publix Pay was a lifeline for me when my family member allowed me to link their card for groceries after I lost my job. Shame they are shutting it down,” wrote another Publix customer.
Publix is facing backlash over its decision to shut down Publix Pay.Shutterstock ·Shutterstock
Angry customers are the last thing Publix needs. The criticism comes at a time when the grocery chain is already facing backlash over its high prices, with some customers accusing it of “price gouging”.
Publix also faces heightened competition from rivals such as Walmart and Kroger, which both saw their comparable sales (excluding fuel) increase 4.6% and 2.4% year-over-year, respectively, in the fourth quarter of 2025.
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Both retailers also currently offer touch-free payment options on their apps, which would soon give them a leg up on Publix.
It’s vital that Publix doubles down on offering value and convenience to its customers, as many Americans feel financial pressure this year, leading them to cut back on spending, a new EY-Parthenon survey found.
on the point 1 in 4 US consumers said they were Financially poor in December compared to the previous month.
regarding to 70% reported having Moderate or severe anxiety About the high cost of living, especially when it comes to food prices.
Travel, dining, and entertainment rank in between above The categories of consumption that are consumers Cut back
Even higher income consumers are Prices look very closelyoften shopping sales, comparing prices, and turning to private label products. Source: EY-Parthenon
“The rise in financial anxiety shows that stress is building beneath the surface,” EY-Parthenon Americas retail sector head Mark Chambers said in a press release.
“Reaching consumers for the long term will require retailers to strike a balance between implementing cutting-edge technology and keeping the human experience at the forefront,” he added. “Retailers that emphasize value, convenience and affordability will be best positioned to maintain customer loyalty in the coming months.”
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This story was originally published by The Street on March 14, 2026, where it first appeared in the Retail section. Add TheStreet as a Favorite Source by clicking here.