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H-E-B

From Wikipedia, the free encyclopedia
American supermarket chain based in San Antonio, Texas
For other uses, seeHEB (disambiguation).

H-E-B Grocery Company, LP
H-E-B
FormerlyC.C. Butt Grocery Store (1905–1927)
Company typePrivate
IndustryGrocery retail
FoundedNovember 26, 1905 (120 years ago) (1905-11-26) as C.C. Butt Grocery Store inKerrville,Texas, United States
FounderFlorence Butt
HeadquartersSan Antonio, Texas, U.S.
Number of locations
Over 435 (U.S. and Mexico)
Area served
Key people
ProductsBakery, dairy, deli, frozen foods, gasoline, general grocery, meat, pharmacy, produce, seafood, snacks, toys
ServicesAuto, health, fuel, ticket sales, utilities, and licenses
RevenueIncrease $46.5 billion (2024)[3]
Owners
Number of employees
154,000 (2025)[3]
Subsidiaries
Websiteheb.com
Footnotes / references
[5]

H-E-B Grocery Company, LP, is an Americanprivately heldsupermarket chain based inSan Antonio, Texas, with more than 435 stores[6] throughoutTexas andMexico.[7][8] The company also operatesCentral Market, an upscale organic and fine foods retailer.[9]

As of 2022, the company had a total revenue ofUS$38.9 billion.[10]

H-E-B ranked number 6 onForbes' 2022 list of "America's Largest Private Companies".[11] The company also ranked number 3 on Forbes' 2024 list of "Customer Experience All-Stars."[12] H-E-B was named Retailer of the Year in 2010 byProgressive Grocer.[13] Supermarket News ranks H-E-B 13th on the list of "Top 75 North American Food Retailers" by sales.[14] Based on 2019 revenues, H-E-B is the 19th-largestretailer in the United States.[15] It donates 5% of pretax profits to charity.[16]

The officialmascot of H-E-B is named H-E-Buddy, ananthropomorphic browngrocery bag, with multiple grocery items emerging from the top.[17]

History

[edit]

The company was founded on November 26, 1905, when Florence Butt opened the C.C. Butt Grocery Store on the ground floor of her family home inKerrville, Texas.[18] In 1919,Howard Edward Butt, Florence's youngest son, took over the store upon his return from World War I. Shortly after becoming owner of his mother's small store, Howard tried four expansions into Central Texas, including one inJunction, all of which failed. Finally, in 1927, Howard launched a successful second store inDel Rio, Texas, followed by the purchase of three grocery stores in theLower Rio Grande Valley. The initials of Howard E. Butt became the name of the store.[19]

Charles, the younger son of Howard E. Butt, became president of H-E-B in 1971. As of 2019, Charles Butt ischairman andCEO of H-E-B, having grown the business from annual sales of $250 million in 1971 to $13 billion in 2006. In 2010, Craig Boyan was named H-E-B'spresident andCOO.[20] By 2018, Martin Otto, the former CFO and chief merchant, had become the COO.[21] In 2011, the company was #12 on Forbes's list of "America's Largest Private Companies".[22] H-E-B is the largest privately held company and largest private employer in Texas.[23]

H-E-B acquiredFavor Delivery as a wholly owned subsidiary in February 2018. The details of the merger were not disclosed.[24]

In 2019, H-E-B invested millions of dollars to replace cashier stations with self-checkout kiosks or smartphone apps, following the trend of national supermarkets (such asWalmart andTarget) towards self-checkout technology.[25]

In 2025, H-E-B named current chief operating officer Roxanne Orsak as president, effective January 2026. She will succeed Craig Boyan, who is transitioning to senior advisor.[26]

Operations

[edit]
H-E-B Store inTomball, Texas

Headquartered indowntown San Antonio, H-E-B operates more than 300 stores in over 150 communities across Texas.[27][28] As of late 2010, its operations serve approximately "55-plus" percent of the Texas market,[29][30] with primary Texas markets including theCorpus Christi,San Antonio,Austin,Laredo andHouston metro areas. The company does business in five different retail formats: general H-E-B stores, Central Market, H-E-B Plus, Mi Tienda, and Joe V's Smart Shop. In 2010, the company announced plans to build 19 new stores in Texas.[31] H-E-B opened its first store outside of Texas in 1996, a 24,000-square-foot (2,200 m2) H-E-B Pantry store inLake Charles, Louisiana, though the expansion was short-lived and ultimately failed. The H-E-B Pantry store format was discontinued in 2000,[32] and the company closed its soleLouisiana store in 2003. In 2010, H-E-B offered consumers the opportunity to vote on possible designs for new stores as they expanded into new communities.[33]

The company operates several manufacturing facilities in Texas, including one of the largest milk- and bread-processing plants in the Southwest.[34] H-E-B produces many of theirown-brand products, including milk,ice cream,bread, snacks, and ready-cooked meats and meals. These and other private-label products are sold under various brands, including "Central Market Naturals", "Central Market Organics", "H-E-B", "H-E-Buddy", "Hill Country Fare", "H-E-B Creamy Creations" ice cream, "H-E-B Mootopia" milk, and "H-E-B Fully Cooked".

Several stores include multiple-tenant operations through third-party lease arrangements. Many stores include a bank operation, cellular kiosk, and multiple nationally recognized tenants.[35][36][37]

TheAustin Business Journal rated H-E-B as the largest private-sector employer in the region in 2017.[38]

In 2019, the company announced plans to build a technology center at its headquarters.[39]

Central Market

[edit]
Main article:Central Market (Texas)
Central Market store in central Austin

In 1994, H-E-B introduced its Central Market concept inAustin. Based in San Antonio, Central Market offers an organic and international food selection, including a European-style bakery and extensive wine and beer selections. The chain is now composed of 10 stores – three inDallas, two in Austin, and one each inFort Worth,Houston,Plano,San Antonio, andSouthlake.[40] H-E-B operates four different formats of stores that introduce general merchandise and elements of the "market" concept, though they are unrelated to Central Market's mainline stores: The Woodlands Market inThe Woodlands inMontgomery County, Kingwood Market in theKingwood section of Houston, and the Austin-Escarpment store in South Austin. H-E-B's Alon Market opened in San Antonio on October 17, 2008.[41]

In July 2015, the Market concept was expanded as a new Spring Creek Market was opened in southern Montgomery County inSpring, Texas, on Rayford Road.[42]

H-E-B Plus!

[edit]
H-E-B Plus store in Laredo, Texas

In 2004, the company launched three (inAustin,Corpus Christi, andWaco) H-E-B Plus! stores with an expanded focus on nonfood categories, such as entertainment and other general merchandise. The company added three additional locations in 2005 (Corpus Christi,Round Rock, andSan Antonio). The stores offered several new departments, including Do-It-Yourself and Texas Backyard, and greatly expanded product categories in baby, card and party, cosmetics, entertainment, housewares, and toys.

Several other locations were later added, including stores inFlour Bluff, Corpus Christi,Brownsville,Burleson,Bastrop,Beaumont,Belton,Boerne,Katy,Killeen,Victoria,Waxahachie,New Braunfels,Kyle,[43]Laredo,Leander,[44]Mission,Rio Grande City,San Juan,San Antonio,[45]Pearland,[46][47][48]Copperas Cove[49] andHutto.

Mi Tienda

[edit]
Mi Tienda in northern Houston

In 2006, H-E-B opened Mi Tienda inSouth Houston (adjacent toPasadena) ingreater Houston – a 63,000-square-foot (5,900 m2) Latino-themed store.[50][51] Another Mi Tienda opened in north Houston in 2011; it is twice the size of the original location,[52] and has 97,000 square feet (9,000 m2) of space.[53] Mi Tienda means "my store" in Spanish.

Joe V's Smart Shop

[edit]
Joe V's Smart Shop in Harris County, Texas

In 2010, H-E-B opened 'Joe V's Smart Shop', a low-cost grocery chain featuring discounted items. As of June 2024, 10 stores are in Houston and two are in Dallas. A thirteenth location is planned to open in Dallas in late 2025.[54]

Store size is typically 55,000 square feet, and each location employs about 150 employees, who are eligible to receive the pay and benefits available to employees across H-E-B brand stores.[55]

The brand's name, Joe V's, is based on a company executive, Joe Villareal, who was the driving force behind the brand.[56][57]

True Texas BBQ

[edit]

True Texas BBQ is a barbecue restaurant chain located inside select H‑E‑B stores.[58]

Mexico

[edit]
Main article:H-E-B Mexico
Store inPiedras Negras

H-E-B opened its first Mexican store in 1997 inMonterrey. It has more than 50 locations in Mexico. H-E-B crossed the $1 billion annual sales mark in Mexico in 2012.[59]

Litigation

[edit]

In the mid-1980s, local grocery chains Handy Andy and Centeno joined a lawsuit against H-E-B citing unfair pricing practices.[60] H-E-B eventually settled the suit out of court with Centeno in 1998 for $6.5 million and with Handy Andy for an undisclosed settlement amount.[61][62]

H-E-B has paid $12 million to settle a whistleblower lawsuit accusing the San Antonio-based grocery chain of Medicaid fraud. Since at least 2006, according to the suit, H-E-B allegedly submitted to Texas Medicaid inflated prices on thousands of claims for prescriptions it filled so the company could obtain higher reimbursements than allowed.[63]

Charitable activity

[edit]

The company gives 5% of annual pretax earnings to causes in the areas in which it operates, including education and food banks.[64] The Excellence in Education Awards is an annual charitable program maintained by H-E-B since 2000, in which teachers, administrators, and schools in Texas are recognized, with awards totaling $500,000 in contributions in 2009.[65]

H-E-B coordinated donations to relief efforts in the wake of afertilizer plant fire and explosion inWest, Texas. The company donated $50,000 to theAmerican Red Cross and launched a checkstand campaign benefiting the organization to get the community involved in the relief effort. The company said in a news release 100% of the donations from the campaign will support the American Red Cross's disaster relief efforts. H-E-B also activated its emergency response units, sending the H-E-B Eddie Garcia Mobile Kitchen and water tanker to West, including donations of meals and water to the victims and first responders.[66]

In the aftermath ofHurricane Harvey in 2017, H-E-B donated $100,000 toward relief efforts. Its campaign drive for customer contributions totaled $1,000,000.[67] In addition, H-E-B's Mobile Kitchen and Disaster Relief Units distributed 10,000 hot meals to volunteers and victims in the affected areas in Texas.[67][68]

In 2021, duringTexas power crisis due to severe snow storms, H-E-B helped supply people with food, water, and heat.[69][70]

After theRobb Elementary School shooting inUvalde, Texas, on May 24, 2022, in which 19 children and two teachers were killed, H-E-B and the Butt family donated $10 million toward building a new school as founding donors. Initial participants joining the family included Texas architectural firm Huckabee and Texas general contractor Joeris General Contractors.[71]

After theJuly 2025 Central Texas floods, H-E-B and the Butt family donated $5 million towards the recovery efforts.[72]

In October 2025, H-E-B donated $1 million toMeals On Wheels and $5 million to Texas food banks to assist those with food insecurity during the2025 United States federal government shutdown.[73]

References

[edit]
  1. ^Grieder, Erica (May 18, 2024)."H-E-B is Texas's favorite business. Here's what to know about the grocer".Houston Chronicle.
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  3. ^abIszler, Madison (December 26, 2024)."H-E-B, SpaceX, Zachry back on list of America's biggest private companies. See where they ranked".San Antonio Express-News. RetrievedJuly 6, 2025.
  4. ^"Meet The Four Billionaires Behind H-E-B Supermarkets, Texas' Largest Private Employer".Forbes. RetrievedApril 7, 2024.
  5. ^Moreno, J. Edward (September 10, 2024)."Don".Sherwood Media. RetrievedSeptember 11, 2024.
  6. ^Retail Today Magazine (September 2024)."HEB Grocery 2024".
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  12. ^Schwarz, Alan (February 20, 2024)."Forbes Customer Experience All-Stars".Forbes. RetrievedApril 7, 2024.
  13. ^Vaughan, Vicki (October 6, 2010)."H-E-B is Retailer of the Year".San Antonio Express-News.
  14. ^"TOP 75 RETAILERS & WHOLESALERS". Supermarket News.
  15. ^"Top 100 Retailers 2020 List".NRF. RetrievedMay 26, 2021.
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  36. ^Briefs[permanent dead link], MySA.com, December 23, 2006.
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  64. ^Barkhurst, Ariel (December 20, 2009)."Thousands enjoy H-E-B Feast of Sharing".San Antonio Express News. San Antonio: Hearst Newspapers. RetrievedMarch 12, 2010.[permanent dead link]
  65. ^Moravec, Eva Ruth (March 28, 2009)."H-E-B recognizes 40 Texans vying for education awards".San Antonio Express News. San Antonio: Hearst Newspapers. Archived fromthe original on March 31, 2009. RetrievedMarch 12, 2010.
  66. ^Riemenschneider, Pamela (April 22, 2013)."HEB coordinates donations to West, Texas".The Packer. Vance Publishing. Archived fromthe original on May 26, 2013. RetrievedApril 23, 2013.
  67. ^abRoethler, Eva (August 30, 2017)."H-E-B Donations Reach $1 Million and Deploys Response Teams for Harvey Relief Efforts".And Now U Know. RetrievedNovember 9, 2018.
  68. ^"How H-E-B Took Care of its Communities During Harvey".Texas Monthly. September 6, 2017. RetrievedNovember 9, 2018.
  69. ^Montgomery, David; Rojas, Rick; Rio, Giulia McDonnell Nieto del (February 22, 2021)."Texans Needed Food and Comfort After a Brutal Storm. As Usual, They Found It at H-E-B".The New York Times.ISSN 0362-4331. RetrievedJune 9, 2025.
  70. ^Meisenzahl, Mary."Texans are raving about H-E-B as the beloved grocery chain provides food and comfort amid a nightmarish storm".Business Insider. RetrievedJune 9, 2025.
  71. ^Lopez, Brian (June 28, 2022)."Butt family, H-E-B donate $10 million to replace Robb Elementary School in Uvalde after mass shooting".The Texas Tribune. RetrievedOctober 19, 2025.
  72. ^Kirkpatrick, Brian (July 9, 2025)."H-E-B, James Avery embrace their Kerrville roots with support for flood victims".Texas Public Radio. RetrievedOctober 19, 2025.
  73. ^https://www.tpr.org/news/2025-10-26/h-e-b-donates-6-million-to-meals-on-wheels-and-texas-food-banks

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