Tractor Supply Company - Company of the Year - Retail

Company: Tractor Supply Company - Brentwood, TN
Company Description: Tractor Supply Company (NASDAQ: TSCO), the largest rural lifestyle retailer in the U.S., has been passionate about serving its unique niche, targeting the needs of recreational farmers, ranchers and all those who enjoy living the rural lifestyle, for more than 80 years. The Company has more than 42,000 Team Members, over 1,900 stores in 49 states and an e-commerce website at TractorSupply.com.
Nomination Category: Company / Organization Categories
Nomination Sub Category: Company of the Year - Retail - Large

Nomination Title: Tractor Supply Company

Tractor Supply Company (NASDAQ: TSCO), the largest rural lifestyle retailer in the United States, has been passionate about serving its unique niche, supporting recreational farmers, ranchers and all those who enjoy living the Out Here lifestyle, for more than 80 years. Founded as a mail-order tractor company in 1938, Tractor Supply now offers an extensive mix of products necessary to care for home, land, pets and animals with a focus on product localization, exclusive brands and legendary customer service that addresses the needs of the Out Here lifestyle. With more than 42,000 Team Members and $10.6B in 2020 sales, the Company leverages its physical store assets with digital capabilities to offer customers the convenience of purchasing products they need anytime, anywhere and any way they choose at the everyday low prices they deserve. At December 26, 2020, the Company operated 1,923 Tractor Supply stores in 49 states and an e-commerce website at www.TractorSupply.com . Tractor Supply Company also owns and operates Petsense, a small-box pet specialty supply retailer focused on meeting the needs of pet owners, primarily in small and mid-size communities, and offering a variety of pet products and services.

In 2020, Tractor Supply made strategic investments in the business structure and culture of Tractor Supply to position us for long-term growth and with the intent to emerge stronger from the pandemic than we were before. Those investments paid off as Tractor Supply announced its fiscal year 2020 net sales had grown by 27.2%, making it a milestone year, and the Company’s success comes alongside significant progress in environmental, social and governance issues.

Achievements from 2020 include:
-Operating the business at elevated levels with 17M new and reengaged customers.
-Reaching $10.62 Billion in annual sales for 2020, adding over $2 Billion in sales.
-Hiring an additional 10,000 Team Members.
-Adding permanent benefit and compensation increases to take care of Team Members.
-Launching Same-Day Delivery from all 1,900 stores.
-Rolling out Contactless Curbside Delivery, redesigned e-commerce site, first-ever mobile app and mobile point of sale.
-Releasing inaugural ESG Tear Sheet and TCFD Reports.
-Joining American Connection Project and donating up to $1 million to improve rural broadband.
-Receiving Great Place to Work Certification.
-Donating $12 million to community organizations and disaster relief efforts, including the establishment of the TSC Foundation.
-Submitting inaugural CDP submission.
-Surpassing 2025 emissions reduction goal five years early and announcing a new renewable energy goal.
Creating Diversity, Equity and Inclusion Council led by the CEO.
-Reaching “power of three” females on its Executive Committee.
-Announcing new Life Out Here Strategy; increasing investments in the business through capital spending by about $200 million.

Tractor Supply, like everyone else, began 2020 with optimism for a new year and new decade led by a new CEO, Hal Lawton. The Company’s carefully laid plans were seemingly put on hold when, by March, the world began battling a global health crisis. As the year unfolded dictated by COVID-19, political and social justice crises, the rural lifestyle retailer chose to move to an offensive position and accelerate strategic investments in the Company’s culture, future performance and ESG initiatives.

The Company’s comparable store sales were up 23.1% year-over-year, and net sales increased an incremental $2 Billion over the prior year – roughly the entire size of the Company in 2006.

Tractor Supply was the 34th best performing stock in the S&P 500, significantly outperforming the retail sector.

By launching Same-Day/Next-Day Delivery from all stores, we became the first general merchandise retailer to do so, meaning customers can shop for all the products they need for home, land, pets and animals from the safety and comfort of home.

Following several months of appreciation bonuses to frontline workers in 2020, we were the first major retailer to announce and adopt permanent increases for Team Members.

We ended the year with an additional 10,000 Team Members – the largest hiring spree and employee growth period in the Company’s history.

Tractor Supply donated over $12 million to community causes, disaster relief and nonprofits, including the establishment of the TSC Foundation. This represented a 40% increase over the prior year’s charitable giving.

The COVID-19 webpage gives a full list of actions taken by Tractor Supply to keep Team Members and customers safe, while supporting communities.

The year-in-review video highlights not only steps taken during 2020 in response to COVID-19 but also investments in training; diversity, equity and inclusion initiatives; and the overall health of the business.

As Tractor Supply aimed to enhance proactive communication during 2020, we frequently issued press releases to alert key stakeholders to changes that were coming. Several press releases are linked for reference.

The ESG webpage highlights some of our progress on environmental, social and governance issues in 2020.