CINCINNATI, July 14,
2022 /PRNewswire/ -- The Kroger Co. (NYSE: KR)
America's largest grocery retailer, today announced it will offer
more Americans delivery through the addition of spoke facilities in
Nashville, Tennessee and
Maywood, Illinois. Working in
conjunction with nearby fulfillment centers, Kroger Delivery will
now reach customers in Greater
Nashville and the Chicago
Metro Area.
"Kroger Delivery offers customers a truly differentiated
service. Orders are transported in refrigerated trucks and
delivered by trained Kroger uniformed associates, giving customers
an unparalleled white glove delivery experience," said Bill Bennett, Kroger Vice President and Head of E-commerce.
"Kroger Delivery is part of our rapidly expanding seamless
ecosystem that provides customers with fresh and quality products
when and where they want it – all with zero compromise and at an
incredible value."
Local shoppers will also have access to the newly launched Boost
by Kroger annual membership program. For either $59 or $99 per
year, Boost provides customers with benefits like unlimited free
delivery on orders of $35 or more and
two Fuel Points for every $1 spent on
groceries and general merchandise purchases through Delivery,
Pickup and in-stores. Kroger estimates the membership can save
customers more than $1,000 per year
on fuel and grocery delivery.
Nashville, Tennessee
The approximately 40,000-square-foot facility will work in
conjunction with the Atlanta
fulfillment center, increasing the network's reach to customers up
to 200 miles from the hub. The facility is located on Polk
Avenue in Nashville,
Tennessee.
"Kroger is a household name that we are proud to have in
Tennessee, and I thank this
company for its decision to create more than 180 new jobs for
Tennesseans," said Tennessee
Governor Bill Lee. "Our state's
central location and skilled workforce will ensure Kroger's success
in the years to come."
"Tennessee's unique position
offers companies easy access to their customers and suppliers
around the globe, so we believe Nashville will be the ideal location for
Kroger's newest cross-dock facility," said Stuart McWhorter, Tennessee Department of
Economic and Community Development (TNECD) commissioner. "We
appreciate this well-known brand for choosing to locate in
Davidson County and look forward
to seeing the growth that will come from this project."
"Tennessee Valley Authority (TVA) and Nashville Electric Service
congratulate Kroger on its decision to locate operations in
Nashville," said John Bradley, TVA senior vice president.
"Helping to support companies creating jobs and investment in the
region is fundamental to our mission of service. We are proud to
partner with the Nashville Area Chamber and Tennessee Department of
Economic and Community Development to further that mission and
celebrate this announcement together."
Maywood, Illinois
The nearly 80,000-square foot facility located in Maywood, Illinois is approximately 20 miles
west of Chicago. It will work
concurrently with the fulfillment center in Pleasant Prairie, Wisconsin, and expects
to employ more than 180 associates.
"As we continue in Moving Maywood Forward Together, I couldn't
be more excited to welcome Kroger to the Village of Eternal Light.
Their facility replaces a blighted area while adding new jobs and
revenues that aid in the revitalization of our community. We are
happy to welcome a partner that works to address our food desert
designation and look to evolving collaboration with them," said
Maywood Mayor, Nathaniel George Booker.
Kroger Delivery Explained
The expansion to Greater
Nashville and the Chicago
Metro Area represents an extension of a partnership between Kroger
and Ocado Group, a world leader in technology for grocery
e-commerce. In 2018, the companies announced a collaboration to
establish a delivery network that combines artificial intelligence,
advanced robotics and automation in a bold new way, bringing
first-of-its-kind technology to America.
The delivery network relies on highly automated fulfillment
centers. At the "hub" sites, more than 1,000 bots whizz around
giant 3D grids, orchestrated by proprietary air-traffic control
systems. The grid, known as The Hive, contains
totes with products and ready-to-deliver customer orders.
As customers' orders near their delivery times, the bots
retrieve products from The Hive and present them
at pick stations for items to be sorted for delivery, a process
governed by algorithms that ensures items are intelligently packed.
For example, fragile items are placed on top, bags are evenly
weighted, and each order is optimized to fit into the lowest number
of bags, reducing plastic use.
After product orders are packed, groceries are loaded into a
refrigerated delivery van, which can store up to 20 orders.
Powerful machine-learning algorithms optimize delivery routes,
considering factors such as road conditions and optimal fuel
efficiency. Vans may travel up to 90 miles with orders from the hub
and spoke facilities to make deliveries. Associates at the spoke
facility will deliver orders within their service area, adding ZIP
codes as demand grows.
Kroger currently operates customer fulfillment centers in
Monroe, OH, Groveland, FL, Forest Park, GA (Atlanta), Pleasant
Prairie, WI and Dallas, TX.
The fulfillment network plans additional customer fulfillment
centers in California,
Frederick, MD, Phoenix, AZ, Romulus, MI (Detroit), Cleveland,
OH, Charlotte, NC,
Aurora, CO (Denver), as well as South Florida and the Northeast.
Media Assets
To download Kroger Delivery photography and video, visit
here.
About Kroger
At The Kroger Co. (NYSE: KR), we are Fresh for Everyone™ and
dedicated to our Purpose: To Feed the Human Spirit®. We are, across
our family of companies, nearly half a million associates who serve
over 11 million customers daily through a seamless shopping
experience under a variety of banner names. We are committed to
creating #ZeroHungerZeroWaste communities by 2025. To learn more
about us, visit our newsroom and investor relations site.
About Ocado Group
Ocado Group is a UK based technology company admitted to trading
on the London Stock Exchange (Ticker OCDO). It provides end-to-end
online grocery fulfilment solutions to some of the world's largest
grocery retailers and holds a 50% share of Ocado Retail Ltd in the
UK in a Joint Venture with Marks & Spencer. Ocado has spent two
decades innovating for grocery online, investing in a wide
technology estate that includes robotics, AI & machine
learning, simulation, forecasting, and edge intelligence.
Kroger assumes no obligation to update the information contained
herein unless required by applicable law. Please refer to Kroger's
reports and filings with the Securities and Exchange Commission for
a further discussion of these risks and uncertainties.
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SOURCE The Kroger Co.