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Supply Chain

Kroger, Ocado Expand Partnership With New CFC

Supermarket chain Kroger has announced plans to construct a new customer fulfilment centre (CFC) in partnership with Ocado to meet growing demands.

The company has not disclosed the exact location of the 200,000 square feet facility.

'Accelerate Expansion'

Chief supply chain officer at Kroger, Gabriel Arreaga, said, “Kroger continues to accelerate the expansion of our national network to redefine the customer experience.

"Our partnership with Ocado is and will continue to be rooted in our ability to deliver value-added customer-centric solutions that bring fresh food to customers through our seamless ecosystem."

The new facility will complement Kroger's previously announced CFC sites in Monroe, OH, Groveland, FL, Frederick, MD, Atlanta, GA, Dallas, TX, Pleasant Prairie, WI, Romulus, MI, Pacific Northwest and West regions.

The retailer added that it plans to open the first two CFC sites in Monroe, OH, a suburb of Cincinnati and Groveland, FL in early 2021.

Kroger has partnered with Ocado to help accelerate its ability to meet customers’ demand through a seamless ecosystem.

The CFC model, which incorporates state-of-the-art automation and AI technology, will help Kroger expand its reach to a larger footprint.

'Best Customer Service'

"In the long term, we know that winning online in grocery means having the best customer service, underpinned by the best operational economics," said Luke Jensen, CEO of Ocado Solutions.

"In leveraging the wide range of Ocado fulfilment technologies, Kroger is accessing the best customer offering for online grocery in the world, proven in the UK, one of the most developed and competitive markets for grocery online."

© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.

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