The latest expansion news shows the resilience that executives have long touted, and suggests the partnership is off to a strong start. But there is still a long way to go. The minute Kroger announced its association with Ocado in 2018. The boldness of the project was quickly dampened by a healthy dose of scepticism.
How can the nation’s largest supermarket chain justify building massive, multimillion-dollar robotic execution sheds to service an opportunity that was still in its infancy in the United States?
Related Kroger Stuff
- For Kroger Employee Benefits, Click Here
- For W2 Updates, Please Click Here
- For More Login Guides, Click Here
- For Kroger Latest News, Click Here
While in the pandemic e-commerce mania has made Kroger’s investment seem even smarter. Those expectations sound even more optimistic after announcing the expansion. When the company publicly committed to building five additional hangars, bringing its total to 16. The news was not so much about the number of facilities it said it would build as it was about the range of sizes and deployments. There will be small and medium facilities, a shed built to conquer another new market, and a partial fulfillment site in South Florida that will quickly cater to a curated array of fast-moving goods.
The announcement gave the industry its first real look at the flexibility that Kroger executives have long touted for its arrangement with the British tech company. It’s a multi-pronged approach that not only relies on the logging and next-day delivery facilities that have been Ocado’s calling card up to this point. But also includes smaller facilities, faster service and network connectivity.
While Kroger appears to be the first among Ocado’s retail service partners to announce the rollout of Ocado’s partial fulfillment Zoom service, which launched in 2019 and is currently available in several West London markets. The automated facility, along with another smaller shed, will serve a limited number of stocks holding units within 30 minutes, a sign of a growing focus on fast, need-driven delivery, particularly among younger consumers. But before we and others in the industry begin to imagine a vast network of Kroger/Ocado MFCs across the country, it’s helpful to bring up previous companies’ comments about the technology this spring. However, Kroger on the other hand is planning to expand the auto robotic centers in many cities soon after the success opening in Florida. Let’s see what Kroger plans to bring more success to their pockets.