For a long time, Kroger has benefited itself from its cooperation with Ocado, an industry leader. The two announced another of their partnership deal.
It states that the new locations will be Romulus and Michigan for their brand new Kroger Custom Fulfillment Center (also known as CFC).
Kroger’s senior vice president of supply chain Robert Clark showed their interest in investing more to improve its eCommerce potential. Also, this will be cost-effective solutions. Furthermore, he elaborated on Kroger’s relation with Ocado and that it needs Ocado for its ecosystem evolution.
This project is announced for the betterment of user experience. It will also deal with the increasing demands of grocery eCommerce services.
The CFC is a high tech warehouse amenity comprising of robotics and other digital capabilities. It will be utilized to provide efficient services to the customers all around the region. Kroger is also building a supple distribution network. A press release described that the size and design of each center will be different. The separated demands and accessibility of the stores and its facilities are combined to determine the designing of each center.
On the other hand, CEO of Ocado technology Luke Jensen also shared his views on this project. He said that they aim to plot sites in different regions. This is done to expand the reach in the divergent market world. Ocado’s technology will benefit Kroger to reach cost-effective services in the market along with the best services and accuracy.
This project covers a region of about 135,000 sq. ft. The Kroger business will expand enormously with the building. Since it will be able to flourish their products to a greater audience. Moreover, it will create about 250 new job vacancies, to profit from the respective cities. It is said that it will start operating after 18 months when construction starts. This will help Kroger’s customer in numerous markets which include Northern Ohio, Indiana, and Michigan.