As we know, Kroger is one of the biggest America’s supermarket chain compare to Walmart, Inc and Target, Corp. Last year, Amazon has becoming a heavily competitor to the giants after the acquisition of whole foods stores. Kroger faces struggles with the E-commerce because they were focusing more with online ordering technology and delivery services versus in stores. The ideology has disappointed the company investors which causes their stock value dropping rapidly. Walmart was once a successfully food seller in the U.S before Kroger and they are still behind. The best is yet to come, Kroger’s executives reassure that Kroger will make it back on track and even surpass other giants market in the nearly future. They are in the progress of implementing autonomous vehicles to deliver groceries method to serve their loyalty customers by saving up costs of human power or other extraordinary expenses. In 2014, Kroger had acquired vitacost.com for $280 million but they failed to invent technology into its operation. Vitacost is an American E-commerce retailer that sells vitamins, natural foods, supplements and organic products. Kroger was unsuccessfully advertise and promote Vitacost products which brings the revenue less than what they had expected. Kroger needs to improve by accepting other technology payment methods beside Apple Pay or Pay Pal which will help the company to gain profits in the future. In conclusion, E-commerce ordering delivery online is a legit idea but there is a downsize, that would cause the difficulties for those who prefer to hand-picked their freshness produces in person because they also enjoy shopping in store.
This topic is related to marketing strategy on the “customers” and “products”. Kroger is aiming to satisfy its loyalty customers and in desire to make online shopping and delivery more convenient and also to meet their expectation on revenue.
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If Kroger does impliment the vehicle service, how will that vehicle service compete with those around it?
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