January 4th, 2019 | Updated on January 11th, 2019
Grocery is one of the difficult segments of the retail industry. The worrying part is that it is gearing up the competition causing huge pressure on several established players of the industry. Kroger, which still remained at second-largest grocer of the U.S.’s after Walmart, is considering this competition very seriously. The Management of the company is working very hard to maintain the market share and planning to come up with innovative ideas in order to ensure future relevance.
The challenge to see a small uplift in sales figure is a true indication of the fact that the grocery market is under tremendous pressure. Kroger, which is serving a good population of Americans, remains highly exposed to such dynamics. But what makes Kroger better than its competitors is the fact it responded very positively towards the market challenges. It considered the challenges as opportunities in place of threats.
There are 4 specific things which Kroger is concentrating at to ensure its growth, and to make the business strong, to remain as the top contender in the race of retail grocery industry.
1. Making The Basics Perfect
Kroger’s first step was price cuts, and truly that impacted heavily on gross margins of the company, by almost 40 basis points. The situation was painful but that was the need of the hour which Kroger carefully utilized for maintaining competitiveness and leadership in the retail grocery sector. All thanks to this fruitful decision which actually started paying off both in terms of increased sales volume and customer view about price.
2. Use Of Customer Data
The Company is having huge access to customer data which offers it the advantage to plan for blanket price cuts wherever it is necessary followed by layer targeted cuts and that too personalized for the individualized buyers. Just because of this data advantage, Kroger can actually deliver value without making any misdirected erosion of margin.
3. Digitally Innovative
Kroger is always known for its innovative approach in the industry. This innovative feature is now towards giving more focus on digital, which is taking care of e-commerce. Kroger is working towards extending its services like ‘order online, collect in store’. This service is already in full swing in more than 1,000 locations. Home delivery is already in available mode across 300 + locations.
4. Making Stores Technologically Advanced
In spite of being digitally innovative in its business approach, Kragor is keeping no stones unturned for making its stores technologically advanced. It replaced its common shelf-edge tickets with the digital version. It made the process of price change easy and instant with saving of time.
Kroger is always in search of opportunities which can offer the scope to expand the business in a profitable way with due care towards customer expectations. After knowing about such promising steps taken by the team of Kragor will you not wish to become a part of this amazing company? If yes, then check out the Kroger near me jobs which are announced from time to time for making applications.