Kroger and Ocado announce two additional sites for high-tech customer fulfilment centres
Central Florida and Mid-Atlantic selected as locations for innovative robotics warehouse facilities
The Kroger Co. (NYSE: KR), America's largest grocery retailer, and Ocado (LSE: OCDO), one of the world's largest dedicated online grocery retailers, today announced Central Florida and Mid-Atlantic as the newly-named regions for America's next two Customer Fulfilment Centres (CFC).
Kroger has committed to building 20 CFCs, powered by Ocado, to accelerate its ability to provide customers with anything, anytime and anywhere. The CFC model – an automated warehouse facility with digital and robotic capabilities, also known as a "shed" – will be replicated to serve customers across America. In November 2018, Kroger announced its first CFC will be constructed in Monroe, OH, a suburb north of Cincinnati.
"Kroger is excited to partner with Ocado—one of the most innovative, advanced companies in the world—to redefine the grocery shopping experience for customers along the East Coast," said Rodney McMullen, Kroger's chairman and CEO. "We are incredibly excited to introduce customer fulfilment centres in this region to deliver on our Restock Kroger vision to serve America through food inspiration and uplift."
"Kroger is developing the retail model of the future through our exciting partnership with Ocado, a UK-based company with global ties," said Alex Tosolini, Kroger's senior vice president of new business development. "We will co-innovate with Ocado to develop the best possible experiences for our customers, leveraging advanced robotics technology and creative solutions."
"This announcement marks another important step toward combining Kroger's long-standing dedication to innovative and world-class grocery services with Ocado's unique, industry-leading technology," said Luke Jensen, CEO of Ocado Solutions. "As the U.S. retail landscape continues to change, these CFCs will play a crucial role in helping Kroger offer its customers a superior online shopping experience in these two major markets."