Kroger has unveiled plans to build three more Ocado-automated “spoke” e-commerce fulfillment facilities to help process online orders. The new sites are expected to start operation later this year and will be in Austin and San Antonio, Texas, as well as Birmingham, Alabama.
“Kroger’s digital investments are focused on driving expanded capacity, improving the customer experience, and developing new, innovative propositions via our strategic partnerships, including our Kroger Delivery fulfillment network powered by Ocado technologies,”
Kroger’s Yael Cosset said in a statement. “Kroger’s growing seamless ecosystem continues to scale and allow us to reach customers who are not in the proximity of a store with delivery services, and we’re committed to doubling both our digital sales and profitability pass-through rate by the end of 2023. And our continued network expansion will help us reach this target.”
The three new spoke sites will make eight planned by Kroger. Three are in operation in Indianapolis and in Tampa and Jacksonville, Florida while two more are planned for Louisville, Kentucky, and Oklahoma City. The Oklahoma City site will work with Kroger’s Dallas CFC site and bring Kroger into its 36th state, Oklahoma.