THE WHAT? US supermarket chain Kroger has announced plans to open 110 stores across three new formats by 2029, supported by a US$5 billion investment strategy focused on fresh food, private-label products and e-commerce.
THE DETAILS The new stores will range from 50,000 to 99,000 square feet, with greater emphasis on fresh food, meal solutions and online order fulfilment, while reducing space allocated to general merchandise. Kroger expects the expansion to generate approximately US$7 billion in additional annual sales once the stores reach maturity. The retailer will also introduce AI-powered technology, digital shelf labels and robotics to improve operational efficiency. Its private-label business, Our Brands, currently generates approximately US$40 billion annually, with plans to grow premium range Private Selection from US$2.9 billion in 2025 to US$5 billion over the next three years.
THE WHY? The expansion highlights the growing importance of private-label development, digital integration and store productivity within US grocery retail. However, Kroger’s increased emphasis on fresh food and reduced general merchandise space could influence shelf availability and distribution opportunities for cosmetics and personal care brands operating within the supermarket channel.
Source: Mass Market Retail
