Kroger enters restaurant supply business
The Kroger Co. is launching a new business aimed at independent restaurant operators in a major U.S. city.
The Kroger Dallas Division is introducing Kroger Restaurant Supply exclusively in the Greater Dallas metro area. Kroger Restaurant Supply is designed to offer an alternative to ordering in large quantities that have variable pricing and require deliveries on a set schedule.
Instead, the new Kroger service offers wholesale pricing, opportunities to purchase items by the case or unit, and seven-day-a-week delivery. Regional restaurants, bakeries and catering companies are eligible to take part in this service, which offers free next-day delivery on all orders of $250 or more. Businesses can order by midnight and receive next-day deliveries seven days a week.
Kroger grows its online business
Kroger has been expanding the range of products and services it provides online. As of April 6, the company is collaboratively selling select Bed Bath & Beyond and buybuy Baby home and baby products via its e-commerce operation.
The company is also rapidly extending the reach of fast online delivery via a network of automated fulfillment centers and smaller spoke locations. This includes Kroger’s entry into Florida in 2021 without physical stores, and a planned future entry into the Northeast that may not involve operating stores.
In 2020, Kroger integrated digital marketplace platform Mirakl into its Kroger Ship ship-to-home program. This enabled the supermarket retailer to offer Kroger Ship customers an extended aisle with more than 50,000 additional products.
With this partner-based expansion, Kroger took a significant step toward offering the type of extended digital marketplace offered by Amazon and Walmart. Goods are offered across multiple categories, including natural and organic, international food, specialty items, housewares and toys. More items may be added to the extended assortment over time. Eligible Kroger.com orders earn loyalty rewards like fuel points.
"Like our resident shoppers, we know our commercial customers want options and solutions that offers fresh food, consistent pricing and reliability," said Keith Shoemaker, president, Kroger Dallas Division. "When our Dallas-Fort Worth restaurants think food, we want them to think Kroger. We look forward to providing this new offering and extension of our overall grocery ecosystem."
"Running a restaurant has always been difficult – and today it feels like it's harder than ever," said Jay Scherger, director, Kroger Technology & Digital/E-Commerce Accelerator. "This new service will bring our fresh assortment directly to regional businesses – all at consistent prices, product availability and delivery cadence they can count on.”
Interested organizations can learn more at kroger.com/restaurantsupply. Businesses must submit an EIN and Texas state tax ID to begin an order.
Based in Cincinnati, Kroger operates 2,800 stores, including more than 100 stores in Southeast Texas and Louisiana, under a variety of banners across the U.S., including Kroger, Fred Meyer, Ralphs, Dillons, Smith's, King Soopers, Fry's, QFC, City Market, Owen's, Jay C, Pay Less, Baker's, Gerbes, Harris Teeter, Pick 'n Save, Metro Market, and Mariano's.