Kroger Begins Grocery Delivery Across North Texas with Dallas Facility
The nation’s largest grocery retailer has opened a new Customer Fulfillment Center (CFC) in southeast Dallas. Kroger VP and head of e-commerce Bill Bennett says the new facility will bring fresh food and ingredients all the way to Oklahoma City to the north and Austin and San Antonio to the south. “Customers can use Kroger.com or the Kroger app to check the weekly circular, select personalized digital coupons, search products by dietary preference and ultimately place their delivery order, saving time and money,” Bennett says.
Kroger Delivery is powered by e-commerce company Ocado Group that first began partnership with the grocer in 2018. The delivery system relies on advanced robotics technology in automated fulfillment centers with more than 1,000 bots that move around giant 3D frameworks. Dubbed “The Hive,” the frameworks have totes with products and customer orders. Bots retrieve items from The Hive and present them at pick stations where items are sorted for the delivery. That process is regulated by algorithms that make sure items are intelligently packed. Delivery vans, which can store up to 20 orders, are refrigerated. Delivery routes are optimized, taking into consideration factors like road conditions and fuel efficiency. Drivers can travel up to 90 miles from CFCs to deliver orders. The facility will work in conjunction with support facilities in Austin, San Antonio, and Oklahoma City; each support facility will enable Kroger Delivery to grow its services to reach more shoppers. Kroger also just launched a membership program for $59 or $99 per year that offers benefits such as unlimited free delivery on orders of $35 or more and fuel points.
Kroger announced plans to close one of its Plano locations in North Texas. The closing date for the location at 9700 Coit Road has yet to be announced. Kroger officials say the company will open another store in the city and relocate employees to that location, but no specific details have been released.