The Kroger Company, an All Star member and familiar house-hold name, represents a number of grocery, c-store, and jewelry banners throughout the United States – Kroger, Baker’s, Harris Teeter, Fred Meyer Jewelers, and Ralphs, just to name a few. Kroger brand products that customers will recognize include Private Selection, Kroger Brand, Psst, and Simple Truth. Kroger recently launched ClickList, which is the click and collect model of online shopping offering convenient pickup on a large assortment of items, with the list continuously growing offering ease of shopping and convenience to its customers.
Many shoppers may not realize the importance of manufacturing to Kroger’s stores. In fact, approximately 40% of the Kroger Corporate Brand units sold are produced in Kroger’s 38 manufacturing plants (dairy, bakery, and grocery plants). Kroger manufacturing offers the company a competitive advantage with a window into the marketplace, sourcing power, and benefits of vertical integration and self-manufacturing.
In striving to deliver the lowest cost to the shelf for its customers, Kroger has found that All Star Purchasing has supported its efforts, compared to the traditional sourcing method. All Star has provided the following:
- Strategic global sourcing
- Identifying Second Tier Opportunities
- Applying 6-Step Strategy process towards the category which includes: Executive Summary, Industry Analysis, Porter Five Forces, SWOT, Total Cost of Ownership, SCOPE and Category Timeline
- Knowledge of markets and suppliers
According to Global Category Sourcing Leader, Brian Soder:
“The Kroger Company has already executed solutions on several areas of opportunity that were identified through our partnership with All Star. We look forward to continuing to utilize our membership to explore additional opportunities for the total Kroger Company across several supplier categories.”