Grocery chain Kroger is continuing its rollout of new customer fulfillment centers (CFC) and expanding home delivery with its latest soft launch in Forest Park, Georgia, from its 375,000-square-foot automated warehouse, according to reports.
The $55 million automated CFC is located just south of Atlanta and is the fourth facility Kroger said it was opening as part of its automated fulfillment network. The largest supermarket chain in the U.S., the Atlanta-area CFC is among its biggest.
The CFCs combine vertical integration, machine learning and robotics with fast delivery of fresh food and everyday essentials.
See also: Kroger Eyes Market Expansion to Northeast With Planned Delivery Fulfillment Centers
The company also opened a 48,000-square-foot delivery “spoke” in Indianapolis last month, which will collaborate with the “hub” in Monroe, Ohio, according to a press release. The move brought grocery delivery services to 35 central zip codes in the Indianapolis area.
Also last month, Kroger announced plans to open a 200,000-square-foot CFC in Concord, North Carolina, powered by the U.K.-headquartered Ocado Group. After the site breaks ground, the facility, which is about 30 miles outside of Charlotte, is expected to open sometime next year and provide as many as 700 jobs over the next five years.
Read more: Kroger Opens First Ocado-Powered Fulfillment Center
Headquartered in Monroe, Ohio, just north of Cincinnati, Kroger is also committed to opening CFCs in Dallas; Frederick, Maryland; Phoenix; Pleasant Prairie, Wisconsin; Romulus, Michigan; California and Florida.
The Kroger Fulfillment Network currently operates CFCs in Groveland, Florida and Monroe, Ohio. The Monroe facility, its first, is 375,000 square feet. The Groveland facility is located just west of Orlando and is a new geography for Kroger that doesn’t have a store presence.
“Kroger Delivery is a thriving part of our dynamic ecosystem and is transforming grocery eCommerce and meeting a range of customer needs through the introduction of first-of-its-kind technology in the U.S. developed by Ocado,” Rodney McMullen, Kroger’s chairman and CEO, said in a press release when announcing the CFCs.
“Kroger’s growing seamless ecosystem continues to scale, and we’re committed to doubling both our digital sales and profitability rate by the end of 2023, and Kroger Delivery will help us reach this target,” he added.
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