UK-based delivery service Ocado has signed an exclusive US partnership agreement with retailer Kroger, which will give Kroger access to Ocado’s Smart Platform technology.
Ocado’s Smart Platform technology will allow Kroger to enhance its home delivery, online ordering and automated fulfilment activities, and Kroger claims the agreement will allow it to “seamlessly serve” its customers across the US.
To support the agreement, the two companies will work together to identify three sites in the US in order to create and develop three automated warehouse facilities.
Additionally, the two companies will seek to open 20 of these sites in the next three years to enhance Kroger’s delivery capacity.
Rodney McMullen, Kroger’s chairman and CEO said: “We see Ocado as an innovative, exciting and transformative partnership in pursuit of our Restock Kroger vision, to serve America through food inspiration and uplift.
“We are actively creating a seamless digital experience for our customers. Our partnership with Ocado will speed up our efforts to redefine the food and grocery customer experience – creating value for customers and shareholders alike.”
Tim Steiner, CEO of Ocado Group added: “Ocado’s unique, proprietary and industry-leading technology is set to transform the shopping experience of consumers around the world.
“Our success as a retailer shows that we can offer customers unrivalled choice, quality and convenience, efficiently and profitably.
“The opportunity to partner with Kroger to transform the way in which US customers buy grocery represents a huge opportunity to redefine the grocery experience of Kroger’s customers and create value for the stakeholders of both Kroger and Ocado.
“As we work through the terms of the services agreement with Kroger in the coming months, we will be preparing the business for a transformative relationship which will reshape the food retailing industry in the U.S. in the years to come.”
© FoodBev Media Ltd 2018