At a time when retailers are looking to various forms of automation to get goods to consumers more efficiently, The Kroger Co. has opened a spoke facility in Central Ohio powered by the Ocado Group robotic technology as it expands delivery to more of the United States.
The addition of a spoke facility brings a modern e-commerce shopping option to the Central Ohio area, including Columbus, and will extend the grocer’s reach and ability to provide delivery services to its customers, Cincinnati-based Kroger noted.
The 61,000-square-foot facility located on Shook Road in Lockbourne, Ohio, will collaborate with the fulfillment hub in Monroe, Ohio, and serve as a last-mile cross-dock location that extends the Kroger fulfillment network up to 200 miles away from the hub. At full capacity, customers in more than 250 Central Ohio ZIP codes will be able to access Kroger Delivery.
The Lockbourne fulfillment center opening follows another e-commerce achievement for the grocer in the area: The recent launch of the Boost by Kroger Plus annual membership program. For $59 or $99 a year, Boost provides customers benefits such as free delivery and two fuel points for every $1 spent on groceries and general merchandise via delivery, pickup and store.
“We’re proud to expand the Kroger fulfillment network in our home state,” said Gabriel Arreaga, Kroger’s senior vice president and chief supply chain officer. “The new service is an innovative addition to the expanding digital shopping experience available to Kroger customers. Our delivery business continues to accelerate with the growth of fulfillment and spoke facilities. This expansion will further our commitment to create career opportunities and serve shoppers fresh food fast through interconnected, automated and last-mile solutions across America.”