Kroger to shutter 3 e-commerce facilities

Kroger is set to close three spoke facilities as part of its e-commerce hub-and-spoke network with Ocado on May 25, per a Grocery Dive report. 

The facilities are in Opa-locka in South Florida, and San Antonio and Austin, Texas. 

[Read more: Kroger to sell specialty pharmacy business]

A Kroger spokesperson provided Drug Store News with the following statement: “Kroger’s commitment to innovation means that we test and learn quickly to identify the most effective ways to deliver fresh, affordable food to our customers. Despite our best efforts, including the support from new customers, learnings from other locations and the incredible work of our associates, these facilities did not meet the benchmarks we set for success. We want to express our deepest gratitude to our associates for their hard work and are committed to providing support and resources to them during this transition."

The statement continued, "Additionally, this decision does not impact the company’s other automated FCs or cross-docking spoke locations. Kroger remains committed to growing its e-commerce offerings, delivering fresh food to more communities across the U.S.”

[Watch DSN: Kroger Health’s Lindholz highlights importance of Food as Medicine platform]

This article has been updated.