|
|
|
|
The Kroger Co. operates grocery retail stores under the following banners:
- Supermarkets - Kroger, Ralphs, Dillons, Smith's, King Soopers, Fry's, QFC, City Market, Hilander, Owen's, Jay C, Cala Foods/Bell Markets, Pay Less, Baker's, Gerbes
- Multi-department stores - Fred Meyer, Fry's Marketplace, Smith's Marketplace, Kroger Marketplace
- Price-impact warehouse stores - Food 4 Less, Foods Co
Kroger operates its grocery retail
stores in the following three formats:
- Supermarkets
- Multi-department stores
- Price-impact warehouse stores
Supermarkets
The combination food and drug store is Kroger's primary
supermarket format. These stores are able to earn a return
above the cost of capital by drawing customers from a 2 - 2.5 mile radius.
Although considered "neighborhood stores" - in terms of size,
shopping experience, and travel time - they are large enough to
offer the high-margin specialty departments that customers desire.
Specialty departments include: whole health sections, pharmacies,
pet centers and world-class perishables, such as fresh seafood and
organic produce.
Multi-department stores
Fred Meyer -
Operated successfully by Fred Meyer since 1922, the multi-department
store is a unique one-stop shopping experience. Fred Meyer is the
nation's third-largest supercenter operator. Stores average
150,000 square feet and carry more than 225,000 food,
apparel, and general merchandise products under one roof. The multi-department
stores include a broad selection, including:
- Full-line supermarket
- Apparel
- Home fashion
- Shoes
- Accessories
- Garden
- Home electronics
- Paint and hardware
- Nutrition centers
An important part of Fred Meyer's
competitive advantage is its emphasis on national brand
products, such as Levi's, Jockey, Columbia Sportswear, Nike, Kitchen Aid,
Adidas, Skechers, Dockers, Carhartt, Apple, Panasonic, JVC, Magnavox, Nikon, Canon,
Black & Decker, Krups, and Sony. Also included are many private-label products that
offer high-quality alternatives at lower prices.
Fry's Marketplace, Smith's Marketplace and Kroger Marketplace -
These multi-department stores
offer full-service grocery, pharmacy and
expanded general merchandise including outdoor living products,
electronics, home goods and toys. Ranging in size from 80,000-105,000 square feet, the Marketplace stores are smaller than the Fred Meyer stores.
Price-impact warehouse stores
The high-quality produce in these stores is unique in the
warehouse format and is a key competitive advantage. These formats also offer
distinctive ethnic products, catering to the demographics of the neighborhoods that they serve.
Food 4 Less currently operates grocery warehouse stores under these banners:
- Food 4 Less in Southern California, Nevada, Illinois and Indiana
- Foods Co in Northern California
These stores average 58,000 square feet in size and offer
budget-conscious shoppers everyday low prices, superior quality,
and a wide selection of national brand groceries, health and beauty
care items, meat, dairy products, baked goods and fresh produce.
Supermarket petroleum group
Kroger believes that gasoline is a natural addition to the
one-stop-shopping experience. We began selling petroleum on
the parking lots as an addition to the supermarket offering
in 1998. At the end of the second quarter 2005, Kroger operated 559 supermarket fuel centers.
The typical supermarket fuel center consists of:
- Fuel pumps (three to seven)
- Kiosk to buy cigarettes, snacks, candy and miscellaneous oil-related products
- Well-lit canopy that covers the entire center
All of the fuel centers accept credit and debit cards at
the pump. In most divisions, the gasoline offering is tied to
the loyalty program.
|
|
|
|
|
|
