Kroger's new large-format stores try to compete with big boxes
Cincinnati-based grocery chain The Kroger Co. has big-box competition on the mind, the Detroit Free Press reports.
The chain, which operates 128 locations in Michigan, is bringing its “Marketplace” stores to Metro Detroit.
Kroger plans to invest $110 million in Michigan this year and hire 2,000 employees during the next 15 to 18 months.
File photo
In an attempt to compete with big-box retailers like Meijer, Target and Wal-Mart, the Marketplace stores are two to three times the size of an average Kroger store and offer clothing, furniture, jewelry and home goods in addition to groceries.
A Kroger store in Lambertville was renovated and expanded this year into a Marketplace store, and a second Marketplace is planned for Shelby Township.
The stores are part of Kroger’s plan to invest $110 million in Michigan this year. The company plans to hire about 2,000 new employees in the state during the next 15 to 18 months.
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Lizzy Alfs is a business reporter for AnnArbor.com. Reach her at 734-623-2584 or email her at lizzyalfs@annarbor.com. Follow her on Twitter at http://twitter.com/lizzyalfs.
Comments
greywolf
Thu, Aug 22, 2013 : 3:10 p.m.
Kroger bought the Harris Teeter grocery chain in the Carolinas for 2.4 Billion. Harris Teeter as a chain is a step above Whole Foods in quality, service and organic food selections. It would be nice to have a motivated upscale grocery store competitor in Washtenaw County. The jobs would be a plus also!
Blue Marker
Tue, Aug 20, 2013 : 1:04 p.m.
I sometimes go to the Kroger on Maple but it's getting worse all the time. They do have the best prices but they continue to get rid of national brand choices for the Kroger brand. I don't mind having the option but I don't want the Kroger brand instead of the national brand. Their staff is usually un-friendly, most seem to hate their jobs. There always seems to be managers walking around with red vest saying "Customer Service #1" but you are hard pressed to get your groceries bagged. And no, I'm not in the market for a gas grill at this time, just something to put on the gas grill I already own. The bottom line is I want to buy groceries at a grocery store, not a super store.
missmisery
Tue, Aug 20, 2013 : 11:06 a.m.
Why? When Kroger adds plants in the middle of the parking lot, pretending to be a nursery as well as a grocery store, it seems ridiculous and each year I wonder how much money they lose by doing that.
Blue Marker
Tue, Aug 20, 2013 : 12:55 p.m.
Amen! I get so mad parking out in the back 40 so they can sell house plants and mulch.
newsboy
Tue, Aug 20, 2013 : 4:36 a.m.
If you need little bags of coffee at a high price, it's the place to go!
DennisP
Tue, Aug 20, 2013 : 1:32 a.m.
Yeah, I know the wife will be thrilled with a pair of earrings from Kroger... and I get Kroger points for gas. I'm with many here. I like the idea of going into a store that sells principally groceries and picks good quality products and gives a decent selection. I like Busch's for that reason even if it is overpriced on many things. I hate the split aisles in Kroger at the Westside Plaza. It's hard to find things. I'm looking for pizza sauce--is it by the spaghetti sauces? No. Is it by the canned tomatoes? No. It's off somewhere at the end of an aisle next to beans or something. There's little consistency or pattern except what some marketing genius declares is appropriate or some conglomerate demands in the shelf space it buys.
arborani
Tue, Aug 20, 2013 : 2:34 a.m.
I*f you think that's hard, try finding grated Parmesan at Meijer's. (Hint: it's not with any of the cheeses.)
Goober
Mon, Aug 19, 2013 : 9:53 p.m.
I went to the store in Lambertville the other day and checked out with a recliner and a pound of balogna. Cool!
TheDiagSquirrel
Mon, Aug 19, 2013 : 8:16 p.m.
Krogers is terrible compared to other stores. Even with the "shopper card" to get something on sale, their sale prices are higher than Meijer, who doesnt require a sales card at all.
jcj
Mon, Aug 19, 2013 : 11:10 p.m.
I regularly shop at Kroger, Meijer, Busch's. Kroger IS cheaper.
Goober
Mon, Aug 19, 2013 : 9:54 p.m.
Nope. We have price shopped for years and Kroger's beats Meijers when you take into account what is saved on the price of gas.
Barzoom
Mon, Aug 19, 2013 : 7:45 p.m.
Every time my wife and I find something we like Kroger discontinues the item. The range of brands and choices has really decreased. If we like it, it's the kiss of death.
UloveM
Mon, Aug 19, 2013 : 6:13 p.m.
I will stop shopping at Krogers if they are as big as "Meijer" or "Super Walmart".
jcj
Mon, Aug 19, 2013 : 11:08 p.m.
OloveM There are VERY FEW items at Busch's that are cheaper!
Goober
Mon, Aug 19, 2013 : 9:55 p.m.
Busch's prices are like Zingermans prices.
Boo Radley
Mon, Aug 19, 2013 : 9:13 p.m.
Busch's does have good quality, ... but lower price?
UloveM
Mon, Aug 19, 2013 : 6:22 p.m.
Busch's is the best, good quality and lower price.
JRW
Mon, Aug 19, 2013 : 6:06 p.m.
Kroger is not a top of the line grocery store. Their produce section is terrible, with missing prices, old and wilted produce that has been sitting in a warehouse, and high prices (when you can find them). Clerks are surly when you ask for a price before deciding to purchase it and not at all helpful finding things. They point to some aisle several rows away instead of showing you where to find things. Kroger's is a second rate operation and there are far better stores to find groceries: Hiller's, Whole Foods, Trader Joe's, Meijer. As far as adding more "merchandise" --that's only a grab for higher profits since groceries are lower profit than clothing and other "stuff' that places like Meijer stock. Kroger should stick to being a grocery store and do a better job at doing just that. They have eliminated many "basics" from their grocery aisles, which just pushes customers to other stores who stock a full range of items. They replaced basic grocery items (lower profit) with more processed food (higher profits). Not a good idea from the customer's perspective.
Goober
Mon, Aug 19, 2013 : 10:26 p.m.
I can't afford to shop at Whole Foods.
Little Patience
Mon, Aug 19, 2013 : 9:27 p.m.
@jrw, I have had similar experiences. At the location closest to me, the produce is often rotten, they don't have what I need, the cashiers & baggers (most of them, at least) analyze my purchases ("eww", "Polish Kielbasa makes me gassy, so your house will smell later"), if the cashier can even bother doing anything more than a grunt. I rarely shop at Kroger now, unless I need a quick trip for milk.
thinker
Mon, Aug 19, 2013 : 7:50 p.m.
Their meat section is great!
MMB95
Mon, Aug 19, 2013 : 5:59 p.m.
I think the toughest thing for them to do will be to overcome the strength of their own brand recognition. The name "Kroger" is so synonymous with groceries that it's going to take a while for everyone to think of buying clothing and jewelry there!
John of Saline
Mon, Aug 19, 2013 : 9 p.m.
Kromart.
Ignatz
Mon, Aug 19, 2013 : 6:22 p.m.
KrogMart? Meiger?, Targer? Kroget? Krogier?
dextermomof4
Mon, Aug 19, 2013 : 5:42 p.m.
I think they need to work on their customer service first before even considering expanding their stores. I have had bad experiences and the most recent is yet to be addressed. Plus their prices are much higher than other competitors, so would it not make more sense to lower prices to compete rather than expand.
jcj
Mon, Aug 19, 2013 : 11:04 p.m.
I have found Kroger prices to be cheaper than anywhere but Meijer.
Bear
Mon, Aug 19, 2013 : 7:27 p.m.
I find that Meijer's prices are higher than Kroger's. At least that has been my experience from shopping at both places.
Greggy_D
Mon, Aug 19, 2013 : 5:37 p.m.
Kroger.....stop trying to become something you are not. Stick with what you do best (groceries).
Linda Peck
Mon, Aug 19, 2013 : 5:05 p.m.
I use Kroger's for paper products sometimes. Now that I know they are an Ohio corporation, I will try to shop at Meijer more, as they are a Michigan company.
Bear
Mon, Aug 19, 2013 : 7:26 p.m.
just because a store is in Michigan doesn't make them the best choice. I support buying local, but not if the store isn't up to snuff and supports causes that I don't support or am actively against. just saying...
leezee
Mon, Aug 19, 2013 : 4:36 p.m.
I stay away from Kroger now. Just too big. I want to run in and run out. I don't want to wander the maze of aisles to find what I'm looking for.
arborani
Mon, Aug 19, 2013 : 8:07 p.m.
Yes - Stadium at Industrial is definitely my Kroger of choice. And many employees have been there for years- there's always a familiar face.
Olive
Mon, Aug 19, 2013 : 7:45 p.m.
The only Kroger I go to anymore is the one on Stadium and Industrial. It doesn't stock as much as it used to, but it's small enough to still feel like a real grocery store. That's why Busch's and Hiller's has gotten my business in recent years.
JRW
Mon, Aug 19, 2013 : 6:11 p.m.
Exactly. We are not renewing our Costco membership this year for the same reason: can't find things when we go there. They constantly move things around on a daily basis and it's really annoying to go there expecting to find something you purchased a week ago, and have to hunt all over the store. When you can't find it, you don't know if it's been "moved" or it's discontinued, which they often do for no reason. Kroger is too large to be convenient and clerks are not helpful. Also, the Kroger on Plymouth has no cover on the fish counter, so flies in the store can buzz around the fresh fish that is unprotected. Gross. Would NEVER buy anything from open fresh fish or meat counters in a grocery store.
Hmm
Mon, Aug 19, 2013 : 4:31 p.m.
How about they just stock the items I like to buy and stop taking away everything? Their selection of groceries has become very minimal in the past few years, I'd like to see more grocery products in there not clothing and jewelry
John of Saline
Mon, Aug 19, 2013 : 8:59 p.m.
They're pushing their multiple in-store brands; they use shelf space for them instead of more variety.