KROGER is shutting the doors on 18 locations this summer, and there are even more closures on the chopping block.
The closures hit some regions particularly hard, but there are still plans for an expansion.
Kroger is shutting the doors on 18 locations this summer, and there are even more closures on the chopping block[/caption]
Just two months after revealing its plan to close 60 stores by 2026, Kroger has shut down over a dozen locations this summer.
The closure wave was announced in late June, and Kroger did not specify which locations would be shutting.
Per Grocery Drive’s analysis of notices and union announcements, a total of 39 Kroger stores have been confirmed for the chopping block this year.
At least 18 of these have already closed, divvied up among some of Kroger‘s other brands like Harris Teeter, Pick’ n Save and Fred Meyer.
A total of 15 of these closures come from Kroger-name stores.
Note that it is unclear if these 39 closures are related to the 60-store target set for next year.
It is thought that Kroger is being forced to shut down stores following its failed merger with Albertsons.
A few regions in the US have been hit particularly hard from the closures.
These include the Puget Sound region in Washington, and the metropolitan areas of Chicago and Milwaukee.
CHASING GROWTH
Kroger also plans to have completed 30 store projects by the end of 2025 in spite of the closures.
It comes as the company plans to re-shape its store portfolio and improve its financial performance.
CFO David Kennerley says that Kroger expects a “modest financial benefit” from the store closures.
The company has also confirmed that it will offer jobs at other locations to employees who will be affected by the closures.
Chairman and interim CEO Ron Sargent said: “We are reassessing our capital allocation strategy to make sure we are spending our capital on projects that offer the highest returns.
Kroger closure breakdown
- Kroger – 15 closures
- Harris Teeter – 5 closures
- Pick ‘n Save – 5 closures
- Jay C – 1 closure
- Fred Meyer – 6 closures
- QFC – 1 closure
- Mariano’s – 4 closures
- King Soopers – 1 closure
- Food 4 Less – 1 closure
“We are reviewing our non-core assets, we’re aggressively looking for ways to reduce costs throughout the company, and we expect to reinvest those cost savings directly into lower prices and additional store hours for our associates so that they can better serve customers.”
Sargent further noted that store openings are the biggest driver of market share for the company.
This also brings a renewed focus on e-commerce growth at Kroger, as it still remains unprofitable despite changing consumer trends.
The interim CEO continued: “Our customers are embracing the whole digital model of our business, and we are seeing improvements in profitability at an increasing rate.
“We must become profitable on the e-commerce side of the business. And we’ve got a lot of work to do.”
There are signs that things are trending in the right direction for Kroger, however.
In the first quarter of 2025, the company recorded a 15% rise in digital sales.
Just two months after revealing its plan to close 60 stores by 2026, Kroger has shut down over a dozen locations this summer[/caption]
