Rodney McMullen, chairman and CEO of The Kroger Co. said that more than half of the retailer’s customers expect a return to normal life by July, according to an earnings call, reports Supermarket Perimeter. However, he noted that some pandemic trends are remaining.
“We are seeing customers shop more frequently as COVID restrictions ease,” McMullen said. “We also saw a continuation of several pandemic trends. This includes heightened digital engagement across demographics; expanded consumption in key fresh areas like meat, produce, and natural foods; and trading up to more premium products.”
McMullen continued, “New trends are emerging as well as customers settle into new routines. In a recent survey of our customers, a remarkable 92 percent of the people say they enjoy cooking the same or more than they did pre-COVID. And as people's busy social lives pick up, more customers are looking for convenience in cooking options. We continue to utilize our data to understand those behaviors that are more permanent in nature. Whether customer habits are returning, hardening, or emerging, we will continue to meet the customer where they are and use our data science expertise to be where they are going.”
In addition, shopper interest in premium products during COVID-19 benefitted Kroger’s Own Brands business.
“Last year because we had our own manufacturing plants and we were able to ramp up production, we were able to significantly gain share last year just because we had product and many of our CPG partners did not,” McMullen said. Full Story
Related: Kroger Grew Digital Sales in Q1; FL Kroger CFC Offers Delivery.
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